Thursday, June 12, 2008

China Water: June 12, 2008: Guiyang, Guizhou seeks investment.

A rare piece of Guizhou news and, yes, water is mentioned. Guiyang is the largest city in Guizhou, a poor province in south central China. I visited Guizhou and Guiyang back in 1990 and found the city to be, well, quite ugly to be frank. I mean astonishingly, captivatingly, breathtakingly ugly and I am a denizen of the NE USA rustbelt, so that's saying a lot. Guizhou itself was not too bad though and was a nice place to travel.

In any case, here one can see the recognition of the importance of water and environmental concerns when seeking investment.

Peter Huston
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http://www.china.org.cn/environment/news/2008-06/12/content_15763176.htm

Guiyang's environment attracts tourists and investors


Surrounded by mountains, Guiyang has forest cover across 41 percent of its total land area.

As the Beijing Olympic torch arrives in Guiyang today, Yuan Zhou, mayor of the city, tells China Daily "this is a good opportunity for people, especially foreigners, to have better understanding of this inland city in southwest China".

"To most foreigners - even some Chinese people - Guiyang is a remote and mysterious city," Yuan says. "But I'd like to tell them this is an ideal place for making a living, for starting businesses and for having an enjoyable tour."

Guiyang, capital of Guizhou province, is surrounded by mountains. The 8,034 sq km city with population of 3.5 million is less developed than those in China's eastern regions, yet it has achieved rapid social and economic progress over the past three decades.

Yuan says the city's total output value reached 69.64 billion yuan in 2007, an increase of 64 times over 1978, the first year of China's reform and opening up process.

Benefiting from the rapid economic growth, residents' living standards have also sharply improved. Per capita disposable income of urban residents reached 12,781 yuan last year, growing 36 times over 1979. Per capita net income of rural residents hit 4,088 yuan in 2007, up 14 times from 1981.

Natural environment

The city has the natural conditions to make a comfortable life, according to Yuan.

Located at 26 degrees north latitude and at an altitude of 1,000 m above sea level, its weather is not too cold in winter, nor too hot in summer.

Its well-preserved ecology makes Guiyang a top city in China for air and water quality. It has been honored by the State Forestry Bureau as an excellent city for forest cover.

Surrounded by mountains and two manmade green belts, the city has forest cover across 41 percent of its total land area.

"Building an ecologically friendly city is one of the most important parts of Guiyang's overall development strategy," says the mayor.

Water pollution was a headache for local authorities in the 1990s. But changes began in this century when the city government started a series of water pollution control projects. In the past seven years, about 2.2 billion yuan has been invested to build 44 large water treatment projects.

Yuan adds that recent efforts to ensure water quality include establishment this year of an environmental protection fund and a governmental organization to protect water sources. The local government also announced it will invest another 800 million yuan this year to improve water quality.

In addition to environmental protection, improving transportation facilities is regarded by local authorities as another crucial effort to improve the city's living and business environment.

A high-speed railway linking Guiyang and Guangzhou began construction last year, which when completed is expected to make Guiyang a railway hub in southwest China.

A tourism destination

Yuan says tourism is now a pillar of local economy.

The city received 23.25 million tourists from home and abroad last year, an increase of 26.03 percent over 2006 as tourism income grew by 41.94 percent to reach 12 billion yuan.

Yuan says rich ethnic cultures and beautiful natural scenery are the major attractions of Guiyang's tourism industry.

Ethnic groups such as Miao, Buyi and Dong have been living in Guizhou for thousands of years, creating cultures with characteristics unique to the area. In some villages in the suburbs of the city, mills producing paper and wax prints with ancient techniques can still be found. Folk songs and dancing can be widely seen during festivals.

The city's natural landscape, including virgin forests, clear lakes and rivers - and mysterious karst caves - are also attractive to tourists.

While pleased with the rapid growth of the tourism industry, Yuan says local authorities will pay more attention to sustainable growth in the sector.

"We give priority to the protection of the aboriginal cultures, the natural heritage and the ecosystem, viewing it as the basis to sustain tourism," Yuan explains.

Business potential

Since the central government implemented a western development strategy several years ago, Guiyang has become an increasingly attractive destination for foreign and domestic investors.

Yuan said the good ecological and living environment, preferential investment policies, rich natural resources and a sound industrial base are attractive factors for investors.

In addition to the State's preferential policies for western development, Yuan says the local government has also mapped out a series favorable policies for investors ranging from tax reduction to support in fundraising, provision of subsidies and incentives in land use.

He suggests foreign investors pay attention to the city's advantageous industries, such as tourism, energy and resource development, equipment manufacturing, hi-tech industries including electronics, information and new materials, as well as production of food and medicines.

The mayor says Guiyang also welcomes foreign investment in building infrastructure such as roads, telecommunications and environmental protection facilities.

Last year, foreign and domestic investors began 1,628 projects in Guiyang with a combined investment of 25.2 billion yuan, 20.2 percent more than the previous year.

Multinationals such as Wal-Mart, Microsoft, Kyocera, Danone, Lafarge, Chiatai and Kempinski and famous domestic companies like Sinochem, Hisense and Wahaha have all established operations in Guiyang.

(China Daily June 12, 2008)

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