Shenzhen plans to begin injecting microchips into all dogs from the second half of this year to better manage the pets, according to the city’s Urban Administration and Law Enforcement Bureau, China Plus reported.

The microchip is about the size of a grain of rice and inserted underneath the dog’s skin right between the shoulder blades, according to Feng Zengjun, deputy director of the bureau. “The chip can migrate on the pet’s body and poses no harm to the dogs.”

“The basic information of each dog can be scanned, which can help lost dogs be easily identified and returned to their owners. It can also help remind owners to better discipline their pets,” Feng added.

Shenzhen will also borrow experience from Hong Kong to establish pet corners across the city for dog lovers to communicate with each other, the report said.

“All dogs must be walked on leashes in the open air and dog droppings must be immediately cleaned to avoid pollution,” said Zeng. “We will have a more specific regulation on the length of the leashes and how to walk the dogs. Violators will be put on a blacklist.”

According to industry sources, the pet economy in China has reached 4.5 billion yuan, with domestic and export sales of about 60 billion yuan.