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Taiwan market thrives in Pingtan

( chinadaily.com.cn )

Updated: 2015-04-02

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A duty-free market of commodities imported from Taiwan has witnessed a boom in business since its inauguration in June last year, local media reported citing the customs authority.

Taiwan market thrives in Pingtan

A packed house at the Taiwan Commodity Market on the first day of the lunar Chinese New Year on Feb 20 [Photo/ptnet.cn]

Figures from Pingtan customs show that as of Feb 18, the market has imported cargo worth $20.2 million from Taiwan over eight months. A total of 211,000 visitors have been to the place during the period, leading to gross revenue of 120 million yuan ($74 million).

The thriving business also appealed to an increasing number of merchants and entrepreneurs across the Straits, according to Chen Hongchun, director of the market’s business promotion department.

“Some 180 clients agreed to settle in the market in 2014, and 127 of them have opened businesses here now,” he said.

There are nearly 1,000 clients, including some influential ones, who have shown interest in joining in, he added.

Taiwan market thrives in Pingtan

People flock into the Taiwan Commodity Market in Pingtan, Fujian province, on Feb 20. [Photo/ptnet.cn]

Authorities at all levels have been keen on the market’s growth, as the province simplified the inspection and quarantine on imported cargo and allowed it to open a cargo shipping route from Taipei to Pingtan to lower the logistics costs.

The administrative committee of Pingtan has been supportive by rolling out a variety of incentives and subsidies in rent and decoration of booths.

The Administration of Quality Supervision, Inspection and Quarantine in December released three policies, allowing Pingtan to import cooked meat from Taiwan for the first time, authorizing Pingtan to inspect and quarantine animal and plant-derived food, and allowing Pingtan to carry out classified regulation on food and cosmetics imported from Taiwan.

“With those favorable policies, we have more confidence in the market’s future. It will definitely play a vital role in cross-Straits communication,” said Chen.

Background:

The Taiwan Commodity Market, which opened in June 2014, is situated in Aoqian town, covering about 160,000 square meters.

It comprises 38 buildings in the Minnan folk style, divided into a duty-free zone, non-duty free zone and support function zone.

A favorable tax policy operates at the market, with tax exemptions granted by the Ministry of Finance on six categories of Taiwan goods: oil and grain products, farm products, textiles and garments, artwork, light industrial products, and medicine.

The daily cap per person is 6,000 yuan ($960), and purchasing records are tracked. If the sum exceeds the threshold, both customers and merchants are notified to pay the tax.

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