The Silhouettes of the 109th Canton Fair

The 109th Canton Fair drew back its curtain on 5th, May in 2011. Though it is expected to see a dip in quantity of deals during the fair due to changing global situation, the result turned out to be satisfactory. Both the numbers of foreign purchasers and exporting deals are increased over the previous fair, which come as a surprise to many people. However, several silhouettes still manifest how this Canton Fair is different from previous ones.
Firstly, we see more presence of foreign purchasers from ASEAN countries and BRIC countries (which include Brazil, Russia, India and South African besides China). But on the other hand, the regular clients of Canton Fair - developed nations including the US and European countries - are declined. This complies with the economic landscape after the financial crisis. Most developed economies are money-strapped or are still floundering in the mire while emerging economies are brimming with vitality, seeking new business opportunities. This can be a chance for innovation-oriented Chinese enterprises like MH Industry, a major apparel accessories producer in China. Actually, it attached great importance to the 109th Canton Fair, setting up more than a dozen of exhibition stands and displaying the most updated sample products. This Canton Fair provides an effective platform for MH Industry which is aiming at the global market.
Still, this Canton Fair also sees new models of business as more fresh faces take presence. It is estimated that nearly 72431 foreign purchasers arrived at the fair and many of them are new comers. Their arrival not only contributes to the growth in orders, but also brings in new models of business. This is a phenomenon needs to be noted.
The third silhouette is that more orders are made on short-term than before. According to figures for the fair, short-term order accounts for 90% of all order while long-term order accounts for only 10%. The reasons are varied. On one hand, the purchasers are cautious about the changes in the market, and are reluctant to place order on long term. And on the other hand, domestic exporters also favor short-term order because they worry that the exchange rate might hike to a higher level in the future.
The fair seems to indicate that demand from emerging economies, especially the BRIC countries, are robust, though that from the developed world is yet to be recovered. It comes as a signal, showing that China’s exports will continue to increase only with different focus.