Aluminum foil roll, an environmentally friendly material widely used in food packaging, is favored by aluminum foil buyers worldwide.
However, many companies have endless problems when cooperating with aluminum foil suppliers.
Why does your aluminum foil supplier always have problems? This article will explore this issue from multiple angles and provide suggestions for aluminum foil buyers.
The root of the problem
1. Price first, ignore quality:
Low price trap: To pursue low costs, companies often choose suppliers with lower quotations but ignore the differences in product quality, service quality, etc.
The contradiction between quality and price: Low-priced products often mean compression of production costs, which may lead to problems such as reduced raw material quality and simplified processes, thereby affecting product quality.
2. Lax review of supplier qualifications:
Qualification fraud: To obtain orders, some suppliers will forge qualification certificates and exaggerate production capacity.
Poor production environment: The supplier's production environment and equipment conditions directly affect product quality.
3. Imperfect contract terms:
Ambiguous terms: The contract terms are not clear enough, which can easily cause ambiguity and hide dangers for future disputes.
Unclear liability for breach of contract: The contract's agreement on liability for breach of contract is not specific enough. Once a dispute occurs, it is difficult to hold the supplier responsible.
4. Poor communication:
Unclear communication of needs: When enterprises put forward needs to suppliers, they are often not clear enough, which leads to misunderstandings of product specifications, quality standards, etc. by suppliers.
Untimely information feedback: Problems encountered by suppliers in the production process are not fed back to the enterprise on time, resulting in the expansion of problems.
5. Market fluctuations:
Rising raw material prices: Fluctuations in the prices of raw materials such as bauxite will directly affect the production cost of aluminum foil, causing suppliers to demand price increases.
Changes in market supply and demand: Drastic changes in market supply and demand may lead to delayed delivery by suppliers or reduced product quality.
Case 1
An aluminum foil wholesaler purchased aluminum foil rolls of 2kg per box. The supplier quickly sent a quotation.
The aluminum foil wholesaler was very satisfied with the price and placed an order immediately. The quality of the goods was also very good after receiving them.
However, the customer soon complained that the length of the aluminum foil was not enough.
According to the local convention, the length of 2kg of aluminum foil is 80 meters, but the length of the aluminum foil roll he sold was only 50 meters.
Is the supplier cheating?
Not.
After communicating with his supplier, A aluminum foil wholesaler found that when placing an order, A aluminum foil wholesaler only proposed the weight of each box of 2kg, and did not provide detailed descriptions of other parameters.
The supplier quoted the paper tube used for the aluminum foil roll according to the conventional situation, which is 45g.
However, the conventional paper tube weight in the market where An aluminum foil wholesaler is located is 30g.
Therefore, the net weight of the aluminum foil is not enough, resulting in a length that does not meet expectations.
To solve this problem, the following aspects can be used:
Establish a weight database: Record the weight data of aluminum foil rolls of different specifications (thickness, width, length), paper tubes, and color boxes.
Sampling test: A sampling test is performed on the produced aluminum foil rolls to ensure that the weight of each box meets the requirements.
Clarify quality requirements: Put forward requirements for aluminum foil thickness, paper tube material, etc. to suppliers.
Case 2
When aluminum foil dealer B purchased aluminum foil, multiple aluminum foil suppliers were quoting at the same time.
One of them gave a high price and the other gave a low price. He finally chose the one with the low price, but after paying the deposit, the supplier notified him to increase the price.
If he did not pay more price, the deposit would not be refunded. In the end, in order not to lose the deposit, aluminum foil dealer B had to increase the price to purchase aluminum foil products.
The risk of only focusing on price and ignoring other factors during the procurement process is very likely to fall into the "low price trap"
A detailed analysis of the possible reasons behind it:
False quotations by suppliers: To win orders, suppliers may deliberately lower their quotations, but after signing the contract, they ask for price increases for various reasons.
Inaccurate estimates: Suppliers may have deviations in their estimates of production costs, resulting in the need to adjust prices later.
Market fluctuations: Fluctuations in factors such as raw material prices and labor costs may increase the supplier's production costs, thereby requiring price adjustments.
Imperfect contract terms: The price adjustment terms in the contract are not clear enough, leaving room for suppliers to operate.
Buyers cannot only focus on price, but must consider multiple aspects, and can also improve from the following aspects
1. Comprehensively evaluate suppliers:
Qualification certification: Investigate the supplier's qualification certification, production capacity, financial status, etc.
Market reputation: Understand the supplier's reputation in the industry and whether there have been similar breaches of contract.
2. Detailed contract terms:
Price adjustment terms: Clearly stipulate the conditions, range, and procedures for price adjustment.
Liability for breach of contract: Detailed provisions on liability for breach of contract, including compensation methods, liquidated damages, etc.
3. Comparison of multiple inquiries:
Comprehensive comparison: Compare not only prices but also product quality, delivery time, service level, etc.
Avoid the lowest price bid: Too low a quotation often indicates potential risks.
In summary, if you want to avoid frequent problems with aluminum foil suppliers, you must take precautions in advance. Do the following points, I believe it will be of great help to you.
1. Establish a complete supplier evaluation system:
Multi-dimensional evaluation: Comprehensively evaluate the supplier's qualifications, production capacity, quality control system, financial status, etc.
On-site inspection: Conduct an on-site inspection of the supplier's production workshop to understand its production environment and equipment conditions.
Refer to industry evaluation: Understand the supplier's reputation in the industry.
2. Sign a detailed purchase contract:
Clear product quality standards: Detailedly specify the thickness, width, purity, and other technical indicators of aluminum foil.
Agreed delivery period and breach of contract liability: Clearly specify the delivery period and agree on breach of contract liability to protect the interests of the company.
Add acceptance clauses: Specify detailed acceptance procedures and standards.
3. Diversified procurement:
Avoid single supplier: Disperse procurement risks and reduce dependence on a single supplier.
Establish alternative suppliers: Cultivate multiple qualified suppliers to deal with emergencies.
4. Establish a sound quality management system:
Strengthen incoming inspection: Strictly inspect the purchased aluminum foil to ensure that it meets quality requirements.
Establish a traceability system: Establish a sound traceability system so that the responsible party can be quickly identified when quality problems occur.
5. Strengthen communication and cooperation:
Establish a communication mechanism: Communicate with suppliers regularly and provide timely feedback on problems.
Jointly solve problems: When problems arise, work with suppliers to find solutions
Choosing a reliable aluminum foil supplier is an important part of ensuring product quality and improving competitiveness. When choosing a supplier, companies should not only look at the price but should comprehensively consider multiple factors and establish a long-term and stable cooperative relationship. By establishing a sound supplier management system, companies can effectively reduce procurement risks and ensure product quality.
Extended reading
1.
Note When Purchasing Aluminum Foil Rolls.
2.
How Thick is Household Aluminum Foil Roll?
3.
TOP 20 Aluminum Foil Manufacturers in China. 
