I've been considering starting an entrepot trade business recently. Many people recommend other places and don't suggest choosing Hainan. I'd like to know why Hainan isn't chosen for entrepot trade. Are there any shortcomings in policies, logistics, or other aspects? I hope friends who know about it can help analyze it so that I can consider it more comprehensively when making decisions.
I'm interested in conducting entrepot trade in Hainan and would like to know the key points to pay attention to and the procedures to go through from preparation to operation. The best answer points out that when doing entrepot trade in Hainan, it is necessary to take advantage of policy advantages, select a good location, register a trading company, plan logistics well, establish a supply chain system, manage cash flow well, pay attention to customs supervision policies, etc., providing practical guidance for conducting business.
I'm interested in Hainan entrepot trade companies and want to know their business models and unique advantages compared to other regions. The best answer points out that Hainan entrepot trade companies like Zhongshitong carry out entrepot trade by leveraging Hainan's policies and port resources. Their business models are diverse, including value-added services and simplified customs clearance operations. Compared to other regions, Hainan's free trade port policies and geographical advantages bring advantages such as cost reduction and market expansion to the companies.
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Professional consultant answers
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
There are mainly the following reasons why Hainan is not chosen for entrepot trade. Firstly, from the perspective of geographical location, although Hainan is located in the South China Sea, compared with traditional entrepot trade centers such as Shanghai and Hong Kong, it is not a key hub of international air routes, and additional transportation costs and time are required for goods transshipment. Secondly, in terms of logistics support, although Hainan is constantly improving, compared with mature entrepot trade locations, there are still gaps in warehousing facilities and the connection of multimodal transport, making it difficult to handle large-scale entrepot goods efficiently. Thirdly, in terms of the trade ecosystem, entrepot trade depends on a perfect service system of finance, law, etc. Hainan still needs to be further improved in terms of the convenience of financial services and the maturity of the trade dispute settlement mechanism. These factors combined make Hainan's attractiveness for entrepot trade business relatively limited at the current stage.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
The industrial structure of Hainan is mainly based on tourism, tropical agriculture, etc. The foundation of industries related to entrepot trade is weak, and there is a relative shortage of professional talents, which is not conducive to the development of the business.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
In terms of tax policies, the main policy dividends in Hainan tend to encourage the development of local industries, and there are few targeted preferential policies for entrepot trade, lacking advantages compared with some specialized entrepot trade ports.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
The loading and unloading efficiency and equipment advancement of Hainan's ports are insufficient, and the ability to handle complex goods and large ships needs to be improved, affecting the efficiency of entrepot trade.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Hainan is far from the main trade markets, such as Europe, America, and other major economies in Asia. Long-distance transportation will increase transportation risks and costs.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Although the degree of financial openness in Hainan is increasing, compared with developed areas of entrepot trade, there are still gaps in the convenience of foreign exchange transactions and the richness of financing channels.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
The speed of information circulation in Hainan is relatively slow, and it can't compare with mature entrepot trade centers in terms of obtaining international market conditions and changes in trade policies in a timely manner.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
The number of local trade service institutions is limited, such as freight forwarders, shipping agents, and customs brokers, and the service quality and efficiency need to be improved.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
The weather in Hainan is changeable, and there are many natural disasters such as typhoons, which may affect the transportation and storage of entrepot trade goods.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
The brand awareness of Hainan in terms of entrepot trade is not high, and its recognition as an entrepot trade destination in the international arena is relatively low.