Research On Pet Items (not Completed)

Prospective Item Research Company Name: Joy Rainbow International Limited Item: Market Research on Pet plastic items

2008. 10. 28

1. Marketability

(1) Market Information Overview In 2007 there were various issues hitting China's export industries:

-

several recalls and poor quality of manufactured goods in different industries in China

-

rising raw material and labor costs

-

yuan-US dollar exchange rates

imposed a stricter product quality and safety requirements

Toward the 2nd quarter of 2007, a pet food scare in the US sparked questions regarding the safety of China-made products, affecting partly the exports of various pet supplies items. This urged the local government to implement an export suspension on all suppliers in the line, under efforts to straighten out the

manufacturing

industry.

As a result, profits were seriously hit, and many SME in China which could not withstand the global declining waves and new Chinese government policies were forced to shut down. Until March 2008, the ban from outside countries was lifted on the basis that all factories have been inspected and found to be qualified

to

produce

hygienic

pet

and

food

and

products.

To maintain the product quality and integrity of China's exports and avoid similar cases from happening again, extensive inspections and in-house safety regulations becomes tougher and more aggressive, such as inspection certificates by widely recognized Test Centres on each component of China-made items must be provided. Such measures are pushing manufacturers of pet items to conduct a higher level of in-house quality

level,

Another

and

major

to

strengthen

drawback

the

for

overall

manufacturing

processes.

pet

product

suppliers:

- rising cost of raw materials and components, wood, metal and plastic (commonly used for making kennels, beds and some pet toys), increased by about 17 % in 2007. - foreseen to rise further by 10 - 20 % through 2008.

All pet products are exported, with OEM orders making up eighty percent of shipments. Kennels, beds and mats, which are the company's largest category in the line, are primarily made of sponge, polyester and nonwoven fabric. They range from $1 to $30 per piece, depending on the size. Mats for kittens measure 30 to 40cm in diameter, while versions for adult cats are 100 to 120cm. Upscale models feature zippers and

handles

for

portability.

Some

use

hook-and-loop

tape

for

closure.

Pet toys are usually priced from $0.10 to $10 per piece, although some cat trees may reach $30 each. The main raw materials are rope, cotton yarn, vinyl rubber and polyester. Cat trees are mostly made of sisal

rope

and

plush.

Most pet feeders are molded from PP, PVC or PC, while some high-end versions come in stainless steel or chrome.

(2) Potentials to develop in US and other markets 

According to an undated posting on the U. S. Commercial service website, total market for pet industry was estimated at US$4.3-billion for 2006 with a growth rate: 3% - 5% per year for the near term. Major segments are: - pet food (65%) - pet supplies and accessories (25%) (<--- around US$1,075,000,000 ) - the cost of purchasing the pets themselves (10%)



The pet population of US is high and growing. There are an estimated: - 7.3-million cats - 5.1-million dogs - 4.5-million birds - 5.9 million other small animals - 10-million tropical fish



When PET in US looked at sales by pet group, it found that sales volume: - the two major groups Cats and Dogs: -0.1% in 2006. - "small mammals" group: +2.2% - "ornamental bird" group: +3.0%



Ranking of Volume in different nationwide markets: At 9.6-million, 1st: United States 2nd: Brazil 3th: China 4th: Japan 5th: Russia



Selling Point: Nice packaging as a gift

(3) Product and Price Trend

The manufacturers have been exporting the featured line, and sources FDA- and EN 71-compliant designs from 30 ISO 9001:2000- certified partner factories in Zhejiang and Jiangsu provinces. - All pet accessories products are exported, with OEM orders = 8% - Kennels, beds and mats (primarily made of sponge, polyester and nonwoven fabric) - Price range: $1 to $30 per piece, depending on the size - Mats for kittens: 30 to 40cm in diameter, while versions for adult cats: 100 to 120cm) - Pet toys: from $0.10 to $10 per piece for Ex-Factory cost (manufacturing countries: South East Asia) - main raw materials are rope, cotton yarn, vinyl rubber and polyester - Cat trees are mostly made of sisal rope and plush - Most pet feeders are molded from PP, PVC or PC, while high-end versions come in stainless steel or chrome - Average rate of PD by SME: about 10 new designs per month - SME takes two or three days to finish a sample. Delivery is within 30 days - Creating more novelty models will be the key focus in coming years

Marketability of Pet toy and Pet supplies Items:

A. Pet Toy Pet Item Tick Tock Teaser

Photo

Description Two moving targets for non-stop predatory activity

Retailing Price (USD) 21.99

Stimulates indoor-only cats to keep them mentally and physically fit Kitty Kat Circus

includes four catnip-infused toys and an array of other goodies to keep cat entertained for hours.

Kitty Hoots Catchables Crunchy Cat Toys

Planet Dog OrbeeTuff

24.99

3.79

Made of Thermal Plastic Elastamer

13

Category

Plastic Pet Supplies

Pet Toy 　 　

　 　

　 　

　 　

　 　

ball

Flying disc

Feed plate

Sounding burger

Rainbow ball Sounding ball Carrying container

　 　

　 　

　 　

　 　

　 　

bone

ruby

Toy car

Feed plate

Auto feed

Elastic brushes

　 　

　 　

　 　

　 　

　 　

　 　

pipe for cat

Auto feed

　 　

　 　

Cat bedpan

　 　

Spinning ball toy

Cat house

Spinning strips

　 　 Soft ball

　Jumping

　 　

　 　 Milk bottle

　 　

　 　

　 　 toy

　 　

Auto feed

Food box

　　 　　

　

　 　

Fish bowl

kettle

　 　

Running rat toy

金鱼 　 　

eyeglasses

Jumping rat Grapping ball Hair brushes

　 　

Grapping board

　 　

　　

Plastic box

　

　

鸟 　 　

四　 角　

　 　

　 　

　 　

　 　

　

宝　

　

　

　

　

鸟屋

盖 六柱食品桶

鸟食具

压克力玩具

鸟架

双砂棒跷板

鼠 　 　 　 Home

B. Pet Toy Pet Toy

　 　

　 　

　 　

　

　

　

静音跑轮

feeder

Photo

　 　 　 maze

Description

仓鼠球

　 　

　 　

　

　

磨牙股子

地球仪

Manufacturer

饮 水 机 　

Estimated Ex-Fty Price (USD)

Pet Rainbow Beach Ball set

Pet toys: bone ball shape, balls Rainbow Spring: looks like a rainbow, in different sizes and shapes Mask: with feather Beach volley set: ball with rackets Most of them made of plastic. 1) Football/Basketball/Soccer maraca 2) Qia-qia stick 3) Colorful like Rainbow

Ningbo Jiangxin Crafts Co., Ltd.

TBC

Ningbo Jiangxin Crafts Co., Ltd.

TBC

Pet Vinyl Toys

Multi-packs of brightly colored vinyl toys sized right for puppies and small dogs.

Shanghai Weijun International Trading Inc

USD 0.5 based on MOQ 10,000pcs

Pet Vinyl Toys

Colorful like Rainbow Multi-packs of brightly colored vinyl toys sized right for puppies and small dogs.

Shanghai Weijun International Trading Inc

TBC

Pet Toy

Made of plastics with plush toy hanging

Pet Maraca

TBC

c. toy Pet Toy

C. Pet Furniture OEM Pet Furniture

Photo

Description

Manufacturer

Estimated Ex-Fty Price (USD)

Photo

Description

Manufacturer

Estimated Ex-Fty

OEM

Price (USD)

Hamster Cage

hamster cage Main Material : plastic ITEM SIZE:53X27X38CM

Xiamen Sunware USD 10 -100 based on Imp. & Exp. Co.,Ltd. MOQ 5,000

Hamster Cage

hamster cage Main Material : plastic ITEM SIZE:53X27X38CM

Xiamen Sunware USD 10 -100 based on Imp. & Exp. Co.,Ltd. MOQ 5,000

the pet toy is very lovely and rainbow colors and styles of this pet toy are available

Stand

plastic bowl,

Pet Care Set (We can customize to Rainbow color)

~ USD10

Hangzhou Rena Arts & Crafts Co., Ltd

~ USD 2.24

Hangzhou Rena Arts & Crafts Co., Ltd

~ USD 1.81

chew rope bone, high bounce dog play ball, squeaky bowling dog toy, clear PVC box packing

Pet Care Set (We can customize to Rainbow color)

PVC bag with handle' hang tag,,

Pet room

made of plastics with cushion inside...

~ USD 5.00

Pet Bed

Made of plastics with cushion on top

~ USD 5.00

Plastic container

C. Pet Furniture Pet Furniture

large capacity box to carry pets

Photo

Description

0.90

Retailing Price (USD)

Estimated FOB Price (USD)

Cat's Meow Kitty Gym

Little Oak Cat Gym

Cats Roost Activity Center

satisfy your cat (or cat's) need to survey his surroundings

269.00

11.20

provides multi-level climbing layers, several scratching areas, and plenty of resting space

619.00

26.00

All in one activity center will provide hours of fun and hours of rest.

129.99

5.42

349

14..54

Doggie Bed & Bath

The small dog's version of a litter box

Personalized Pet Feeder

Different styles of feeders to show customized message to dogs

29.99

1.25

Modular Cat Playground

provides every activity a cat needs to lead a healthy and happy lifestyle

89.95

3.75

Solid plastic dog kennel. Weather durable and high quality.

45.00

1.88

Dog House Durable Plastic

(4) Competition and Challenge Pet product industry is thriving in China. However, numerous challenges are taken to threaten and to curb the continuous growth. The following are some of the key trends in China's pet product manufacturing industry:



Stricter product standards, quality turmoil of made-in-China pet products in export in 2007

  

Rising material and labor costs Yuan's revaluation To protect margins, the majority of China companies will raise their prices in the next 6 months due to the inability to absorb swelling expenditure.



Many will also expand capacity to achieve better economies of scale.



Some pet supplies manufacturers in China are shifting their focus to upscale, human-style products under efforts to try to guarantee price upward adjustments.



This is likewise a means of evading the low-end sector, where competition is more aggressive.



New entrants will continue to join the line, most of which are companies belonging to related, struggling or seasonal industries.



More suppliers of pet collars and leashes, kennels and carriers, and clothing will be coming up with novelty, human-style designs.

(4) Import & Export Statistics

Figure. The American Pet Products Manufacturers Association Releases ALL Time High 2007 Pet Industry Spending of USD 40 Billion Category

2006

2007

% Growth

($ Billion)

($ Billion)

2007

Pet Food

15.4

16.1

4.8

Pet Supplies

9.3

9.9

6.5

Veterlinary Care

9.2

9.8

6.7

Live Animal Purchase

1.9

2.1

8.4

Other Service

2.7

2.9

6.5

Total

38.5

40.8

5.9

Source: Business-Stat of APPMA The above figure reports the value of America’s intake of spending of Pet Food, Pet Supplies, Veterlinary Care, etc (in Billion US dollar). The value of total spending in 2007 has increased by 5.9% to US$40.8 billion, compared with US$38.5 billion in 2006.

4. Potential Buyers sourcing plastics pet item manufacturer

1. PetSmart, Inc. Website

http://www.petsmart.com/home/index.jsp

No. of Staff in HK Establish Year Business Nature Major Importing Country Handling Items Remarks

5 1993 the largest specialty retailer of services and solutions for the lifetime needs of pets United States Health food, Pet Supplies The company operates more than 1075 pet stores in the United States and Canada, a growing number of in-store PetsHotels cat and dog boarding facilities and Doggie Day Camps, and is a leading online provider of pet supplies and pet care information. PetSmart provides a broad range of competitively priced pet food and pet supplies; offers complete pet training, pet grooming and pet adoption services.

2. PetWholesaler.com Fax Website Business Nature Remarks

Exhibition

(852) 25544023 http://www.petwholesaler.com/ Wholesaler, Distributor Web portal for Pet Retailers to purchase wholesale pet supplies. Petwholesaler offers supplies for Dogs, Cats, Birds, Reptiles, Horses, Aquarium, Small Animals, Exotic Animals etc from hundreds of manufacturers and distributors at greatly discounted prices

法國巴 黎國 際寵 物用品 貿易 展覽會

展會時間： 2009-03 展會地點： 歐洲 /法國 巴黎 展覽週期： 2 年/屆 展出行業： 寵物 展會規模： 20000 平方米；300 家參展商 展品範圍： 　　2、貓狗類：貓狗食品、寵物玩具、狗咬膠、美容及醫護用品； 　　9、寵物包裝：寵物美容用品及設施、裝飾及廣告材料、包裝設施及機械、包裝材料、特殊包裝、寵 物名簽、標牌等；

Mai n M ar ke t: 來自 於法 國以 外的 20 多個 國家 ，如 義大 利， 比 利時， 波蘭 ，英 國,德國 ，土 耳其 ，馬 爾他 ，瑞 士， 美國 ，荷 蘭，中 國， 愛爾 蘭， 西班 牙， 中國 臺灣 ，加 拿大 等國 。

Exhibition

義大利 國際 寵物 用具展 覽會

展會時間： 2009-05 　　展會地點： 歐洲 /義大利 博羅納 　　展覽週期： 2 年/屆 　　展出行業： 寵物 　　展會規模： 50000 平方米；600 家參展商 　　展品範圍： 　　2、貓狗類：貓狗食品、寵物玩具、狗咬膠、美容及醫護用品； 　　8、寵物包裝：寵物美容用品及設施、展示板架、裝飾及廣告材料、包裝設施及機械、包裝材料、特 殊包裝、寵物名簽、標牌等；

　

Main Market: 該展覽會每二年一屆，自 1985 年始辦以來， 不斷成長壯大。2005 年該展覽會展出面積即達到 5 萬多平方 米，600 多家參展商來自 30 多個國家，吸引了近百個國家 的 2 萬多名高品質的專業觀眾。

Exhibition

西班牙國際寵物貿易展覽會

展会时间：

2008-9-20 至 2008-9-23

Sizoo

展会地点： 欧洲 /西班牙 巴塞罗那

展览周期： 1 年/届

展出行业： 宠物

展会规模： 30000 平方米；120 家参展商

展会网址： http://www.showguide.cn

展品范围： 2、 猫狗类：猫狗食品、宠物玩具、狗咬胶、美容及医护用品； 9、宠物包装：宠物美容用品及设施、展示板架、装饰及广告材料、 包装设施及机械、包装材料、特殊包装、宠物名签、标牌等； 12、宠物店经营：店内设施、包装和装饰品，与宠物有关的礼品等；

展会介 绍： 西班牙 第十 四届 国际 宠物 贸易 展览 会 Sizoo，该展 览会 由 巴塞罗 那展 览中 心主 办， 每二 年一 届， 预计 07 年展 览规 模 将达到 3 万平方 米， 参展 商 120 家， 专业 观众 1 万多人 。

Exhibition

德國紐 倫堡 第 30 届國際 寵物 用具 貿易 博覽 會 INTERZOO 2008—30.INTERNATIONAL TRADE FAIR FOR PET SUPPLIES

展览时间：2008 年 5 月 22-25 展览会地点：德国纽伦堡国际展览中心 展览会主办单位：Nuernberg Messe GmbH Messezentrum - 该展览会始办于 1973 年,每二年一届，是国际上规模最大的宠物和水族用品专业贸易展览会, 展出规模约 3 万平方米，展出地点在纽伦堡国际展览中心，由纽伦堡展览公司承办。展览会同 时还举办各种类型的宠物沙龙、宠物表演及专业培训等活动。

40 多个 国家 的 1100 余家参 展商 和来 自世 界各 地 103 个国 家的 3 万多 名注 册专 业观 众, - 上届 曾吸 引了

二、展出项目： 2、猫狗类：猫狗食品、宠物玩具、狗咬胶、美容及医护用品； 8、宠物书刊：宠物及水族书刊、贸易杂志等； 12、宠物店经营：店内设施、包装和装饰品，与宠物有关的礼品等；

Exhibition

Main Market: Hong Kong / China / Macau / Taiwan

展覽範圍

• 寵 物 / 水 族 食 品 、 用 品 之 • 寵 物 美 容 護 理 公 司 / 寵 物 酒 店 / 寄 養 中 心 • 寵 物 訓 練 學 校 / 寵 物 攝 影 公 司 / 寵 物 餐 廳 / 大 型 寵 物 • 專業寵物 / 水族刊物 / 非牟利寵物協會 / 寵物保險公司 / 寵物善後服務公司

Exhibition

Other Exhibitions

-

2009 年美国奥兰多全球宠物展览会 GLOBAL PET EXPO 展览日期：2009 年 2 月 12 日-14 日, 展览地点：美国奥兰多市， 9 月份英国宠物展览会 9 月巴西圣保罗宠物展 PET SOUTH AMERICA 9 月份芝加哥圣诞宠物展 Annual Pet Industry Christmas Trade 英国宠物展览会 巴西圣保罗国际宠物用品展览会 美国宠物行业圣诞展览会 美国拉斯维加斯国际宠物用具展览会 俄罗斯圣彼得堡国际宠物用品展览会

1. template Company Name Address Contact Person Tel Fax E-mail No. of Staff in HK Establish Year Business Nature Major Importing Country Business Experience Handling Items Remarks

1. template Company Name Address Contact Person Tel

Fax E-mail No. of Staff in HK Establish Year Business Nature Major Importing Country Business Experience Handling Items Remarks

5. Reference

-

Hong Kong Trade Development Council

-

Hong Kong Census and Statistics Department

-

The American Pet Products Manufacturer's Association (APPMA)

-

Oriental Daily News

-

IBISWorld America's richest source of business information

-

http://www.ChinaSourcingReports.com/petproduct08

-

Large Plastic Dog House

http://www.chinaexportxl.com/pet-supplies/

Bone-shaped Pet Bowl

Pet Toys with blended material (e.g. Plastic and Rope)