Dubai Flower Centre exploring $4.72 billion Chinese horticulture products market
The Dubai Flower Centre (DFC), the Middle East’s centre for perishable goods, is exploring China’s over AED 17 billion (US$4.72 billion) horticultural products market in order to widen its international reach and serve the Far-East Asian region.
The DFC stand at IPM China 2006 exhibition held recently in Foshan City in the Guangdong Province of China, received several business enquiries from Chinese growers and exporters besides international companies. The fair was organized by Messe Essen with its Chinese partner China Flower & Gardening News (CFGN), a leading monthly trade journal.
Mr. Ibrahim Ahli, Marketing Director, DFC, received representatives of numerous Chinese trading companies at the IPM stand and informed them about the Dubai facility which can offer various geographical and infrastructural advantages to Chinese businesses.
“The Chinese growers and exporters can benefit from the free-zone environment at the DFC premises. Exporters do not need to pay customs duty for cargo in transit. However, by paying a five per cent customs duty, they can send their products directly to any GCC country through the DFC. Moreover, they can enjoy other advantages such as proximity to the fast-growing GCC markets.”
The horticultural products market in China, which has doubled in the last 10 years, is currently valued at AED 17 billion (US$4.72 billion) out of which the province of Guangdong alone accounts for approximately US$792 million - around one sixth of the total Chinese horticulture market. While the total value of exports from China currently stands at nearly US$350 million, the Guangdong province accounts for US$87.13 million.
With approximately 10 per cent of the total growing area for ornamental plants and bushes in China, Guangdong province is one of the leading regions for horticulture with the cultured areas totaling 100,000 acres.
The focal point at IPM China 2006, in addition to being a key business platform, was gathering information, making contacts and exchanging experience. In addition, the exhibitors and visitors were offered presentation program in English, providing initial insights into Chinese gardening.
“Some Chinese trading companies were enthusiastic about the DFC facilities and were keen to learn the process of setting up offices or warehouses. Another factor that could greatly favour the Chinese growers and exporters who would like to do business at the DFC is the cargo service by Emirates airline,” remarked Mr. Ahli.
Visitors to stand at the show were enthusiastic because the DFC is a one-stop shop for local and international buyers, traders and exporters and offers several benefits including a closed loop supply chain system that ensures the right temperature from aircraft to the climate-controlled zone, a supply chain intelligence that offers state-of-the-art computerized tracking system, and a business-friendly free-zone environment.
Other features at DFC that generated interest among the participants and visitors to the show included the computerized tracking system which ensures access to all parties, giving exporters and importers the ability to track the flight status, product loadings and temperature of their products throughout the supply chain process.
Mr. Ahli also pointed out to the representatives of Chinese trading companies that the facilities at DFC cater not just to flowers but anything that is perishable and needs a cool chain process, like fruits, vegetables and fresh meat or fish.
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