Purchasing for disputable Areas

Chinese producers afraid of risks in disputable area

Nowadays many companies from Middle East came to us inquiring about power plant equipments, as gas turbine transformer, heavy fuel oil diesel generator, used equipments for their contracted projects or power plants, transmission lines and substations. And most of them will be sent to Iraq and Iran. Many of the Chinese producers of these heavy equipments do not want to supply to these area due to the afraid of that they could not get back their payment, risk of engineers to be kidnapped or killed by accidents when they were sent there for power plant projects installation, commissioning, operation and maintenance. So we can not do business even though the profits is attractive for high quotation.

A China Purchasing agent and reseller solve this problem

I discussed with a famous Iranian power plant and transmission EPC or turnkey contractor with his market in Middle East. He told me that there are many projects waiting for contractors, esp. Chinese contractors, to be awarded with tenders by tendering or negotiation, and almost no Chinese contractors and suppliers have tried due to the precaution taken by them.

We two sides are talking as the following:

1. The Iranian power plant contractor acts as prime contractor, attending the tenders of power plant projects, our side, or myself, act as his purchasing agent located in China. when the contractor prepare his English bidding documents, I will choose the right producers or suppliers in China, and then persuade them to first supply to our company, our company resell these equipments to the Iranian contractor. Some of the Chinese producers or manufacturers do not have their English catalogues, or proposals for these power plant or equipments, we will translate them into English, so that the Iranian contractor can prepare his bidding documentation for power plant, electric or machinery equipments.

2. When the contractor is awarded with contracts, then our company will first buy these chosen equipments from Chinese manufacturers so that they Chinese manufacturers do not take the risks in these disputable areas.

3. As a purchasing agent, the contractor will pay fix months fee, travel expenses, and commission agreed by two sides.

By adopting the method, Chinese electric and machinery equipments can still delivered to disputable area.