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Shanghai Cuts Business Red Tape

The Waigaoqiao Bonded Zone in this industrial powerhouse started on Wednesday to simplify all administrative formalities for enterprises in the zone, in a bid to improve efficiency and optimize the investment environment.

The move, a result of the concerted efforts of the departments of public security, industry, commerce and taxation, aims to make it more convenient for businessmen when they register a company, go through an annual inspection of their licenses, pay taxes or clear their cargo at local customs, sources here say.

While most other procedures can be completed online, registration of new companies is less time-consuming. The establishment of warehousing and logistic service companies, which took about thirty days in the past, now takes only three days.

It used to take over six months to get a green light for infrastructure construction projects in the zone. Simplified formalities will narrow the time limit within 40 days.

Customs clearance on cargoes shipped by air or by sea will take no more than 10 hours, as against the previous 72 hours.

The Waigaoqiao Bonded Zone, China's largest, tops all the other 14 bonded zones in terms of gross domestic product, industrial output, sales and tax revenue. Its foreign trade volume during the first half of this year totaled US$3.533 billion.

(People’s Daily 08/02/2001)



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