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China to Further Open Commercial Sector to the World
China plans to further open its commercial businesses to the outside world to modernize the commodities wholesaling, retailing and distributing sector, according to official sources.

Xie Xuren, vice-minister of the State Economic and Trade Commission (SETC), said at the global sourcing forum held Monday in Nanjing, that the opening of the commercial sector is one of the important components of China's overall opening-up policy, and the country will gradually open business services such as wholesale, retail, franchise and other distribution services over the next two to five years.

China will keep its WTO promises by introducing statutes concerning foreign investment in this field, and opening the sector even wider to the world, he noted. China will pay special attention to the opening of chain store management and logistics, encourage the introduction of advanced logistics experience and technologies, and urge foreign capital to help upgrade China's traditional commercial businesses.

China to encourage foreign investors to develop businesses

In addition, China will encourage foreign investors to develop businesses such as large-scale shopping centers, middle-sized supermarkets and specialized shops, which are not widely established in the country, he said, adding that China will also direct the flow of foreign capital to avoid "blind" investment of some investors.

While urging the inflow of foreign capital, China will pay even greater attention to the introduction of advanced technology and management, and encourage domestic circulation businesses to expand to other countries.

Statistics show that from 1992 to date, China's State Council has ratified more than 40 foreign-invested commercial companies, bringing in over US$3 billion. Over half of the world's top 50 retailers have invested in China.

( April 23, 2002)

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