Since the launch of the Guangdong Pilot Free Trade Zone in April of last year, three experimental areas, namely, Hengqin in Zhuhai City,?Qianhai and Shekou Area in Shenzhen and Nansha in Guangzhou, have gained great impetus. Through their rapid growth, they have become important windows connecting Hong Kong, Macao and even the world.

Lao Ngai Leong

Against the backdrop of good cooperation between Guangdong and Macao, customs convenience and free trade should be enhanced in the Hengqin New Area, said Lao Ngai Leong, deputy to the National People's Congress during the annual two sessions of China's top legislature and political advisory body in Beijing.

Due to its special location, Hengqin is linked with Macao mainly to develop tourism, entertainment, culture and education, according to the general guideline of the Guangdong Pilot Free Trade Zone.

Procedures should be simplified for Macao enterprises to enter Hengqin, said Lao, who is also the vice chairman of the All-China Federation of Returned Overseas Chinese. He also suggested more flexible and convenient foreign exchange settlement and transaction.

Currently, raw materials and commodities manufactured in Hengqin can enjoy a tax-free policy, while Hengqin focuses on the service industry like tourism, hotels, education and cultural innovation, rather than manufacturing. Thus, Lao suggested that non-manufacturing investment and the raw material sector should also enjoy the same tax-free policy.

By January, China had launched experimental areas for cross-border e-commerce and the Internet Plus industry in 13 cities. Southern China's Zhuhai City is not included in the list.

"Hengqin should be included in the pilot cities, for Hengqin bears a responsibility to support the diversified development of Macao," said Lao, "if this cannot become true in the near future, Hengqin should also benefit from some preferential policies launched in those pilot cities."