Shopping mall over the border won't ease strain on Hong Kong
Experts believe parallel-goods traders will not be diverted from Hong Kong by project proposed for Shenzhen's special economic zone
Plans for Shenzhen's special economic zone of Qianhai to set up a tariff-free shopping mall to relieve Hong Kong of some of its mainland day-trippers were met with doubts on Monday that the move would solve the issue of parallel-goods trading.
The Qianhai mall could be ready by the end of the year, selling foreign brands of baby formula and other everyday products from around the world that are much in demand by mainland shoppers.
During a visit to Hong Kong yesterday, Zhang Bei, the top official in charge of developing Qianhai, said the project would benefit both Hong Kong and Qianhai. "It would alleviate the pressure of mainland individual travellers on Hong Kong … and make it more convenient for those who work in Qianhai to shop."
Permission to exempt the mall from taxes would be needed before the plan could proceed, said Zhang. "It can be built quickly, but first we need approval from the central government."
If agreed, then Zhang aims to initially open a temporary mall to test the waters.
Last week, managing director of the Qianhai Authority's Hong Kong office Witman Hung invited Hong Kong retailers to participate in the proposed 200,000 sq ft outlet.