The Ministry of Commerce announced last Tuesday that elderly care service providers based in Hong Kong and Macao can set up senior service homes in the mainland either through joint ventures or as overseas enterprises. As Hong Kong senior care providers are held to high standards, this move may improve the assisted living industry on the Chinese mainland by paving the way for more diversified services.

Right now, the mainland's elderly care industry can't catch up with the growing demand that's coming from the country's aging population. According to official data, by the end of 2012, there were only 20 beds available at elderly care homes for every 1,000 seniors.

But while opening the door to enterprises from Hong Kong and Macao could bring higher quality services to the mainland market, a lack of industry regulations on the mainland could put off experienced businesses from these two regions. The government needs to coordinate with experts as soon as possible to introduce supportive laws and policies for this important industry.

The author is Liang Weiwei, a media personality.