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Creating a new economic frontline
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China’s interior has become a new frontline for overseas Chinese entrepreneurs who are heading deeper into the country to seek business opportunities following the national “Go West” strategy.
“China’s development will definitely be much better in the next decade after experiencing tremendous improvement over the past 30 years,” Xie Guomin, a Chinese-Thailand tycoon who heads Chia Tai Group, said at the World Chinese Entrepreneurs Convention. “The western regions leave us much exploring room and offer a golden opportunity for overseas merchants.”
Xie, also president of the China Overseas Chinese Entrepreneurs Association, one of the convention’s organizers, said China’s plan to boost domestic demand and increase imports creates big business opportunities.
“Overseas entrepreneurs can take a share through various ways, including cooperating with local private companies,” he said.
Chia Tai Group in 1984 became the first foreign company to invest in Sichuan Province. It now operates 13 companies in the province ranging from feed production, food and beverage, retailing and manufacturing. The Thailand-based agribusiness giant plans to invest another US$10 billion in Sichuan to build a pork production base.
China’s interior has witnessed great recent changes in terms of infrastructure, logistics and talent. The central government is banking on its western development strategy to spur a new round of economic growth and will create favorable policies to boost the region’s attractiveness.
Mu Yankui, vice president of Yihai Kerry of Wilmar International Ltd, a leading agricultural group in Asia, said it’s not simply about relocating factories to inland cities and transporting cheap resources from west to east.
Mu said companies need to put down roots in western China and take into consideration the needs of local residents.
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