The Baoshan-Mandalay Industrial Park making for textile dividend
Jan 26, 2018 ｜ by
Yunnan Baoshan Industrial Park, with the joint effort of the government of Myanmar, has been playing its leading role in constructing investment of Baoshan-Mandalay Miuda Industrial Park ever since the Belt and Road Initiative.
With respect to the recent development and construction of the park, our reporter interviewed director Yang Yanbin. When it comes to Baoshan-Mandalay Industrial Park, Mr. Yang will always light up with pleasure: “The business orders canvassed, the overall processing links of our textile park has been laid out. 21 enterprises out of national top 500 corporations are in our visiting list. Export-oriented enterprises are warmly welcomed, and we deal with production of processed garments in Mandalay, Myanmar then then export them to Europe and the United States through Yangon － a fast channel for the development of China’s textile industry.
The Mandalay Economic and Trade Cooperation Zones in Baoshan, Yunnan Province are invested by Baoshan Municipal People’s Government Industry and Trade Park. The goal is about a construction of high-standard industrial plant and ancillary facilities. There will be unified service management after completion so as to cut down investment in the fixed assets. Meanwhile, supporting professional service institutions will be in place to ensure safety production. It is at present that the park has laid down related preferential policies for investment promotion in such fields as enterprise arrangement, logistics, and examination and approval service.
Mandalay Div. is an important node of BCIM Economic Corridor in the Belt and Road Initiative, an important economic and cultural centres and transportation hubs in Myanmar, and a transit station for commodities. The selected Miuda Industrial Park is of significant project for Myanmar towards the road of reform and opening up and drawing on other’s experience of development , construction and operation.
The outbound industrial Park, integrating the resource and market both at home and abroad, distributes overseas initial processing links and domestic intensive processing links in the line with international industrial division standard--which not only makes for structural optimization and upgrading, but also facilitates the raw material supply for intensive processing links.
Baoshan-Mandalay Industrial Park has promoted the implementation of the Belt and Road Initiative. Compared with decentralized enterprises, outbound industrial parks, under the guidance of early planning, make efforts to attract targeted business investment in accordance with the industrial chain, which pools synergy among industrial enterprises and facilitates management effectiveness.
Located in the MIPC, Baoshan-Mandalay Industrial Park boasts a jealous-inducing location with roads, railways, airs, and water- and land-way leading in all directions. The city was approved in Myanmar with a planning site of 45km2. And it was under phased construction including standard workshop, warehouse, product exhibition center, office space, and living room. The development area of the first phase is 297 mu with 106,000 square meters total construction area which is worth investment amounts of 399.4673 billion yuan.
With Mandalay’s advantage in location, the Industrial Park is also committed to the construction of international warehousing transit station, which depending on Baoshan-Mandalay Industrial Park as an important Carrier of International Productivity Cooperation Facilitates access to international markets for domestic products, provides a vast realm for the development of export-oriented economy of Alliance Enterprises, and makes for an internationalized and sustainable industrial city that combines living, work, entertainment and investment.
Encouragements and preferential policies also go to local finished manufacturing which is an attraction for outbound investment and lessens Myanmar’s pressure by providing more than 300 thousand employment opportunities. Another attraction for outbound investment is Myanmar’s cheap labour force－between 800 and 1,000 yuan monthly on average. A series of tax deductions put forward by Myanmar Government attract enterprises to flood in a large crowd. According to Myanmar Investment Law, tariff exemption and GSP trade treatment of developed countries go to the required raw materials and equipment for the export product manufacturing. Ever since the Myanmar government, such developed countries as Europe, America, Japan and South Korea offer imported Myanmar ready-to-wear textiles trade preference that levies minimum tariffs or eliminates tariffs. What is more, the government provides exemptions from corporate income tax ranging from 3 to 7 years according to the location of the enterprise’s investment. All of these preferences in Myanmar make itself the favorite of garment manufacturing.
Including promoting local economic and social by opening up the border development, outbound industrial parks develop export-oriented economy by Promoting the gradient transfer of processing trade industry and expanding the development space of foreign trade. Further more, they can work as an international channel through which Baoshan’s location advantage and port advantage can be transformed into economic advantage, and through which the regional economic cooperation between China and Southwest countries will be deepened.
By grasping the chance of Belt and Road development and of BCIM Economic Corridor at this historic moment, outbound cooperation zones strengthen all-round cooperation with other countries in such fields as infrastructure, resources, production capacity, market, and talent attraction with the end to provide a one-stop service platform for overseas markets. Myanmar has played its significant role in the transfer of China’s textile industry.
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