Local authorities in Shenzhen, Guangdong Province will limit visits by future applicants to Hong Kong to once a week to curb parallel goods trading in Hong Kong, a Hong Kong legislator told the Global Times Sunday.

"The new policy will be announced within the next two days," Michael Tien Puk-sun, a National People's Congress delegate as well as a Hong Kong legislator told the Global Times.

Shenzhen is the only city in the Chinese mainland that has enjoyed a multiple visit scheme since 2009. Discussions to adjust the scheme have been held in the past year.

The term "parallel-goods traders" refers to Chinese mainlanders who go to Hong Kong to buy cheaper products, such as infant formula and cosmetics, which they then sell at inflated prices.

"Once applicants are approved, their permits will be good for a year, and applicants will be limited to a maximum of 52 visits annually. But we won't allow them to accumulate visits if they fail to use their allotted weekly visits," Tien noted.

According to Tien, the policy will only apply to new applicants and existing holders will enjoy their right to make multiple visits until their permits expire.

He said the policy will benefit tourism in Hong Kong as it would curb the parallel goods trade which has led to some anti-mainlander protests in the past few months.

"We expect the new policy to reduce the number of Shenzhen visitors by 3 to 4 million a year which, according to our research, are mainly parallel goods traders," he said. "By reducing parallel goods trading, negative reports of anti-mainland protests will be reduced."

Tien said tourists from other parts of China will also benefit because the policy would regulate the number of tourists the whole year and guarantee better service quality.

Michael Wu, managing director of the Travel Industry Council of Hong Kong, agrees that the new policy will help boost Hong Kong tourism. "Data for the month of March showed that mainland tours to Hong Kong dropped by about 40 percent from 1,600 to just 900. It is clear the recent protests have affected the image of Hong Kong and the perception of mainland tourists," Wu said.

He added that the new policy would solve the conflict between Hong Kong residents and mainlanders, and that local tourism will recover by the summer holiday.

Meanwhile, Leung Kim-shing, spokesman of North District Parallel Imports Concern Group, doubted that the parallel goods trading groups will instead employ more workers including Hongkongers to counter the policy.

Tien, however, said the policy will increase the cost of parallel goods trading groups, so it will be effective.