THERE has been an upsurge in cross-border travel by Hongkong and China residents and the growth is expected to continue at a healthy pace with the opening of China, say local travel agents.
While Hongkong's open market has seen the mushrooming of travel agencies, to the benefit of consumers who get some of the best prices in the world for air tickets and group tours, China's industry has not been able to extend the same benefits to people wanting to travel out of China.
There is also a possibility that China's 2,000 travel agencies may not be able to cope with the rapid growth in the tourism market.
Despite the demand for more travel agencies, the Government does not allow foreigners to set up travel agencies through joint ventures.
''At present, foreign travel agents, including those from Hongkong, are only allowed to set up joint ventures in 12 designated resorts,'' said Swire Travel managing director Alan Wong.
The 12 designated resorts are at the planning stage.