Hainan is constantly improving the tax-free shopping policy for passengers from outlying islands. On April 12, the State Council Information Office held a press conference to introduce the phased achievements in the construction of Hainan free trade port. Shen Xiaoming, Secretary of Hainan provincial Party committee, said: “with the support of relevant state departments, Hainan has timely adjusted the tax-free policy for outlying islands to attract overseas consumption. Last year, it doubled from the previous year’s 15 billion yuan to 30 billion yuan, and this year it is expected to exceed 60 billion yuan. ” With the recent approval of six new duty-free shops, the overall number of duty-free shops in Hainan Islands has been expanded from the previous four to 10, and the business entity has been adjusted from a single “China duty free Department” to a new pattern of five enterprises in parallel.
Six duty free shops in Shangxin
From July 1, 2020, Hainan will increase the annual duty-free shopping quota of outlying island tourists from 30000 yuan to 100000 yuan, and increase the types of duty-free goods from 38 categories to 45 categories. The duty-free shop has become a must for tourists to punch in Hainan. According to reports, since the implementation of the new deal to April 6, the amount of duty-free shopping in Hainan Islands reached 34.7 billion yuan, a year-on-year increase of 244%; the number of items was 43.26 million, a year-on-year increase of 215%; the number of shopping passengers was 4.96 million, a year-on-year increase of 101%.
Around the new year’s day of 2021, the optional duty-free products in Hainan Province will be further expanded. Zou Jiayi, Vice Minister of finance, said that on the basis of the existing four duty-free shops in Hainan, six duty-free shops in outlying islands have been added, and three duty-free shops have been set up in Haikou and Sanya respectively. Now the total number of duty-free shops in Hainan has reached 10.
In addition to the different geographical location, the 10 duty-free shops are also slightly different in their positioning. For example, combined with the characteristic positioning of Hainan’s “health tourism”, CSCs Sanya International duty-free shopping park introduces health food, health care products, medical equipment, massage instrument, tonic, electric toothbrush and other categories. Liu Hongdi, deputy general manager of CSCE duty-free operation Department, said that CSCE duty-free realized the expansion of duty-free products in outlying islands, and introduced sports goods, clocks, porcelain and other brands into duty-free markets in Hainan outlying islands for the first time.
It is worth mentioning that before the expansion, the four duty-free shops were actually operated by Cmax. At present, the business entity has been adjusted from a single “China duty-free system” to a new pattern of five enterprises in parallel, including Haikong, Shenzhen duty-free, China Service duty-free, hailv, etc. The introduction of healthy competition has also further stimulated the duty-free consumer market in Hainan. During the Spring Festival this year, nine duty-free shops in Hainan Island sold 1.14 million duty-free products, with a total sales amount of 997 million yuan, reaching a new high for the Spring Festival holidays over the years.
“For a general tourist city, 2-3 duty-free shops may be enough, because too many duty-free shops will lead to disorderly competition. However, for Hainan free trade port, it is currently building an international tourism consumption center, and duty-free shopping is also an important part of tourism development. 2-3 duty-free shops are difficult to meet the needs of tourists, and it is easy to bring insufficient competition, which is easy to damage the interests of tourists. Therefore, it is necessary to establish a complete and more open duty-free shopping system, which is of great significance to the development of Hainan tourism The improvement of the environment constitutes the support. ” Bai Ming, deputy director of the International Market Research Institute of the Research Institute of the Ministry of Commerce, told Beijing business daily.
New mail delivery mode
In addition to new duty-free shops, improving service quality is also the key to attract more duty-free goods consumption. In this year’s report on the work of Hainan provincial government, it is clear that during the “fourteenth five year plan” period, Hainan will base itself on the strategic intersection of domestic and international double circulation, connect with the super large domestic market internally, attract high-quality resources from the world externally, improve the duty-free sales network of the whole island, and attract the return of 300 billion yuan of duty-free shopping.
Among them, “early stage of free trade port” is listed as one of the 11 aspects and 33 tasks to be highlighted in 2021. The specific contents include making good use of the policies of “mail delivery” for duty-free shopping in outlying islands, “deposit in outlying islands, return to the island for collection” and duty-free purchase of imported goods, so as to strive for tax-free sales exceeding 60 billion yuan.
Zou Jiayi said: “in order to facilitate tourists to purchase, in addition to picking up goods in the isolated areas of airports, stations and docks, two new ways of picking up goods have been added, namely, mail delivery and return to the island for picking up. The so-called “return to the island to pick up” is mainly for the convenience of the residents of the island when they leave the island for business or travel. They can buy duty-free goods and pick up them when they return to the island. Mail delivery is convenient for tourists. They don’t need to go back with the goods themselves. They leave their address at the time of purchase, and the store can mail them directly to the tourists’ home. “
On February 2, the two delivery methods of mail delivery and returning to the island for collection were officially implemented. Haidian made clear the specific regulatory requirements on the next day. At present, duty-free enterprises in Hainan Islands have delivered 400 million yuan, 530000 items and 100000 person times of duty-free goods by mail from February 3 to April 6. The amount of tax-free goods received from the residents of the island was 2.62 million yuan, involving 2216 duty-free goods and 406 shopping passengers.
In terms of specific operation, Beijing business daily learned from Sanya international duty free city that customers can choose a reasonable way to pick up goods according to their own situation. After filling in the mailing address in the store, customers who choose to mail will arrive at the pick-up counter with their ID card and boarding pass, and check the goods under their name with the pick-up clerk. After checking the mailing address, the goods will be sent out within 2-3 natural days, All the products are sent by the same value insured package, providing customers with a more convenient way to pick up the goods, saving time and effort.
Sanya International duty-free city related person in charge told Beijing Business Daily: “pick up point is an important hub of duty-free goods extraction, every Spring Festival, legal holidays, a day’s pick-up volume can reach 200000 pieces, duty-free city’s advanced logistics distribution mechanism and rich management experience, to ensure the smooth pick-up of customers every time.”
According to the statistics of Haikou customs, during the Spring Festival this year, the customs supervised the sale of 1.14 million duty-free products from outlying islands, an increase of 225% compared with last year’s Spring Festival; the number of buyers was 115000, an increase of 97.5%; the sales amount was 997 million yuan, an increase of 261%, reaching a new high in Spring Festival holidays over the years. With the successful implementation of the “mail delivery” and “return to island pick-up” modes, the problems of long queuing time and inconvenient carrying are effectively solved.
More than 8000 purchasing agents
To a certain extent, mail delivery alleviates the problem of “long queues”. At the same time, the customs vigorously crack down on the “set purchase” to protect the healthy development of duty-free consumption in Hainan. Zhang Jiwen, deputy director of the General Administration of customs, said that in cracking down on illegal smuggling activities of “buying on behalf of others” by taking advantage of the tax-free policy of outlying islands, the customs maintained the principle of “fighting when it appears”. In the past two years, 11 rounds of special operations have been carried out to crack down on duty-free “package buying” smuggling in Hainan outlying islands. A total of 66 smuggling gangs have been smashed, with a total case value of about 200 million yuan.
Since July 2020, Hainan has legally restricted more than 8000 individuals who participated in the illegal act of tax-free “package purchase” in Hainan’s outlying islands from enjoying the policy of tax-free shopping in outlying islands within three years.
Beijing Business Daily reporter noted that on January 4, Haikou intermediate people’s Court issued a public judgment on the first instance of the case of defendant Li Mou Heng’s smuggling of ordinary goods. The trial found that from 2019, Li began to use other people’s outlying islands duty-free quota to buy duty-free goods and sell them in wechat circle of friends for profit. By acting as a buyer for others, Li also organized and used the off Island duty-free quota of purchasing agents to purchase duty-free goods and resell them to the above-mentioned personnel, earning 50-100 yuan of “head” purchasing fees.
After investigation, the defendant Li mouheng used other people’s duty-free quota to buy duty-free goods for sale at several duty-free shops in outlying islands, involving the value of duty-free goods of more than 12.2 million yuan and suspected of tax evasion of more than 2.1 million yuan. The court sentenced the defendant Li to seven years’ imprisonment and a fine of 3.6 million yuan for the crime of smuggling ordinary goods.
“The tax-free policy of outlying islands is a special preferential policy supported by the central government for the development of Hainan. In this case, the defendant used the quota of other people’s outlying islands duty-free goods to buy duty-free goods for profiteering, evaded customs supervision, and disrupted the normal order of the market economy.” Haikou intermediate people’s court said that the sentencing of the case will severely crack down on the tax-free “package purchase” of outlying islands, highlight the determination of the court to severely punish smuggling crimes and create a legal business environment, and ensure the smooth implementation of the tax-free shopping policy of outlying islands.
Beijing Business Daily reporter Tao Feng Wang chenting
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