China's light industry will maintain double-digit growth this year, a top industry official said yesterday.
It is expected to achieve 2.5 trillion yuan (US$302.3 billion) in gross industrial output value in 2003 -- up 12 percent on last year. Profits are set to jump 10 percent to 100 billion yuan (US$12.08 billion).
And the country will export US$93.5 billion worth of light products this year -- a year-on-year increase of 5 percent.
Chen Shineng, chairman of China National Light Industry Council, said: "The industry has made effective economic structural readjustments during past years, enabling stable growth."
The sector pays attention to the quality of growth, adopts high technology in traditional manufacturing industries, and highlights product quality. This will guarantee its development this year, Chen said.
In addition, the industry will perform better in international trade as enterprises and business associations learn lessons of anti-dumping and anti-subsidy cases while gaining a deeper understanding of World Trade Organization rules.
"Light industry will achieve a better result this year than in 2002," Chen said. Last year was the first following China's entry to the WTO.
"Light industry achieved a better-than-expected performance, facing both opportunities and challenges brought by the country's WTO membership," said Chen.
Council statistics revealed the industry was worth 2.23 trillion yuan (US$269.6 billion) last year -- up 10.3 percent on 2001.
The ratio of sales to production increased 1 percentage point to 98 percent.
The industry earned 91 billion yuan (US$11 billion) in profits in 2002 -- up 20 percent on the previous year.
Industries including food, plastics, paper-making, household electronics, and leather-making enjoyed rapid growth last year.
Export volume of China's light products increased 19 percent year-on-year in the 12 months following the country's WTO accession. This was significantly faster than the anticipated 4-5 percent, customs statistics revealed.
Export volume totaled US$89 billion in 2002, accounting for nearly one third of the country's total exports of industrial products.
But Chen warned the structure of exported goods needs to be readjusted, despite the currently strong export climate.
Major exported light products include leather and fur products, culture, education and sports goods, household electronics, plastics, hardware, furniture and machinery.
Products with high added value and high-tech content account for a small part.
Chen said enterprises will explore overseas markets, as well as consolidate their position at home.
The United States, Japan and Europe are major buyers of China's light products.
Domestic producers should tap new markets such as Russia, India, the Middle East, Africa and Latin America.
(China Daily February 8, 2003)
