Development basis for Hainan’s high end food processing industry
Hainan has abundant raw materials for high end food production
Hainan is rich in tropical fruits and vegetables such as pineapple’s, coconuts and mango, providing a local resource base for the processing of agricultural and sideline products.
“Zero-tariff” for raw materials as well as food and production equipment cuts production costs
Except for commodities on the prohibited for import list, Hainan operates a list management of “zero tariffs” and exempts import duties, import value-added tax and consumption tax for imported raw materials as well as auxiliary materials for food production and processing as well as production equipment for self-use.
This has the effect of significantly cutting production costs for food processing enterprises.
|MFN tariff||Genera tariff||Free Trade Port tariff|
|Fresh and cold beef||20%||70%||0%|
|Cave nest bird’s nest soup||25%||80%||0%|
Value-added processing, policy benefits for enterprises
For encouraged industries such as high-end food production without imported materials or imported materials with (including) 30% value-added processing, shipping to mainland China shall be exempt from import duties and import value-added tax & consumption tax
This policy will be implemented first at the Yangpu bonded zone
Key areas for investment in Hainan’s high end food processing industry
Processing of agricultural and side-line products
Snack food processing
Recommended locations for investment in Hainan’s high end food processing industry
Haikou Integrated Bonded Zone
Haikou Jiangdong New District
Yangpu Economic Development Zone
Haikou National Hi-tech Industrial Development Zone
Sanya Yazhou Bay Science and Technology City