Two months since its opening, the Taiwan Commodity Market in the Pingtan Comprehensive Pilot Zone (PCPZ) has a swelling inventory and has gained more popularity, the Pingtan Times reported on Aug 15.

Customers select products at the Taiwan Commodity Market in the Pingtan Comprehensive Pilot Zone (PCPZ), Aug 14. [Photo/pingtan.gov.cn]

There are more than 4,100 types of goods in the market, which have filled 42 containers, according to the customs authority.

Instead of directly bringing in goods from Taiwan via passenger ships, which results in higher logistics costs, the customs authority encourages merchants to import goods via transshipment at the Jiangyin cargo port in neighboring Fuqing county.

Pingtan is also building its own cargo port. The No 2 and 3 berths at Jidiao Port are due to become operational by October, when Taiwanese imported goods will be able to ship to Pingtan directly, which will further cut the logistics time and costs, sources said.

In addition, the customs authority has speeded up construction of its bonded warehouse near Jinjing Wharf in a bid to guarantee the supply of goods in the market.

The PCPZ’s administrative committee also boosted its support for the market. It recently issued a development guideline which rolled out incentives and subsidies in rents, sales volumes, rents and decoration costs. Imported Taiwanese fruit via transshipment will get a subsidy of 1,000 yuan per ton.

The guideline also pledged to strengthen construction of supporting facilities for the market. Four refrigerated containers have been deployed as interim refrigeration houses, and some basements and idle stores nearby, with an area of about 1,400 sq m, have been used as a transit depot for merchants.

“With the new policies by the customs and inspection authorities, and support by the administrative committee of the PCPZ, the customs clearance and logistics course of goods have become much more convenient. And we don’t have too much to worry about,” said Yang Cilin, a Taiwan merchant.

Background:

The Taiwan Commodity Market is situated in Aoqian town and takes up about 160,000 square meters.

It is composed of 38 folk dwellings in the Minnan style, which are divided into a duty-free zone, a non-duty free zone and a support functional zone.

Only one duty-free shopping mall in the No 1 Building was open as of June 15. The rest will open in stages.

A favorable tax policy is in effect at the commodity market, which was granted tax exemptions by the Ministry of Finance on six categories of Taiwanese goods: oil and grain products, farm products, textiles and garments, artware, light industrial products and medicine.

The daily cap for commodities per person is 6,000 yuan ($960). Purchasing records of individuals will be tracked, and if the sum exceeds the 6,000-yuan-threshold, both customers and merchants will be notified to pay the tax.