Hong Kong Secretary for Commerce and Economic Development Rita Lau (third right) signs a Memorandum of Understanding on Co-operation in Wine-related Businesses with U.S. Secretary of Commerce Gary Locke (third left). Witnessing the signing were Hong Kong Permanent Secretary for Commerce and Economic Development (Commerce, Industry and Tourism) Yvonne Choi (second right) and U.S. Consul-General in Hong Kong Stephen Young (second left).

Hong Kong Secretary for Commerce and Economic Development Rita Lau signed a Memorandum of Understanding on Cooperation in Wine-related Businesses (MOU) with U.S. Secretary of Commerce Gary Locke in Hong Kong on May 17.

Mr. Locke was leading the first Cabinet-level trade mission to Asia by President Barack Obama’s administration; Hong Kong was the first stop.

Addressing a luncheon in honor of Mr. Locke, Mrs. Lau said Hong Kong and the United States have maintained healthy and robust bilateral business relations, and the Secretary’s visit will encourage both communities to work toward even stronger bilateral relations and explore new areas for collaboration.

The signing of the MOU marked an important milestone in closer ties and business cooperation between the two places, she said.

“Today, our relationship with the U.S. takes another major step forward. Riding on this MOU, we will strengthen our joint efforts on promoting wine-related trading, tourism, investment and education.

“The MOU also covers a number of special areas,” Mrs. Lau noted. “These include promoting wine alongside regional and local cuisine, facilitating the organization of wine auctions in Hong Kong for U.S. wines and encouraging the provision of quality wine-storage facilities in Hong Kong.”

“The Hong Kong Economic and Trade Office welcomes this MOU, which will help further foster joint efforts by the U.S. and Hong Kong to promote U.S. wine in Hong Kong and via Hong Kong into the massive Mainland markets,” Hong Kong Commissioner for Economic and Trade Affairs, USA Donald Tong said.  

In February, Hong Kong reached agreement with the Mainland to provide facilitation measures for wines imported from Hong Kong. They include pre-valuation of wine duty before arrival at the Mainland boundary and expedited customs clearance at Mainland boundary points. Under the measures, registered wine traders may request Mainland Customs to do valuation of wine duty 10 working days before the shipment is exported from Hong Kong to the Mainland. When the shipment arrives at a Mainland boundary point, Mainland Customs will normally complete the procedure within one working day. The measures will be tried out in Shenzhen in the second quarter of 2010.

As one of the world’s leading wine producers and exporters, the United States is Hong Kong’s fourth-largest wine importer. Wine imports from the States amounted to US$49 million in 2009-10, representing a five-fold increase since Hong Kong’s duty exemption in early 2008. U.S. auction houses have held regular wine auctions in Hong Kong, with record-breaking sales on several occasions.

The MOU on wine between Hong Kong and the United States is the eighth cooperative agreement concluded by Hong Kong with wine-producing countries/regions. Preceding agreements were with France, Bordeaux, Spain, Australia, Italy, Hungary and New Zealand.