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Longnan - A Hot Land for Exploiting in West China

  It is located in the southeast of Gansu Province, and covers an area of 27,900 sqkm. It administrates 9 countries including Wudu County, Cheng County, Hui County, Xihe County, Li County, Kang County, Dangchang County and Liangdang County, 242 townships and 3423 administive villages with a population of 2.46 million. 23 nationalities including Han,Hui,Tibetan and Zhuang etc lives here. It is only Yangtze River basin area in Gansu. In the mountains, it combines the sturdiness of the north and the beauty of the South. In the natural recourse, it contains 20 kinds of species, it contains 20 kinds of species, the sight is very vagary; in the weather, it's different in every place. The special geographic location and climate make it very beautiful.

  The feature of resources is as following. First, it is the special geographic location. Longnan is the south gate of Gansu, also the way from Southwest to Northwest. The development of Longnan is very important for the development of Gansu, and the development of the West. The 2nd, its biology resources is variety. Longnan covers an area of 175,836 mu, there are more than 1,300 tree species, of which 50 are rare species. There are also more than 300 wild animals including rare animals such as giant panda and golden monkey, more than 1,300 kinds of herbs. And it's the only area product tea, such as Yangba, Liziba etc. The 3rd is the rich hydro resources. There are 4 water systems consisting of Bailongjiang River, Jialingjiang River and Xihanshui River. There are 3,700 big or small rivers run off 27,900 million cubic meters and reserve storage of 4.2.5 million KW and developing quality of 2.23 million KW in the prefecture, 3,580 cubic meters per capita. The 4th is the mineral produces. 34 kinds of mineral products such as lead, zinc, antimony, copper, silicon and crystal etc. have been verified in 445 spots of Longnan. There are 12 million tons of lead and zinc in stock for the recent period and 20 million tons for tar period. This is the second largest mine of China. Antimony reserve is 149,000 tons, this is the third largest mine of China. Gold reserve is above 100 tons. The 5th is the good future of tour business. The stone carve "Xixiasong" and "Genxiong Monument " ,Wuhouci, Yingping ancient road, Wangxizhi Handwriting, Hadapu Long March Memory etc are well know both at home and abroad. It's a big resource area, also a poor mountainous area. In recent years, the people carry out the basic way of the party, work hard, create the condition, improve the facilities, and get a good progress. In the agriculture, understanding the policy, according to different economic condition make different decisions. In industry, have a foothold in market, bring the resource into play, and establish a new strategy policy. In the development of supporting poor, put the responsibility into effect, strengthen the assets of the government. This established the substantial base for the Western development.

  The Western developing is a strategy of China, also a chance for the West. Longnan will insist on the principle of facing market and exerting advantages, found a new economic frame, realize the strategy of science and education, decrease the gap between the advanced area, achieve the aim of wealth family and science and prefecture.

  In the practicing, the following will be emphasized.

  First, is to do the construction of environment. Longnan belongs to the Yangtze River Medium area, the soil losing is serious. To do well the work, it will stick to adjust measures to local conditions, following the natural rule, adopt the new mechanism, and shift the activity of the mass.

  The 2nd is to accelerate the construction of infrastructure. This is the base of the Western development, also the "bottle-neck" of the development for Longnan. The task is the construction of roads, collecting assets in many ways. In electricity wire netting, it will stand out the construction of countries, improve the covering rate. In towns, the emphasis is the strength of the economic force. It will adjust in 4 facts: The first, expedite the adjustment of economic force---At the premise of developing public-owned economy, strengthen the nonpublic economy, and found a new economic frame. The second, expedite the adjustment of industrial structure---At the base of developing agriculture, put the emphasize into the development of industry economy, expand the service of tour and diet actively.

  The 3rd is to accelerate the adjustment of the structure of agriculture. Under the demand of industrialization, develop the characteristic agriculture powerful. At the direction of markets, make full use of the resource of source, exploit the special products, and develop the pillar industry of country. By the adjustment of the economic force, put the economic development into a positive cycle orbit.

  The 4th is to develop the science and education powerfully. At the exploitation of science, mend the transform from scientific and technological achievement for the economic development. Grasping the practice of the economic development, infuse person with ability to the economic development.

  The 5th is to do work of supporting poor well. At the beginning of next century, put the work of supporting poor to emphasis still; stick to go the way of developing of supporting poor.

  Aiming the target of Western development and the development of Longnan, the following facts it will grasped. First is the mind emancipating. We will get rid of idea, established the new idea beneficial to the Western development. The 2ed is the training of person with ability. We will adopt the favorable policy, introduce the persons with ability. The 3ed is opening wider to the outside world. Longnan will grasp the chance of the Western development, introduce investment, persons with ability and technology, and improve the popularity of Longnan. The 4th is the devotion of investment .We will grasp the chance, strive for investment activity. We will abstract the foreign investment by the resource and item. We will also abstract the social distributed fund by developing nonpublic economy. We will get the fund from banks. We will transform the mechanism. According to the demand of market economy, reform and old mode of production, management and function, promote the development of the career. We will also optimize the environment. Expect for the construction for the Western development.

  Longnan is the only area in the Valley of Yangtze River in Gansu. So it is important to protect and construct the natural environment. The economic forest base area has added up to 2,880,000 mu. The fruit production reaches 120,000 tons with the output value of 360,000,000 Yuan. The natural system skeleton with the emphasis in “ long term precaution “”long term management “and “ native protection “has formed. In the past 10 years the area of manmade forests has reached 4,800,000 mu, with the area of the water and soil controlled of 9,950 sqkm. The development of greening and enhancement project the emphasis in town and has made progress really.    By the end of 1999, the area of forest has reached 16,287,400 mu, the forest covering rate is 38.9%. The industrious and brave people of Longnan welcome all the friends to cooperate in rebuilding a beautiful area.

  Wen County

  Wen County is located in the inner land of China and shares the border with Shanxi, Gangsu and Sichuan. It has jurisdiction over town districts and 25 townships.7 nationalities such as Hui, Han, Manzhu. Qiang, Zhuang and Korea etc live her harmoniously. The county covers a total area of 4994 sqkm including 340,000 mu of arable land and has a population of 250,400.

  The county was called Yingping in the ancient time. Wen County has rich natural resources, the future is good. First there are enough light, the climate is warm. Special products involving Wendang, prickly ash, tea and aquatic products etc can be developed in different areas. The second, the county has more than 360 small rivers with annual run-off of 9000 million cubic meters. The installed power capacity 2.47 million kw. 127 spots if large and medium size stations with installed capacity of 1.75 million kw can be constructed. The third, the mineral resources are rich, the mineral products including gold, copper, silicon, manganese and marble etc. The fourth, some well know scenic spots involving Bikou, Tianchi and Bailongjiang natural protection zone for giant panda and golden monkey are located here.

  Wudu County

  The county is located in the southern part of    Gansu, lies in the Qingling mountainous region. And neighbor with Shanxi. Sichuan. It jurisdiction over a district,6 towns, 38 townships, 767 administrative villages, including a population of 520,000. There are freely ravines and mountains, combining the grand of north with the beautify of south.

  It belongs to the climate transmitting from subtropical to temperate, the weather is warm, it can grow walnut, apples, prickly ash, orange, tea, oil olive, fig and cherry etc. There are 1300 kinds of famous species, the products of “Jiezhou maofeng tea” and” Suxiang maojian tea” are famous for the savory, the forestry area is 1,458,300 mu. There are plenty of Chinese traditional medicine, including 350 kinds of famous medicine, special for Huanglian, Banxia, Dahuang, Dangshen, Tianma and Duzhong, which enjoy the fame both at home and abroad.

  There are 3 water systems including Bailongjiang, Xihanshui and the annual run-off is 5300 million cubic meters, the power reserves is 706,200 kw.

  There are more than 30 kinds of mine found, including iron, gold, copper, coal etc. The traffic is convenient, the 212 state road run across the country. The business is active; there are Nanqiao market and Sanhe prickly ash market etc. Welcome all the travailing merchant to join in the cooperation.

  Hui County

  Located in the southeast part of Gansu Province, it is on the upper reach of Jialingjiang River and shares the border with Gansu and Sichuan. The jurisdiction including 18 towns and the population is 220,600. The county has temperate climate, enough rainfall, rich resources and fertile soil.

  The natural resource is very rich. It covers a forest area of 1.7537 million mu with covering rate of 43%. There are 257 kinds of wild animals and plants, including over 10 rare animals in the county. Herbs including honey suckle cucommia, Tianma and Chinese medicinal material etc which are well known by the county. Wild products include Chinese goose berry, gingko, walnut, and edible fungus etc.

  The resource of mine is abundant also.4 kinds and 22 species of mineral resources involving lead, zinc, iron and lime stone etc have been verified in the county.

  There plenty of water resources in Hui county, it has more than 600 rivers, with the length of 2,216 km. The run-off amount annually is 198,600 cubic meters, the reserves of water resources is 147,600 kw.

  It enjoys convenient traffic conditions. Baocheng railway, No.312 States highway and Jiangwu highway go across it.

  The industrial system with mineral products, construction material and agro-products progressing etc has been formed.

  Welcome the people both at home and abroad to visit and invest in the area.

  Cheng County

  Located in the bottom of Longnan, it belongs to Huicheng basin area of Qingling and lies on along Jialingjiang River of Yangtze River. Now its jurisdiction over a district, 6 towns and 16 townships, with a population of 261,300. The annual rainfall is 650 mm, the sun duration is 1,795 hours, and the average climate temperature is 11.9 OC. There are 615,000 mu forest land and 139,600 mu pasture land including more than 1000 kinds of herbs.

  It was listed an opening county by the state and listed as the Xicheng Economic Development and Experiment Zone and one of the  commercial grain producing base areas of the state in 1998. The county has rich mineral resources such as the lead, zinc, copper, iron, gold, silver, magnesium, coal, marble, dolomite, quartzite etc. The storage capacity for lead and zinc is more than 11 million metal tons. The storage capacity for marble is 9200 million tons. The developing quantity for water energy is above 44,700 kwh. The crops include wheat, com, bean and buckwheat etc. The economical trees include mulberry, walnut, apple, pear, persimmon, prickly ash and buckwheat etc.

  In recent years, great changes have taken place in lead and zinc developing. The communication conditions are very convenient; it has an enough electric power. 

  Well known scenic spots such as the Jiming Mountains, the “Xixiasong”, Dufu’s memorial Hall and Wuting monument etc attract more and more tourists from both home and abroad.

  Li County

  The county has jurisdiction over 2 towns and 34 townships including an area of 4299.92 sqkm and a population of 503,300. The agriculture products include wheat, corn, potato and soybean. The economic fruits include prickly ash, apple and walnut etc. The Huaniu apple produced by the county has nice taste and been given good quality product certificate by the Foreign Ministry of the state in 1980. There are 53 kinds of animals and plants fro medical use. The “Five Flowers”, involving rhubarb, Chinese angelica, Asia bell and pinellia etc, are well known by the world. The county has an area of 759,000 mu for forest and 1.444 million for pasture land.

  The county has rich mineral and water resources. More than 10 kinds of mineral products such as lead, zinc, copper and gold etc have been verified. The gold reserve capacity is 27.8 tons with future storage capacity of more than 100 tons. Xihanshui River goes across the county.

  The county town is 98 km from the Tianshui station, 83 km from Luomen station. It has complete communication system. Program controlled telephones have been connected to the network of the county.  

  Li County has a long history and many scenic spots. These spots have attracted more and more tourists.

  Xihe County

  Xihe County is located in the south side of west Qingling and is at upper reach of Xihanshui of Yangtze basin area. It has jurisdiction over 24 townships including an area of 1861 spkm and a population of 353,700. The human ancestor Fuxi was born here.

  In the period of Weijin, Yangmousou founded state in this place, which was called “Chouchi State”.

  The county enjoys humid climate and clear four seasons. It produces wheat, corn, potato, buckwheat, more than 1000 kinds of wild plants, and 358 kinds of medical herbs. The county produces more than 5000 mu pinellia in northwest China. The agro-by products include potato processing, carpets and straw knitting. Animal husbandry breeding involves sheep, pigs and chicken etc. Mineral products include marble, and peat etc. Xicheng Lead and Zinc Mine have reserve deposit of 35.46 million tons. The Antimony mine has deposit of 5.21 million tons. The reserve deposition of rock gold is 10 tons. The installed capacity of hydro power resource is 63313 kw.

  Xihe County was listed the water conservation county and the protection trees construction county along upper reach of Yangtze River by the State Council in 1999.It is also one of the 5 economic development experimental zone counties of Gansu Province.

  Dangchang County

  It is located in the northwest part of Longnan, covers an area of 3331 aqkm, including of 451,000 mu of plantation. It administers one district, 6 towns, 25 townships, 345 administrative villages with a population of 284,200.

  The resource is abundant, it has a good future. First, the Chinese traditional medicine is famous. There are 636 kinds of medicine; special for Danggui, Dangshen, the planting area is 60,000 mu, with the production of 6,000 tons. The second, the resource of Grass Mountain is abundant. It has 1.25 million mu of grass area, and the quality is best. The third, the resource of forest is rich, there are 1.5 million mu of forest area, and the forestry rate is 32.2%. The animals founded are Tibetan Antelope, She, Sumenling etc. The fourth, there are plenty of mineral resource, including gold, antimony, copper, zinc manganese etc. The fifth, the resource of water is rich. There are 78 rivers, including Bailongjiang, Minjiang etc, the storage of water resource is 265,000 kw, the part which can be used is 66,000 kw. The sixth, the agricultural and sideline products are complete. Dangchang can grow large quality of soybean potato, oats, buckwheat, prickly ash, walnut, honey, edible fungi and leather etc. The seventh, the business of tour is good. The Daheba is beautiful spot waiting for visitors; the Hadapu Long March monument is a sacred place of revolution.

  Kang County

  Located in the southeast part of Gansu Province??it lies an important part of ?° Jin San Jiao ?±of Shanxi, Gansu and Sichuan. The climate belongs to transmitting zone from subtropical to temperate. The average climate is 11oC. The county has jurisdiction over 1 district, 8 towns and 20 townships including a population of more than 213,800 and an area of 2958.46 sqkm. It has another name of ?°Rice and Fish Town of Gansu?

  The county has great potentiality for forest products development.172 species and more than 700 varieties of plant grow in a forest area of 3.5 million mu. The timber storage is 6.85 million cubic meters. There are more than 30 kinds of economic trees, 38 rare trees species, 96 kinds of fungi, 567 kinds of herbs, more than 20 kinds of rare animals and more than 300 kinds of agro-by products in the county. The annual output yield for walnut is more than 2 million kg. Edible fungi and lentinus etc have been bred in a large scale. Silk, green tea and Huicai etc are produced here with nice prestige. The county was listed one of the 10 strongest counties for fruit trees production of the province in 1997 by the provincial government. The mineral products include gold, copper and iron in more than 20 varieties. The copper reserve in Yangba is 2.66 million tons. The resources of tour are in a good future, the scenery of Yangba is very beautiful.

  Liangdang County

  Liangdang County is located at the upper reach of Jialingjiang River and the southeast part of Gansu Province. It leads south to Sichuan Province and north to Shanxi Province.

  The county is rich in natural resources. Since the 3rd plenary Session of 14th CPC Central Committee, great achievements have been made in agriculture, forestry, side occupation and fishery. The average per capita for grain is 650 kg and the forestland in the whole county is 1.48 million mu. The county is also rich in gold, silver, pottery clay, coal and water energy resources. It is a nice place for investors both at home and abroad.

  Liangdang is also a famous scenic spot. The Dengzhen Cave in which Zhang Guolao, one of the eight immortals, practiced Taoism, and other landscapes are well known through the county. The great ancient poets Dufu and Luyou once traveled here and left poems and songs. The county has also a glorious history of revolutionary struggle.

  The Polices Regulation of Longnan Gansu Province on Encouraging and Guiding Foreign Investment

  Method of Foreign Investment

  Foreign business can make investment by adopting the following methods:

  (1) Setting up enterprises in which the investor possesses all capital;

  (2) Setting up joint ventures or cooperative enterprises;

  (3) Setting up share holding enterprises;

  (4) Carrying out compensatory trade, processing with Supplied materials and assembling with supplied parts;

  (5) setting up BOT(Build, Operate and Transfer) Projects;

  (6) Operating state-owned, collective and private enterprises within the prefecture by assembling with supplied parts;

  (7) Purchasing real estate;

  (8) Obtaining land-user right according to law and engaging in development operations;

  (9) Making joint investment to establish special construction funds or investment companies.

  Guidance to Foreign Investment area

  Longnan welcomes foreign business to set up foreign-invested in the city, particularly encourages foreign businesses investing in the ?°two points and one line ?°area. (Xicheng economy development zone, Bikou industry development zone and the lines of counties and towns along the road between two points ) and the area of one district and eight counties.

  Foreign Investment Industrial Guidance

  (1) Jointly building and operation and water conservancy project; Water-saving agriculture the transformation of medium and low-yield farmland and the development of barren hills and wasteland, building and operating improved variety cultivation bases and advanced agricultural demonstration base; wild pepper, apple, walnut, aquaculture, vegetable growing, tea growing, mulberry, fruit orchard, mushroom, cultivation and edible wild herbs processing.

  (2) Use rich resources of silicon and electricity to building and developing factories of ferrosilicon, silicon manganese carbon-manages silicon oxide, and crystallized silicon in Wenxian and Wudu County. Building the factory of lead and zinc smelter in Xicheng Development Zone. And gold mining, place gold, processing and metallurgy in Li County and Wen County. Developing barite, marble and limestone products at area, encouraging investors make geological prospecting of natural resources. Every investor has priority, which have a hand in developing geological prospecting.

  3Building and operating good-quality highways; Jointly building and transforming highway network jointly constructing and operating local railways within Longnan.

  (4) Constructing and operating hydropower stations with rich water resources in area.

  (5) Jointly building advanced communications facilities.

  (6) Jointly developing land piece after piece and necessary facilities.

  (7) Jointly tartans forming the old city proper and municipal facilities.

  (8) Investing and constructing in projects of ecotype environmental and administered.

  (9) Foreign businessmen can adopt a variety of methods to participate in the technical renovation of existing state-owned, collective and private enterprises with in the limit of the city. They can participate in the transformation of a workshop or a product, in the transformation of the entire factory and the transformation of the whole trade or purchase the stock right.

  (10) Welcome foreign businessmen building and operating hospitals, schools, stadiums and gymnasiums, culture public place of entertainment, tourist scenic spot and other public welfare services.

  Preferential Polices for Foreign Investment

  Foreign-funded enterprises enjoy the following decision-making rights:

  (1) Foreign-funded enterprises enjoy autonomy in the aspects of human, financial and material resources, production, supply and marketing as well as in operation and management;

  (2) Foreign-funded enterprises independently decide on the wages and bonuses for their employees. They can also independently decide on various allowances except otherwise there are state stipulations;

  (3) Foreign-funded enterprises independently decide on the recruitment and dismissal of their employees. They are allowed to engage in trains-regional and trains-provincial recruitment and do not need to report to labor management departments for approval;

  (4) Foreign-funded enterprise has the right to set up organizational institutions, employ and dismiss responsible persons at various levels in accordance with its stature; 

  (5)A foreign-funded enterprise which buys at home or from abroad, office and daily-use articles (including automobiles and motorcycles) for its own use, is exempt from the control of the purchasing power of social groups, and from local extra charges;

  (6) The proportions of products of a foreign-funded enterprise for internal and external sales, except where there are special state stipulations, are free from restriction;

  (7)A foreign-funded enterprise enjoys autonomy in setting prices for its products;

  Priority guarantee is given to land use, recruitment of work force, the supply of raw materials, water and pore, import and export quotas and various other production elements, on the basis of mutual benefit give free let factory building place, and facilities of now available enterprise.

  A foreign-funded enterprise enjoys the following preferential taxation policies:

  (1) A productive foreign-funded enterprise scheduled for an operational period of over 10 years is exempt from enterprise' income tax for two years beginning from the first profit-mailing year, and given a 50 percent reduction in enterprise income tax in the third through the fifth years;

  (2) A foreign-funded enterprise engaged in agriculture, comprehensive development, communications, energy and other infrastructure construction should pay enterprise income tax at a 15 percent reduced rate if so approved;

  (3) After the expiration of the period during which enterprise income tax is reduced or exempted according to state regulations, an export oriented enterprise whose export product value reaches more than 70 percent pf the output value of products is granted a 50 percent reduction in enterprise income tax according to the current tax rate. After the expiration of the period when enterprise income tax is reduced or exempted  according to state regulations, a technologically advanced enterprise is granted a there-year extended period of a 50 percent tax reduction.

  (4) For a technology or knowledge intensive productive foreign-funded enterprise set up with particular encouragement as stated in Article 5 of this set of Regulations, enterprise income tax is levied at a reduced rate of 15 percent, or after paving tax in according with state-stipulated rate that part of tax paid at a rate higher than 15 percent will be returned to the enterprise by the financial department at the same level;

  (5) For a foreign-invested project, which is in keeping with the encouraged category and the restrictive category Bas, stated in the industrial Catalog Guiding Foreign Investment and which transfers technology, the self-use equipment it imports with money taken from the total value of investment, except for commodities as listed in the Catalog of Foreign Invested Project's Imported Commodities Not Granted Tax Exemption, are example from customs duties and import value-added tax;

  (6) For a project set up in keeping with regulations, the technologies and a reasonable quantity of parts and auxiliary equipment and reserve parts imported along with equipment in line with the contract are exempt from customs duties and import value-tax;

  (7) For foreign businessmen who use the profits gained from the enterprise to reinvest in the enterprise or set up another foreign-funded enterprise for and operational period of no less than five years, 40 percent of the income tax already paid for the re-investment part can be returned with approval; for an export oriented or technologically advanced enterprise set up or expanded and scheduled to be operated for at least 5 years the enterprise income tax already paid for the re-investment part can be returned with approval;

  (8) Foreign businessman can freely remit out of China the profits of (interest and Pidends) which after the tax gained from their invested enterprise, and are exempt from income tax;

  (9) With approval from tax authorities, a productive foreign-funded enterprise is exempt from city real estate tax for 5 years, and a non-productive foreign funded enterprise is for 3 years;

  (10) Vehicles of a foreign-funded enterprise (except for those engaged in communications and transport service) are exempt from driving license tax on vehicles;

  (11) A foreign-funded enterprise is exempt from animal slaughters tax;

  (12) The raw materials, device, fuel, parts and components, auxiliary materials and packaging materials needed for carrying out the product export contract can enjoy bonded preferential treatment.

  A foreign-funded enterprise enjoys the following preferential treatment in the land use.

  (1)Foreign businessman can obtain land-use right according to law for the development of jointed tracts of land, the longest land-use right is:

  Agricultural land use 60 years; residential land use 70 years; industrial land use 50 years, and commercial service land use 40 years. After expiration they can apply for an extended period according to law. Getting by form of transfer the land-use right. During the period of the land-use right, they can transfer, lease or mortgage the land according to law;

  (2) The following preferential policies cover the selling price of land-use right;

  1. For building new development zones based mainly on industry by developing jointed tracts of barren hills and wasteland, the land sale fee is collected at a 15 percent reduced rate; at the prescribed place levied.

  2. For developing agriculture, forestry, animal husbandry and fishery projects by exploiting barren hills, wasteland and water surfaces, the land sale fee is collected at a 50 percent reduced rate at the prescribed place levied.

  3. For the establishment of a joint renovated project in which the Chinese side uses land converted at a fixed price as its contribution of funds, the land sale fee is collected at a 15 percent reduced rate at the prescribed place levied.

  4. For industry being particularly encouraged as stated in Article 5 of this set of regulations, and a productive foreign-funded enterprise set up within the development zone, the land sale fee is collected at a 20 percent reduced rate at the prescribed place levied, or land is allotted upon approval from the provincial government;

  5. For foreign-funded enterprises set up in barren hills or sea beaches not suitable for agricultural development, the land sale fee is exempt.

  (3) For a foreign-funded enterprise which obtains the land-use tight by the selling method and industry whose development is being particularly encouraged as stated in Article 5 of this set of Regulations as well as a foreign-funded enterprise set up within the development zone, the land use fee is exempt;

  (4) For a foreign- funded enterprise, the land use fee is exempt during the capital construction period (two years); for those development is being operational period of over 10 years, after going into production or opening for business, if it involves an investment ranging from US$50,000 to US$1 million, the land use fee is exempt for five years; if the investment ranges between US$1- US$3 million, the land use fee is exempt for 7 years; that between US$3- US$5 million. The land use fee is exempt for 10 years, that involving well over US$5 million; the land use fee is exempt for 15 years.

  A foreign-funded enterprise participation in the renovation of old cities is granted a 50 percent reduction in the commercial outlet support fees urban infrastructure support fees urban infrastructure support fee, increased capacity fee and civil air defense structure fee; export-oriented and technologically advanced enterprises, and those engaged in energy, communications and infrastructure construction, and producing raw materials, are exempt for the urban infrastructure support fee.

  (1) Foreign staff of a foreign-funded enterprise and their family members all enjoy the same treatment as residents as area in terms of charges while away on official business, travel, board and lodging, medical treatment, shopping, sending children to nurseries or school and admission tickets to tourist scenic spots;

  (2) A foreign-funded enterprise, which earns us $1 of forei8n exchange through export, will be granted 0.05 Yuan of inland transport subsidy by the local financial department at the sane level.

  A foreign-funded enterprise engaged in the development of industry as listed in Foreign Investment Industrial Guidance enjoys the following auxiliary preferential teams:

  (1) Priority will be granted to the Chinese party in a joint venture to arrange a special loan to support the foreign investment, of which a project involving foreign investment above US$2.5 million will be included in the local key capital construction and technical renovation plan, and priority arrangements will be made for state asset investment, developmental loans and technological renovation loans;

  (2) For joint and cooperative renovation projects in which the Chinese enterprise uses existing factory buildings, sites and equipment as its investment, after the asset price as confirmed through evaluation, the transaction price can float down 5-10 percent;

  (3)For those engaged in the construction and operation of local high-grade highways, bridges and tunnels, the toll standard for vehicular traffic is based on the autonomous charge at a fixed proportion higher than the toll standard for highways of the sane grade in the province, within the operational period, the government will no longer approve construction of any other new competitive projects. If anticipated profits cannot be obtained within the operational period, this can be extended until reasonable profits are obtained; 

  (4) For those engaged in the construction and operation of power stations, the electricity charge on the power grid shall be appraised and fixed leniently according to related regulations. Power departments are responsible or purchase and sales;

  (5) For those engaged in the construction and operation of hospitals, primary schools, environmental protection projects and approved social welfare services, the Chinese side can be granted supportive construction funding subsidies;

  (6) For projects engaged in the development of tracts of barren hills and wasteland used for agriculture, forestry, animal husbandry and fishery the government will create an agricultural construction fund for auxiliary development;

  (7)Other special supportive preferential terms approved by the government.

  A foreign-funded enterprise can raise funds for construction, production and operation by adopting the following methods and channels:

  (1) With approval, it can issue public bonds and stocks within the enterprise;

  (2) A foreign-funded enterprise can in line with relevant state regulations on foreign exchange control open an account in banks granted foreign exchange management right, and handle foreign exchange income and expenditure and financial business;

  (3) A foreign-funded enterprise can borrow and repay on its own. With approval fit can borrow from abroad with guarantees from the Chinese side.

  A foreign-funded enterprise, which has difficulties in achieving foreign exchange balance within the operational period, can will be approved by the Administrative Office of Longnan, can buy products for export from other units, so as to striation a foreign exchange balances.

  With approval from the authorities, a foreign-funded enterprise can accelerate the depreciation of fixed assets from the year of officially into operation.

  A foreign-funded enterprise share holding enterprise of which foreign businessman have 25 percent shares enjoys import and export autonomy;

  A foreign-funded enterprise set up inside or outside the province, which runs a new enterprise in our city, in which foreign assets account for over 25 percent of total investments, can enjoy the preferential polices as stated in this set of regulations.

  Intermediate organizations and inPiduals who introduce direct foreign investment will be granted an appropriate award in accordance with the actual amount of funds in place for a joint venture or cooperative enterprise. The awards will granted by the Chinese side, which benefits from the enterprise. For a foreign-funded enterprise. The award will be granted by the county or city people’s government benefiting from the foreign-funded enterprise rewarding rate are as followings:

  (1) Under 100 million Yuan (including 100 million Yuan) of foreign capital volume, the interest-free loan counting 3 percent. With interest loan counting 2 percent and the free fund counting 4 percent reward;

  (2) Foreign capital volume is 1 to 500 million Yuan (including 500 Yuan), which 100 million Yuan counting 1 percent, the rest with interest loan counting 0.4 percent, the interest-free loan counting 0.6 percent, the free fund count 0.8 percent;

  (3) The foreign capital volume is 5 to 1000 million Yuan (including 1000 million Yuan) which 500 million Yuan counting 0.8 percent, the rest with interest loan counting 0.2 percent, the interest-free loan counting 0.4 percent, the free fund counting 0.6 percent;

  (4)Over 1000 million Yuan of foreign capital volume, which 1000 million Yuan counting 0.5 percent, the rest with interest loan counting 0.5 percent, the rest with interest loan counting 0.2 percent, the interest-free loan counting 0.4 percent, the free fund counting 0.4 percent.

  Bonus counting that to account of the actual investment capital, and will be rewarded by the kinds of currency that invested.  People’s department of every county also can define rewarding measure according to the actual of them.

  Taiwan, Hong Kong and Macao compatriots and overseas Chinese who donate funds or production equipment worth over US$100,000 for setting up a productive enterprise for their domestic relatives and those who donate funds or production equipment used as investment in the domestic enter upraise of buying share worth more than 25 percent of the enterprise total value of assets, can apply for setting up a foreign-funded enterprise and can enjoy the preferential policies as stated in this set of regulations. Civilian housing built or purchased by an inPidual who should pay housing property tax are exempt for the time being.

  For Taiwan, Hong Kong and Macao compatriots and overseas Chinese who each have made actual investment of well over US$100,000 can designate one household of their relatives in our prefecture to settle down as an urban household in the location of their invested enterprise and are exempt from urban added-capacity tax.

  For Taiwan, Hong Kong and Macao compatriots and overseas Chinese who each donate over US$50,000 for an enterprise or public welfare service in our city, the Administrative Office of Longnan will grant an honorary certificate encouragement; if the value of the donation accounts for over 80 percent of the total investment of the public welfare service, then with approval from the Administrative Office of Longnan ,this can be named after himself or his family member.


The View of LongNan

  The Wanxiang Cave lies on the south bank of Bailong River. It is the biggest karst cave in the Northwest of China, formed in 25million--300 million years ago. This is a karst country with a thick overlay of spectacular limestone. About 4.5 km long, 180 sights be opened for tourist now.           

  Xixia Scenic Attraction Spot is famous of  the 'Xixia' engravings on rock. The 'Xixia' engravings on rock was carved at 171 AC, the period of the Eastern Han Dynasty , and become the best official script carved on rocks of Han Dynasty now. The landscapes in Xixia spot is characterized by its spectacular hills, its crystal clear water and the plank road winding around mountains.

  The Cock-head Mountain National Forest Park lies 3 kilometers from the southwest of Cheng county It's main peak is 1917 meters high above sea level. The whole scenic spot include of Cock-head landscape, the Memorial Temple of Dufu and Wuxian Hill Cave. The Cock-head Mountain is covered by forest trees, famous of  the ‘green cock head', the Wuxian Hill has most of karst caves and the Memorial Temple of Dufu is the earliest of 37 memorial temples in China.

  About 16 kilometers north of Li county, the Kings'mausoleum of the state of Qing in Dabuzi hill is the earliest group of tombs of Qing dynasty. According to the historical records,‘Xichui Palace', the capital of the state of Qing lied on the north of Dabuzi hill, these mausoleum are propoly of King Zhuang ,King  Xiang or King Weng. With the Terra-cotta Legions,the mausoleum are on the same tour line now.

  The Memorial Temple of Zhugeliang on Qi Hill lies 24 kilometers east of Li county. It is the center of the Three States battlefield and the places of strategic importance of warpath of Shu State against Wei State. The memorial temple on Qi hill is one of the main five merorial temples of Zhugeliang in China. It was built in the Jing Dynasty, and some of the palaces were built in the Ming Dynasty and Qing Dynasty.

  The Yangtang Lake is One of the six large mountain-lake in China, lies on Wen county. Landscape of Yangtang Lake is characterized by its crystal clear water, snow mountain, grotesque peak and colorized forest trees. There are profuse vegetation and variety of animals, such as the giant panda, gold monkey .The antique culture of Di, Qiang and Zang nationnalities is worthy for visiting.

  The Baima-zang Nationality live in Tielou village, Wen county. They are descentdant of old Di nationality ,and part of Zang nationality now. They reserve distinct folk custom with Zang nationality, such as living, marriaging, religion and so on. The Bai ma-zang nationality folk custom village will show the old culture to visitor.

  Qiujiaba Ecotypic Tour Village lies on the Baishui River National Natural Dependencyabout 2350 meters above sea level. The Tour Village covers an area of 15 square kilometers, covered with vigin forest. There are profusion of vegetation and animals. Because of the well environmental protection, the Village have fresh air and picturesque scenery.


  Project Title: Salitan Scenery Spot of Hui County

  Project Sponser:The Tourism Administration of Longnan Prefecture

  Total Investment: 1200 thousands USS

  Cooperation Form: Sole Propietorship,Joint Venture and Cooperation

  Construction Contents:Foundations & Service Establishments

  Construction Conditions: About 20 kilometers far from the Hui

  county train station, Santan scenery spot has convenient traffic. Include of 72 grasslands 13 asttraction spots and 60 scenery spots. Landscape in Santan is characterized by its exotically-shaped pinnacles, clear waterwa-ys, mountain grasslands and notable anim-als.


  Project Title: Daheba National Forest Park

  Project Sponser:The Tourism Administration of Longnan Prefecture

  Total Investment: 1820 thousands USS

  Cooperation Form: Sole Propietorship,Joint Venture and Cooperation

  Construction Contents:Foundations & Service Establishments

  Construction Condition: Daheba National Forest Park covers an ar--ca of 150 square kilometers, about 1748-4154 meters above sea level. It is distinct continental climate, a climate of great lapse rate. There are 40 scenery sights, characteri-zed by its virg!n forest, exotically-shaped mountains, grotesque caverns, and unique spring. There live 20 village of old Qiang, Zang nationalities. They have kept the cust-om of 'Ban Wu' and ancient duds of theWarring States Period.


  Project Title: The Red-army Long March Memorial of Hadapu

  Project Sponser:The Tourism Administration of Longnan Prefecture

  Total Investment: 1135 thousands USS

  Cooperation Form: Sole Propietorship,Joint Venture and Cooperati01

  Construction Contents:Foundations & Service Establishment

  Construction Conditions: The Red-army Long March Memorial of Hadapu is the national cultural relic unit.

  The Red-army had lived here for one mo-uth in 1935 ahd 1936. There have relicsof 'Abode of Maozedong', 'Abode of Z- bouenlai' and 'the assembly room of theRed-amy cadre'. The memorial have 82 rooms, 160 revolution relics and 110 rev-olutionists' calligraphy.


  Project Title: The Guan'ergou Forest Park

  Project Sponser:The Tourism Administration of Longnan Prefecture

  Total Investment: 1550 thousands USS

  Cooperation Form: Sole Propietorship,Joint Venture and CooperatiG

  Construction Contents:Foundations & Service Establishments

  Construction Conditions: The Guan'ergou Forest Park lies 2 kilom-eters from Dangchang county. It coves a-bout 7513.6 hektares area. There are abo-ut 20 scenery spots.Charactized by its f-orest, waterfall, gorge and folk custom of minority nationalities.


  roject Title: Yunping Scenery Spot

  Project Sponser:The Tourism Administration of Longnan Prefecture

  Total Investment: 1037 thousands USS

  Cooperation Form: Joint venture

  Construction Contents:Foundation & service foundation in the spot

  Construction Conditions: Yunping Scenery Spot lies on the south elLiangdang county, near by the Santan Sc-enery Spot. The film'White Lotus Flower'had been shot here. Yunping Scenery Spotcharacterized by its overlaped maintains,luxuriant virgin forest and cloud-kissing peaks.


  Project Title: The Dengzheng Cavern of Zhangguolao~d5~~ _

  Project Sponser:The Tourism Administration of Longnan

  Total Investment: 1037 thousands US $                

  Cooperation Form: Sole Propietorship,Joint Venture and Cooperati0

  Construction Contents: Foundations & Service Establishments

  Construction Conditions: The Dengzheng Cavern of Zhangguolao is 17 kilometers far from the Liangdang co-unty. Zhangguolao was a famous Taoristin the Tang dynasty. The cavern ,where he'achieve the way', was named 'Dengzheng Cavern' by the Song Emperor. The cavern becomes a famous Taosim center now, and the scenery is very beautiful around it.


Produced By 寄査利大 寄査井宥窟下狼由