A cultural opportunity

The establishment of the China Pilot Free Trade Zone will bring more Chinese productions like the Shanghai Ballet's Jane Eyre to the world stage. Jin Yi / for China Daily

Shanghai's pilot free trade zone is being eyed by global arts companies as an entry point into the lucrative Chinese market. Shi Jing and Zhang Kun report in Shanghai.

The opportunities presented by the China Pilot Free Trade Zone in Shanghai are not only much anticipated by financial sectors and the like, but also the cultural sector, with the initiative opening doors to foreign companies.

According to detailed regulations announced by the Ministry of Culture, the FTZ will allow overseas performance agents to operate as part of joint ventures, companies in cooperation with Chinese partners or wholly foreign-owned enterprises to work out of the zone.

The biggest move forward is allowing wholly foreign-owned enterprises to operate in the FTZ, explains Yang Ruixian, deputy director of the marketing department of Shanghai Municipal Administration of Culture, Radio, Film and TV.

So far, not many foreign companies in the culture industry have set up branches in the FTZ. But Ren Yibiao, managing director of Shanghai Oriental Huiwen International Cultural Service Trading Co Ltd, operator of National Base for International Cultural Trade in the FTZ, says they have received more than 300 inquires from companies in the cultural industry about setting up branches.

More than 20 culture-related companies have been registered in the FTZ, including well-known names such as Huayi Brothers Media Group, Christie's, China National Publications Import & Export (Group) Corporation, Shanghai Oriental Pearl (Group) Co Ltd and Shanda Interactive Entertainment Ltd.

The establishment of the FTZ will also facilitate trade between China and other countries and regions in the world. The arrival of world-renowned fine arts auction house Christie's is the best example. The National Base for International Cultural Trade in the FTZ was responsible for all the services for Christie's first auction in Shanghai this fall. By storing all the art pieces in the FTZ, it saved up to 24 percent in taxes, says Hu Huanzhong, executive vice-general manager of Huiwen.

Before the establishment of the FTZ, Huiwen successfully assisted such cultural trade. The Shanghai Ballet's Jane Eyre staged at the London Coliseum in August, was one of Huiwen's achievements.