Sunshine Promising Inc.

                     Monthly Newsletter       
                                                                                 May. 25, 2007

Sourcing from Oil Painting Production Base Directly
  Edited by Sunshine Promising, Inc.   Your Best Arts Partner from China
                                 Putian City of Fujian Province, P.R.C.

Dafen, Xiamen and Putian at the present top as 3 biggest supply markets of Chinese oil
painting production, producing artworks worth around 0.6 billion RMB each year, among
which, Dafen 0.25 billion, Xiamen 0.2 billion and Putian 0.15 billion, according to statistics
online in China.

Among such 3 centers, Dafen ranks No. 1 in terms of media exposure, sales turnover,
painters’ quantity, commercial environment, and government support/financial support.

On the contrary, Putian, on one hand, produces almost at least as much as 2/3 of Dafen’s
quantity, on the other hand, Putian’s local government seems reluctant to pay a glance at
what is going on in this industry, until recently after constant efforts of local oil painting
industry insiders lobbying local government to officially establish Putian Oil Painting
Association and currently they get promise from local government that a plot of land will
be appropriated for special purpose of building up painting sales center, kind of oil
painting street in Xiamen and Dafen.

Xiamen, in the middle, government sometimes warm sometimes cold.

Thus, there become a blunt fact that is, with different commercial environment, price of a
same painting varies. Say, 20x24” top quality figure portrait, in Dafen, 450 RMB, in
Xiamen, 400 RMB, in Putian, 350 - 300 RMB, provided the painting is of same quality.

Why? Because Putian doesn’t have enough customers visiting on spot. Eye-to-eye face-
to-face negotiation still is no doubt the most important weapon of deriving customers’ trust
and orders. Meanwhile, a lot of foreign customers when they come to China, they would
go to the most media-exposed Dafen, with exception of some with acute noses who will
go around whole China, including Putian as important production base though without a
concentrating center for painting biz, and Chongqing as newly emerging oil painting city in
China.

A tip for you when you tour in China sourcing paintings. Find a local oil painting trading
company that should be dedicated to oil paintings trade and have its manager or anyone
else in this company to escort you around to visit those studios. I bet you may spend 2
days more but you will harvest double.

Written by
James Jianyin LIU
Sunshine Promising, Inc.
www.SunshinePromising.com
Best Arts Provider