Although ranking seventh in the world by volume, China's service trade still lags behind its goods trade which has jumped to the third in the world.

Hu Jingyan, director of the Service Trade Department of the Ministry of Commerce, made the remarks Thursday on the publication of a report on China's service trade development.

The report says China's service trade volume totaled 157.08 billion U.S. dollars, with exports at 73.91 billion dollars.

From 1982 and 2005, exports increased at an annual rate of 15.9 percent, lifting its global position from 28th in 1982 to eighth in 2005, with imports up from 40th to seventh worldwide.

But Hu said in the past two decades, service trade exports accounted for less than 10 percent of the country's total exports, with the proportion only half of world average. China also faced a long-term deficit in service trade.

The service trade was boosted by traditional sectors like transport and tourism, while the development of high-technology and high value-added sectors, like finance, insurance, consultancy and postal services had just begun.

Hu said China's service trade had great potential for development. The 11th five-year plan set a target for the service trade volume of 400 billion U.S. dollars by 2010.

The ministry had planned measures to boost services, including strengthening development of key sectors like cultural products, computer and information services, transport, finance and insurance.

It would also improve policies and regulations, and open a professional website to create a better growth environment for the service trade and offer more information for domestic companies, said Hu.

Source: Xinhua