Shanghai will become the first city in the country to allow individuals - including foreigners - to sell antiques under new regulations that go into effect next month.

Local government, which spent a year and a half drafting revisions to the city's 1995 cultural relics regulations, believes the new rules are better suited to the growing market economy.

Not only will they help protect consumers, they also should serve to stimulate the antique market, their supporters say.

"There are several changes that will put the city ahead of the country in boosting the antiques business," said Chen Yong, who works in the legal office of the city's commission on relics management. "And customers will benefit because the regulations provide for a new inspection provision that will help prevent the sale of fake products."

Under the rule changes, individuals and private companies must apply to the city's relics commission for a license to buy and sell antiques.

The licenses will be divided into two categories according to the age of the products to be offered.

The year 1911 has been chosen as the dividing line, as it is believed to be the starting point for China's modern era.

Companies that are awarded an A license can do business in relics made in any year, while those with a B license can sell only products from the latter period. Certain rare relics protected by state law will continue to be barred from export.

Companies that apply for an A license must show they have at least three workers knowledgeable in antiques, while for a B permit, only one such employee is necessary.

As an incentive, the holders of category-A licenses will receive expedited customs treatment while shipping their goods to the export market.

To better protect the consumer, the new rules give the city's relics commission more rights to monitor the antique marketplace.

(Eastday.com 03/20/2001)