JV Formed between Hui Zhan & Long Wu Markets Ahead of 2018

On December 13, Shanghai Huizhan Fruits & Vegetable Market Management Company Ltd. (Huizhan Market in short) and Shanghai Longwu Fruit Market Company Ltd (Longwu Market in short) announced the forming of a joint-venture company - Shanghai Hui Zhan International Trading Company Ltd (hereafter referred as Huizhan International), during a trade reception in the Shanghai Crowne Plaza Hotel. The invited guests, among whom were Huizhan Market’s distributors and suppliers, as well as representatives from various embassies and reporters, were told that Hui Zhan International was created for better servicing Huizhan Market’s customers.

The chairman of Huzhan Market and Hui Zhan International, Mr. Xia Guohai, told the guests that service orientation has been key to Huizhan Market’s overall operation. Huizhan Market has recently completed changes to its shareholding structure while elevating its business philosophy to emphasize the creation of a service platform for facilitating customers’ development. The establishment of Hui Zhan International was designed to provide more business partners with better and more comprehensive services related to fresh fruits import and export.

Mr. Xia also outlined the Hui Zhan International’s development blueprint. On the operations side, Huizhan Market would pool together the resources of several freight forwarders such as Lutong, Yihe, and Junfan while encouraging them to compete for more business based on their service standards. As for financing, it would work with Longwu Market, Shanghai’s earliest wholesale market for imported fruits, to raise capital at lower cost than other sources.

Mr. Xia further elaborated on how to use its capital to provide supply chain financing services, saying that Hui Zhan International would adhere to the principles of no collateral requirement, simplified procedure and quick drawdown on loans. He also stressed that Huizhan Market would not increase service charges for its customers in the next three years and that the creation of a better platform to service its customers would the only way for assuring Huizhan Market’s continual growth. .

Produce Report has learned that Hui Zhan International would offer integrated services covering supply chain management at source, international logistics, customs clearance, application for quarantine certification, order processing, breaking bulk and remittance.

Located in the important fresh fruits import-export port of Shanghai, Huizhan Market is currently China’s second largest wholesale market for imported fresh fruits. The creation of Hui Zhan International would further extend its influence on fresh fruit import-export business in the Yangtze River Delta Region and even the country as a whole.