To cope with the increasing demands presented by its booming tourism industry, Zhejiang Province plans to improve its hospitality sector in the coming years, city officials said yesterday.

"Our province witnessed a major increase in the number of star hotels over the past years," Yao Shenghou, vice-director of the Tourism Administration of Zhejiang Province, said.

According to statistics with the provincial tourism administration, star hotels in the province have reached 400, thus placing the province second in the nation in terms of star hotel numbers.

Thanks to booming tourism and a prosperous economy, the province's hospitality industry has been expanding rapidly.

Last year, in the nine months following March 20, 100 hotels all over Zhejiang were granted star awards.

The combined income in 2000 of Zhejiang's star hotels has been estimated at a record 7 billion yuan (US$843 million).

Annual room occupancy rates averaged 62 per cent.

The number of star hotels in the province is expected to reach 600 by the end of next year.

"We will have some 200 new star hotels within five years including several five-star hotels and 10 to 15 four-star hotels," said an official with the Tourism Administration of Zhejiang Province.

Radisson Plaza Hotel Hangzhou and Hangzhou Continental Hotel were the first two in the province that won five-star awards issued by the National Tourism Administration last December.

Shangri-La Hotel Hangzhou, World Trade Center Grand Hotel Zhejiang and Holiday Inn Hangzhou are believed to be the most likely candidates for additional five-star awards.

"We urge all the star hotels to further improve the quality of their services in the coming years and we encourage more hotels in the province to join the ranks of environmentally friendly hotels," said the deputy director.

(China Daily 02/21/2001)