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The Government has proposed the introduction of the Import and Export (Registration)(Amendment) Regulation 2007 to exempt the trade declaration charge on imports, exports and re-exports of gold bars of 995.0 fineness or above (the internationally accepted trading standard) with a view to enhancing Hong Kong's competitiveness as a gold trading centre and logistics hub in the region, a spokesman for the Commerce, Industry and Technology Bureau said today (January 17).
The Financial Secretary announced in his Budget Speech in February 2006 that the Government would consider providing a concession in trade declaration charges for gold with a view to supporting the development of Hong Kong as a logistics hub and gold trading centre, alongside with the Hong Kong Airport Authority's proposal to establish a gold depository at the Hong Kong International Airport.
"The proposed exemption would enhance Hong Kong's competitiveness in the international gold market by reducing the relevant transaction costs, thereby putting us on a par with other major gold trading centres, such as the UK. Significant benefits are expected to arise if Hong Kong further develops into a leading gold trading centre," the spokesman added.
The Amendment Regulation, which aims to provide exemptions for eligible gold bars within the meaning of the Hong Kong Imports and Exports Classification List (Harmonised System), will be introduced into the Legislative Council on February 7. Subject to the Legislative Council's approval, the Amendment Regulation will be gazetted on February 9 and made operational the same day. The specifications for the eligible gold bars will be made by the Commissioner of Customs and Excise in the above Classification List, which details the commodity classification systems for traders to complete trade declarations.
At present, anyone who lodges an import/export declaration is required to pay a declaration charge under the Import and Export (Registration) Regulations. Currently, for non-food items including gold, the declaration charge for the imports and exports is 50 cents for the first $46,000 of the value of goods declared and 25 cents for each additional $1,000 or part thereof and rounded up to the nearest $0.10.
The Customs and Excise Department have informed the relevant traders about the proposed exemption. Upon enactment of the Amendment Regulation, the Census and Statistics Department will provide them with further information on the new arrangements through their departmental website (http://www.censtatd.gov.hk), enquiries hotline and newsletter.
Ends/Wednesday, January 17, 2007
Issued at HKT 11:42
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