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Reorganisation of major fair irritates visitors

Canton Fair

CHINA's biggest trade fair has moved to head off increasing competition from smaller events organised by other cities.

The biannual China Export Commodities Fair, first held in Guangzhou in 1957, will no longer group exhibits according to product or corporate category.

Instead, trade delegations will be grouped according to their different provincial locations.

''These reforms are introduced in response to the country's need for establishing a socialist market economy,'' said Mr Liang Jinwen, vice-chairman and secretary-general of the Chinese Export Commodities Fair.

''This will be more effective in mobilising the enthusiasm of the localities, providing the chance for more products to appear at the fair.'' However, there was sharp criticism of the new arrangements when the spring fair opened yesterday.

Under the old system, various trade corporations, usually affiliated to government ministries such as the Ministry of Commerce, were responsible for scrutinising participants.

As a result, many local enterprises missed the opportunity to meet overseas buyers at the fair.

''For example, if you set a minimum requirement that the participant should at least export US$5 million a year, Guangdong and other coastal cities would have no difficulty, but the standard would be too high for inland provinces,'' said Mr Liang.

If provincial delegations were allowed to set their own criteria, more foreign trade units and enterprises would be able to take part in the fair, he said.

In the past, everything was organised in accordance with administrative plans.

It was not uncommon for some units unwilling to take part to be selected, while those keen to exhibit were excluded.

''The old system was the product of a highly centralised and planned economic system. But now the export mechanism is more liberal, allowing more units and enterprises to take part in exports,'' said Mr Liang.

Economic reforms mean that some trade corporations under the wing of government ministries are no longer administrative organs.

They have become ordinary enterprises, and no longer control similar trading companies in different provinces and cities.

''It is not appropriate for the trade corporations to exercise the administrative role,'' said Mr Liang.

As a result, local delegations are taking part in the fair more enthusiastically this year.

For instance, the Shanghai delegation has a total of 1,600 members.

Mr Liang denied speculation that the trade fair would be cancelled. He said the spring fair would be changed into a specialised event while the autumn one would continue to be a more comprehensive event.

At the current trade fair, the emphasis is on light industry and textile products. Minerals, large machine tools and vehicles are not being exhibited this time.

Organisers of the Guangzhou trade fair also plan to inject more commercial elements into the event.

For instance, there will be an average charge of 4,000 yuan (about HK$5,400 at official rates) for use of the booths.

Booths with the best positions will be more expensive.

''Our objective is to make the Guangzhou Chinese Commodities Fair into an international expo,'' said Mr Liang.

''Therefore we have to start organising the fair using the management method of organising an international expo.'' The new grouping arrangement, however, attracted strong criticism from exhibitors and overseas buyers immediately after the fair opened yesterday.

Ms Dora Maria Fassio, purchasing manager of Ferconsa, of Ecuador, said she found the arrangement inconvenient.

''I have talked to other businessmen, and we all agreed that it would be better if similar products were grouped under a similar delegation, rather than scattering them around the exhibition hall,'' said Ms Fassio, who was making her first visit to the fair.

She said it would be easier for buyers to compare products and prices if similar commodities were displayed next to each other.

She said she had limited time to visit all the delegations because she planned to leave on Saturday.

Exhibitors were also critical of the new arrangement.

Mr Li Bingxian, manager of Shantou Arts and Crafts Import and Export Co, complained about the soaring cost of the booths.

Although he had paid 200,000 yuan to lease the space and have it fitted out, he had been given a much smaller space than last year.

Mr Li argued that if similar commodities were grouped together, the visual effect would be better, and exhibitors from rival provinces would try to provide better products and service to remain competitive.

''It will take at least two days for the overseas buyers to find their way about,'' he said.

''But the length of this trade fair is only 10 days, instead of the usual 15 days. It will be difficult to strike a deal.'' A few minutes after the trade fair opened, Mr Lin Ruihui, deputy manager of Fujian Office of the China National Light Industrial Products Import and Export Corp, waited anxiously for buyers to find their way to his booth.

''I am a bit worried. How can the buyers find us in this huge hall?'' he asked.

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