The director general of Foreign Trade Association: the social compliance, the Chinese suppliers are more than 60 percent

Agyan, the director general of Foreign Trade Association who has just attended the ninth Ministerial Conference of the WTO visited Shanghai yesterday and received the interview of medium about the ten anniversary of the establishment of Business Social Compliance Initiative launched by FTA. Agyan said that more than 60 percent of China’s compliance manufacturers are in accordance with BSCI standards. While, there are still deficiency in working hours, wages, health and safety of workplace. It is reported that BSCI plans to invest3 times of resources next year to provide professional training for China’s enterprises, especially small and medium-sized enterprises to make them meet the demands of international market.
chinese foreign trade

The BSCI advocated by FTA has covered more than 1000 Multi-National Corporations of European countries, aiming at improving the working environment of all industries and procurement countries of the worldwide supply chain, promoting sustainable production. The standards of behavior include freedom of association, negotiation rights of collective bargaining, no forced labor, no discrimination, the safety and health of workplace, prohibition of hiring children, paying attention to environmental protection, implementation of the statutory minimum wage or industry standard, having the social responsibility of the regulations, working hours in accordance with local laws, not more than 48+12 hours a week, anti corruption, bribery policy etc..

According to the “BSCI Research” report of University of St Gallen in Switzerland in June, by the end of 2011, the main source of enterprises participating BSCI are China, India, Bangladesh, Turkey and Vietnam, which accounts for nearly 89% of all involved producers. In 3 years of audit cycle, the ratio of manufacturers of the five major procurement sources has risen from an average of 34% in 2008 rose to 40% in 2012.

It is reported that China is the biggest sources of procurement. In more than 612000000000 euro of annual purchase value in more than 1000 companies involved in BSCI, nearly 70% is from China. In the trade process between European enterprises and China, the awareness of Chinese suppliers of social responsibility standards has markedly improved, which has risen from 18% in 2008 to the current more than 60%. This rising rate is the highest in the major source countries of procurement.

This does not mean that Chinese suppliers are impeccable. At present, Swiss fashion company Lindex has 85 suppliers in China. The procurement in finished in 153 factories. The purchases in China accounted for 44% of the global. The manager of social responsibility and quality department of Lindex Company, Yuan Ruixue, yesterday said that the domestic suppliers have to improve in overtime working, wage compensation, safe and healthy working environment and the behavior of management.

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