Maltese trade delegation well received in China

Maltese business people had a third opportunity in as many days to meet Chinese counterparts as the 40-member trade delegation led by Malta Enterprise travelled from Beijing to the port city of Ningbo yesterday for a forum showcasing Malta as a gateway to Europe.

A well-attended networking session and a series of side-line meetings were held afterwards.

Representatives of Chinese firms and institutions have shown keen interest in meeting Maltese enterprises, some for the first time, others following up on earlier communication.

Throughout the delegation's visit this week, the Chinese have turned up in significant number at events organised in collaboration with local commercial authorities.

"The turnout has been very good so far, comparing well with even our most successful trade delegations," Malta Enterprise executive chairman Alan Camilleri, who gave an overview of Maltese industry and his agency's role yesterday, told The Times Business.

"It is not only about the numbers, but the calibre of the business people who turned up to meet representatives of Maltese firms was right."

In Ningbo yesterday, forum participants were welcomed by Malta's Ambassador to China Karl Xuereb before Wei Rencan from the Ningbo Foreign Investment Bureau highlighted the city's achievements.

With a permanent population of 5.76 million, Ningbo lies between Hangzhou and Shanghai; a magnificent 36-km bridge above the sea connects Ningbo with Shanghai.

China's second largest port and the world's fourth, Ningbo is witnessing an annual increase in cargo throughput of 13.5 per cent year on year. Last year, 384 million tonnes of cargo were handled in Ningbo in 10.4 million TEUs.

It is also home to the main production base for Geely, the Chinese company which acquired Volvo last year.

Ningbo is one of the birthplaces of modern Chinese industry - the country's first Western suit and first piano were produced here. It is China's most important chemical, raw material and manufacturing base and produces over 135 products ranging from lighting to energy meters. It is also the largest textile manufacturing centre in China with an annual production hovering at 1.3 billion - the equivalent of the country's entire population.

Over 50 Fortune 500 companies have invested in Ningbo, among the UPS, DuPont, GM and Samsung. Petrochemicals, energy, steel, paper manufacturing and ship-building are among its supporting industries.

Service outsourcing and financial institutions have also established a presence here, among them such names as Standard Chartered, HSBC, and the Hang Seng Bank.

Trade volume between Malta and Ningbo last year reached $115 million, up 1,904 per cent year on year. Imports include waste plastics, integrated circuits, textiles and refined oil.

As the networking session progressed, Mr Xuereb noted it was important to sustain the current momentum of bilateral trade communication. Several Maltese trade delegations of varying sizes have visited China.

A recent one led by Minister Austin Gatt visited software and component manufacturers in China. Chinese authorities are examining the potential of a reciprocal visit to Malta by these firms, while another trade delegation from China is to visit the island next month.

Mr Xuereb emphasised that it was crucial trade delegations to China featured sector concentration to make it worthwhile for Chinese business people to travel long distances to hold meetings with representatives of several firms rather than one or two.

Malta's embassy in China has established firm relations with trade authorities in major cities, while Malta Enterprise signed a memorandum of understanding with the Chinese Ministry of Commerce and enjoys the full collaboration of the "proactive" Chinese Embassy and the Commercial Council.

Mr Camilleri believes focus should be concentrated on cities and provinces, rather than the country as a whole, in much the same way as Malta Enterprise was directing its efforts in large markets like India and the US.

"That will be one of our tasks," Mr Camilleri said."We will have a strategic plan on how to manage China in all its different aspects so that we are able to better channel our energies. Now that we have appointed Chinese-speaking Paul Cardona, our Asia regional leader who is based in Beijing permanently, we are starting to build capacity. We are doing the same with other countries, but China was one of our foremost priorities."