Border trade with Russia gets boost
By Zhi Shan (China Daily)Updated: 2006-11-06 09:24
Ye Xiaofeng, director of the province's department of commerce, said that strategic upgrading of economic and trade co-operation with Russia is one of the province's tasks to boost its foreign trade this year.
During this year's "Year of Russia in China," governors and mayors will meet for a week, and other activities such as the Sino-Russian High-tech Forum and Sino-Russian Enterprise Project Talks in Heilongjiang will be held.
To boost trade with Russia, Heilongjiang will optimize the infrastructure of its ports such as Suifenhe, Heihe, Dongning and Tongjiang. It will also focus on the investment and construction of medium- and small-sized ports.
Advantages
Heilongjiang, which shares a 3,000-kilometre-long border with Russia, has a massive advantage in imports and exports with the country.
There are 25 national ports along the border of Heilongjiang Province, which offers a convenient gateway to Russia and other Eastern European countries.
More importantly, the province also has some favourable policies for trade with Russia.
For example, banks from China and Russia have launched pilots for foreign trade settlement. Payment for exports to Russia can arrive at domestic ports in just one day.
Heilongjiang realized accumulated imports and exports of US$27.78 billion with Russia from 1990 to 2005. In 2005, trade volume between Heilongjiang and Russia reached US$5.68 billion, up nearly 50 per cent from a year ago. The figure accounted for around one-fifth of China's total trade with its neighbouring country.
This year is also expected to see significant jumps in Heilongjiang's trade exchanges with Russia. Trade volume hit US$4.8 billion in the first nine months of the year.
Now, Heilongjiang mainly exports light industrial and agricultural products and machinery to Russia and imports primary products, like energy and raw materials, from Russia.
Small- and medium-sized privately owned enterprises are now the top exporters and importers with Russia.
In recent years, co-operation between Heilongjiang and Russia has been broadened from agriculture, construction and wood processing to joint investment and technology imports.
In the first three quarters this year, turnover from economic and technology co-operation deals between the province and Russia hit US$150 million, up 57 per cent from a year ago; Heilongjiang businesspeople established 31 enterprises in Russia in this period, with investment totalling US$500 million, 260 per cent higher year-on-year.
Heilongjiang has primarily formed a science and technology co-operation regime with Russia, including the Sino-Russian Friendship Science and Technology Park and International Science City in Harbin, the capital city of Heilongjiang Province. There are also Sino-Russia co-operation centres for science and technology co-operation, agricultural technology and industrial technology.
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