Pet industry organisations in China have joined forces to find a way forward for businesses and international trade affected by the Coronavirus epidemic.
The Pet Industry Committee of China Entry & Exit Inspection and Quarantine Association, China International Pet Show (CIPS) and the National Pet Industry
Technology Innovation Alliance, jointly called an online conference on February 24, inviting the entire industry to unite and support each other in the face of the outbreak of Covid-19.
Almost 500 representatives from leading manufacturers, distributors, healthcare, education, training and partnered associations within the pet trade took part, with 32 speakers.
During the online conference, it was revealed that most manufacturing enterprises has managed to restore production – but most clinics and shops remained closed. Distributors are attempting to deliver by third-party express services, private vehicles or e-commerce platform channels.
Online and social media have become popular and growing methods for continuing sales.
DISASTER FOR PETS
Zhenbiao Chen, chairman of Petty Group, said most of the group’s factories had been restarted. The operating rate in China is now 70% – 90% of usual production. Vietnamese and Cambodian factories have been sharing some of the production during the outbreak. Its New Zealand factory is still running well. He said the group had benefited from its globalisation strategy and close relationship with international customers.
Zhongli Hao, chairman of Yantai China Pet Foods (Wanpy), said the company had 14 factories around the world and had not been affected by the epidemic. For the domestic market, its online sales are increasing. The company is using third-party express delivery to distributors, which is an increased cost, however its priority is meeting customers demand. The same principle applies to exports although there is an additional shipping cost.
Spectrum Brands said offline channels had been severely impacted by the epidemic, however the growth of online to offline channels had spawned new opportunities. It will keep the offline channel focus unchanged and strive to achieve a rapid breakthrough after the epidemic. With 20 million US dollars new investment to China, Spectrum has great confidence in the Chinese market.
Two distributors from Wuhan City, the centre of the Coronavirus outbreak, took part in the conference. With every five households in Wuhan owning a pet, the outbreak has been a disaster for pets and their owners.
Leading distributors have been working with couriers to keep basic supplies delivered to the customers regardless of the cost. Some pet store owners have organised systems to feed pets left behind by their owners who cannot return home.
PRODUCTS SAFE TO RECEIVE
During the conference, manufacturers offered help when they discovered distributors in Wuhan needed cat litter.
Experts from healthcare, education, training and partner associations have also expressed their ideas on the following topics:
– Challenges brought by the epidemic
– Reflections on traditional patterns and inspirations for future development
– Difficulties, risks and the corresponding countermeasures in international trade
– Supports needed for production resumption, transformation and upgrading
– Mutual help and services between enterprises in the industry.
China, as the largest source for original equipment manufacturers, has a huge impact on the global pet industry. As such, international professionals have also offered opinions and advice.
Hans-J. Buengener, CEO of Industry Consultants and chairman of German pet trade show Interzoo, said products shipped from China were safe to receive as Covid-19 was an airborne virus. He has approved the safety methods of Chinese manufacturers to avoid spread of the infection.
Corine van Winden, CEO of PETS International, suggested steps that might be necessary to gain international certification and increased trust from global clients.
The China International Pet Show will be using its database and marketing channels to help exhibitors who wish to reach out to more potential clients. With the slow-down in the trade in the first quarter of 2020, exhibitors are likely to have more expectations for CIPS 2020, which is being held in Guangzhou on November 12 -15.
Industry leaders say they believe the epidemic will pass and that China’s pet trade will be stronger than ever.
