China's Cosmetic Industry Prospering

China's cosmetic industry expects more than cosmetic success in the coming century, analysts said recently.

According to a national plan, the country's annual cosmetic industry output will reach 30 billion yuan (3.6 billion US dollars) in year 2000, with total exports valued at 150 million U. S. dollars.

The figure is expected to hit 80 billion yuan (9.6 billion US dollars) by the end of 2010, with export values shooting for 500 million US dollars.

"Thanks to opening-up policies and a betterment of people's living standards, China's cosmetic industry is maintaining a dramatic momentum," Zhang Dianyi, board chairman of China Perfume, Essence and Cosmetic Industry Association, was quoted as saying by today's Business Weekly.

Official statistics show that the output of China's cosmetic industry rose from 200 million yuan (24 million US dollars) in 1982 to more than 25 billion yuan (3 billion US dollars) in 1997.

"Given China's huge population, the industry is anticipating rosy prospects in the foreseeable future," Zhang said.
Sources from the association indicate that in developed countries, the annual per capita consumption of cosmetics is 35-70 US dollars, while the figure in China is only 20 yuan (2.4 U.S. dollars).

Industry experts believe several cosmetic products may stir up the domestic market in the coming years, including hair care and skin care products and goods that are used in beauty salons.

More than 3,500 licensed enterprises are now engaged in the sector in China.