Name

Rose Industry Development Project，Xinping County

Organizer

Investment & Cooperation Bureau of Xinping County

Location

Xinping Industrial Park, Xinping County, Yuxi Municipality, Yunnan Province, P. R. China

State

New project

Introduction

There are plans to introduce enterprises into Guishan Area of Xinping Industrial Park to build a rose essential oil refining process production line and supporting facilities which are mainly used to extract and refine the essential oil and produce perfume, floral water and other series of products. In order to encourage farmers to develop more than 100,000mu  land to plant Damascus Rose, a company planting demonstration base covering an area of 1,000muwill be founded at a suitable place in Xinping County based on the company +base +association +farming household model. The company base will be developed into a sightseeing agricultural tourism project. The processing service area will be established covering an area of 30mu, with a total investment of RMB500 million yuan and a construction period of 2 years.

Implementation Principle

The project complies with the national industrial development policies, the industrial development planning of Xinping County and the economic social development demand of Xinping County. As the Xinping County is a large and mountainous region, it is a suitable place to cultivate roses.

Construction Condition

Xinping County is located in southwest Yunnan Province and the east side of the middle section of the Ailao Mountains with a total area of 4,223km², an annual average temperature of 18.6℃, annual average sunshine length of 2,612 hours, 312 frost-free days and annual precipitation of about 900mm. The climate and soil here are suitable for rose cultivation. Presently, there is more than 2,000mu of land planted with Damascus Roses. Xinping County is at the juncture of three international great channels including the Kunming-Bangkok Road, Chuxiong-Hekou Expressway and center line (under construction) of the Pan Asian Railway. The project site is 210km to the Kunming Changshui International Airport and 90km to the Yuxi Railway Station. The Xinping Industrial Park is equipped with perfect supporting infrastructure and favorable construction conditions.

Supply of Main and Supplementary Materials and Availability of Labor Resources

Main Materials: based on the company +base +association +farming household mode, the government aims at mobilizing farmers to plant roses to meet the demands of companies for main materials.

Supplementary Materials: water, power and other supplementary materials needed in the project are in sufficient supply. Water for planting is accessed on site. The price of industrial water supply is RMB3.8 yuan/m³, the standard of Yunnan Province, the lowest price of electricity is RMB0.324 yuan/kwh (June-November) and the highest price of electricity is RMB1.288yuan/kwh (January-April and December). The electricity prices are different in the wet and dry seasons. Leading agricultural enterprises have the right to enjoy preferential electricity policies.

Labor Resources: the population of Xinping County is 285,000, among which the labor force is 220,000 strong. The average salary of a laborer is approximately RMB1,800 yuan/month.

First-Phase Preparations and Progress

The feasibility study report has been made, more than 2,000mu of land has been used to grow Damascus Rose and a successful process has been made to extract and refine rose essential oil by applying traditional technology.

Environmental Impact

Strict environmental protection measures and water and soil conservation measures shall be taken during the planting process to relieve the agricultural non-point pollution and water and soil loss. The waste water, waste gas and residues generated during product processing shall be properly disposed in accordance with national emission standards. Advanced production technologies and equipment shall be applied to minimize the adverse impact on the surroundings to the lowest extent.

Investment Estimation & Fund Raising

Investment estimation: RMB500 million yuan

Way of fund raising: corporation self-financing

Preliminary Economic Benefit Analysis

When the project is established and put into operation, the annual output value could reach RMB360 million yuan with an annual profit of about RMB90 million yuan and taxes over RMB30 million yuan with a payback period of around 6 years.

Ways of Cooperation

Sole proprietorship

Contact Info

Contact unit: Investment & Cooperation Bureau of Xinping County，Yuxi Municipality, Yunnan Province, P. R. China

Contact Person: Yu Guangming

Contact Tel.: 86-877-7612565

Fax: 86-877-7718088

Email: xpxzshzj@sina.com