Shangluo: tackling poverty through a circular economy

By Lin Liyao
0 Comment(s)Print E-mail China.org.cn, March 27, 2016
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"Shangluo City used to be a very poor area 23 years ago, but now it has become a beautiful place with a circular economy," said Professor Hu Biliang, dean of the Emerging Markets Institute at Beijing Normal University.

Foreign students from the International Master of Business Administration program listen to a presentation during a symposium with Shangluo local officials on March 23 in Shangluo City, Shaanxi Province. [Photo by Lin Liyao/China.org.cn]

Foreign students from the International Master of Business Administration program listen to a presentation during a symposium with Shangluo local officials on March 23 in Shangluo City, Shaanxi Province. [Photo by Lin Liyao/China.org.cn]

In 1993, Hu began conducting his survey in Shangluo City, Shaanxi Province, mainly focusing on poverty alleviation and economic development. During the past two decades, he has visited the place numerous times, especially the poor villages surrounding the city.

From March 22 to 25, he came here again; but this time, he was accompanied by 37 foreign students -- from 21 different countries throughout Asia, Africa, and Latin America -- who participated in a one-year International Master of Business Administration program sponsored by the Chinese government.

To help these foreign students get a detailed and thorough understanding of economic and social development in different areas around China, especially in small and medium-sized cities, the Emerging Markets Institute organizes two or three in-depth research trips each year; this time, they came to northwest China.

Lying at the southern foot of the Qinling Mountains, Shangluo City is located in the southeast of Shaanxi Province, 110 kilometers away from Xi'an, the provincial capital. Consisting of one district, six counties and 98 towns, the city covers a total area of 19,300 square kilometers, with a population of 2.51 million.

Once the poorest area in the province, in 2014 Shangluo ranked fourth in the province in Gross Domestic Product (GDP) growth rate. In 2015, the total GDP was 2.2 times larger than in 2010 and GDP per capita had surpassed US$4,000. During the 12th five-year plan (2010-2015), the average annual GDP growth rate reached 12.9 percent.

When explaining how the city had developed so quickly in recent years, local officials attributed the achievements to practical poverty alleviation policies and a circular economy initiative.

According to Wang Shenglin, deputy director of Shangluo Poverty Alleviation Development Bureau, the poverty line in Shaanxi is 2,500 yuan (US$384.5) per year. During the past five years, the local government has helped 469,000 rural residents come out of poverty.

"We have implemented a range of targeted poverty alleviation policies and help individuals and households based on their varying reasons for being poor," Wang said during a symposium with foreign students on March 23.

"For those with a low income, we train them to learn specialized skills in order to earn a higher wage; for those living in poor conditions, we encourage them to move to places with a better living environment; for those who are sick or disabled, we provide medical and social assistance.

"In 2015, the per capita disposable income of rural residents reached 7,732 yuan (US$1,189.2)," Wang said that in the 13th five-year plan (2016-2020), the local government plans to help another 500,000 people come out of poverty.

In order to develop a local economy both in terms of quantity and quality, the local government introduced a new-type development model in 2007 featuring a circular economy and sustainable development.

Zhang Yongping, director of Shangluo Development and Reform Commission, said that the city will continuously promote its distinctive industries in the following years, such as green food, biological medicine, clean energy, photovoltaic industry, and ecotourism.

"During the 13th Five-Year Plan period, we hope to double GDP, fiscal revenue, fixed assets investment, and the incomes of urban and rural residents," said Zhang. "We will persevere in innovative, coordinated, green, open, and shared development in order to build a prosperous society for all."

During the four-day trip, foreign students also visited Shangdan Industrial District, Shangluo City Material Science Academy, Xiangju Pharmaceuticals, BYD Auto Company, Shanyang Industrial District, Bicon Pharmaceuticals, E-Commerce Center, Manchuanguan Town, Dihua Town, Wangjian and Qiandianzi villages.

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