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Karaoke Royalties Deposited in Single Account
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For the use of music videos China's Karaoke bars will deposit royalties into a single bank account, the China Audio and Video Association (CAVA) has said on its website.

"Any other forms of payment are not acceptable," said CAVA. The stance seems to dispel worries of double collections by copyright and market administrators. CAVA said it's in talks with the cultural development center under the Ministry of Culture on cooperation in karaoke royalty collection.

The National Copyright Administration of China approved collecting royalties from karaoke bars for music video use from January 1, 2007 at a rate of 12 yuan (about US$1.5) for each room per day.

The royalties will initially be collected in prosperous cities -- Beijing, Shanghai, Guangzhou -- and then gradually spread to other areas.

"Reasonable payment rates" will be set for less developed regions, according to CAVA, the acting collection agents. They'll later hand over the royalty collection function to another body which is being formed.

Even if differences between government departments are resolved it remains uncertain whether the collection will progress smoothly as some karaoke bar owners have already voiced their opposition.

The Guangzhou Cultural and Entertainment Industry Association, for instance, have said its members would refuse to pay because the charges were unreasonably high. This stance was supported by some karaoke bar owners in Shanghai and Beijing.

It's estimated there are about 100,000 karaoke bars in China.

(Xinhua News Agency January 9, 2007)

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