Chongqing - With the smooth implementation of the Belt and Road initiative, land trade has ushered in new development opportunities in Southwest China's Chongqing.

The International Colloquium on Exploring the Negotiability of Railway Consignment Notes and Other Cargo Documents was held in Chongqing on January 10.

At the colloquium, experts discussed the leading practice of China (Chongqing) Pilot Free Trade Zone, which relies on the China Railway Express (Chongqing) to take the lead in exploring land trade rules, and the reform pilot experience of the "railway bill of lading letter of credit financing and settlement" was replicated and promoted nationwide as a best practice case of the pilot free trade zone. 

The opening of the China Railway Express (Chongqing) has expanded economic and trade exchanges in Eurasia, increased the total volume of trade logistics, and generated the demand for market players to realize the resale of goods transported in transit and realize the return of funds. 

Especially light asset companies have a greater need to scale their business by financing goods in transit.

Traditional railway waybills can only be picked up by the consignee with their identity and cannot be picked up by the bill, which does not realize the separation of goods and rights, and is not convenient for resale and financing.

Therefore, when the relevant market entities rely on the China Railway Express (Chongqing) to carry out international cargo transportation and international trade, the freight forwarding enterprise (contracting carrier) issues the railway bill of lading through the contract. It is agreed that the railway bill of lading is the only proof of delivery, and the transportation, trading, and financing activities are carried out accordingly.

The railway bill of lading can be fully applied to various settlement and trade financing businesses such as international letters of credit, collection, remittance, etc., changing the settlement mode and financing mode of the China Railway Express (Chongqing) trade logistics business.

In 2017, the Chongqing Municipal People's Government approved the establishment of Chongqing Logistics Financial Services (Group) Co., Ltd. as an innovative, comprehensive local financial institution.

Throughout the last five years, the company has created railway bills of lading and carried out strategic cooperation among China Railway Express (Chongqing) freight forwarders in the city's exploration of land trade rules.

The company also provides comprehensive public services such as financing and credit enhancement support for importers to help entity enterprises solve financing problems, improve financing efficiency and success rate, reduce financing costs, and promote the innovation of financial services.

Chongqing Municipal Commission of Commerce said that the colloquium provides a valuable reference for the next step to promote the practical application of railway waybills and the innovation and improvement of relevant rules and systems at the international level.