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Planning and Demonstration of MOFCOM Rural Retailing Development Project Successfully Done
Tuesday,July 11,2006 Posted: 08:51 BJT(0051 GMT)  MOFCOM

The Ministry of Commerce maintained implementing the Project of Rural Retailing Development in 2006, and finished the approval of local planning on implementation of the Project in 2006 submitted by departments of commercial administration at all levels. By the end of June, the Ministry totally approved 1817 experimental counties, had 2287 experimental enterprises on files, up by 134% and 98.9% respectively compared with that in 2005. Now, among 2862 county-level units nationwide, 63% of them participated the demonstration of the Project.

Planning and Demonstration at all levels presented the following characters:

First, high enthusiasm to apply for demonstration in local areas. In 2006, Tibet Autonomous Region submitted the planning for implementation the Project of Rural Retailing Development for the first time. In the nation, among 1837 counties and cities applying for demonstration, 1075 ones were new, accounting for 58.5% of the total, and among 2624 enterprises applying for demonstration, 1813 ones were newly applied, accounting for 69.1% of the total. In Henan, among 145 enterprises applying for demonstration, 107 ones were newly applied, accounting for 73.8% of total applied for demonstration in the Province.

Second, big increase in number of networks for local planning. According to the aggregate of farming materials shops planned to establish and submitted by local areas, China planned to construct 259 thousand farming materials shops all over the nation in 2006, 4.31 times of the number of qualified shops in 2005, of which 214 thousand farming materials shops at village-level and 45 thousand at township level, as well as 11 thousand distribution centers were in the planning list. 7 Provinces, Shandong, Henan, Jiangxi, Heilongjiang, Hebei, Sichuan and Hunan, planned to establish over 10 thousand farming materials shops.

Third, enterprises engaging in agricultural material and post logistics took part in positively. In 2006, 624 agricultural material enterprises became the experimental units for the Project of Rural Retailing Development, accounting for 27.3% of total number of experimental enterprises and about 10% higher than that in 2005. Meanwhile, post logistics enterprises participated the Project of Rural Retailing Development, and 13 of them became the experimental enterprises, 9 more than that in 2005.

Fourth, strength of experimental enterprises improved to some extent. In 2006, registered capital of experimental enterprises under the Project was more than RMB1 million on average, hitting RMB8.51 million. Total planned investment for experimental enterprises to implement Rural Retailing Development Project in 2006 amounted to RMB24 billion.

(Source: Network Center of MOFCOM)

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