What a Chinese Wine Business Should Qualify?—Key Issues to Note on Establishing a Chinese Wine Busin
With the popularity of wine consumption in China to all levels and the expanding and wider geographical coverage, which accompany up-growing opportunities for wine business. More and more international wineries from Australia, Europe (especially France) who play more active role to operate their marketing and sales activities by themselves, instead of doing through importers and agents.
fig. 1 Food Business Permit
On setting up a Chinese subsidiary (an independent business entity) or your personal new Chinese company, the rules and restrictions are now simpler and easier (more user-friendly) than in those old years. Nowadays international wine business could start a new Chinese company with the profile: Wholly Foreign Owned Enterprise (WFOE), means that the foreign wine business could own 100% share of this company, without the need to seek a Chinese shareholder. While there’re several key points to notice, an additional license, titled Food Business Permit (食品经营许可证) (fig. 1) is needed for operating wine business, and assure the new setup Chinese company also include import and export rights (fig. 2) upon the incorporation, so to have a fully-functional (wine import, sale, banking facilities like receive Chinese Yuan payment, remit your profit in foreign currency to your home country) wine business in China.
fig.2 Business License
Lastly, even though you would still follow the traditional approach to explore your wine business in China, you could still check with them of these qualifications. For one, you could be sure that they are in genuine wine business. Without those, these smaller Chinese wine traders will need to have an intermediary or third-party company to help them to import your wines which will make the business transaction more complicated, and longer time-taken.