Shocked local and international activists say the findings provide new evidence that people of conscience should not wear fur, and that the legitimacy of the fur trade in Hong Kong - one of the mainland's major partners re-exporting 80 percent of its fur - should be reviewed.

The calls came after the 2005 Hong Kong International Fur and Fashion Fair ended on Monday, which local fur dealers heralded as evidence of strong growth in demand for Hong Kong fur products.

A total of 172 exhibitors, including 72 from 13 countries, participated in the four-day event.

But the video footage - which shows batteries of animals trapped in cage rows and a raccoon dog, hung on its hind legs, being skinned - is fast gaining attention with digitalized video clips being circulated rapidly over the Internet.

The investigation's findings re-freshed the decade-long battle between activists and the multibillion-dollar business, with local dealers rebuffing the probe as over-generalizing the situation and one that ``will not help to improve animal welfare.''

Swiss Animal Protection, Britain's Care for the Wild and East International jointly conducted a probe into the mainland fur farming business last year and recently released a 15-page report.

The investigation, for which undercover activists visited several farms in the northeastern Hebei province, holding from 50 to 6,000 animals, found ``animals were universally handled roughly and confined to rows of inappropriate, small wire cages.''

``Animals are stunned with repeated blows to the head or swung against the ground,'' the report says.

``Starting from the hind legs, workers then wrench the animals' skin from their suspended bodies, until it comes off over the head ... a significant number of animals remain fully conscious during this process.''

Calling the findings ``horrendous,'' the three groups called on the mainland to immediately outlaw inhumane slaughtering methods and the European Parliament to ban the import of products made of mainland fur.

The report also states Hong Kong is the biggest exporter of mainland fur, taking 80 percent of the trade.

``I am at a loss to explain what goes through the mind of those people who do not care if they have killed an animal or just rendered it unconscious. How can you justify skinning an animal while it is still conscious?'' asked Mark Rissi, a Swiss Animal Protection campaigner and an author of the report.

He said the findings have spurred outrage in Switzerland with three department store chains stopping the sale of textiles with fur trimmings originating from China.

Cynthia Su, director of London-based East International, declined to say how the investigators entered the farms, only saying it was made possible through ``international efforts'' and that the videos were shot inside the farms.

Hong Kong Society for the Prevention of Cruelty to Animals' deputy director, Fiona Woodhouse, said ``a large amount of the world's fur productions have effectively relocated to China where cheap labor and lack of regulations have allowed production to become more cost-effective.''

About 85 percent of the world's fur items originate from farms. While Scandinavian and Eastern European farms have taken the brunt of accusations, the burgeoning mainland sector is receiving growing attention as it starts to dominate the world's market.

``Sensationalized campaigns are not the solution,'' the Hong Kong Fur Federation said in response to the report.

While a growing number of mainland fur farmers are introducing ``Western standards,'' it said, the report's conclusion provides a ``sweeping generalization'' about the situation in China.

The federation also refutes the claim that the majority of fur produced in Chinese farms is exported overseas, saying the vast majority of exported fur products are made of European or North American skins, and that items produced locally are for domestic use.

It says the key to improving animal welfare is to allow access of local fur products to the international market and improve the livelihood of fur farmers.

Despite several approaches by The Standard, the federation refused to elaborate on its statement and clarify Hong Kong's role in handling mainland fur - given pelts undergo a number of processes, often in various countries, before reaching consumers.

According to mainland Customs, which was quoted in the report, the net volume of fur imports and exports in China hit US$997.6 million (HK$7.8 billion) in 2003, up 42.5 percent from the previous year.

While more than 95 percent of the fur clothing is sold overseas, 80 percent of the trade is handled by the SAR, the report says. Hong Kong exports in the sector hit HK$3 billion last year, a growth of 31 percent from 2003.

dennis.chong@singtaonewscorp.com