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Guangdong adopts 50 billion to boost labor and industry transfer
Latest Updated at 2008-June-2 14:49:08
Known as a pioneer in China's reform and opening-up, Guangdong province will invest near 50 billion Yuan in the next five years to implement a new labor and industry strategy, named as "Double Transfers", to maintain sustainable development and keep its leading position in the mainland economy.

The strategy features transferring labor-intensive industry from the Pearl River Delta (PRD) to less developed north mountainous areas, east and west wings of the province. At the same time, workers from those less developed areas will be encouraged to work in local manufacturing and service industries, or find employment in the more advanced Pearl River Delta.

Guangdong needs new strategy

"Guangdong is at a jumping off point of new development phase", said Governor Huang in a working conference to boost the new labor and industry strategy held in Guangzhou on May 29.

Guangdong leads China in GDP in the previous 18 years, but statistics shows that its traditional industrial model has been outdated, and many other places on the mainland have now caught up with and even overtaken Guangdong.

In per capita GDP, Guangdong鈥檚 growth is the slowest in the east-coastal provinces or cities in the recent ten years. Besides, the regional development in the province is imbalanced. Last year, the GDP in Pearl River Delta region exceed 7000 USD, but only 1800 USD in west and east wing, and merely 1600 USD in north mountainous area.

Experts are warning that the province is facing tough challenges to sustainable development. Issues on environment protection, population and resources are putting great pressure on the province. Occupying 1.87% of the country鈥檚 land, the province bears the country鈥檚 9.8% industrial effluent and 4.1% discharge gas. Moreover, the resident population of Guangdong province is approaching 100 million, and expected to rank first in the country this year.

Solution - Double Transfers

"The 'double transfers' will be the most effective measure to solve the problems and carry out a new round of development鈥, Huang Said.

According to the strategy, from 2008-2012 the province will invest more than 50 billion Yuan to support the less developed regions in infrastructure construction, industry clusters transferring, key industry development and free working skill training. Especially, 500 million Yuan awards will be provided every year to encourage the enterprises to transfer to the less development regions.

In fact, Guangdong started the research in how to promote the industry and labor transfer in four years ago. At present, 24 industry transfer clusters has built up.

Till 2010, the province is expected to complete the industry transfer clusters and add one or two new ones in the less development regions, in an aim to optimize the industry structure in Pearl River Delta region and sharp the province鈥檚 industry competitiveness edge.

Moreover, the province is planned to transfer 6 million migrant workers, to lower the portion of labor-intensive industry in PRD region, and push its Per capita GDP growth 2 percent higher than the growth rate of GDP.

Experts consider the move is a break through to achieve sustainable development in Guangdong.

Editor: Yan

By: Ouyang Yan Source:
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