It will take about three years to build up an FTZ up to international standards, said Wan Zengwei, director of the Pudong Academy of Reform and Development in Shanghai.
FTZ is an area within which goods may be landed, handled, manufactured or reconfigured, and reexported without the intervention of customs authorities.
Analysts said Shanghai has advantageous conditions for setting up an FTZ on the basis of the existing comprehensive bonded zones -- Waigaoqiao Free Trade Zone, Yangshan Free Trade Port Area, and Pudong Airport Comprehensive Free Trade Zone. The trade volume of Shanghai's comprehensive bonded zones in 2012 totaled over USD 100 billion, the highest in the Chinese mainland.
The FTZ will help Shanghai to cut the costs of trade and improve the trade efficiency, Wan said.
Besides, the FTZ will demand some supporting financial services such as cross-border financing businesses and international trade settlement, which will be conducive to deepening China's financial reform, the official added.
Analysts believe that the FTZ to be built in Shanghai will serve as an important engine for China's cause of deepening reform and opening up in the next five to 10 years, the Xinhua report said.
Jan 27,2013 |The Economic Times|
Very interesting
ResponderEliminarIn my opinion, this project have a lot of possibilities to be done, because in China, have already done this kind of markets, so, the time and efforts should be focused. By the way on China they have 5 years plans, this make that the things happen, the public servers has to complete their tasks, and in case that do not have time on that period of government, could be continued by the next one.
ResponderEliminarBy the other hand, considering that nowdays China is one of the most competitive countries, in costs manufacturer, this FTZ, will make the lower costs, this will affect to the countries in develop ways, like Mexico, because our regulations, make us pay taxes, social security, etc. And we do not have a similar help for the Mexican companies.
In the part of the article that mentions with international standars, I think is important which one are them, to learn it and analyze if in our country could be applied.
Claudia G.
ResponderEliminarI think the FTZ will be one of the most ambicious China’s project and this country still being the second powerful economy in all over the world. In this way, developing economies will have the risk of losing competittivity