边境经济合作区保税仓库及出口监管仓库建设项目 Construction Project of BECZ Bonded Warehouse and Export Supervised Warehouse

Name

边境经济合作区保税仓库及出口监管仓库建设项目
Construction Project of BECZ Bonded Warehouse and Export Supervised Warehouse

Industry Involved

Modern service industry

Site

Qingshuihe Core Industrial Park of Lincang BECZ

Description

It is to give play to the regional advantages of Lincang BECZ in serving as forward position for China in building open economic pattern and as strategic position for China in accessing the golden path of Indian Ocean. By relying on the import and export customs clearance advantages of Mengding Qingshuihe Port as national first-class port and the industrial development basis of Lincang BECZ, it is to build a hub-type bonded warehouse in border areas, a international transfer, procurement and distribution base and a demonstration “Simplify Customs Clearance Procedures” base in the west of China.

Content

Construction scale: The planned land area of this project is 70,000 m² and total floor area is 72,000 m². It also includes the public bonded warehouse of 24,000 m², export distribution supervised warehouse of 14,000 m², circulating processing workshop of 6,200 m², joint-inspection operation area of 2,000 m², logistics distribution area of 13,000 m², bonded product exhibition and trading area of 10,000 m² and project operation and property service center of 800 m².

Construction duration: 2 years

Supporting Conditions

Lincang BECZ is an important strategic platform for China in accessing the Indian Ocean and also the most convenient land path towards Kyaukpyu Port of Myanmar. Lincang BECZ is honored as the “Southern Silk Road” and “Southwestern Ancient Silk and Tea Road”. Its is a key gateway for accessing Myanmar, connecting Indo-China Peninsula and linking China and countries surrounding the Indian Ocean. Its is also the most convenient node to go out of the Pacific Ocean and the Indian Ocean and jump out of the Strait of Malacca from Chinese mainland. The Qingshuihe Port, as a national Class-I port, is a key node which connects China and the “Golden Waterway” of South Asia and Southeast Asia.

In 2013, the import and export freight volume of Lincang reached 904,500t, where 210,300t from Qingshuihe Port, 445,300t from Nansan Port and 248,900t from Yonghe Port. It is expected in 2020 that Lincang BECZ will exhibit a basic industrial system focusing on export processing industry, import processing industry, green bioprocessing industry, tourist industry, modern service industry and plateau characteristic agriculture. Base on the planning, the surrounding areas of this project will focus on developing such industries as modern logistics, border trade and tourism, ecological creative factories and characteristic agriculture product processing. This project is in line with the regional industrial orientation. Lincang BECZ has completed the overall planning. Qingshuihe area has completed regulatory detailed planning. Land indicators are separately listed by the provincial planning. This project has completed the project proposal and is ready for construction.

Investment Estimate and Fund Raising

The total investment of this project is around RMB 178.01 million, including RMB 53.40 million of self-raised funds by enterprise and RMB 124.61 million of bank loans.

Preferential Policies Applicable

Preferential policies for investment invitation of this project are mainly reflected in the following three aspects: First, firmly establish the notion that service is the first investment environment. When this project enters the stage of registration and construction, the tracking service system, the one-time inform system and the time-limit handling system shall be carried out, and the registration and construction shall be completed in the shortest time. Second, for any investment projects which are in line with the national industrial policy and Cangyuan development planning, the approval or filing system shall be implemented according to different circumstances. Third, investors can enjoy the preferential tax policies provided by the State Council, the provincial government, the municipal government and the county government.

Market Prediction (Analysis)

In 2013, the import and export freight volume of Lincang reached 904,500t, and it is expected to reach 2,100,000t in 2020. It is projected in 2020 that the freight volume handled in the Lincang BECZ Bonded Warehouse and Export Supervised Warehouse accounts for 25% of total import and export freight volume, i.e., 525,000t. Relevant domestic and foreign experience shows that the freight handling capacity of bonded logistics projects is 7.5t/m²/a. Accordingly, it can be calculated that the total land demand of Lincang BECZ Bonded Warehouse and Export Supervised Warehouse is 105 mu, or 70,000 m².

Profit Model and Preliminary Benefit Analysis

Possible profit points of this project include such 4 aspects as: property development and sales, comprehensive service platform, operation and management revenue and proprietary project revenue. It is expected that, upon the completion of this project, the annual profit can reach RMB 31.486 million and the payback period is 7 years (including construction duration).

Risk Analysis

In this project, there may exist such three major types of risks as market risk, financial risk and management risk. After the completion of this project, the professional talents with rich experience in investment management and operation management will be introduced to the company's management personnel to regulate corporate governance, safeguard the legitimate rights and interests of shareholders and investors, improve the overall quality and the management level and promote organizational innovation and thought innovation in order to adapt to the ever-changing external environment.

Cooperation Pattern

Sole proprietorship, cooperation, joint venture and other patterns

Contact Information

Contact Unit: Investment Invitation and Cooperation Bureau of Lincang Border Economic Cooperation Zone

Contact Person: Shen Xiuqiang  13578444288

Ma Weiwei  13987016288

Luo Yuchang  13988395181

Tel.: 0883-6518585

Fax: 0883-6518585

E-mail: bhqdwhzj@163.com