Africa-China Relations
The State of relations between the Chinese nation and the continent of Africa is steadily growing. The 21st-century has seen a significant paradigm shift of the world's largest trading nations. China is by far the world's largest exporter of wholesale goods around the world. Because of the friendly relationship between Africa and China, Africa is the recipient of billions of dollars of consumer electronics and hi-tech Chinese wholesale goods.
Trade agreements
Economic relations between Africa and China are some of the most mutually beneficial trade agreements that have ever existed. Speaking from a purely objective standpoint, current trade agreements have enabled Africa and China to steadily grow their GDP’s and plan for future growth and marketplace capitalization.
Currently, bilateral trade agreements have been signed with 40 out of the 54 countries in Africa. For extensive data and research relating to the specific details contained in those trade agreements, you can search here.
Countries like South Africa, Nigeria, and Egypt are the largest buyers of Chinese wholesale goods. However, many other African countries are quickly catching up. The value of Africa-China trade relations in 2014 was $215 billion. With this amount of money on the table, it won’t be too hard for your African business to grab a piece. If you’re looking to increase your profits to six figures monthly, continue reading on how Chinese goods can take you there.
Shipping times from China to Africa
Shipping times from any port in China to Africa will come in under 30 days. You’ll be surprised to know that even when shipping from China to around the world, the shipping times can still be under 30 days.
Often times your package can land in South Africa, Nigeria, or Egypt in under two-four weeks. Even the largest of packages shipped via freight can be managed in under two-four weeks.
Whether you are shipping 5 kg or 500 kg you will be surprised to know that shipping lanes from China to Africa are well defined. It is a well known fact that Africa and China have well defined shipping routes.
Ever since ancient times, trade routes from Eastern empires into Africa have been well acknowledged. To ask more detailed questions regarding shipping information directly from Chinese manufacturers and suppliers, contact them directly here.
Ever since the days of Mansa Musa in the 14th century, Eastern Empires and the continent of Africa have traded everything from spices to weapons. Currently with over $220 billion in economic trade relations happening annually, you can rest assured that your Chinese wholesale goods will be shipped at lightning speed to their African destinations.
Upcoming Trans-Africa railway
China is actually Africa’s biggest trading partner.
Currently the Chinese government is trying to broker the deal of a Trans-African railway. If the deal goes through, the Railway would cross all the way from Egypt to the West-African coast line. This would be a first for the African continent, and promote trade farther than it ever has been before.
If the Trans-African railway sponsored by the Chinese government goes through, the future of Africa-China trade is even greater. China has plans to connect the African country directly to Beijing through numerous connecting railway routes.
This would have drastic implications for your African business. The cost of goods would drop, and shipping times would drastically drop also. Those African Importers who already have connections with Chinese manufacturers or suppliers will be well ahead of the game when the railway is built.
Well Known African Markets
South Africa and Nigeria are two of the largest African countries that trade with China. Within these two nations there are already markets that Chinese exporters have penetrated, and other markets that are less known.
Countries with the highest GDP
The number one top spot goes to Nigeria with a GDP 376 billion in 2017.
The number two seat goes to South Africa with 349 billion recorded in 2017.
Currently, these two nations are doing more business with Chinese manufacturers and wholesale suppliers than any other nation in Africa.
The state of relations between China, Nigeria and South Africa is so well defined that many products do not even require import duties when entering into Africa.
Top imported African products into China
Ever since 2005, African products imported into China has been steadily on the rise. From 10 billion dollars into China in 2005, to $220 billion dollars in 2017. That is over a 200% increase in African products into the Chinese market in less than 12 years.
African imports into the Chinese market are concentrated on crude oil, iron ore, cotton, diamond and other natural resources and primary goods.
In an effort to assist cultivating trade relationships, the Chinese government has approved tariff free imports into China for 25 countries for approximately 190 products that range from foods, minerals and textiles.
Top exported products from China into Africa
On the reverse side of things, the value of Chinese export into Africa was $16 billion in 2005, and $202 billion in 2017.
The main exports of China into Africa are machinery, electronics, textile, apparel, hi-tech products and finished goods.
The highly technological nation of China is well known for exporting their products all around the world.
However an increasing number of high-tech products like phones, software systems communications devices, agricultural machinery, and industrial machines are being exported into Africa. If you are looking for these types of products for your African business you can search here.
To find your preferred Chinese manufacturer or wholesale supplier of agricultural goods, or industrial equipment you can check here.
How to purchase wholesale goods from China in bulk
Purchasing your Chinese wholesale goods online is as easy as 1,2,3. Follow the steps to secure your wholesale goods in no time.
Finding a manufacturer
Finding a decent manufacturer will involve dedicating your time and determination to the task. However with a bit of patience and due diligence, you can discover exactly what you are looking for.
For a complete list of categories you can click here.
Start by searching the above link to build a list of Chinese wholesale suppliers that you are interested in. This will help streamline your outreach phase.
Next, you can send messages that express your interest in building a long term relationship. Suppliers will likely respond better to a message that describes your interest in doing business long term rather than a one-time transaction.
The Art of Negotiating deals
Mentioning that you would like to do business long term will secure better power during the negotiation phase.
The most critical part of negotiation is not being afraid to reject an offer. When you’re on the buying side of the negotiating table, you have the power.
Don’t be afraid to leave the seller on ice and come back after a day or two. It won’t hurt for you to toughen up and tell a supplier you do not like their offer. Often times the supplier will come back to you with an even better offer.
When negotiating, it can be easy to become impatient. The tactic of rejecting an offer, waiting one day, and coming back to supplier with a counter offer will get you the best results.
If you are impatient and hurriedly rush to deliver a counter offer immediately, it may not be received so well.
Stay calm, remain patient, toughen up, don’t be afraid to say no, and you’ll get the best deal possible.
How to submit payment for your goods
There are quite a few number of ways you can deliver payment for your goods.
PayPal
By far, the securest way to pay online for both the buyer and the seller is PayPal. This international payment platform is well-known, and well used by buyers and sellers from around the world.
WeChat Pay
WeChat Pay is the Chinese alternative to PayPal. If you open a WeChat account it will take about 1 to 2 days to get approved. After approval, you can deposit money by connecting your bank card to your WeChat Pay account.
Any money you deposit will be converted into the equivalent amount in Chinese RMB. If you are looking to get the best deal, then offering to pay with WeChat Pay is your best option.
Internal payment platforms
Purchasing your Chinese wholesale goods online will sometimes come with an internal payment platform from the purchasing website itself. These websites use an internal payment platform to manage what is called escrow. This is also a very secure way to make payment.
Payment through escrow serves as protection for the buyer. As the buyer, when you make a payment, your money deposited into a secure third party account. When the seller enters in the shipping information, the money is released from escrow into the sellers account.
Selling your wholesale goods in Africa
How you will sell your Chinese wholesale goods in Africa will depend on what strategy you take on. There are many different options for you to consider. The following list offers you three different strategies. However there are more ways than the three listed to sell your Chinese wholesale goods in Africa. Use your creativity and you will inevitably win.
Brick & Mortar Retailer or Online Retailer
Brick & Mortar Retailer:
If you are the owner of a retail store, then this would seem like the best route for you. Getting your goods shipped directly from China to your storefront will give you an advantage in the marketplace. By cutting out the middleman and dealing direct with Chinese wholesale manufacturers and suppliers, your business can save thousands.
Search here to see all of the different categories of products Chinese wholesale manufacturers can offer you.
Online Retailer:
Once you receive your products from the Chinese manufacturer or supplier, you can sell them online in Africa. If you are a brick & mortar retailer you also have this capability as well.
If you select a clever product to retail online in the African market, you may find yourself ahead of a burgeoning niche.
Becoming a Distributor in Africa
Becoming a distributor in the African market could be your way to earning six figures monthly. The distributor works by bringing in wholesale goods from China, and selling them direct to brick and mortar retailers.
Often times, the best way to break in this business is to load your truck up with Chinese wholesale goods, and take them directly to the retailers face-to-face.
Once you build up your client base of steady customers, you can do business over the phone or online. However in the beginning, becoming a distributor requires you to take your physic products to the customer and show them the product.
As a new distributor, offering your product on consignment is a surefire way to earn trust.
Becoming an Importer of Chinese goods
Serving as an importer is a kin to being the big fish in the food chain. The importers job is to deal with all of the logistics behind importing products into the country.
Once your bulk Chinese goods have arrived in the country, you can sell them wholesale directly to distributors and retailers.
Being an importer comes with all the benefits of having high profits, but none of the problems of dealing with the public.
The main headache in the import business is managing the logistics behind bringing your Chinese wholesale goods into the country.
Port regulations, duties, and customs officials can serve as a barrier. However, once you figure out how to get past those obstacles, the import life is smooth sailing.
