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China to open new trade hub in South China Sea

China to open new trade hub in South China Sea

 

In June 2020, China’s central government announced its economic masterplan to develop the south China island of Hainan into a Free Trade Port (FTP), according to a report by GAIN. The advertised zero-tariffs for imported products processed inside the FTP may lead to future opportunities for imports of fresh produce. The plan’s overarching goal is by 2050 to make Hainan – China’s smallest province with a population of about 10 million – into another major economic-growth hub in South China to complement neighbouring Guangzhou, Shenzhen, and Hong Kong. In order to realise this ambitious vision, the government plans to introduce the appropriate mix of infrastructure and policy conditions to stimulate trade and investment, especially in high-tech, tourism, and other service industries.

Although not specifically mentioned in the masterplan, Hainan authorities are interested in developing the island’s food processing industry as part of this broader economic initiative. In particular, the local government is looking to attract the needed investment to expand and diversify the island’s relatively small food processing industry, most of which is currently focused on seafood and fruit processing. One of the advertised selling points that the government hopes will attract investment and trade is lower tax rates and zero-tariffs before 2025. Imported agricultural (and other) products that undergo a 30-percent value addition in Hainan food processing facilities can enter mainland China duty free, though still subject to the value-added and consumption taxes.  In contrast, imported agricultural products, such as seafood, that are processed in other free trade zones or bonded areas elsewhere in China are usually re-exported since these products are still subject to the same tariffs that apply to direct imports.

TAGS: China, trade, hub, Hainan

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Hainan Tropical Fruit Industry Expo held together with Sanya International Mango Industry Conference

Hainan Tropical Fruit Industry Expo held together with Sanya International Mango Industry Conference

The Chinese fresh produce sector held 2 key events simultaneously this month. The first 2019 Hainan Tropical Fruit Industry Expo and the Sanya International Mango Industry Conference were held jointly from March 7th to 9th, 2019, at the Mangrove Tree Resort World Sanya. Most companies attending the events were related to tropical fruits to discuss future strategies for their respective industries. A diverse line-up of companies and industries was present at the event, showing off Hainan Island’s rich array of tropical products and services.

The expo lasted for three days. The first day was an “industry visitor’s day.” The second day’s events and displays were open to the public. A variety of tropical fruits were on display, allowing locals and tourists to experience Hainan Island’s diverse tropical fruit offerings.  The exhibition had three major sections: an exhibition products section, a conference forum section, and a production sites section. The exhibition featured a Tropical Fruit Industry Expo, a Sanya International Mango Industry Conference, a Sanya Mango Picking Festival, and other related exciting events.

The expo focused on a variety of tropical fruits, including mangoes, wax apples, cherry tomatoes, rambutan, dragon fruit, and more. Fruit companies from all over the world joined the event, where they showcased products and technologies for fruit insiders, shared experience, and discussed the development of the fruit industry.

SOURCE: Sanyalife