- Apr 12, 2021
- Business Update
JDT Partners with COFCO on Supply Chain Financing
by Martin Li
JD Technology (JDT) has partnered with COFCO, a leading supplier of agricultural products in China, to provide unsecured financing to the company’s distributors based on their data regarding trade, logistics, invoicing and more.
The latest beneficiary of JDT’s supply chain financing is Beijing Jinsheng Yonghe Trade Company, a distributor based in Beijing and a long-time trade partner of COFCO, which purchases a large quantity of rice and flour each quarter.（it’s accurate）
“We were granted a credit line of RMB one million yuan from JDT based on our data on trade with different businesses of COFCO when we joined COFCO’s order-placing meeting before the Chinese New Year in February. The financing relieved our cash pressure and helped increase our operating income,” said Zhao Jing, legal representative of the distributor.
“We didn’t expect such favorable financing service when doing business with COFCO,” said Zhao.
JDT provides an unsecured credit line of between RMB 20,000 yuan and two million yuan to distributors which have been cooperating with COFCO for more than twelve months.
There are more than 2,500 distributors which have been cooperating with COFCO for more than two years.
Borrowers can apply for a credit line based on specific needs and choose to pay interest by day.
A COFCO spokesperson said that the reason why COFCO chose to partner with JDT is the company’s continued efforts in building a digital supply chain and deep industry know-how.
JDT started providing supply chain financing services in 2012. From the beginning of this year, JDT cooperated with big companies in different industries as well as banks to provide inclusive, customized and low-cost digital financing services to micro-small-and-medium sized enterprises.