Central Enterprises Plan To Invest Nearly Trillion In Xinjiang In 12Th Five-Year

During the '12th Five-Year' period, 31 central enterprises planned to invest 991 billion 600 million yuan in Xinjiang.

Wang Yong, director of the SASAC of the State Council, said in August 20th at the "central enterprises' Industry Promotion Committee".

The Promotion Committee was jointly organized by the State Council SASAC, the the Xinjiang Uygur Autonomous Region government and the Xinjiang production and Construction Corps, and the heads of 120 central enterprises attended the meeting.

The contribution rate of local industrial added value is over 70%.

The construction projects of central enterprises in Xinjiang are mainly concentrated on resources and infrastructure.

In addition to traditional oil resources,

In the central enterprises, the five power generation groups, the State Grid, Shenhua Group, the Three Gorges group and other energy enterprises have made great efforts to develop the rich coal industry in Xinjiang, build a coal base on the spot, and then seek for large-scale pportation from the outside of Xinjiang.

Zhang Xiwu, chairman of Shenhua Group, said at the conference that Shenhua Group will invest 100 billion yuan in Xinjiang during the "12th Five-Year" period. As of June this year, Shenhua Group has invested 10 billion 500 million yuan in Xinjiang.

Metallurgical enterprises also took a fancy to coking coal and other resources. Baosteel Xinjiang Bayang coking coal group and Xinjiang Changji Xinxin Industrial Development Co., Ltd. signed a cooperation framework agreement to jointly develop metallurgical coal resources in Changji Hui Autonomous Prefecture.

Xu Lejiang, chairman of Baosteel Group, introduced in the promotion conference that Baosteel plans to invest 41 billion 800 million yuan to Bayi Steel in Xinjiang during the "12th Five-Year" period and expand its annual capacity to 15 million tons by 2015, with a sales income of 70 billion yuan.

Guo Qiang, deputy general manager of Poly Group, also told the first financial daily that Baoli group plans to participate in the construction of copper mine in southern Xinjiang.

While developing resources, the central enterprises also provide support for the economic and social development of Xinjiang through the construction of infrastructure projects such as railways, highways, communications, water conservancy and hydropower.

China Southern Airlines (7.90,0.05,0.64%) group has also reached a strategic cooperation agreement with the people's Government of the Xinjiang Uygur Autonomous Region, and plans to build Urumqi into a Western gateway hub.

At present, China Southern Airlines has launched the route from Urumqi to Turkey.

Other central enterprises focus on investing in agriculture and animal husbandry.

COFCO group's 10.14,0.23,2.32% has become one of the largest tomato processing enterprises in the world. The group has also entered the safflower industry in Tahu basin, Xinjiang.

The Xinjiang fertilizer project of Huajin company of China ordnance industry group is mainly engaged in the urea industry.

In addition, central enterprises set up enterprises in Xinjiang, increasing local employment and fiscal revenue.

Various assistance and assistance activities of central enterprises will help improve people's livelihood. For example, the CIC Group invested 61 million 721 thousand and 900 yuan to focus on the free construction of Tori county's uxue reservoir.

According to the statistics of the SASAC of the autonomous region, as of the end of last year, a total of 44 central enterprises participated in the investment and development of Xinjiang's petroleum, petrochemical, coal, power, metallurgical and other industries. The total assets amounted to 573 billion 900 million yuan, and the total operating income was 444 billion 400 million yuan, with a profit of 55 billion 200 million yuan and a tax of 48 billion 400 million yuan.

The contribution rate of central enterprises to Xinjiang's industrial added value is more than 70%.

Xinjiang: anticipation of equity and tax dividends

While developing Xinjiang's economy, the way to share more development dividends in Xinjiang is the key to the form of cooperation and the adjustment of tax redistribution.

In the face of the large number of central enterprises investing in Xinjiang, the Xinjiang Uygur Autonomous Region prefers the form of joint venture between central enterprises and Xinjiang local enterprises, because joint ventures can not only pform Xinjiang's resources into equity, but also directly promote local employment and industrial development.

For example, Shenhua Xinjiang company signed a strategic cooperation framework agreement with Xinjiang Tianye (12.98,0.67,5.44%) company while expanding the Xinjiang market, and Xinjiang Tianye is the large state-owned enterprise of the eight division of the Xinjiang production and Construction Corps.

China Merchants Group also chose the Xinjiang production and Construction Corps Corps investment company as a partner.

Xinjiang's tax revenue has been heavily dependent on resources. Xinjiang has been striving to expand the scope of resource tax in order to stay in Xinjiang in the future.

After the central Xinjiang work forum, the state took the lead in the pilot reform of oil and gas resources tax in Xinjiang. From June 1, 2010 to the end of 2010, the local fiscal revenue of Xinjiang increased by 2 billion yuan due to the expansion of the resource tax.

As a pioneer area of resource tax reform, Xinjiang is also looking forward to bringing coal into the list of resources tax reform.

Xinjiang finance department official said that after the resource tax reform, taxation has the compensation significance for the exploitation of resources, and helps to increase the sources of local tax revenue. However, there is also a need to have a matching tax mechanism to compensate the interests of Xinjiang's main export areas and repair the environment.

Local people in Xinjiang further suggested that they hope to adjust their branches in the Central Plains enterprises from subsidiaries to subsidiaries, so that they can pay taxes in Xinjiang. At the same time, we hope that the value-added tax of Xinjiang's processing industry will be fully retained in the sectors such as pipeline and imported crude oil.