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CIRCULAR OF THE GENERAL OFFICE OF THE STATE COUNCIL FOR TRANSMITTING RECOMMENDATIONS SUBMITTED BY THE STATE COMMISSION OF ECONOMY AND TRADE CONCERNING IMPROVEMENT OF THE ADMINISTRATION OF LAND TRANSPORTATION PORTS IN SHENZHEN

    The State Council has approved the "Recommendations Submitted by the State
Commission of Economy and Trade Concerning Improvement of the Administration
of Land Transportation Ports in Shenzhen." The following document is hereby
transmitted to you for implementation.
RECOMMENDATIONS SUBMITTED BY THE STATE COMMISSION OF ECONOMY AND TRADE
CONCERNING IMPROVEMENT OF THE ADMINISTRATION OF LAND TRANSPORTATION PORTS IN
SHENZHEN (Submitted on February 17, 1994)

    The following recommendations are designed to strengthen the
administration of land transportation ports in Shenzhen, reduce redundant
inspections and examinations, simplify procedures, enhance efficiency and
guarantee the safety and smooth operation of ports. In accordance with
instructions issued by the State Council, the State Commission of Economy and
Trade and the State Council Office in Charge of Port Affairs, in cooperation
with the Ministry of Public Security, Ministry of Personnel, Ministry of
Communications, Ministry of Agriculture, Ministry of Foreign Economic
Relations and Trade, General Administration of Customs, Hongkong and Macao
Affairs Office of the State Council, Hongkong Branch of Xinhua News Agency,
State Administration for the Inspection of Import and Export Commodities,
the People's Government of Guangdong Province and the People's Government of
Shenzhen Municipality, do hereby submit the following recommendations
concerning the administration of land transportation ports in Shenzhen. The
following recommendations are based on on-the-spot investigations and studies
of land transportation ports in Shenzhen.

    1. Effective March 1, 1994, inspections and examinations of all land
transportation ports in Shenzhen will focus on the introduction of new methods
for said inspections and examinations of overall customs and inspection
declarations, one-step sampling examination, combined inspections, a new
circulation chain and coordinated processing services in order to simplify
procedures and ensure the flow of people, commodities and vehicles entering
and exiting will provide greater convenience and speed.

    2. In order to reduce redundancies involving the inspection and
examination of commodities at land transportation ports in Shenzhen, effective
March 1 1994, the existing four-step inspection declaration will be replaced
by a three-step inspection declaration. The new declaration system will
combine sanitation inspection and animal-plant inspection into one link; This
will in turn combine customs, sanitation inspection and animal-plant
inspection into one link. The new system will effectively transform
the three-step inspection declaration into a two-step inspection declaration.

    3. Effective March 1, the office in charge of port affairs will assume
responsibility for collecting fees on behalf of other institutions, and will
then distribute said fees in accordance with stipulated standards.

    4. Upon completion of the Guangzhou-Shenzhen Highway, a trial 24-hour
inspection and examination service will be introduced to the two thoroughfares
running to Huanggang Port.

    5. Before accomplishment of the professionalism of frontier inspection,
the work of inspections of commodities on major thoroughfares leading to land
transportation ports in Shenzhen shall be conducted by cadres in the ranks of
frontier guards, so as to raise the quality and efficiency of administrative
personnel involved in frontier inspection activities.

    6. The Shenzhen Office of Port Affairs shall reduce repeated sampling and
inspection by inspection and examination institutions, concentrate on key
point involving said inspections and examinations, and rationalize the
division of labor. The office shall proceed in accordance with practical
conditions at ports to adopt concrete and divisive inspection and examination
methods for sanitation, animal-plant and commodities inspections of all import
and export commodities based on the related requirements of the "Official
Reply Concerning the Concentrated Inspection and Examination, and Unified
Collection of Fees at Land Transportation Ports in Shenzhen" issued by the
People's Government of Guangdong Province.

    7. All inspection and examination institutions at ports shall support the
work of the office in charge of port affairs, and will be required to carry
out activities organized and coordinated by the office under the authorization
of the State Council and local government. The Shenzhen Office of Port Affairs
shall be responsible to coordinating and dealing with all cases involving
emergency situations and major matters concerning aliens.

    8. Port personnel in charge of inspection and examination shall
conscientiously enhance their ideas of service, politeness and performance of
inspections and examinations. All port departments shall ensure honest
administration, adopt pertinent rules and regulations, eliminate loopholes to
prevent corruption, and severely punish those violating said rules and
regulations.

    9. In order to benefit the development of the foreign trade, all competent
departments of inspection and examination, and the Shenzhen Office of Port
Affairs shall pay close attention to thoroughly examining the existing fee
structure for import and export inspection and examination, and in cooperation
with the department of pricing shall carry out necessary inspections and
appropriate adjustment with regard to unreasonable charges and standards.

    10. Inspection and examination units at ports shall actively adopt
advanced technology and equipment, and ensure inspection and examination
procedures are carried out rapidly, accurately and scientifically.

    11. In order to ensure the administration of ports follows current  
international practices, the Central Commission on Composition of Government
Organization, State Commission for Restructuring Economy and State Council
Office of Port Affairs shall cooperate with departments concerned to carry out
a special study on the institutional reform of the system of frontier,
sanitation, animal and plant and import and export commodities inspections,
and related reform of port administration. They shall then submit a plan to
the State Council for approval and subsequent implementation.