Written by GanQuan / Translated by Wang Chengying

（Fangchenggang） Greater Southwest Port-Surrounding Industrial Park：Marching Towards the Prosperity of Beibu Gulf

Written by GanQuan / Translated by Wang Chengying

With the advantaged geographical location, governmental energetic supports and the increasingly close cooperative relationship between China and ASEAN, the Greater Southwest Portsurrounding Industrial Park (hereinafter referred to as GSPIP) flourishes faster and faster in Fangchenggang, Guangxi. In 2015, GSPIP gained the total output value of 73 billion yuan and the fi xed-asset investment of 4.8 billion yuan, respectively increasing by 3.9 times and 2.5 times than those in the initial stage of the “Twelfth Five-Year Plan” (2011-2015).

Integrating resources to forge industrial clusters

Great Ocean Oils and Grains Industrial Co.， Ltd.

GSPIP, built in 2003, is located at the leading position of Fangchenggang City, with a planning area of 49.6 square kilometers. It is a key industrial park in Guangxi Beibu Gulf Economic Zone. The industrial park was merged from former Harbor Industrial Park and East Bay Logistic Park. It was listed among the 11 key industrial parks of Beibu Gulf in January 2010, enjoying great support from Guangxi’s government.

With effective resource integration of and the full use of advantages, the industrial park is generating industrial clusters. It boasts abundant mineral resources, mature equipment manufacturing base, naturally favorable deep-water port of Fangchenggang, unique regional advantages and a broad ASEAN-oriented market. With these advantages, the industrial park has generated six industrial clusters, covering steel, chemical engineering, non-ferrous metal, equipment manufacturing, new building materials, and oil & food.

GSPIP’s phosphating industrial cluster has been developed into the biggest base for exporting and processing phosphoric acid in China, and its export of phosphoric acid accounts for over 50% of the nation’s total export. The steel industrial cluster has become the largest steel structure manufacturing cluster led bysuch big equipment manufacturers as Zhongyi Heavy Industry, China 19th Metallurgical Corporation, and Shenghong Metallurgical Material Limited. Guangxi Shenglong Metallurgy Limited Company, the leading enterprise in steel and non-ferrous metal industry in Guangxi, achieved an annual output value of 25.2 billion yuan in 2015. These leading enterprises make steel manufacturing and supporting industries a major driving force for economic development. Relying mainly on Great Ocean Oils and Grains Industrial Co., Ltd., Huiyu Oils and Grains Industrial Co., Ltd., Aojia Oils and Grains Industrial Co., Ltd., the grain and oil processing industry has become the largest concentrated area of processing vegetable-oilseeds in China, with an annual total amount of processing vegetable-oilseeds hitting 8 million tons.

GSPIP introduces increasing related supporting enterprises relying on the six industrial clusters and product resources. It is the first priority to upgrade industries of the industrial park as a few emerging industrial clusters are formed continuously, including equipment manufacturing, electronic information, new types of chemical engineering and business logistics. In addition, the industrial park is building a state-level ecological demonstration park, following the development path featuring innovation, balance, openness, sharing and environmental protection. It aims to build an ecological park characterized by high technology, high yield, low resource consumption and low pollutions by expediting the technical transformation in key enterprises which will help boost the overall industrial upgrading.

Going all out to advance project construction

The project construction is always of top priority in GSPIP and boosted with an all-out effort of the whole city. Liu Wenning, deputy secretary of the Party Working Committee and deputy executive director of the Management Committee of Greater Southwest Port-Surrounding Industrial Park introduced that there are 29 projects in progress, with the paid-in investment of 2.84 billion yuan in the fi rst half of 2016, a year-onyear increase of 24.48%.

Among all the projects under construction in Great Southwest Port-Surrounding Industrial Park, the Phase II project of Shenglong Technical Transformation is a top priority. The owner Guangxi Shenglong Metallurgy Co., Ltd., founded in 2003, is a joint-stock private enterprise established by Fujian Wugang Group and private entrepreneurs born in Fujian. It is also among the hundred enterprises brought in Guangxi initiated by Guangxi-Fujian Chamber of Commerce in the wave of Western Development. The 2.3-million-ton nickel alloy project includes raw material stock yard, coking coal fi eld, coking plant, roasting plant, primary melting plant, refinery plant, lime plant, and oxidized pellet plant. The project with construction land area of 5,600 mu is divided into two phases. The objective of the Phase II is to produce 2.3 million tons of nickel alloy series products, while the annual total output will reach 55 billion yuan after the total completion of the project.

Furthermore, Guihai ASEAN Trade Center is a noteworthy project. The project was completed at the beginning of the year 2016 and a few companies are contracting with he park. The Phase II project is under construction now. The project of Guihai ASEAN Trade Center, with the total investment about 2.5 billion yuan, the land area of 480 mu as well as the total planning and architectural area about 700,000 square meters, is majorly divided into two parts, i.e. the Industrial Products Exhibition Zone and the Commercial Service Zone. In the Industrial Products Exhibition Zone, there are more than 2,000 booths for building materials, decorative and fi tting materials, hardware mechanical and electrical products, etc. The Commercial Service Zone is equipped with functions like information collection and issue, business negotiations, financial service, catering and reception, property management, supporting apartment. It will become an international transaction service and trade center for industrial products. Boosting the construction of Guihai ASEAN Trade Center will be beneficial to further accelerating city and industry integration construction, mutual promotion, mutual service and harmonious development of business and industry.

He Chaojian, mayor of Fangchenggang City, noted that accelerating the construction of Great Southwest Port-Surrounding Industrial Park and other major projects is a signifi cant, urgent and arduous task. He suggested that, with an ultimate goal of the successful completion of the project, different stages of work should have different focal points – the contracting items should focus on when to start constructing; projects underconstruction should eye the service improvement; the process of project construction should be sped up for timely operation and turning GSPIP into a coastal priority industrial model in Guangxi.

Improving service to facilitate the development of enterprises

An industrious worker in the China 19thMetallurgical Corporation

As industrial cluster development lays a solid foundation for park development and the promotion of major project construction drives the rapid and sound economic development of GSPIP, the quality service perfectly accounts for why GSPIP can attract much investment and keep economic growth. Beginning with bettering service, GSPIP finds out and solves possible problems hindering enterprises’development, including problems in production and operation, fi nancing credit, water and power supply, transportation and logistics, in order to improve enterprises’ overall competitiveness and ensure the full production of enterprises.

Huang Guangdong, member of the Party Working Committee and deputy director of Management Committee of Great Southwest Port-Surrounding Industrial Park stated that as service enterprises hold the key in the development of GSPIP, efforts should be made to help them solve major problems in production and management, recruitment and employment, capital raising and loaning, etc., and to lower the cost, ensuring steady economic growth of enterprises and the park. He added that Fangchenggang Aojia Oils and Grains Industrial Co., Ltd. is an example for offering high-quality service to enterprises. It was put into operation in December 2014, and the new refi nery workshop was put into operation in April 2016, with annual output expected to be more than fi ve billion yuan. As we are committed to building a model for deep integration of information and industrialization, the enterprise has been awarded titles of “Model Enterprises of Guangxi for Deep Integration of Information and Industrialization” and “National Intelligent Pilot Enterprise”. In order to build a demonstration base, we feature service-orientation, offering full-period instruction and handling procedures as an agent. GSPIP will guarantee operating capitals and improve security system while laying equal emphasis on spiritual and civilization construction to improve both soft and hard conditions for enterprise competition.

It is learned that GSPIP will work wholeheartedly for service enterprises on following three aspects: fi rst, solve problems reported by enterprises, e.g. Sanpotel Health Group’s labor shortage, Guoda Sugar Industrial Co., Ltd.’s prepayment of electric charge, Shengnong Phosphating Industrial Co., Ltd’s lack of employee dormitory, etc.; second, build a favorable fi nancing environment for enterprises, and coordinate with financing institutions to discuss on financing with 5 enterprises like Huachen Mining Industry, Flavor Full Grease Co., Ltd.. We should work together with the Agricultural Bank of China and China Construction Bank to carry out the activity themed “Introducing Financial Service into GSPIP”and set up an effective communication platform for banks and enterprises, so as to further lower corporate fi nancing and fi nancial costs and increase enterprise financing channels; third, strengthen professional guidance on policy implementation. For example, timely inform GSPIP of related preferential policies regarding tax reduction, tax rebate, and financial support; organize, guide and assist the priority enterprises to apply for the endowment insurance for their employees, subsidies for container logistics, special construction funds, and special funds for contracting industry shift, etc.