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Service Industry (Modern Logistics Industry)

  Present Situation

  During the Tenth Five-year Plan, based on the railway, highway hinges in the southwest region, the logistics industry of Guiyang takes the transfer stations of Guizhou Province and southwest region as the main body, and the warehouse groups of Ergezai, Niulangguan, and East Railway Station as the distributing centers. We have made great progress in the specialization, scale, and intensification of the roadway cargo transportation, and the connections among different transportation modes. We have also made great progress in promoting modern logistics service by the joint efforts of transportation, storage, and distribution companies, and in strengthening cross-provincial transportation. During the Tenth Five-year Plan, the increase rate of logistics industry is 15.25%, which is 4% higher than the growth rate of Guiyang’s GDP in the same period. The comprehensive service level of the logistics industry of Guiyang has been greatly improved, and the scale of box transportation and container transportation is enlarged. Break-through of management has been made in the logistics companies which have overcome the limitation of pure transportation or storage services, and actively provide multiple services to the clients.  

  In order to accelerate the development of the logistics industry, Guiyang has constructed several logistics parks, among which the Guizhou Qianshui Southwest Logistics Center under construction covers an area of 320 mu, and is very close to Guiyang West Railway Storehouse. In the west are the Guikun Railway(Guiyang to Kunming) and the Huaxi 2nd Roadway under construction. Besides, the Guiyang Baotong Industrial Logistics Park is located in the Baiyun District with an area of 180 mu. Its total investment reaches 180 million Yuan.

  Industrial Development Advantages

  Guiyang enjoys a convenient transportation system, and it is an important highway transportation center of the southwest region of China, and also a main passage from this region to the ASEAN Free Trade Zone. Within the province, there are 4 main electric railways, namely Chuan Qian(Sichuan to Hunan), Xiang Qian(Hunan to Guizhou), Gui Kun(Guizhou to Kunming), and Qian Gui (Guizhou to Guangxi). National highway No. 321 runs through the province from the east to the west, and national highway No. 210 from the north to the south, plus the high class highways of Gui Huang (Guiyang to Huangguoshuo), Gui Zun(Guiyang to Zunyi), Gui Bi(Guiyang to Bijie), and Gui Xin(Guiyang to Xinzhai). With the completion of the Zhu Liu (Zhuzhou to Liupanshui) Double Track Railway, and the completion of national highways sections from Shanghai to Ruili and from Chongqing to Zhanjiang, a developed transportation network links Guiyang to the outside world. The Guizhou section of Xia Rong (Xiamen to Chengdu) Highway is being built, and the Gui Guang(Guiyang to Guangzhou) Express Railway is under construction. The Gui Guang Railway and the Lan Yu (Lanzhou to Chongqing) Railway, which will be constructed will form an express passage from the northwest of the country, through the southwest, and finally reaches the south of China. Guiyang’s regional advantages have become more obvious.

  Guiyang now has more than 300 logistics companies, but less than 100 of them have a registered capital of more than 1 million Yuan, and 37 of them have a registered capital of more than 3 million Yuan. The industry is still at its primary stage, with some limitations such as loose distribution, small scale, insufficient overall capacity, limited radiation, and narrow service scope, etc. With the improvement of Guiyang’s external transportation conditions, the external capital will increase. And how to reduce the logistics cost and build a more convenient pathway have become the key factors of introducing foreign investment, and enhancing the competiveness of the city. Therefore, Guiyang’s logistics industry has great potential for development.  

  Industrial Development Targets

  We shall give full play to Guiyang’s advantages as an important transport center in the southwest region and the main passage to the ASEAN, and develop the traditional logistics industry by informationization, accelerate the introduction of domestic and international logistics companies, focus on the development of four types of logistics, including mineral processing, medicines, foodstuff, and high-techs, and strengthen the planning and construction of Ergezai, Jinyang, and Zhazuo. We will develop the third-party logistics, and develop the joint transportation by highway, railway, and waterway, reduce the cost of logistics, and promote the competitiveness of local industry. By effectively integrating logistics resources, we will build a logistics industry with correct positioning, reasonable layout, optimized structure, and clear levels, and make Guiyang a logistics distribution center of the southwest region, and the landway logistics center that connects the upriver economic zone of Yangtze River and the Pan Pearl River Delta Economic Zone, and make Guiyang an international logistics center facing the ASEAN. By then, the framework of southwest landway logistics center will be primarily built.

    In the February of 2008, Guiyang Municipality approved the “The Development Planning of Modern Logistics Industry of Guiyang Municipality (2008-2020)”, in which a logistics layout of “One Ring, 3 Belts, and 9 Joints” was specified, and the planning clearly identified that the general target of Guiyang’s logistics industry by the year 2010 is to primarily build the framework of southwest landway logistics center; by the year 2015, primarily construct an international logistics service system, and by the year 2020, make Guiyang an important regional international logistics city.

  Major Solutions of the Industrial Development

  In October 2008, the Party Committee and Municipal Government of Guiyang issued the “The Solutions to Accelerate the Development of the Service Industry (Trial)”, in which the below solutions are included:

  1. The major logistics projects approved by the city government enjoy a reduction or exemption of the municipal infrastructure fee, and a 3-year loan allowance provided by the municipal finance department at the same rate as the interest rate of the banks in the same period. The local government of the district (city, county) where the project is located shall settle the infrastructure facilities such as water, electricity, and roadway.

  2. For the companies that have entered the logistics park, in the first 3 years since the starting year of this company, after the business taxes being paid, 50% of the retained part by the local finance department will be returned to the company. In the first 3 years since the profit-making year, after the business income taxes being paid, the retained part by the local finance department will be returned to the company. And in the following 2 years, 50% of the retained part by the local finance department will be returned to the company for their development.

  3. For the major logistics companies identified by the city government, if they transfer a transport or storage project to some subcontractors, the business tax shall be collected based on the revenue after the reduction of the payments to the subcontractors.

  4. The industrial or commercial enterprises, at their first time to hire a third party logistics company for their storage or transport business by overall bidding, 1% of the annual logistics cost will be reimbursed by the local finance department, with a maximum of 590,000 Yuan a year, and they can enjoy this policy in 2 years at the most.

  5. For the newly established logistics companies that carry out independent accountability, at the first profit-making year, 60% of the retained part of the business income tax by the local finance department will be returned to the company as an award.


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