The sixth annual Netherlands' China Trader Awards in Amsterdam in November saw a Dutch-owned, Hong Kong-based, Mainland photo-frame maker just edge out a Shanghai-based purification systems group for the top prize.

HGA International, the photo framer manufacturer started by Wim De Vries in 1981, took the 2001 award by the slimmest of margins from Paques BV, the innovative purification systems group that began operations in Shanghai in 1997.

Sponsored by Cathay Pacific Airways, with the support of the Netherlands Council for Trade Promotion's China Council and the Hong Kong Trade Development Council, the China Trade Awards aim to highlight the potential of European trade with China.

Announcing the top award, the jury said that although Paques was an excellent contender, the decision had gone to HGA International because of its lengthy experience in China and its ability to overcome early difficulties.

"It was a close finish, but the resurrection of HGA International after three very difficult and frustrating years and the determination of Mr De Vries to make his company a success in China, made a big impression on us," the jury said.

The Hong Kong General Chamber of Commerce's Chief Economist, Ian K Perkin, was special guest speaker at the 2001 awards, along with Tim Warren, of Royal Dutch Shell in Asia and Sergio Lires Rial, a member of the managing board of ABN Amro.

Special guest at the awards ceremony was the Chinese Ambassador to the Netherlands, Zhu Zushou, along with the Netherlands Consul-General in Hong Kong, Jaochim Haakma.

In his address at the awards ceremony, Mr Perkin outlined the background and work of the Hong Kong General Chamber of Commerce, and its support for the local and international business communities in the Hong Kong SAR.

He also highlighted the growth the Mainland economy and trade over recent years, congratulated Mr Zhu on China's accession to the World Trade Organisation (WTO) and suggested that China trade was on the threshold of a new era of growth.

"Twenty years ago, when China was beginning to open to the world, the country had a gross domestic product (GDP) -- or total output of goods and services -- of some US$286 billion at the then exchange rate to the US dollar, or just $60 billion converted at today's exchange rate," Mr Perkin said.

"Today it is four times (or 16 times) that at just over a trillion US dollars (that is, US$1,000 billion). And on a purchasing power parity basis it is probably close to US$3,000 billion -- US$3 trillion- level.

"Twenty years ago, on the same exchange rate basis, China's GDP per capita was around US$287 (or US$59 at today's exchange rate). Today it is closer to $850 on a national average basis.

"Twenty years ago, China's two-way trade with the rest of the world -- and this for a country of a billion people -- was a miserable US$400 million. That was less than 0.2 per cent of GDP. Today it is closer to US$400 billion -- that's an increase of 1,000 times. And it is equal to 40 per cent of GDP on a current exchange rate basis.

"Finally, in the past 20 years, cumulative foreign investment in China has soared from virtually zero to some US$500 billion and is still flowing in. With such numbers it is hardly surprising that world attention is focussed on the potential future development of China," he added.

Commenting on the Mainland's WTO entry, Mr Perkin said: "Now it can surely be said that we stand on the threshold of a whole new era of China trade and investment, with the entry of the Mainland of China into the World Trade Organization.

"For China, there is the prestige of being welcomed into the world trading community and recognition this gives of China's emerging world role.

"More importantly than this, however, it gives China a place at the world global trade table, a chance to help make the world trade rules, rather than accept those made by others and to play a full role in the movement towards freer world trade.

"It will also enable China to make use of the WTO's dispute mechanisms, the rules on anti-dumping etc. And it will enhance China's perceived position as a developing world leader.

"Domestically, of course it will help the Beijing administration enhance its reform program, impose transparent rule based commercial rules and help underpin the role of the government in facilitating reform.

"It is also likely to help China gain greater access to its global needs, through greater trade, investment and technological transfer. And it will help modernise industry and the economy at an even faster pace.

"For Hong Kong, with its special relationship to the Mainland there are going to be immense opportunities and challenges.

"Hong Kong will be able to build on its special relationship to use its inherent skills in trade, finance, distribution, etc to enhance its own economic role.

"On the other hand, easier access to China by outsiders will also bring with it increased competition for Hong Kong -- and make direct involvement in the China market (rather than through Hong Kong) -- more attractive to foreign companies.