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Secrets behind economic zone's attraction to the world

By Ding Qi (chinadaily.com.cn)
Updated: 2007-08-27 09:03

Among scores of economic development zones in China, the Ningbo Economic and Technological Development Zone (NETD) has its unique edge in attracting investors both at home and abroad. Yu Lei, governor of government in Beilun District of Ningbo, where the zone is located, spoke with visiting journalists on Thursday.

Established in 1984, NETD is one of the 49 State-level economic development zones approved by the State Council. By 2006, investors from 56 countries and regions set up 1,461 companies or business projects in the region with a total investment of US$16.3 billion. The gross domestic product (GDP) of the area reached 47.6 billion yuan (US$6.3 billion) last year, a 140-fold increase over 1984.

How could NETD manage to clinch so much investment to propel its economic development? Yu disclosed the secrets in an interview by journalists from major online media groups.

"The biggest advantage of NETD is its excellent Beilun port," said Yu,

"Generally speaking, marine shipping has a cost edge over other means of transportation. As NETD's gate towards the world, Beilun port is geologically perfect for mass marine transportation. Being an ice-free port with 18.2-meter deep sea-route, it can accomodate vessels of up to 250,000 tons almost all year long. "

"With the huge capacity of the port, a company in NETD can send or receive more goods without leasing additional ships. The cost of transportation is surely lowered, "according to Yu.

"In addition, NETD is located in the most affluent area in Zhejiang province and close to major metropolitan areas like Shanghai and Nanjing. Large population and rapid economic development in the neighboring region have created vast market for products from NETD." the governor continued.

"As long as your products are competitive enough, you don't need to march all the way across China to find clients or go overseas, since huge markets are just around the corner." he joked.

According to statistics, so far, NETD has taken in investments from 39 of the world's top 500 enterprises like Samsung from Korean and Sumitomo from Japan. A large part of their products are specially designed to meet the demand of domestic market.

For local firms, the conveyance of Beilun port and short distance to the neighboring market has also boosted their business greatly. Some companies even became world famous after decades of development in the area.

Moreover, sound infrastructures, preferential policies, as well as a deep-rooted commercial environment in Ningbo have all contributed NETD's attraction to investors worldwide, according to Yu.

However, he was not immersed in the current achievement of the area. "NETD, together with the whole Beilun area still have great potentials. We're exploring better strategies and policies to convert the area's attraction into substantial economic growth and benefit of the people."


(For more biz stories, please visit Industry Updates)



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