Imports of Loquat Syrup, a traditional Chinese cough medicine, accounted for 60 percent of duty-free Hong Kong goods in the first month after the Closer Economic Partnership Arrangement (CEPA) took effect Jan. 1, 2004.

Shenzhen Customs said it had received 99 import declarations of Hong Kong goods valued at HK$49.6 million (US$5.8 million) in January, 57.4 percent of which were for Loquat Syrup.

Officials said the medicine made in Hong Kong had been in great demand on the mainland, particularly in winter when people were more susceptible to respiratory diseases.

A total of 44 shipments of Hong Kong goods worth HK$26.8 million were imported via checkpoints in Shenzhen, Gongbei, Guangzhou, Dalian, Xiamen and Shanghai in January, involving medicine, fragrances, plastics, clothing and rewritable compact discs. The shipments were exempted from tariffs of 1.215 million yuan (US$145,000). Of these, 56.8 percent entered through Shenzhen checkpoints.

The first shipment of duty-free Hong Kong products under the CEPA agreement, a shipment of 310,000 rewritable compact discs, passed through Shenzhen's Huanggang Checkpoint on Jan. 7, for a trade company in Dongguan.

The Hong Kong General Chamber of Commerce received 117 applications for certificates of place of origin in the first month after CEPA took effect and approved 99.

The CEPA agreement allows 273 varieties of Hong Kong-made goods to enter the mainland duty free from Jan. 1.

Editor: Donald