Shanghai's free trade zones may record up to US$100 billion in foreign trade this year, an annual rise of 22 percent, an industry official said yesterday.

The zones are expected to post US$75 billion in imports this year, an annual rise of 21 percent, Jian Danian, vice director of Shanghai Free Trade Zones Administration, said yesterday at the 11th World Free Zone Convention, which was held in Shanghai for the first time.

Since the first free trade zone - Shanghai Waigaoqiao Free Trade Zone - was established in 1990, China has set up a total of 102 special zones which enjoy special Customs policies.

The city's FTZ administration were set up in 2009 to facilitate a unified administrative management of the free trade zones in Yangshan, Waigaoqiao and Pudong International Airport.

"China's economy is rising, and the third-quarter growth was still very encouraging," said Graham Mather, chairman of the convention. "Around the world, the economies are in real trouble. Here in China it is positive."

Jian said Shanghai will boost the coordination between its shipping and aviation industries and promote trade in offshore services.

However, the officials said the city's FTZs still lag behind some international ones in openness and flexibility.

"Companies need to go through complex procedures to do things," said Dai Haibo, vice director of the administration. He said the administration seeks innovative policies to relax restrictions on foreign exchange to adapt to a new format of international trade that can be operated offshore by enterprises.

Jian said that Shanghai "will strive to build top-grade free trade zones that are more geared to international standards."

Mather said Shanghai will clearly benefit if its zones can offer financial services linked to massive trade volumes, in a similar way to the Dubai International Finance Center and other zones in the Gulf.

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