The Different Access Requirements for Cosmetics in Some Famous Chinese On-line Shopping Centers


On 8 November 2014, China Food and Drug Administration (CFDA) issuedthe Cosmetics Supervision and Management Regulation (draft for comments) which stipulated that on-line cosmetic manufacturers and operators have to make real-name registration onthe third-party platform. Besides, the third-party platform providers will be responsible for the management of this business. In this background, did the famous Chinese on-line shopping centers improve their cosmetic access requirements?

n  The access requirements for cosmetic products in some famous Chinese on-line shopping centers. (The access qualification of products)

No.

On-line platform

The access qualification of products

Relevant links

1

T-Mall

The requirements for flagship stores in T-mall (The stores directly operated by the own brand (R or TM state))

« Domestic cosmetics

No registration requirements for non-special use cosmetics. Special use cosmetics have to submit the approval number of hygiene license.

Product testing reportwithin a year. This report including required test items has to be issued by inspection body above provincial level.

Hygiene license for cosmetics manufacturers.

„Manufacture license of cosmetics.

The copy of business license of cosmetics manufacturer.

†OEM contract required for contract manufacture of cosmetics.

Trade mark license or acceptance notice of trademark registration.

« Imported cosmetics

Record keeping certificate for imported non-special use cosmetics and the hygiene license for imported special use cosmetics.

The customs declaration issued by the Custom of Peoples Republic of China within 2 years.

ƒ Hygiene certificate of goods entry-exit inspection and quarantine within 2 years.

http://www.tmall.com/go/chn/mall/investment-promotion.php?spm=a2220.1740896.11002.2.9Sdl5a#floor2

2

Jingdong

« Domestic cosmetics

Website screenshot of record-keeping filled and issued on the CFDA website or electronic files of the record keeping certificate. Thehygiene license of domestic special use cosmetics.

‚Product testing reportwithin a year. This report including required test items has to be issued by inspection body above provincial level.

ƒHygiene license for cosmetics manufacturers.

„Manufacture license of cosmetics.

Business license of cosmetics manufacturer.

†OEM contract required for contract manufacture of cosmetics.

Trade mark license

‡Distributor authorizationwhich guarantees that can retrospect from the brand owner or manufacturer to Jingdong.

« Imported cosmetics

 Record keeping certificate for imported non-special use cosmetics and the hygiene license for imported special use cosmetics.

The customs declaration issued by the Custom of Peoples Republic of China within 2 years.

Hygiene certificate of goods entry-exit inspection and quarantine within 2 years..

Trade mark license.

Distributor authorization which guarantee that can retrospect from the brand or manufacturer to Jingdong.

http://help.jd.com/Vender/viewQuestion-1004-2600.html

3

Vipshop

« Cosmetic manufacturers or brand owners meeting the cosmetic industrial standards issued by authority website.

« The third party quality inspection system

http://vis.vip.com/stipulate/vis/16

4

Amazon

«  Domestic cosmetics

Manufacturing license of cosmetics and hygiene license for cosmetics manufacturers

«  Imported cosmetics

The customs declaration and the certificate of goods entry-exit inspection and quarantine.

http://www.amazon.cn/gp/feature.html?docId=1503818

5

The 1st shop

« The requirements for flagship stores in the 1st shop (The stores directly operated by the own brand (R or TM state))

« Domestic cosmetics

No registration requirements for non-special use cosmetics. Special use cosmetics have to submit the approval number of hygiene license.

‚Product testing reportwithin a year. This report including required test items has to be issued by inspection body above provincial level. 

Hygiene license for cosmetics manufacturers.

Manufacture license of cosmetics.

OEM contract required for contract manufacture of cosmetics.

Trade mark license or acceptance notice of trademark registration.

« Imported cosmetics

Record keeping certificate for imported non-special use cosmetics and the hygiene license for imported special use cosmetics.

‚The customs declaration issued by the Custom of Peoples Republic of China within 2 years.

ƒ Hygiene certificate of goods entry-exit inspection and quarantine within 2 years.

http://xue.yhd.com/showlist/rulenews/2/ZSBZ.html?premenu=1/rulenews/2/ZSBZ.html

6

Suning

« Domestic cosmetics

No registration requirements for non-special use cosmetics. Special use cosmetics have to submit the approval number of hygiene license.

‚Product testing reportwithin a year. This report including required test items has to be issued by inspection body above provincial level. 

Hygiene license for cosmetics manufacturers.

Manufacture license of cosmetics.

The copy of business license of cosmetics manufacturer.

†The completed supply chain started from the brand owner and the number of grades in this chain should not over 3. (theauthorization within the system of brand owner system can be regarded as the same grade.)

« Imported cosmetics

Record keeping certificate for imported non-special use cosmetics and the hygiene license for imported special use cosmetics.

‚The customs declaration issued by the Custom of Peoples Republic of China within 2 years.

Hygiene certificate of goods entry-exit inspection and quarantine within 2 years

The documentary evidenceofsupply channel should be issued by counters and responsible person of brand owner in China or operators or consignee on customs declaration.

http://sop.suning.com/sel/shc/showHCDetail.htm?itemId=1406154967850&category_code=R8236#path01

n  The access requirements for cosmetic operators in some famous Chinese on-line shopping centers. (The qualification of enterprises and tariff standard)

No.

On-line platforms

The qualification of enterprises

Tariff standard

1

T-mall

The requirements for flagship stores in T-mall

The copy of business license of cosmetic enterprises.

The tax registration certificate of cosmetic enterprises. Nationalor local tax certificate are both acceptable.

‚ƒOrganization code certificate.

ƒThe approval license of bank account opening.

„…The copy of ID of legal representative (both sides).

The copy of ID of shop representative (both sides).

Trade mark license or acceptance notice of trademark registration.

Authorization issued by enterprises to Alipay.

Product list.

 Security depositaccording to the difference of store properties and brand state, security deposit can be divided into 3 grades: 50,000RMB, 100,000RMB and 150,000RMB.

 Annual feethe annual fee refers to the first grade, dividing into 30,000RMB and 60,000RMB.

 Technical service feea certain proportion of sales value. (not includefreight )

2

Jingdong

Enterprises legally established for more than 1 year withregistered capital more than 500,000RMB.

Trade mark license with brand state is R.

One shop cannot operate domestic and imported cosmetics at the same time.

 Rate5%-6% of sales value.

 Annual fee of using the platform:

1000 RMB/year.

Security deposit30,000RMB or 60,000RMB.

3

Vipshop

Enterprises have at least one of following qualifications

Famous manufacturers.

‚Authorized sole agent of a famous brand.

Sole distributor of a famous brand.

„Branch company of a famous brand.

Affiliated agencyof a famous brand.

Chinese local office of a famous brand.

Ratearound 30% of sales value.

4

Amazon

The copy of business license

The national tax registration certificate

Selling private brand commodity has to provideTrade mark license or acceptance notice of trademark registration.

„Agents or distributors have to provide completed authorizing chain, authorizationthe documents certify that you have the rights to sell the products of this brand. Trade mark license or acceptance notice of trademark registration.

Selling imported products has to provide the customs declaration issued by the Custom of Peoples Republic of China

The fee under the independent distribution8%of sales value (including the price of commodity and distribution fee)

The fee under the logistics of Amazon8% of sales value +Logistics fees +storage charge.

5

The 1st shop

The requirements for flagship stores

The copy of business bicense

The tax registration certificate of cosmetic enterprises. National or local tax certificate are both acceptable.

Organization Code Certificate.

The copy ofID of legal representative (both sides).

The copy ofID of applicant (both sides).

Trade mark license or acceptance notice of trademark registration.

Security depositat least 20,000RMB;

Annual fee of using the platform740RMB/month;

Technical service fee:6%sales  value

„Quality inspection fee The qualification of stores in the 1st shop will be checked by third-party institutes. The fee will be 300RMB for the first brand and 50RMB for each one more brand.

6

Suning

The copy of business license

The copy oforganization code certificate.

The copy of tax registration certificate.

The copy ofID of legal representative (both sides)

General taxpayer certificate.

Operators have to be the brand owner or to provide brand authorization certificate and representative authorization.

Having basic e-commerce operating team and completed after-sales service ability.

SOP mode company should have more than 100,000RMB registered capital, and SWL mode company should have more than 500,000RMB registered capital.

Security deposit10,000RMB;

The use fee of YeePay: 0.6% for quick payment, 0.4% for others.

Consumer protection fund : 0.1%;

„Commission3%-4%;

Annual fee of using the platform12,000RMB for SOP and 6,000RMB for SWL.

Through the comparison of these access requirements for cosmetics in famous Chinese On-line shopping centers, we found that they are quite similar in registration of enterprises and brand but different on cosmetic classified management which has not align with CFDA management system. The Shanghai local standard-the Management Standard of the Access Qualification of Enterprises in E-Commerce Platforms-has entered into force since 1 December 2014.  This standard stipulated the details of the access and quit of enterprises, the changing or refunding, after-sales services, etc. It shows that the supervision for on-line sellers is becoming more and more normalized. CIRS team advises relevant enterprises to make preparation in advance.