50 parallel trading cases detected in HK-Shenzhen border crackdown

More than 50 suspected parallel trading cases have been detected in the past week as a result of an enhanced crackdown by Hong Kong and Shenzhen customs authorities on illegal cross-border exports.

Thousands of people make their living by buying everyday goods in Hong Kong and selling them across the border to avoid the mainland's hefty taxes. They have been accused of putting a strain on the local infrastructure and pushing up prices in the New Territories.

Since border customs officers stepped up co-operation on September 7, Hong Kong authorities have referred 150 suspected parallel traders to their mainland counterparts, of which 50 cases were acted upon. In the first seven months of the year, co-operation between the two forces cracked just 150 parallel trading cases. Hong Kong authorities are now looking beyond obvious parallel traders - those pushing goods on trolleys - and targeting those using secretive methods.

Some parallel traders wear clothes with secret pockets to hide their goods, according to a government source.

Investigators are also trying to work out how many of the traders are working for syndicates, who pay about HK$100 for each trip.

Goods commonly transported across the border include daily necessities such as milk powder and diapers, as well as cosmetic and health care products, electronic goods and computer parts.

"When they return to Hong Kong, some bring contraband cigarettes and counterfeit products to earn extra money," the source said.