Sat, Apr 11, 2009 page3

• Businesses call for fair playing ground

  TRADITIONAL INDUSTRIES Company heads said their Chinese competitors benefited from unfair advantages, such as government subsidies, lack of labor rules and low pay

  • By Jenny W. hsu / STAFF REPORTER
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  Traditional industries do not fear competition from China, but it must be on an even playing field, business people said at a meeting with Mainland Affairs Council Chairwoman Lai Shin-yuan (賴幸媛) yesterday.

  But the business people urged the government to be mindful of traditional industries when signing any economic agreements with China.

  “Tea farmers are not afraid of competition from China. We are confident about the quality of our products. But how can we compete when there are many counterfeit Taiwanese teas coming from China?” asked Chen Chung-chien (陳聰鑑), a tea industry representative.

  Chen also criticized the government for breaking its promises to help tea farmers, such as an unfulfilled vow to subsidize irrigation water and land.

  Furthermore, he said that China-based tea farmers had an advantage because China did not levy property taxes and offered them free irrigation.

  Businessman Yu De-er (游德二) from the ceramics industry said Chinese ceramics makers have lower overhead because they do not need to worry about environmental concerns or offer good employment conditions to their workers.

  “I agree that the market should be allowed to develop freely, but this is not a game of survival of the fittest. The government must intervene when its people are being unfairly dealt with,” he said, adding that he was confident his industry could take on competition from China.

  Businessman Huang Kuang-yi (黃光藝) from the bedding industry urged the government to negotiate with hypermarts such as Carrefour or RT Mart to set up special “made in Taiwan (MIT)” sections featuring only local produce.

  The government must also crack down on businesses that mislabel their products to mislead consumers into thinking they are buying MIT products, he said.

  Huang said that as far as the bedding industry was concerned, its products were mostly for domestic consumption; therefore, the signing of an agreement to avoid double taxation such as the economic cooperation framework agreement (ECFA) would be useless to his industry.

  Lai, however, said that the purpose of an ECFA was to promote fair trade and to safeguard the rights of Taiwanese industries by preventing discrimination.

  Even though some industries feel that a provision against double taxation is unhelpful, “maybe in 10 years time you will decide to export your products and by then, you will be able to benefit from this policy,” she said.

  Meanwhile, Straits Exchange Foundation (SEF) Secretary-General Kao Koong-lian (高孔廉) said yesterday that the third meeting between his organization and the Association of Relations Across the Taiwan Strait (ARATS) could be held at the beginning of next month, which is earlier than expected.

  Kao returned from Shanghai on Thursday night after negotiations with Beijing to discuss the progress of preparations for the third meeting between SEF Chairman Chiang Pin-kung (江丙坤) and ARATS Chairman Chen Yunlin (陳雲林).

  “Basically, the Chinese have agreed with our proposal to hold the third Chiang-Chen meeting in Nanjing. If all goes well, we do not rule out holding the meeting before early May,” Kao said.
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