Return of parallel trading 'unlikely' - but preventive measures in place

Ayra Wang

The administration has prepared preventive measures and will take action against parallel trading under the resumed multiple-entry individual visit scheme for Shenzhen residents, Chief Executive John Lee warns.

Lee said parallel trading is "unlikely" to return as mainlanders have changed their consumption habits amid a booming e-commerce.

"I am also confident in the government's capabilities to handle parallel trading, as law enforcement departments already have good plans and will take action once there is any sign," Lee said yesterday.

The multiple-entry scheme for Shenzhen individuals was halted in 2015 under growing complaints about parallel trading, especially in areas near the border, such as Sheung Shui and Tuen Mun.

The scheme was resumed on Sunday, during which the number of inbound visitors via land ports rose by 10 percent, the same as on Monday, said Lee, who expects more Shenzhen tourists in the coming Christmas and New Year holidays.

"I've heard from many Shenzhen residents that they can finally visit Hong Kong whenever they want and they are looking forward to the trip."

Lee said the catering industry expects business to increase by 20 percent year-on-year this month and local business chambers have said the scheme will bring more vitality to the retail market.

Lee said transportation operators, payment platforms, duty-free shops and shopping malls have been providing exclusive discounts to Shenzhen tourists, while the Hong Kong Tourism Board has enhanced promotions to attract Shenzhen residents to travel and spend in Hong Kong.

Lee hopes the scheme, along with the launching of the three-runway system at Hong Kong International Airport, will further stimulate local tourism.

He called on various sectors to seize the opportunity.

Lee also announced the launch of a series of panda-themed carnivals and discounts across the city.

A pair of five-year-old giant pandas gifted by the central government - currently known as An An and Ke Ke - will make their public debut on Sunday using their new names.

ayra.wang@singtaonewscorp.com