The market has responded positively to the wine duty exemption with $2.71 billion in wine imports recorded in the first nine months of the year, up 41% on the same period last year, Secretary for Commerce & Economic Development Rita Lau says.

She told lawmakers today many wine-related companies have set up or expanded their businesses in Hong Kong, covering trading, storage, retailing and other areas.

The exemption has also brought economic benefits through the tourism, catering and hospitality, exhibitions and brand promotion industries, bringing new job opportunities.

Fourteen wine auctions have been held in the city so far this year, with aggregate sales amounting to $496 million. In terms of total sales value, the industry is forecasting Hong Kong should surpass London this year to become the second largest wine auction centre in the world after New York City.

The Government is helping the industry develop, in partnership with the Hong Kong Quality Assurance Agency, a certification scheme whereby wine storage facilities meeting certain required standards will be accredited.

"The scheme is expected to be launched before the end of the year. It will first cover wine storage facilities, with possible extension to other logistics facilities such as vehicles later," Mrs Lau said, adding the Government is working on various fronts to enhance the further development of Hong Kong as a regional hub for wine trading and distribution.