Australia warns China over visa restrictions

 HONG KONG:China should be aware of the difficulties new visa restrictions could cause for businesses ahead of the Olympics, Australia's foreign minister said on Tuesday.

"It is important that the Chinese authorities understand the potential practical, on-the-ground difficulties that this is causing," Stephen Smith told reporters in Hong Kong.

Australia is seeking clarification from Chinese authorities in Beijing and Hong Kong about the new restrictions, which travel agents across Asia have said has seen China stop issuing multiple-entry visas.

China has insisted multiple-entry visas are available but said in a statement that officials would "consider the real need of the applicant" when granting one.

Business travellers and tourists must also provide hotel receipts and travel tickets before any visa will be issued, travel agents have said.

Smith said he understood why China was making the apparent changes, but it must be aware of the pitfalls.

"Australia has had recently an Olympics as well with the Sydney Olympics, so we understand the general public policy motivation," he said.

"We do want to make sure that there are no long-term adverse repercussions for trade and business and industry exchange between Hong Kong and China, and between other nation states and China," he added.

China stopped issuing multiple-entry visas around the start of April and will not resume issuing them until October, after the August Olympics, travel agents in several Asian countries have said.

Visitors from 33 countries -- including India, the Philippines and Indonesia -- are also no longer allowed to apply for China visas in Hong Kong and have to apply at their local Chinese embassies, two Hong Kong agents previously told AFP.

The move has sparked concern among business leaders here, who said it could damage investment in China. Hong Kong has maintained separate legal and visa systems despite being returned to China by colonial power Britain in 1997.

Many businesses use Hong Kong as a base for their operations in mainland China and regularly hop over the border to monitor factories or shipments.