Tibet Fair Organized to Attract Investment

The Tibet Autonomous Region will hold a trade and investment fair in Hong Kong in mid-October this year, the regional government announced Monday in Lhasa.

The regional government will recommend a number of local enterprises, display Tibetan products, make proposals for projects in Tibet for foreign investors to consider and seek business partners at the event, which is to be held October 15-19, Xu Mingyang, vice-chairman of the Tibet Autonomous Region, told the press at a news conference in Lhasa, capital of the Tibet Autonomous Region.

"We want the world to understand Tibet better and to participate in the development of the region.''

Besides holding a comprehensive exhibition of Tibet's beautiful landscape, its customs, folk art, historical relics and the current conditions of local life, organizers have concentrated greatly on the economic side of things.

Local products, such as ethnic handicrafts, medicine, agricultural and animal produce and forestry and mineral products will be on display.

The fair's organizing committee has agreed that a total of 96 projects, worth more than 11 billion yuan (US$1.33 billion), will be allowed to bid for investment at the five-day event, said Liu Changshan, deputy head of the region's development planning department.

"We want to emphasize environmentally friendly agriculture, mining industry, tourism, Tibetan medicine, building materials and environmental protection,'' Liu said.

"We are determined to turn tourism into one of our pillar industries,'' Xu said. "Our resources are unparalleled. So is our potential.''

The region's Tourism Administration has submitted 12 projects to the fair. It is expecting US$84.6 million of overseas investment to be secured to help finance the projects, which will cost 754 million yuan (US$90.8 million) in all, according to Zhang Wansheng, director of the administration.

The projects range from hotel renovation and vehicle renewal to the development of new tours for visitors to Tibet.

The region's tourism administration is also planning to establish five new tours that will cover all parts of Tibet.

"There are actually more than five, because they can be combined in any number of ways to suit the individual tourist,'' Zhang said.

The regional authorities will soon publish a package of incentives to encourage outside investment in Tibet, Xu said.

"Investors will be given a better deal here than in any other part of China,'' Xu said.

Investors will be offered tax breaks, the use of land, official financial assistance and the opportunity to partake in foreign trade.

Firms with investment from outside the region will only be charged 15 per cent of income tax, compared with the 33 per cent that they are currently charged, Xu suggested.

There will also be 45 charities at the fair that will be calling for public donations.

Of these charities, 20 are involved in culture and education, 16 in environmental protection, three in medical care and public health and six in basic infrastructure and public utilities. Together, they need a total of 5.54 billion yuan (US$667.4 million), according to Solang Cering, deputy head of the region's Department of Foreign Trade and Economic Co-operation.



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