The Aunew Group’s one-stop-shop program, designed to help exporters tackle the Asian market, has won the Endeavour’s 2011 Exporter of the Year award for excellence, writes Alan Johnson.
AUNEW Group Holding’s ‘One Stop OEM services’ concept, designed to help exporters reach the booming Asian market, has seen the company win this year’s Endeavour Exporter of the Year award from Manufacturers’ Monthly.
Currently, the company is focusing on six categories of Australian and New Zealand products including health foods, bee products, infant and baby care, wine and foods, skin care, wool and leather.
Under Aunew’s franchising plan, these products are organised into six Aunew promotional shelves as a package and introduced into Chinese retail outlets such as shopping malls, supermarkets, airports and gymnasiums.
Managing director Karl Ye who accepted the Exporter of the Year award at the ceremony in Melbourne in May said it’s a big encouragement to receive the award.
"Selling Australian-made products overseas can be hard. Regulation, distribution and logistics are some of the issues," he said.
"We have successfully developed a system to fix the issue, which is much easier. It’s to show companies the resources that are available.
"As most of the products have very complicated regulation issues to export to China, we have a professional regulation team acting on behalf of those who intend to develop their products into the China market to get their brand/products registered with authorities.
"As well, our professional team work closely with Chinese customs, inspection and quarantine offices to make clearance and smooth pathway and logistics in a fluent function.
"We also have tailor-made bonded warehouse for the protection of goods. Some of these products are very climate- and environment- sensitive, and need very dedicated care during each step of export and distribution.
"Aunew arranges dedicated warehouses in Australia, New Zealand and China, with temperature-controlled and monitored warehouses and container or airfreight to China, which minimises the quality climate impact during long-distance transport."
The company consists of its Therapeutic Goods Administration (TGA) licensed pharmaceutical plant – GMP Pharmaceuticals Australia located in Girraween, Sydney and GMP Pharmaceuticals located in New Zealand.
It also has offices and wholesale/retail stores in Beijing and Shenzhen, a bonded warehouse in Tianjin port, a regulation and distribution team in Beijing, a distribution office in Hong Kong and a new office set up in Yiwu city in China.
Aunew is an exclusive distributor for many Australian and New Zealand brands including Edenvale alcohol-removed wine, Mothernest health foods, NZVE Honey, URAS dairy and Mindell health foods.
The number of SMEs to export their products to China supported by the company’s One Stop Export to China system has increased from last year’s 40 companies to the current 60, a 50% jump forward.
One Stop Export to China has also officially launched its franchising program at CISMEF (China Int’l SME Fair) in Guangzhou China, with a target to set up 1,000 Aunew stores to market and sell a range of Australian-made products.
"By using One Stop Export to China, we have not only increased export of our own products but also products from other Australian companies such as Penfold’s wines, wool quilts, UGG boots, kangaroo leather hats, and Australian honey/bee products," said Ye.
At present there are over 20 stores planned in major cities including Beijing, Shanghai, Tianjin, Dalian, Zhengzhou, Fuzhou and Yiwu.
Aunew employs approximately 300 people, which is a 19% increase compared to last year, with most of them in Australia and New Zealand. The company is the largest contract manufacturer in Australasia for the Chinese and other South East Asian health food/supplement market.
The total turnover of the company has now reached $50 million, a 25% increase compared to last year, with export to Asia (directly or indirectly) also increasing accordingly.
The two factories in Sydney and Auckland were set-up for the main purpose of contract manufacturing for those interested in building-up their own brands of products for sale locally or in South East Asia.
With strong beliefs in marketing and promoting Australian made products, Aunew in collaboration with Australian Made Australian Grown Campaign, launched and published the first edition of ‘Directory of Australian Made Products in China 2010’ at CISMEF and various Austrade offices in China.
What the judges said:
The judges said Aunew Group Holdings has a smart strategy from end to end."Exporting to China is no easy feat. The company is to be congratulated on a fine achievement," said the judges.