Hong Kong: A perfect launch pad for Indian markets

Business

oi-Staff

By Super

Updated: Saturday, August 3, 2013, 12:20 [IST]

CHANDIGARH: Hong Kong Trade Development Council (HKTDC) today invited Indian companies to set up their base in Hong Kong saying it will allow them to tap growing Southeast Asian markets.

"Hong Kong is the perfect launch pad for Indian companies that are keen to tap into the growing Southeast Asian markets.

In a bid to boost investment flows and strengthen inter-regional ties, Hong Kong authorities are giving incentives and encouraging Indian companies to use Hong Kong as a catalyst for their regional and international expansion plans," said Sunny Chau, Marketing Manager, HKTDC during a seminar organised by CII here today.

He said presently about 1,500 Indian corporates are operating in Hong Kong.

"Foreign Direct Investment to India from Hong Kong has been increasing in recent years. Hong Kong is also a major sourcing centre for Indian companies and it has emerged as a major re-exporter to mainland China of items it imports from India," he said.

Hong Kong is also the largest recipient of capital from the Chinese mainland and accounted for 61.6 per cent of China's total cumulative outward direct investment up to 2011.

Deliberating upon the Mainland and HK Closer Economic Partnership Arrangement (CEPA), Chau said, "There is a tariff-free access to the mainland for virtually all HK-originated products and preferential treatment for HK services sectors, including banking, legal, construction, information technology, convention."

Hong Kong Trade Development Council, Rajesh Bhagat, India Consultant, said, "Setting up a company in Hong Kong is quick and easy. There is no bureaucracy involved in setting up a business in Hong Kong.

Foreigners are allowed 100 per cet shareholding in a Hong Kong company and no special approval is required from the authorities."

PTI