Procedures of Shanghai on The Administration of Commodity Trading Markets Ⅰ

（Promulgated on November 18, 2002 by Decree No. 127 of the Shanghai Municipal People''s Government）

　　Chapter I General Provisions

　　Article 1 （Purpose） These Procedures are formulated for the purposes of normalizing the administration of market operation and acts of floor trading, safeguarding the order of commodity trading markets, guaranteeing the legitimate rights and interests of market operation administrators, floor traders and commodity buyers, and promoting the healthy development of commodity trading markets, and in line with the actual circumstances of this Municipality.

　　Article 2 （Definition）The commodity trading markets mentioned in these Procedures refer to the fixed places where market operation administrators operate and manage and floor traders carry out spot commodity transaction in a centralized manner.The market operation administrators mentioned in these Procedures refer to corporations established according to law that organize floor traders to carry out spot commodity transaction and conduct market operation, service and management in a centralized manner by using fixed places of their own or leased.The floor traders mentioned in these Procedures refer to the enterprises, self-employed workers in industry and commerce, peasants who sell their own produce, and other organizations that engage in the spot commodity transactions in their own name.

　　Article 3 （Scope of Application）These Procedures shall apply to the establishment, operation and management of, floor trading in, and activities of supervision relating to the commodity trading markets within this Municipality's administrative area.

　　Article 4 （Duties of Departments）The municipal competent commerce administrative department is in charge of the coordination, guidance and administration of the planning and norms of various commodity trading markets in this Municipality.The relevant competent administrative departments of this Municipality shall, according to their respective duties, cooperate in exercising guidance and administration of commodity trading markets of their respective trades.The administrative supervision departments of industry and commerce, public health, taxation, quality and technical supervision, public security, fire prevention, environmental protection, city appearance and environmental sanitation, price control and urban transportation at all levels shall, according to their respective duties, exercise supervision over commodity trading markets according to law.

　　Article 5 （Duties of District/County, Town and Township Governments and Sub-district Offices）The district/county people's governments shall carry out coordination and administration in respect to the planning and establishment of commodity trading markets within their respective areas.The town and township people's governments and sub-district offices shall carry out administration in respect to the peripheral environment and order of commodity trading markets within their respective areas.

　　Article 6 （Principles）The establishment of commodity trading markets shall follow the principles of activating circulation, offering convenience to citizens and making rational layout, and shall meet establishment requirements. Major commodity trading markets shall practice the planning regulation and control and the granting of operational rights to the better traders.The operation and administration of commodity trading markets shall carry out the combination of offering services with exercising management, and define the responsibility of operational administrators for market management.The floor traders engaged in commodity trading activities in the commodity trading markets shall keep to their commitment, do legal business and participate in fair competition, and shall not infringe upon the legitimate rights and interests of commodity buyers and other traders.

　　Chapter II Establishment of Commodity Trading Markets

　　Article 7 （Requirements for Establishing Commodity Trading Markets）The establishment of commodity trading markets shall meet the following requirements:（1） The site-selection of markets shall be in line with the urban construction planning and meet the requirements of environmental protection and city appearance and environmental sanitation;（2） Having fixed places and auxiliary facilities suited to the commodity variety and scale in trading;（3） Having a certain number of market administrators with management qualification;（4） Other requirements as may be provided by laws, rules and regulations.The establishment of a commodity trading market shall not occupy roads, greenery land or woodland, or pose obvious impact on normal life of residents living in the surroundings.The specific requirements for the establishment of varied commodity trading markets shall be put forward by the municipal competent commerce administrative department jointly with relevant competent administrative departments, determined after soliciting opinions from administrative supervision departments and relevant trade associations, and then be published to society.

　　Article 8 （Planning Management of Major Commodity Trading Markets）This Municipality practices planning management on the establishment of major commodity trading markets such as edible farm produce markets.Other major commodity trading markets that need the implementation of planning management shall be put forward by the municipal competent commerce administrative department or by the municipal relevant competent administrative departments jointly with the municipal competent commerce administrative department, be reported to the Municipal People's Government for finalization and then be published to society.

　　Article 9 （Preparation of Market Layout Planning）The market layout planning shall be prepared by the municipal competent commerce administrative department alone or in cooperation with relevant competent administrative departments, be reported to the Municipal People's Government and be carried out after being approved.The market layout planning shall include the basic contents such as quantity, region, location, scale and functions of the commodity trading markets to be set up.In preparation of the market layout planning, opinions shall be solicited from relevant trade associations.

　　Article 10 （Open Bidding for Market Operation Rights）The market operation rights of major commodity trading markets shall be determined in the form of inviting and tendering bids according to the principle of selection of the best through competition.The municipal competent commerce administrative department shall be responsible for drawing up the specific operation procedure of open bidding and the relevant competent administrative departments shall organize the implementation.The market operation rights obtained through the procedure of open bidding shall not be transferred.

　　Article 11 （Planning Management of Edible Farm Produce Markets）The municipal competent commerce administrative department, jointly with the municipal competent agricultural administrative department, the municipal industrial and commercial administrative department, and the municipal public health administrative department shall prepare and submit the layout planning of edible farm produce wholesale markets to the Municipal People's Government for approval and then implement the planning.The district/county competent commerce administrative department, jointly with the district/county competent agricultural administrative department, industrial and commercial administrative department and public health administrative department, shall prepare the layout planning of edible farm produce markets that are mainly for retail business, and submit the planning to the people's government at corresponding level for approval and then implement the planning.No edible farm produce wholesale market shall be set up in the commercial centers of municipal level. No edible farm produce trading shall be conducted in the markets run in the name of other commodity trading markets.

　　Chapter III Market Operation Administrators

　　Article 12 （Registration）Those who apply for conducting market operation management activities shall, after having the commodity trading market in preparation met the establishment requirements specified in these Procedures, register themselves with the industrial and commercial administrative department, and take out the corporation business license.The market operation administrators engaged in market operation management activities in the place other than the registration locality shall, after having the commodity trading market in preparation met the requirements set forth in these Procedures, register themselves as the branch agency with the industrial and commercial administrative department in the locality of the marketplace, and take out the business license.

　　Article 13 （Enterprise Name and Business Scope）In the enterprise name of market operation administrator, there shall be marked at the part of trade the wording of"Market Operation Management".In respect of enterprise not engaged in market operation management, the wording of"Market Operation Management"shall not be used in the name.

　　Article 14 （Materials to be Submitted in Application for Business Registration）When applying for business registration, the market operation administrators shall submit the following documents to the organ in charge of registration in addition to the materials as required by the"Regulations of the People's Republic of China on the Administration of Corporation Registration"and the"Regulations of the People's Republic of China on the Administration of Company Registration":（1） Certification materials evidencing the compliance with the requirements of fire prevention, public health, public security and environmental protection;（2） Certification materials evidencing the ownership or use right of the real estate that comply with its use purpose as provided;（3） Certification materials evidencing market administrators that meet the requirements as provided; and（4） Other materials as may be required by laws, rules and regulations.The market operation administrators of major commodity trading markets such as edible farm produce markets, when applying for business registration, shall submit the bid-winning notice of market operational right as well.