Macao, mainland ink new deal to further strengthen trade ties

MACAO, May 11 (Xinhua) -- The Chinese central government and the government
of the Macao Special Administrative Region (SAR) Monday signed a new deal based
on the existing trade agreements here, granting the SAR's service providers more
access to the mainland market.

The Supplement VI to the Mainland and Macao Closer Economic Partnership
Arrangement (CEPA6) was signed by Tam Pak Yuen, secretary for economy and
finance of the SAR government and the central government's Vice Minister of
Commerce Jiang Zengwei at a ceremony witnessed by the Macao SAR's Chief
Executive Ho Hau Wah.

Building on the liberalization of 18 services sectors, some 31 policy
measures will be introduced and one more sectors of research and development
will be opened by the mainland authorities to further facilitate market access
for Macao service providers and businessmen, according to the Supplement VI. As
a result, the total number of services sectors covered by the CEPA and its
supplements will be expanded to 41.

The new measures, which will take effect on October 1, 2009, mainly concern
industries such as tourism, MICE (Meeting, Incentive, Convention, Exhibition),
and medical services.

Under the Supplement VI, mainland travel agents authorized to operate group
tours to Taiwan can organize group tours for mainland residents to enter Macao
SAR in transit, which was aimed to help travel trade develop multi-destination
tourism packages.

As for the MICE industry, which is a prominent industry in the SAR's effort
to diversify its economy, service providers in the SAR will be allowed to
operate exhibitions through cross-border supply in major Chinese municipality,
such as Beijing, Tianjin and Chongqing, and provinces including Zhejing, Jiangsu
and Fujian, in addition to Guangdong province and Shanghai which has already
been opened to the SAR.

Meanwhile, Macao service providers and residents will also be allowed to
run health clinics and work as pharmacists respectively in the mainland, as long
as they acquire relevant licenses, according to the Supplement.

The CEPA between the mainland and the Macao SAR was firstly signed in 2003
and took effect in the following year, after which some six supplements to the
trade agreement have been signed so far, as a step-by-step effort to open the
mainland market to Macao. A similar trade agreement and supplements were also
signed between the central government and Hong Kong SAR.