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Work Report on International Fireworks Association

Secretary-General      Liu Donghui

                                                        Oct.22nd, 2009

Distinguished guests, ladies and gentlemen,

Good morning!

It has been two years ever since the 3rd Annual Conference of the IFA in 2007. Under the  leadership of the Executive Committee and with the great support of all members, the IFA, committed to its mission of ¡°Making Fireworks Safer, Making the World Happier¡± and its tenet of ¡°Intercommunication, Cooperation, Self-discipline, and independence¡±, has always been serving its member units, strengthening the industrial self-discipline, and safeguarding the legitimate rights and interests of its members. Taking on the responsibility of coordination, the IFA has intensified its communication with relevant enterprises and become a bridge between enterprises and the government, all with substantial results. Now, on behalf of the Executive Committee, I¡¯d like to make a report on the work over the past two years to the Association, and I¡¯m counting on numerous suggestions from you.

 

¢ñ Taking part in international affairs to strive for the right to institutional discourse on the world stage

The IFA put on the agenda to join TDG & GHS of the United Nations after the 3rd annual meeting. After 3 months¡¯ preparation, the Association submitted a formal application of being an observer of consultative status. And at its invitation in July, 2007, our delegates attended a meeting in Geneva, on which our application was passed. Since then, the IFA has become an official observer of TDG & GHS consultative status, entitled to represent fireworks industry on the world stage.

 

¢ò Taking proper measures to safeguard the interests of fireworks industry

As fireworks were forbidden to be exported at the ports of Guangdong in 2008, the industry confronted a plight in transportation. Therefore, the Association has made every effort to solve this issue by conducting a series of measures:

1.          Submitting ¡°Report on Major Issues of Current Fireworks Industry¡± and ¡°Main Potential Safety Hazards in the Transport Link of Fireworks Export¡± to the State Council respectively at the end of March and the beginning of April in 2008, the IFA asked the Central Government to coordinate this issue. We also submitted the two reports to the Ministry of Public Security, Ministry of Commerce, Ministry of Transport, State Administration of Work Safety, General Administration of Quality Supervision, Inspection and Quarantine, and Customs Head Office. The State Council and all the ministries attached great importance to them which  the leaders subscribed to the relevant departments. Then Ministry of Transport conducted a special survey of the transport corridor of export fireworks. And to help the investigation, the IFA convened a research meeting among four main production areas in Liuyang, in which the governments and delegates of export enterprises of the four areas made a full reflection of the transport plight in this aspect.

2.          At the request of most fireworks industries, the IFA sent two employees to Beijing in July,2007 to hand in ¡°Appealing Letter¡± cosigned by over 140 such companies to the State Bureau for Letters and Calls. The delegates presented the difficulties in exporting fireworks and appealed to the State Council to coordinate and unclog the transportation. The next day the Bureau staff inquired to the Ministry of Transport for details. This issue has drawn more attention from high-level leaders.

3.          During the first half of 2008, the IFA contributed a lot to unclogging the obstacles in fireworks export by coordinating ministries and ports in Beijing, Shanghai, Guangdong, etc.

 

¢ó Coordinating relevant parties actively to pursue new transport means

1.          Aimed at solving the problems in fireworks export, the IFA has not only taken various measures to safeguard the interests of the industry and prompt the opening of ports but also explored new passages out at sea. For instance, it contacted Yantian Port in Shenzhen, Ningbo Port, Fuzhou New Port, Fangcheng Port in Guangxi, Wuzhou Port, Taicang Port and other ports sequently to deal with related problems. Some staff were also dispatched to do field work in Fangcheng Port and Wuzhou Port as well as to assist Liuyang Municipal Government in inviting competent local departments to negotiate on relevant problems.

2.          Since the first half of the year 2008, the IFA has been cooperating with Sinotrans Ltd., studying how to open new ports for exporting fireworks and ensure the logistics safety. In addition, enterprise criteria of ¡°Operating Rules for Logistics of Exported Fireworks and Firecrackers¡± were promulgated in July, 2009, thus laying a solid foundation for the security of new fireworks transport corridors.

3.          At the beginning of 2009, the IFA submitted to the State Council the ¡°Appeal for the Establishment of Special Ports of Fireworks Export¡± that was also underscored by relevant leaders who immediately asked the National Development and Reform Commission to solve the problem. And currently, the Commission is conducting research and coordination about it.

4.          Over the first half of 2009, the IFA dispatched staff to negotiate with Taicang Municipal Government and its port through the opportunity of the port deciding to set up the largest modern logistics base in Jiangsu, in the hope of establishing an international fireworks port there so as to relieve the Shanghai port of its pressure. The job was supported by Taicang government and port as well as participated by China Haohua Group. Recently, parties concerned have intention of strategic cooperation.

 

¢ô Implementing industrial self-discipline to ensure the steady development of fireworks industry

1. Over the past two years, the IFA convened two collaboration meetings among four main fireworks-producing areas, i.e. Liuyang, Liling, Wanzai County and Shangli County, calling for enhanced cooperation and self-discipline to guarantee the transport safety of fireworks and the sound development of the industry.

2. ¡°Supervising the Loading of Fireworks Containers: Work Procedure¡±¡ªstandards of the IFA--were formulated. The supervision package plans will be further improved for the implementation of the third party¡¯s supervision after consultations with relevant international fireworks organizations, concerned government departments, ports and enterprises to discuss its feasibility.

3. The draft of ¡°Implementation Measures of Pyrotechnics Displaying Excellent Project¡± and such institutions as ¡°Grade Evaluation Measure of Fireworks Enterprises¡± and ¡°Detailed Grading Rules¡± were studied and set down. The IFA also founded organizations including Rating Examination and Approval Group to promote market self-discipline and standardization.

4. The industrial self-discipline meeting was held in Liuyang, attended by more than 10 leading companies at the end of 2008. Recognizing the significance and urgency to strengthen industrial self-discipline after thorough discussion, all the companies launched and signed ¡°Self-discipline of Transport Pact¡±, unifying the thoughts for further action in accordance with the safety supervision and management through seaports.

5. In order to make good preparation for the 3rd party¡¯s supervisor for loading fireworks containers, the IFA recruited a group of supervisors of loading fireworks containers. In August, 2009, it invited Guangxi Marine Safety Administration to train them. And after several days of study, all 43 participants passed the final examination and acquired the certificates of Dangerous Cargo Container Declaration and Supervisor. At the same time, the IFA instilled them with professional knowledge so that some of them have obtained work licenses in this regard. All of these have paved the way for supervising the loading of fireworks containers in terms of human resources.

 

¢õServing enterprises to seek development roads of IFA

1.          The IFA served enterprises in all earnest by releasing in-time industrial information. Informed of important items such as opening up and closedown of ports, China¡¯s drawback policy and changes in EU¡¯s rules of law, all member units can make corresponding adjustments to their management strategies.

2.          In 2008, the IFA and China Council for the Promotion of International Trade, Hunan Branch organized 13 fireworks enterprises in Liuyang, Hunan and Wanzai, Jiangxi to attend the 13th Macao Trade and Investment Exhibition and to hold talks with principals of Macao Government Tourist Office on cooperation issue.

3.          Since the official issuance of REACH of EU in 2008, the IFA has carefully explained the doubts of fireworks enterprises about the registration of the REACH code and guided them to make pre-registration. 6 companies have done so directly with the guidance. However, many companies have not due to high cost and those who have did not register sufficient raw materials to cover all products to be exported. Thereupon, through consultation, we got approval from related departments of the EU. We registered a shared REACH account for member units to use, under which hundreds of companies made registries, thus facilitating for them to export their fireworks to the EU.

4.          Entrusted by the Ministry of Public Security, the IFA organized representative enterprises to make discussion and suggestions as to the coming ¡°Pyrotechnics Displaying Classification Regulations¡±, providing references for governments¡¯ decisions.

5.          At the request of most fireworks enterprises, the IFA launched an election¡ª¡°the world¡¯s most influential fireworks company in 2009 ¡ª¡°the world¡¯s Top 60¡± during the 9th China (Liuyang) International Fireworks Festival. A group of enterprises or entrepreneurs with strength and credit stood out through fair and strict election. For example, some famous brands including the certification trademark of ¡°Liuyang Fireworks¡± won the title of ¡°10 Most Influential Brands in International Fireworks Industry¡±, WECO of Germany ¡°10 Most Influential Management Enterprises in International Fireworks Industry¡±, Fireworks by Grucci, Inc. of America ¡°10 Most Influential Fireworks Displaying Enterprises in International Fireworks Industry¡±, Jiangxi State Lidu Fireworks Co. Ltd. ¡°10 Most Influential Production Enterprises in International Fireworks Industry¡±, Broad Packing Co. Ltd. ¡°10 Most Influential Material Enterprises in International Fireworks Industry¡±, Mr. Mao Haoji from Hong Kong ¡°10 Most Influential Entrepreneurs in International Fireworks Industry¡±.

 

Furthermore, the IFA gradually strengthens its contact and communication with the rest of the world, striving to deepen its influence. It took active part in the 1st China Wanzai Fireworks Festival. And it held talks with relevant government delegations from the Netherlands, representatives of Holland TNO, Russian Fireworks Association, and Russian Merchandise Inspection Department to discuss safety management of fireworks and how to intensify cooperation and communication in this respect throughout the world.

There are, however, some deficiencies in our work over the past two years.

1.          The IFA should further clarify its position and development direction. Currently, the IFA is in the midst of development bottleneck, so it must explore more ways out.

2.          The IFA is not fully capable of providing its member units with personalized service and thus it should improve service standards and quality.

3.          The IFA staff lack specialized theories and external communication ability. They must improve their own quality by studying theory knowledge and foreign languages.

In conclusion, the IFA has achieved substantial accomplishments over the past two years. But it should attribute every bit of the success to the concern and support of its member units and industrial counterparts, enormous assistance from organizations and governments at all levels and hard work of the Secretariat staff. Here on behalf of the executive committee, I¡¯d like to extend my heartfelt thanks to all of you.

As an international organization, the IFA is in its critical growth and development in need of good care of all of us. I¡¯m convinced that, with your permanent support and care, the IFA will play a more obvious role, exert more profound influence, and expect a more promising future.

Thank you all!

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