Vietnam's northern Lao Cai province and China's Yunnan province have facilitated flows of goods, especially fresh litchis, through their border gate.

"We and Yunnan's Hekou district have agreed that goods transported by under 3-ton motorized vehicles, and fresh litchis transported by under 30-ton trucks via the international border gate of Lao Cai are to enjoy the district's border trade policy. That means the Vietnamese goods are subject to no import taxes or half of the tax rates according to their value," Vu Xuan Cuong, deputy head of Lao Cai's Border Economic Management Board, told Xinhua Thursday.

Previously, only goods transported by simple vehicles like bicycles enjoyed the border trade policy, he said, noting that both Lao Cai and Hekou are making favorable conditions for local goods, especially fresh litchis, to enter Yunnan.

"The volume of litchis entering China this year may be lower than last year, because a larger amount of the fruit is going to Vietnam's southern region," Cuong said.

Litchi prices this year will be higher due to thinner supplies caused by drought, local traders said. The prices in the full crop last year were 3,000 VND (nearly 0.2 dollars) per kilogram.

Source: Xinhua