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China diplomat: Sino-Russia trade ties changing

(Xinhua)
Updated: 2009-11-01 11:43

MOSCOW: The Sino-Russian trade, including nongovernmental trade, has entered a crucial stage of transformation, said Gao Xiyun, Economic Minister Counselor of Chinese Embassy in Russia in a recent interview with Xinhua.

It is inevitable for Russia to rectify the market order as the country has intensified its efforts in countering smuggling and corruption, said Gao.

Many Chinese merchants were originally operating in the closed Cherkizovsky Market in northeast Moscow, he said, and nearly 80 percent of the goods sold at the market were made in China.

Therefore the interests of these Chinese merchants were affected by the sudden closure of the market on June 29, even though the shutdown was not directed against them, he said.

Cai Guiru, chairperson of the Chinese Chamber of Commerce in Russia, told Xinhua on Saturday that Chinese merchants were also affected by the two fires that broke out at the market on October 17 and October 28, but most of them remained stable and calm.

Related full coverage:  Chinese Businessmen Abroad  Related readings:  Moscow closes biggest wholesale market forever  49,000 tons of goods retrieved from Moscow's closed market  Merchants to retrieve seized goods in Moscow  Moscow market: Chinese traders get some help  Sino-Russian ties more mature after 60 years of development

Both fires spread over areas of more than 1,000 square meters, she said, and most of the destroyed goods were shoes.

Right now the majority of Chinese merchants have realized the significance of legitimate operation in Russia, she said, and they were also looking forward to setting up a standardized platform for running business.

Cai also urged Chinese merchants to have their companies registered, import goods  via legitimate customs clearance agents, promote their own brands in the local market and train personnel with good business and language skills.

Russian police abruptly shut down Cherkizovsky Market on June 29 after disclosures of illegal and irregular operations by the Russian Federal Supervision Service for Consumer Rights Protection and People Welfare.

The market as Moscow's biggest wholesale market accommodated thousands of Chinese vendors. About 150 Chinese merchants and a large quantity of their goods were seized in a crackdown on smuggling at the market.

A senior Chinese delegation, led by Chinese Vice Minister of Commerce Gao Hucheng, visited Russia in late July and reached consensus with the Russian side on the issue.

The Itar-Tass news agency reported on October 26 that the existence of the Cherkizovsky Market has been legally terminated, as it has been expelled by the Moscow municipal government from the list of the local retail markets.

According to Moscow's eastern administrative region, all the architectures and vendor's stands at the market were currently being removed.

Resident buildings, student dormitories, stadiums and three economic and trade centers will be built at the site.