Heads of the international recording industry recently went to Brussels to raise what they call the serious piracy and market access problems they face when trying to do business in China. China has enormous promise for sales of music by European record companies, but its market was worth only 56 million euro in trade revenues last year.

The record industry delegation believes that this potential can only be realised if the huge problem of China's internet piracy, estimated at over 99% of the overall digital market, can be solved.

Present at the meeting were Mike Batt, chairman of Dramatico Entertainment; Tim Bowen, COO, Sony BMG Music Entertainment; JF Cecillon, chairman & CEO, EMI Music International; Max Hole, president, Asian Pacific executive VP Marketing and A&R, Universal Music Group International; and John Kennedy, chairman & CEO of IFPI.

The record companies say they are confronted by massive infringement of intellectual property rights, market access restrictions and the absence of broadcasting and public performance rights.

John Kennedy, IFPI Chairman & CEO, says: "When the recording industry tries to defend its copyrights against online piracy in China, it is blocked by a combination of heavy procedural rules, woefully low levels of damages and injunctions too narrow to prevent ongoing infringement. Chinese law has simply not kept pace with the explosion of online piracy."

Story filed 03.12.07