Strong natural and competitive advantages offer rich business opportunities, Ma Zhiping reports.

Hainan province aims to attract more quality investors from home and abroad to further power its healthy and sustainable economic and social development, according to local officials.

A total of 374 projects are expected to attract investments totaling 978 billion yuan ($143.3 billion) at the 2017 Hainan Comprehensive Investment Fair.

The largest event of its kind in Hainan's history, the fair will take place from June 27 to 29 in Haikou, according to the Hainan Provincial Department of Commerce.

Hainan is undergoing an industrial upgrading boom to enhance its 12 pillar industries. Officials said the island province welcomes investments in sectors such as tourism, tropical high-efficiency agriculture, internet-based industries, finance, insurance and the modern logistics industry.

Lyu Yong, head of the commerce department, said the provincial government has planned 41 sub-events for the investment fair.

These include project introductions, business tours, talent fairs, meetings on exchanges and cooperation with enterprises from outside the province, exhibitions of original Hainan art and culture, and a number of agreement signing ceremonies.

Two more large-scale events are also taking place alongside the fair. The first World Hainan Merchants' Products Expo and the first Hainan High-tech Industry and Business Innovation and Pioneering Expo will be open simultaneously to help investors to gain a better understanding of the quickly changing tropical island, which stands at a pivotal point on the 21st Century Maritime Silk Road.

Best investments

Hainan is establishing itself as a hotbed for outside investors with a series of preferential investment policies, covering industries such as tourism, trade in services, medical care and finance.

Domestic companies such as Dalian Wanda Group, Alibaba Group and Tencent Holdings have all launched businesses on the island. Nearly all of the top international brands in the hospitality industry have also settled in Hainan.

Lyu said Hainan will also increase economic and trade exchanges with countries involved in the Belt and Road Initiative.

The province plans to introduce new measures related to customs services, trade and finance, and will encourage more investment in education, medical care and transportation.

In 2016, Hainan received $2.22 billion in foreign direct investment and signed 88 big-ticket contracts with overseas partners.

The provincial government has conducted feasibility studies on developing a free trade zone with the members of the Association of Southeast Asian Nations.

He Dongni, deputy director of the Haikou-based China Institute for Reform and Development, said she is very optimistic about growth prospects for investors in Hainan.

"It boasts many unique advantages and enjoys plenty of preferential policies that are helping to build an attractive environment for investors. In the meantime, the pilot reform in drafting development plans is making the business environment more transparent, reducing costs and providing greater conveniences."

Competitive advantages

With sunshine, fresh air, clean water and 62 percent forest coverage, Hainan, at the southernmost part of China, is often crowned with such titles as a "natural oxygen bar", "ecological garden" and "longevity island".

"The best resources should find the best investments," said Liu Cigui, Party chief of Hainan province.

He has called for strict quality controls for related projects to ensure a high-standard fair with the best investors, outstanding talent and significant amounts of quality funding and technologies.

Liu said safeguarding Hainan's environment is a top priority when planning and designing development projects.

"The natural advantages should be turned into development advantages to realize win-win results in protecting the environment and promoting economic development."

Liu said the province will conduct in-depth exchanges and cooperation with the outside world and make breakthroughs in building an open economy under the Belt and Road Initiative.

Hainan has maintained agricultural cooperation with Taiwan for years. It has attracted more than 670 companies and introduced about 500 varieties of quality crops and fruits from Taiwan.

A delegation traveled to Taiwan earlier this month to hold meetings with local entrepreneurs and invite them to contribute to the development of Hainan's tourism, tropical agriculture, medical care, exhibitions and internet-based industries.

Covering an area of about 35,400 square kilometers with jurisdiction over a sea area of about 2 million square kilometers, Hainan accounts for two-thirds of the total national sea area. The province is divided into the administrative districts of Hainan, Xisha, Zhongsha and the Nansha islands, as well as sea territories. It consists of nine cities and 10 counties.

Hainan enjoys rich offshore oil and gas resources and 70 kinds of mineral resources with significant industrial reserves. Its reserves of iron ore, titanium, quartz sand and zircon are the highest in the country, accounting for two-thirds of the national total.

"In addition to its many natural advantages, Hainan has low business and labor costs," said Shen Xiaoming, governor of Hainan.

Compared with first-tier cities, Hainan has an ample supply of land resources and costs are very low, the governor said. Hainan's GDP reached 404.45 billion yuan in 2016. Its import and export value totaled 74.84 billion yuan.

The province's major export products are mechanical and electrical products, high-tech products, agricultural products and refined oil. These were mainly sold to Hong Kong, Japan, the United States and Middle Eastern countries. Its main import products are crude and refined oil, aircraft, organic chemicals and wood.

Contact the writer at mazhiping@chinadaily.com.cn

(China Daily 06/23/2017 page18)