>>>Related Special: the Third China (Guangzhou) International Small and Medium Enterprises Fair

The third China International Small and Medium Enterprises Fair (CISMEF), running parallelled with the first Sino-Italian Small and Medium Enterprises Fair from September 15 to 18 in Guang-zhou, was upgraded to an international level.

CISMEF, which annually takes place in Guangzhou, capital city of Guangdong, is playing an increasingly important role in the country's development of small and medium-sized enterprises (SMEs) and in enhancing Sino-foreign trade cooperation.

TOWARDS AN INTERNATIONAL FAIR

This year's CISMEF took place in conjunction with the Sino-Italian Small and Medium Enterprises Fair and has been upgraded to an international level. Official statistics show that the fair attracted 3,970 exhibitors, 948 of which are foreign participants, accounting for 23.8 percent of the total. 1,094 of the fair's 5,110 exhibition booths were taken by overseas exhibitors, accounting for 21.4 percent of the total. Foreign exhibitors have a record-high presence in this SME gala event.

In order to promote economic co-operation between Chinese SMEs and their overseas counterparts, the fair has improved the layout of the exhibition areas. The exhibition hall is divided into nine industrial areas, which include textiles and clothing, shoes, caps, and trunks, toys and craft works, food and drugs, household electric appliances, electronics, mechanical equipment, furniture and lamps, ceramics and building materials.

SUPPORT FOR SMES

The China Banking Regulatory Comm-ission has organized a special financing fair during the CISMEF to help Chinese SMEs utilize more corporate financing channels.

A total of 62 banks and 40 finance groups introduced their special financial services tailored for local SMEs in the fair. The team included 17 state-owned banks, 32 local banks and 13 overseas banks. The attending state commercial banks include Industrial and Comm-ercial Bank of China, Agricultural Bank of China, Bank of China, China Cons-truction Bank and the overseas banks include Bank of America, Bank of East Asia, Hang Seng Bank and Hong Kong Shanghai Banking Co Ltd.

Special seminars and lectures were also organized during the event. Senior economists, experts, bankers and gov-ernment officials gave lectures to managers and executives of local SMEs on various topics, such as macro economic development and financial risk prevention.

Meanwhile, the event has held a series of actives to introduce cooperation projects and explain purchase methods and means with an aim to help the SMEs make contact with customs agencies and lower their business costs. This included a summit forum which helped SMEs learn more about the international laws and regulations as well as corporate management.

GROWTH OF SMES IN GUANGDONG

The growing number of industrial SMEs has become an important driving force in Guangdong's economic development and the SME scale has been steadily expanding.

By the end of June 2006, Guangdong contained more than 380,000 privately-run SMEs, with a total investment of more than 500 billion RMB (62.5 billion USD).

Guangdong's SMEs currently employ more than 3.5 million people from around the country.

Guangdong has the largest number of growing SMEs in China and their industrial added value, assets, sales revenues, profits, after-tax profits and employee numbers were much higher than the average level of the nation from 2001 to 2004. These numbers are seeing non-stop growth in the recent two years and will continue to increase in the future.

Editor: Yan