Hong Kong will enjoy an extension in zero-tariff treatment to 200 more local products with the next phase of the Closer Economic Partnership Arrangement (CEPA).

The government has entered into negotiations with the mainland on the new benefits, Financial Secretary Henry Tang Ying-yen said yesterday (June 15).

He was speaking at a discussion forum organized by the Democratic Alliance (DAB) for Betterment of Hong Kong.

Tang revealed that a government select committee will also discuss with mainland authorities in Beijing next week on arrangements for 18 local service sectors to access the mainland market under CEPA.

Tang pointed out that 90 per cent of the territory's exports to the mainland have already been approved for zero-tariff benefits.

And the implementation of CEPA in the past year has been satisfactory, he said.

Since the introduction of the individual travel scheme, mainland tourists have generated profits exceeding HK$12 billion for the territory, he added.

Meanwhile, Shenzhen Mayor Li Hongzhong will arrive in Hong Kong tomorrow on his first visit to the territory.

Leading a delegation of 22 Shenzhen municipal government officials, Li is scheduled to meet with Chief Secretary Donald Tsang and other government chiefs on Thursday to discuss collaborative efforts under the Hong Kong/Guangdong Co-operation Joint Conference.

'To take advantage of the opportunities provided by the Closer Economic Partnership Arrangement, as well as the introduction of the Pan-Pearl River Delta regional co-operation strategy, closer Shenzhen-Hong Kong co-operation will more effectively promote economic development in the whole region,' said a government spokesman.

He said joint development would help achieve the goals of resource integration and the combining of complementary strengths in the region.

The delegation will visit the Hong Kong Stock Exchange, University of Science and Technology, the Hong Kong Science and Technology Parks Corporation and the airport before returning to Shenzhen on Saturday (June 12).

Editor: Catherine