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CMA Delegation Visits Beijing to Exchange Views with Central Government Officials
CMA President Mr Paul Yin led a large-scale delegation of nearly 50 members to Beijing from 5 to 9 May, with Mr Li Guikang, Deputy Director and Mr Chow Chi Wing, Deputy Director-General of Co-ordinati
on Department of the Liaison Office of the Central People¡¦s Government in HKSAR as honorary adviser and adviser respectively. During the three-day visit, the delegation met with leaders of the Standing Committee of the National People¡¦s Congress (NPC), United Front Work Department of the Chinese Communist Party (CCP), Hong Kong and Macao Affairs Office of the State Council, National Committee of the Chinese People's Political Consultative Committee (CPPCC), Ministry of Commerce, Beijing Municipal Government, China Council for the Promotion of International Trade, and All-China Federation of Industry & Commerce to exchange views on issues like CMA members¡¦ views on the business environment in the Pearl River Delta, China Labour Contract Law and related regulations, and CEPA. Despite a short and tight schedule, the visit yielded fruitful results.
Deteriorating Business Environment in the Mainland
Upon arrival in Beijing on 7 May, the delegation met with Mr Chen Changzhi, Vice Chairman of the Standing Committee of the NPC. CMA President Mr Paul Yin gave a brief introduction of the core activities of the Association, followed by discussions on the current economic condition and business environment in the Mainland, Draft Ordinance on Protection of Female Workers, corporate taxation, Labour Contract Law, social insurance, constitutional system in Hong Kong, and governance of the SAR Government.
During the meeting, some delegation members voiced difficulties faced by Hong Kong manufacturers operating in the Mainland. Major issues included appreciation in renminbi, escalating inflation rate, insufficient electricity supply in Guangdong Province, more stringent environmental protection requirements, etc. On the regional front, inconsistency in the implementation of regulations in different areas and abundant corporate tax items in addition to The Labour Contract Law and Draft Ordinance on Protection of Female Workers were of great concern to Hong Kong manufacturers.
Mr Chen commended Hong Kong manufacturers on their tremendous contribution to the social and economic advancement of the Mainland in the last 30 years since the opening up of the nation. He also shared his views on the latest economic development in the Mainland and issues like appreciation in renminbi, inflation and shortage of food. He said that though the country enjoyed robust growth as reflected in the economic figures, a number of problems had arisen during the course such as environmental pollution. The Central Government had exerted control measures and would try its utmost to ensure that the control measures would not hamper the economic development in the country.
After that, the delegation met with Mr Zhu Weiqun, Deputy Head of United Front Work Department of the CCP and exchanged views on hot topics in Hong Kong, Macau and Taiwan such as Beijing Olympics, Taiwan Presidential Election, Hong Kong Legislative Council Election, etc. The delegation attended a dinner reception hosted by the Department after the meeting.
Equal Status of Hong Kong Famous Brands and Chinese Well-known Trademarks
On the next morning, the delegation met with Ms Hua Jian, Deputy Director of Hong Kong & Macao Affairs Office of the State Council. CMA President Mr Paul Yin said that the Association conducted a questionnaire survey in March to collect members' views on the business environment in the Pearl River Delta. The results indicated that rising labour cost, surging inflation rate, increase in raw material cost, appreciation in renminbi and extra cost brought by the Labour Contract Law had posed severe blows to Hong Kong manufacturers. In response, the manufacturers had speeded up their industrial upgrading. On the other hand, he hoped that Hong Kong famous brands could enjoy equal status as Chinese Well-known Trademarks, so as to encourage them to develop the domestic markets. CMA Permanent Honorary Presidents Mr Chan Wing Kee and Dr Jose Yu voiced their opinions on the new initiatives of the CMA in recent years and relayed the message of the enthusiastic support and well wishes of CMA members to Beijing Olympics and the construction of the National Aquatics Centre respectively.
Ms Hua thanked for the huge contribution of Hong Kong manufacturers
in the economic development of the nation, and expressed concerns about the problems currently encountered by Hong Kong manufacturers operating in the Mainland. She pointed out that the Guangdong Provincial Government had been working actively to improve the situation and believed that more communication between both places would help solve the problems.
After the meeting, the delegation visited Mr Chen Zuoer, Executive Vice Director of Hong Kong and Macao Council Offices of National Committee of the CPPCC, and attended a lunch reception hosted by CMA Permanent Honorary President Mr Chan Wing Kee at the Great Hall of the People. The attendees included Mr Thomas Tso, Director of Beijing Office of the HKSAR Government.
Concern about the Impact of Labour Contract Law
In the afternoon, the delegation was received by Mr Jiang Zengwei, Vice Minister of Commerce. Members of the delegation elaborated on issues including further co-operation between Hong Kong and the Mainland under CEPA, implementation details of Labour Contract Law, mutual recognition of testing reports issued in both places, free flow of commodities, and duty free industrial zones.
Delegation members expressed concerns over the Labour Contract Law. They worried that increasing awareness on the protection of labour rights would result in a tense relationship between employers and employees, and thus hamper social harmony. The Central Government was, therefore, advised to strengthen national education on the rights and obligations of the workers. Some delegation members were concerned about surging costs in PRD and imposition of new regulations would force Hong Kong manufacturers to relocate their plants outward.
Mr Jiang replied that along with the economic growth in the Mainland, adjustments on processing trade policies and imposition of Labour Contract Law were needed to echo the call from the international society. The Ministry of Commerce would make necessary adjustments according to the real situation, an example was the acceptance of guarantee letter in lieu of cash deposit. He also pointed out that CEPA had not achieved its expected outcome and he hoped that the new round of CEPA would yield a better result.
Plans to Hold HKBPE in Beijing
Subsequent to the visit to Ministry of Commerce, the delegation met with Ms Cheng Hong, Vice Mayor of Beijing Municipal Government. Ms Chen said that the pillar industries of Beijing were tertiary industries, among which included commercial and exhibition services. The CMA was most welcomed to organize the Hong Kong Brands & Products Expo (HKBPE) in Beijing. CMA President Mr Paul Yin said that every year the Association sent delegates to attend the ¡§Beijing-Hong Kong Economic Cooperation Symposium¡¨ held alternately in Beijing and Hong Kong to strengthen co-operation between both places. He praised the rapid growth in Beijing in recent years and looked forward to the organization of the HKBPE in Beijing. The delegation attended a dinner reception hosted by CMA Permanent Honorary President Mr Jose Yu afterwards.
The delegation was received by Mr Yu Ping, Vice Chairman of China Council for the Promotion of International Trade on the morning of 9 May. Delegation leader Mr Yin expressed that the adjustments on processing trade policies had profound impact on the export business of Hong Kong manufacturers, and they were suggested to add value to their products by brand building. The Association also wished to join overseas delegations organized by the Council in order to promote Hong Kong products. Mr Yu welcomed the suggestion and said that the Council organized many delegations to countries like Africa, Europe, South America, etc to explore co-operation opportunities with these countries. He also pointed out that Hong Kong manufacturers could consult lawyers of the Council for legal advice via the platform of the Hong Kong ¡V Mainland Joint Business Liaison Committee.
Staging Again the Trade & Economic Forum
At the meeting with Mr Huang Mengfu, Chairman of All-China Federation of Industry & Commerce, CMA President Mr Paul Yin proposed to stage again the ¡§Mainland China, Taiwan, Hong Kong and Macau¡¦s Trade and Economic Forum¡¨ jointly organized by the CMA, All-China Federation of Industry & Commerce, Taiwan Chamber of Commerce and Industry, and Macao Chamber of Commerce, which aimed at fostering economic co-operation between the four places. Mr Huang appreciated the suggestion and invited CMA delegates to further discuss the topic in Fuzhou in mid June. All-China Federation of Industry & Commerce hosted a lunch reception at Wangfujing Grand Hotel for the delegation after the meeting. In the afternoon, the delegation visited the Beijing Olympics Showroom to gain a better understanding of Beijing Olympics and returned to Hong Kong afterwards.
Honorary advisers of the delegation were CMA Permanent Honorary Presidents Mr Chan Wing Kee and Dr Jose Yu. Vice delegation leaders were CMA Legco Representative Dr Lui Ming Wah, Vice-Presidents Dr David Wong, Mr F C Lo, Dr Dennis Yip, Mr Irons Sze, Mr Joseph Lau, Dr Eddy Li, Dr Lam Tai Fai and Mrs Catherine Ngan. Other delegates included Executive Committee Members Dr Choi Lung Wai, Dr Edward Tsui, Mr Johnny Yeung, Dr Chan Hung Kee, Mr Dennis Ng, Mr Ho Yuk Wing, Mr Jimmy Ng; General Committee Members Dr Chiu Chun Bong, Mr Kwok Chun Wah, Mr Johnny Yu, Mrs Shirley Cheung, Mr Lui Chun Fan, Mr Chan Kim Sing, Ms Lee Jai Ying, Mr Francis Cheng, Mr Jackson Leung and Mr Steve Lau; Convenor of CMA Beijing Liaison Office Mr Marvin Hung; Vice-Chairladies of CMA Ladies¡¦ Committee Ms Luna Chiu, Ms Lui Choi Kook Fun and Member Ms Ellen Yeung; CMA Youth Committee Members Ms Winnie Fung and Mr Alex Yeung; family members of delegates; and staff of the Secretariat.
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