China has become the world’s biggest supplier, but importers working with Chinese suppliers often run up against an obstacle: The demand for payment up front.
For many buyers, this can be a problem, especially if their cash is tied up in existing orders, and when facing long shipping times.
Having to come up with cash up front can limit an importer’s ability to grow their business.
However, for importers working with Chinese suppliers, there is a solution: Sinosure.
What is Sinosure?
Sinosure is the commonly used name of the China Export & Credit Insurance Corporation, a state-owned export credit agency. Like other such agencies around the world, its job is to minimize risk to Chinese exporters by providing insurance against non-payment by customers outside China.
Generally, Chinese exporters will want payment for a purchase order in advance. The typical arrangement is a 30% down payment before production begins, with the remaining 70% paid after production is completed, but before the order is shipped.
This arrangement exists because many exporters may not be able to assess the creditworthiness of the buyer that they are doing business with. They may not have the experience or the resources to investigate a buyer in a foreign country. By ensuring they are paid in full before shipping, exporters protect themselves against the very real risk of non-payment.
But this creates problems for many importers, who may not be able to put up the cash in advance. A demand for payment up front may mean they will have to forego buying goods that they know they can sell, simply because they don’t have the money to prepay for a new order right now.
This limits the importer’s ability to meet market demand and grow their business; it limits the exporter’s potential sales; and in general, it slows trade and economic growth.
Sinosure solves this problem by providing exporters with insurance against a buyer’s non-payment, i.e., trade credit insurance. With that guarantee in place, suppliers are willing to grant deferred payment. This allows those suppliers to increase their trade turnover with foreign business partners – and does the same for importers.
Sinosure’s portfolio of products insures against credit, commercial and political risks to Chinese firms trading internationally.
It insures companies against such credit risks as insolvency and bankruptcy, commercial risk such as fraud, and also against political risk such as war, sanctions, restrictions on money transfers, and expropriation and nationalization.
Sinosure was founded in 2001 with the merger of the export credit insurance departments at the People’s Insurance Company of China and the China Export and Import Bank.
Sinosure works with small and medium sized enterprises (SMEs), as well as large corporations. In 2022, it insured more than $700 billion in export credit for 240,000 Chinese exporters.
How Sinosure works
The process begins with the importer going through Sinosure’s credit investigation, which typically takes 21 days. Once the investigation is complete, Sinosure assigns a credit limit to the importer.
Then the supplier in China opens an insurance policy with Sinosure (or they may already have one). The supplier registers their contract with the buyer with Sinosure, and gets insurance coverage for the invoice.
The buyer pays a deposit, typically 10% to 30% of the total purchase price. Once the supplier receives the deposit, they produce the goods and ship them without further payment.
The importer receives the order, and has until the end of the deferral period to pay for it. This period typically lasts 90 days, but the period can vary depending on several factors, including the length of the relationship between the import and the supplier.
At the end of the deferral period, the importer pays off the debt owed to the supplier.
How importers can use Sinosure to get trade credit
Sinosure insures Chinese exporters, not their partners abroad, but an importer working with a Chinese supplier will still have to be approved by Sinosure so that their partner inside China can have their trade contract insured.
For this to happen, the importer outside China has to pass through Sinosure’s credit investigation procedure, which, as mentioned before, typically takes 21 days. Once the investigation is complete, Sinosure will assign a credit limit – also known as a Sinosure credit rating – to the importer.
Once the importer has a credit limit, the Chinese supplier can then apply some or all of this credit limit to their contract with the importer, allowing them to offer deferred payment terms for the order.
However, there’s an important element to be aware of: Sinosure doesn’t work directly with buyers outside China. This means that importers who need a Sinosure credit rating will have to hire a company that specializes in obtaining Sinosure credit limits for importers, such as Axton Global, the market leader in this field.
How does a Sinosure credit limit work?
The credit limit is the maximum amount of insurance that Sinosure is willing to offer to exporters doing business with a particular importer.
If you, as an importer, have a Sinosure credit limit of $1 million, then you can get $1 million in trade credit from your Chinese suppliers, secured by Sinosure.
An importer's credit limit can be divided up between different orders and suppliers.
Let’s say an importer has a credit limit of $1 million. One of their suppliers can use – for example – $200,000 of that limit for their insurance policy on a particular order. This leaves $800,000 in available trade credit. Another supplier can insure their trade credit with this importer up to $800,000, or any portion thereof, to insure another order. This can continue until the $1 million limit is reached.
Your credit limit as an importer is determined by several factors. First of all, your company’s financial indicators – your revenue, profitability, assets and so on.
Secondly, your credit history – your record of payments to past suppliers, whether or not your company has defaulted on any debts, and so on.
Sinosure will also take into account whether or not you have a history of trade transactions with companies inside China.
How to get a Sinosure credit limit
To get accredited by Sinosure, you will need the services of a consultancy that specializes in credit limit applications for importers, such as Axton Global.
This company will be the intermediary between your import business and Sinosure. It will take you through the process of applying for a credit limit, which will begin with you providing your company’s financial documentation for the Sinosure credit investigation, and end with Sinosure assigning you a credit limit.
In the case of Axton Global, you will have access not only to services that will allow you to be accredited with Sinosure, but also services that can help you increase your Sinosure credit limit, negotiate deferred payment terms with Chinese suppliers using Sinosure to arrange the necessary paperwork, and transfer your credit limit from one Chinese supplier to another.
About Axton Global
Axton Global is the market leader in trade finance services for companies that import goods from China. Founded in 2008,Axton’s primary goal is to boost its customers’ business growth by enabling them to get the best possible terms from their Chinese suppliers, improving their cash flow and helping them to run their businesses more efficiently.
Axton has unparalleled access to – and experience working with – Sinosure, meaning its clients will benefit from Axton’s years of experience connecting Chinese exporters with buyers around the world.
Axton’s clients range from small business owners to large enterprises, and are located in the U.S., Canada, Europe, Brazil, Mexico, India, the UAE and Australia.
With the support of Sinosure, Axton provides importers with access to favorable credit terms with their Chinese suppliers, leading to improved cash flow, enhanced supplier relationships, reduced financial risks and increased competitiveness, paving the way for their clients' success.
You can find out more about Axton Global on its website.
Co-op is stepping up the price war in the convenience sector by rolling out its version of the Aldi price match pledge, which has been adopted by several of the supermarket multiples in recent years.
From Wednesday (26), the Co-op will start matching the discounter’s prices on over 100 everyday essentials, including fresh fruit, milk, eggs and bread.
However, the savings will only be available to Co-op members, of which there are currently six million. And all of the items covered by the offer will be Co-op own brand lines.
As well as being available across all of Co-op’s 2,400 shops, the price commitment will extend to its quick-commerce delivery platforms, including Shop.coop, Deliveroo and Uber Eats, which it claims is an industry first.
Some of the Aldi price matched lines include Co-op 1 Pint British Milk (85p), Co-op Carrots 500g (38p), Co-op Chopped Tomatoes 400g (47p), Six Co-op British medium free-range eggs (£1.45), and Co-op Tiger Bloomer 800g (£1.45).
The launch of the price match commitment will be supported by a major marketing campaign.
The retailer stated that the move takes its investment into lowering prices to almost £170m over the last two years. This has included the launch of its Member Prices scheme in April 2023, with Co-op aiming to build its membership to eight million people.
“I am very clear that, in this current economic climate, price is most often the deciding food shopping factor for our members and customers,” said Matt Hood, Managing Director for Co-op.
“Which is why we are taking this big step to price match, in our stores and online, as we know discounter prices are often the benchmark of value for consumers, and we are facing directly into that … Price has often been perceived as the Achilles heel of convenience shopping, but this new initiative will change that and show there is no compromise in value, quality, or range to shopping conveniently.”
Sainsbury’s extended its Aldi price match scheme to its convenience chain in November last year, covering 200 items in its 800 Local format stores.
Hundreds of potential candidates have applied for the vape industry’s first ever Chief Misinformation Officer job, according to the employer who created the role.
The job vacancy was opened through quit smoking missionaries, Riot Labs, in a bid to tackle the “flood” of misinformation on vaping in recent months.
Since the job advert went live on Indeed and the Riot Labs careers page, over 200 prospective hires have applied for the role.
The “unprecedented” number of applications has been fuelled by influencers and KOLs, or Key Opinion Leaders, in the vape sector re-posting and sharing the job according to Riot Labs CEO Ben Johnson, who added:
“This is all part of our Riot Activist work to stand up for the vape sector and it’s clear the role we’re hiring for has struck a nerve within the industry. People are sick of having vape misinformation shoved down their throats.
“Lightweight research, unpublished reports that aren’t peer reviewed, and opinion pieces lacking facts are flooding into mainstream media and misleading adult smokers trying to quit.
“It’s a massive issue that will impact the long term health of smokers, which is why we felt the industry needs a Chief Misinformation Officer to fight for the vape sector.”
Since the Chief Misinformation Officer role went live at the start of the month, dozens of KOLs in the sector have reposted the advert including the head of the UKIVIA, John Dunne and Counterfactual founder, Clive Bates.
The successful applicant will be responsible for monitoring false information in the media, tracking and dissecting the latest studies, and drawing attention to misinformation to help provide a balanced counter argument for the benefit of the public - specifically adult smokers trying to quit.
— (@)
Riot Labs confirmed the application process is still open and the company intends to have the role filled with the perfect candidate for the start of the summer - as the UK braces for more vape legislation including the June 1st disposables ban.
Johnson, who founded Riot Labs in 2016, revealed the idea for the new job role was a reaction to a story that hit the mainstream in February on the “deadly” effects of vaping. The Chief Misinformation Officer role aligned perfectly with the company’s Riot Activist campaign work that sees them stand up for the vape sector and protect adult smokers trying to quit.
The damaging story was based on research from Manchester Metropolitan University, which Johnson says was “misleading”, adding: “Dig a little deeper and readers would find the cohort for the study was based on 20 vapers, wasn’t peer reviewed and was conducted over 3-months - nowhere near long enough to reach a solid conclusion.
“This stuff makes great mainstream headlines but it’s misleading and the vape sector should be fighting back to call it out.”
The Office for Health Improvement and Disparities, formerly Public Health England, backs vaping as the best tool for adults to quit smoking and is proven to be 95 per cent less harmful than cigarettes, while vaping is considered a vital tool to help achieve the government's own target of being SmokeFree by 2030.
The current “tsunami of vape misinformation in circulation is preventing access to reliable sources of information for those looking to quit”, claims Johnson, who added: “The successful candidate for the Chief Misinformation Officer role needs to be ready to roll up their sleeves and stand-up for retailers and consumers in the fight against vape misinformation.”
Keep ReadingShow less
Lucky Saint makes history as Portman Group’s first AF beer member.
The Portman Group has welcomed Lucky Saint as an associate member, making them the first alcohol alternative member company in our history.
Lucky Saint was launched in the UK in 2018 by its founder Luke Boase with a 0.5 per cent unfiltered lager product. Since then, it’s become one of the most recognised and popular alcohol alternative brands, now featuring on draught in over 1250pubs in the UK and expanding their range to include a 0.5 per cent hazy IPA in January 2024.
"The Portman Group has long been an advocate of the low-and-no category, as we know from our own annual research with YouGov that alcohol alternative products have become a vital tool for helping people to moderate their drinking and to reduce alcohol harms such as drink driving," said Matt Lambert, CEO of The Portman Group.
Lucky Saint join Coca-Cola GB and Punch Pubs, the first dedicated UK pub company, who are also associate members. Suntory Global Spirits, who joined the Portman Group as associate members in August last year, have now become full members.
The associate member category was launched last year to further increase representation across the entire sector, bringing The Portman Group’s overall membership to 21 companies from across the drinks industry – the largest ever.
The new associate member tier allows more flexibility for companies who are keen to engage with and support the work of the Portman Group whilst tailoring the commitment level that is best suited to them. Associate members receive access to the latest alcohol news, policy summaries, insight into research, rapid 24-hour product advice and free Code training.
Luke Boase, Founder of Lucky Saint, said: “The Portman Group has long championed the growth of alcohol-free options, setting the standard for responsible marketing across our industry as the category continues to grow rapidly.
“We're incredibly proud to become the first dedicated alcohol-free member of the Portman Group, ensuring that brands like Lucky Saint – and the alcohol-free category as a whole – continue to be represented.
“Together we look forward to working with the Portman Group to help to shape the future of the industry moving forward, showcasing the positive role alcohol-free can play for individuals and the industry.”
Matt Lambert added, “We are thrilled to welcome Lucky Saint as our newest associate member, not to mention our first alcohol alternative member. As low and no products continue to grow in popularity it’s more important than ever for our membership to include this representation, and for both categories to work in partnership to market their products responsibly and be leaders in best practice across the drinks industry.”
“We’re also delighted to have Suntory Global Spirits becoming a full member, thereby demonstrating their commitment to responsible business practices”
Chewing gum releases hundreds of tiny plastic pieces straight into people's mouths, researchers said on Tuesday, also warning of the pollution created by the rubber-based sweet.
The small study comes as researchers have increasingly been finding small shards of plastic called microplastics throughout the world, from the tops of mountains to the bottom of the ocean - and even in the air we breathe.
They have also discovered microplastics riddled throughout human bodies - including inside our lungs, blood and brains - sparking fears about the potential effect this could be having on health.
"I don't want to alarm people," Sanjay Mohanty, the lead researcher behind the new study which has not yet been peer-reviewed, told AFP.
There is no evidence directly showing that microplastics are harmful to human health, said Mohanty of the University of California, Los Angeles (UCLA).
The pilot study instead sought to illustrate yet another little-researched way that these mostly invisible plastic pieces enter our bodies - chewing gum.
Lisa Lowe, a PhD student at UCLA, chewed seven pieces each of 10 brands of gum, before the researchers then ran a chemical analysis on her saliva.
They found that a gram (0.04 ounces) of gum released an average of 100 microplastic fragments, though some shed more than 600. The average weight of a stick of gum is around 1.5 grams.
People who chew around 180 pieces of gum a year could be ingesting roughly 30,000 microplastics, the researchers said.
This pales in comparison to the many other ways that humans ingest microplastics, Mohanty emphasised.
For example, other researchers estimated last year that a litre (34 fluid ounces) of water in a plastic bottle contained an average of 240,000 microplastics.
'Tyres, plastic bags and bottles'
The most common chewing gum sold in supermarkets is called synthetic gum, which contains petroleum-based polymers to get that chewy effect, the researchers said.
However packaging does not list any plastics in the ingredients, simply using the words "gum-based".
"Nobody will tell you the ingredients," Mohanty said.
The researchers tested five brands of synthetic gum and five of natural gum, which use plant-based polymers such as tree sap.
"It was surprising that we found microplastics were abundant in both," Lowe told AFP.
David Jones, a researcher at the UK's University of Portsmouth not involved in the study, said he was surprised the researchers found certain plastics not known to be in gum, suggesting they could have come from another source in the lab.
But the overall findings were "not at all surprising", he told AFP.
People tend to "freak out a little bit" when told that the building blocks of chewing gum were similar to what is found "in car tyres, plastic bags and bottles", Jones said.
Oliver Jones, a chemistry professor at Australia's RMIT University, said that if the relatively small number of microplastics were swallowed, they "would likely pass straight through you with no impact".
"I don't think you have to stop chewing gum just yet."
Lowe also warned about the plastic pollution from chewing gum - particularly when people "spit it out onto the sidewalk".
The National Confectioners Association, which represents chewing gum manufacturers in the United States, said in a statement that the study's authors had admitted "there is no cause for alarm".
"Gum is safe to enjoy as it has been for more than 100 years," it said, adding that the ingredients were approved by the US Food and Drug Administration.
The study, which has been submitted to a peer-reviewed journal, was presented at a meeting of the American Chemical Society in San Diego.
A.G. Barr, the company behind popular UK beverage brands like IRN-BRU and Rubicon, has on Tuesday announced its decision to discontinue its Strathmore brand.
This announcement comes as the company reported its results for the year ended 25 January 2025, showcasing strong revenue growth and increased profitability.
The discontinuation of Strathmore could lead to the closure of the manufacturing site in Forfar, Scotland, subject to employee consultation.
Despite this, the company's overall performance has been robust. Revenue increased by 5.1 per cent to £420.4 million, driven largely by a 6.4 per cent growth in soft drinks. Rubicon and IRN-BRU were particular highlights, with distribution gains and successful new product launches contributing significantly to this growth.
Adjusted profit before tax saw a substantial increase of 15.8 per cent, reaching £58.5 million. The company's strategic programme to improve operating margin is reportedly ahead of schedule, with adjusted operating margin up by 130 basis points to 13.6 per cent.
A.G. Barr also reported a strong financial foundation, with net cash at bank of £63.9 million. Shareholders are set to benefit, with adjusted return on capital employed improving to 20.1 per cent and adjusted EPS up by 17.4 per cent. The company has also recommended a final dividend of 13.76p.
A.G. Barr said current trading aligns with expectations, and the outlook for the 2025/26 financial year anticipates continued revenue growth and margin improvement. This positive forecast takes into account the 53-week year, the proposed Strathmore discontinuation, and additional regulatory compliance costs.
“2024/25 was a successful year for the company,” Euan Sutherland, chief executive, said. “Looking forward, we have a refreshed strategy centred on growth and are committed to our long-term financial targets. I am confident that successful execution of our plans will see another year of positive progress towards our long-term goals.”
In February 2025, A.G. Barr announced an organisational simplification, integrating Barr Soft Drinks and FUNKIN into a unified operation.