Financial Secretary Sir Donald Tsang Yam-kuen says software pirates will be shown no mercy in a renewed crackdown on intellectual property breaches. New laws would give authorities power to seize suspected pirated goods and there were plans for more rules to beat software cheats. 'We all want Hong Kong to continue to be a shopper's paradise, not a pirate's haven,' Sir Donald told the annual general meeting of the Federation of Hong Kong Industries. The Business Software Alliance, a lobby group to strengthen the protection of software copyright, said the international industry lost about $116 billion a year to pirates. It said about 62 per cent of software used in the territory last year was pirated, down from 66 per cent in 1993. The territory has been under pressure from the United States and European governments to strengthen surveillance and penalties. Foreign governments say it is becoming a haven for local and mainland pirates. Sir Donald said inventive local businesses also needed protection of their intellectual property rights. Two new copyright ordinances, covering patents and registered designs, come into force tomorrow. Sir Donald said they would arm authorities with some of the strongest rules in the world. 'We intend to use our new powers to the full to rid Hong Kong of these notorious activities. There will be no mercy,' he said. 'We have to accept, though, that copyright pirates are a tough bunch to deal with. 'We are already thinking of additional, fiercer provisions in our war against them. 'In the true spirit of Hong Kong, we shall continue to develop every possible option in order to adapt to the changing situation.'