China Releases Development Plan for Asset Appraisal Industry

Posted by Reading Time: 2 minutes

Nov. 20 – China’s Ministry of Finance (MOF) released the “Development Plan for China’s Asset Appraisal Industry (caiqi [2012] No. 330, hereinafter referred to as the ‘Plan’)” on November 2, which puts forward the development plan of the asset appraisal industry in the country for the next five years. Detailed information can be found below.

For the purpose of the Plan, the asset appraisal industry fits within the modern services industry – offering estimation, appraisal, evaluation, investigation, management consultation and other services regarding the asset values of market players and related matters by utilizing professional advantages.

According to the Plan, within the coming five years, efforts should be made to achieve the six development objectives outlined below.

  1. A basically sound and effective legal system shall be established. More attention will be drawn to the legislation and corresponding system establishment of the asset appraisal industry.
  2. The practice scope and service area of the asset appraisal industry will continue to expand. Efforts will be made to achieve an annual growth rate of more than 20 percent in traditional business revenue for the industry, with total revenue reaching RMB30 billion.
  3. The scale of the asset appraisal industry will be optimized and the distribution thereof will be reasonable. Roughly five massive asset appraisal institutions with annual revenue over RMB1 billion and around 20 asset appraisal institutions with annual revenue over RMB500 million will be cultivated, and support will be given to some 50 large asset appraisal institutions with annual revenue over RMB100 million.
  4. Asset appraisal institutions will be under scientific management and their core-competency will be improved.
  5. There will be more qualified practitioners with high professional skills. Roughly 300 individuals with comprehensive skills capable of providing high-end services, and 5,000 individuals with backbone talents for the industry, will be cultivated. The number of practitioners will exceed 100,000 while the number of persons engaging in the industry will be over 300,000.
  6. The practice environment will be improved and standardized. The appraisal-fee charging system and the project-bidding management of the asset appraisal industry will be standardized, and an integrated, open, competitive, and regulated market will be established.

Dezan Shira & Associates is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia.

For further details or to contact the firm, please email china@dezshira.com, visit www.dezshira.com, or download the company brochure.

You can stay up to date with the latest business and investment trends across China by subscribing to The China Advantage, our complimentary update service featuring news, commentary, guides, and multimedia resources.

Related Reading

China Releases 12th Five-Year Plan for Domestic Trade Development

China Releases 12th Five-Year Plan for the Wine Industry

China Releases 12th Five-Year Plan for Waste Recycling Technology

China Releases 12th Five-Year Plan for Trade in Electromechanical and High-Tech Products

China Releases Blueprint to Promote Seven Emerging Industries

China Releases 12th Five-Year Plan for Oceanic Affairs

China Releases 12th Five-Year Plan for Foreign Trade Development