Sources of high-end art works have gradually dried up, leaving auctioneers with depleted resources and facing grave difficulties in the collection of items for auction. To collect more high-end work for the next season, some have been forced to travel overseas.

Some types of art have been accorded a comparatively higher value than market experts predicted, which has resulted in low turnover rate during the past four auction seasons.

Specific legislation and strict regulations are required for the further development of the art market. The Chinese market lacks effective legislation to correct unethical behavior, such as the sale of counterfeits, delayed payment and contractual issues.

The trading process has very low credibility and the market has seen a lack of trust between buyers and sellers.

Most Chinese arts auctioneers operate a workshop system, and lack of an administrative center limits their potential development.

Sources: Artron.net and Artprice.com

(China Daily 03/29/2013 page6)