Chapter 32 - The approval
The very next morning, Feng Yu arranged his staffs to load the goods from the warehouse onto the train carriage. He also argued with some suppliers in front of Kirilenko, making it look like he is trying hard to lower the prices. In fact, Feng Yu is discussing with them if he can make payments after the goods reach Moscow.
A few of them agreed reluctantly but most argued with Feng Yu. This is the first time they are working together and the contract had been signed. Everything must be in accordance with the contract.
Kirilenko saw everything Feng Yu had done for him. Feng Yu is a really terrific friend. He is even willing to offend his compatriots for Kirilenko. Kirilenko is still thinking of what gifts to give to Feng Yu on his next trip. But little did he know that he had been fooled by Feng Yu.
Killing two birds with one stone. Feng Yu is noting those suppliers that agree to later payments and those who had rejected him. He will carry on working with those suppliers who agreed and will kick those that rejected, once he found a replacement!
On the third day, after all the goods are loaded, Kirilenko carried a large package of cash to Feng Yu.
Kirilenko told Feng Yu that it is not convenient for him to carry so much cash. It is also troublesome to apply for an international bank account and withdraw in China. Feng Yu immediately says he will think of a way to solve this. In future, Kirilenko can just wire the money to him and he will do the procurement and loading of the train carriage for him.
Kirilenko hesitated and said that he will have to consider. They will discuss further on his next trip. As the amount involved is too big, Kirilenko also has to be careful. The next time he comes over, he will also bring a few people who know about trading with him. If possible, he wants to sign a contract with Feng Yu too.
As soon as Kirilenko left, Feng Yu's office was packed with people. The goods have been loaded and according to the contract, it is time to collect payment.
Feng Yu waved his hand: “Let’s go to the bank now! This is our first cooperation. I will not drag or owe any payments. Our future deals will depend on how much sincerities you all have.”
Bringing 450,000 Rubles to the bank, the bank manager was shocked. This is a big client with so much foreign currency.
There is nothing much to say. The bank does not have enough RMB? No problem. Some suppliers are willing to accept bank transfers. Some also indicate that they are willing to accept foreign currencies.
Accepting foreign currencies? The bank Manager will never agree. Doing foreign exchange is very profitable those days. The Branch manager immediately requested the main branch to send some cash over.
After the suppliers left, the branch manager grabbed Feng Yu and asked where he gets so many foreign currencies.
After learning that Feng Yu had just completed a business deal with a Russian, the bank manager felt disappointed. He thought that this is only a onetime business deal. The bank manager had been looking for a stable supply of foreign currencies and he thought that Feng Yu will be a stable channel.
Feng Yu lean back on the sofa and cross his legs: “Manager Zhu. Actually, it is not impossible to have a constant supply of foreign currency but I have some problems with my permits.”
The Manager immediately asked someone to bring Feng Yu a cup of good tea and said: “Mr. Feng, what problems are you facing? Maybe I can help.”
“I got a company and I want to do import and export trade. I have all the sales channels and suppliers ready. But I have a problem with the permits. Currently, I only have the exportation permits and no importation permits.”
“I know Mr. Lee, Chief of Foreign Trade Department. I can make arrangements for you but your company’s bank account must be with our bank and your exports must not be less than 400,000 Rubles a month.” Manager Zhu said.
Manager Zhu knew that Feng Yu has his ways of doing business but does not have any strong backings.
If Manager Zhu is able to get a few million foreign currencies a year, he might be promoted to the provincial bank.
“Then I will have to trouble you, Manager Zhu. There might be some difficulties to get 400,000 Rubles a month. But I can promise you that you can take all the foreign currencies in my account and exchanged RMB for me.” Feng Yu said. Kirilenko had not agreed to Feng Yu’s proposal and Feng Yu dare not commit to Manager Zhu.
“That's a deal. I will ask Chief Lee out tomorrow for dinner. The place would be….” Manager Zhu said.
“How about the Hua Mei Western restaurant? I will make a reservation.” Feng Yu said.
Manager Zhu's eyes brighten up. Hua Mei Western restaurant is very expensive.
“That's settled. Tomorrow afternoon, Five o'clock.” Manager Zhu said.
When Feng Yu drove a Lada to the bank to pick up Manager Zhu the next day, Manager Zhu was very impressed. For someone who is able to drive imported cars in this era, must be someone very capable.
Chief Lee’s car arrived at Hua Mei Western restaurant exactly at five o'clock. Manager Zhu immediately steps forward to shake his hands with both hands.
Feng Yu only lifted one hand and briefly shake Chief Lee’s hands. Chief Lee immediately thought that this young man is a bit arrogant.
Fortunately, Chief Lee is still satisfied with the restaurant. The dishes Feng Yu orders are the restaurant’s specialties. He had ordered salmon, lamb chops, grilled shrimp and many more.
After eating for a while, Manager Zhu said: “Chief Lee, Brother Feng’s permit needs your help to get approval.”
Chief Lee puts down his wine glass and said: “It is not easy to get approval for importation. The Government is encouraging exportation now. If it is exportation, it will be easy to get approvals.”
“Chief Lee. Now China is opening up and encouraging us to do trading. Although what I wanted is importation, but it is also enriching our country’s products and raising the living standards of our people.” Feng Yu said.
"You mean you are doing all these for the good of everyone?” Chief Lee said.
Chief Lee is being very sarcastic but Feng Yu doesn’t mind. He knows that Manager Zhu is more anxious. Feng Yu had heard that the quota for foreign currencies for Manager Zhu is quite high this year and Feng Yu is confident that he is able to deal with Chief Lee.
Chief Lee, look at this article in “People's daily”. Our country is mending the friendship with the Soviet Union. Every time my client come, he sends our domestic goods by train carriages to Moscow. This is a good chance to our country’s development. Besides, the things I wanted to import is not something that can be produced in China now. What if, I buy such things back from the Soviet Union and we study it ourselves? Is this not consider a contribution to our country’s modernization?” Feng Yu said.
Chief Lee looked at the “People’s Daily”. The message is very clear. China is encouraging foreign trades, especially with the Soviet Union and the US. China has also signed a number of trade agreements with them.
Coastal provinces are the forerunners in China’s economic developments. There is a huge gap between coastal provinces and the inland provinces. But for the province Feng Yu is located, it is next to the border with Russia.
During the meeting yesterday, the provincial leaders had asked the Office of Foreign Trade to encourage and focus on the import and export trade at the borders, and raise the people’s living standards. The leaders also wanted the Office of Foreign Trade to ensure that there will be several import and export trading companies this year, and also the companies’ turnover must hit a certain amount.
Actually, Chief Lee is very worried now. There are very few people doing imports and exports businesses. To many Chinese, the Soviet Union is a strong country and why would such a strong country need their products? Furthermore, the industrial products from the Soviet Union are very expensive. How can one make money doing imports?
Manager Zhu leaned over and whispered to Chief Lee: “Chief Lee, please help me. I still got a high quota to meet for foreign currencies.”
In fact, Chief Lee was only playing hard to get. Deep inside, he was jumping with joy to hear that someone wants to do import and export business. He can answer to his leaders now.
“If you say so, I will consider it. Xiao Yu, come to my office tomorrow. I will go back to a meeting regarding your request now.” Chief Lee said.