Bolero, the online platform and rulebook provider for electronic trade financing, says it has signed a strategic initiative with a Chinese state-owned import and export logistics company with the aim of capturing market share in China's fast growing trade finance market.

E-MA Logistics Systems will be able to offer its customers Bolero's Letter of Credit Application Suite (LCSA) through the agreement with Bolero.

Technology focused

Shanghai-based E-MA provides logistics and supply chain management systems to government departments and large logistics organisations in China. It also provides an e-payment platform for taxation payments in the customs and excise application process.

E-MA Logistics Systems is fully owned by Shanghai E&P International, which was established in 2001 by the state and tasked with developing, constructing and operating information technology in aspects of international trade and port logistics in Shanghai and surrounding provinces.

Bolero offering

In its agreement with Bolero, E-MA will be able to offer its customers LCSA, which Bolero claims to be a trusted and neutral third-party solution for secure electronic corporate-to-bank-to-corporate financial supply chain automation.

Essentially, it aims to replace paper-based communications with a standard easy-to-use web-based interface.

Benefits

According to E-MA's chairman, John Bai, the Bolero facility can "lower the risk associated in dealing with an emerging economy by removing the complexities of managing the end to end letter of credit process."

Initial interest in the Bolero-E-MA tie up was shown by 50 delegates from government, the banking sector and corporations who showed up at a January seminar in Shanghai on the services provided by the new partners.

This article represents the views of the author and not necessarily those of the ICC or any of the other partners in DC-PRO.