Logistics center in Xixian to facilitate commerce

Shaanxi provincial officials have hit another significant milestone in their overseas economic development plans linked to the Belt and Road Initiative, after approval was given to the new Xixian Bonded Logistics Center.

He Jian, deputy director of Xixian New Area, which houses the center, said it has been cleared to offer reduced trading costs for export-oriented enterprises by authorities including the General Administration of Customs and Ministry of Finance.

He said the clearance marked a major step in the northwestern province's plans to be part of the key government economic initiative.

"Once operational, the cargo distribution center will reduce trading costs for export-oriented enterprises, and help boost regional economic growth," he said.

Core to its operations will be a global procurement system, which will offer manufacturing companies a range of services to export their products quickly and more efficiently.

There will also be facilities in the center to sort and then distribute imported bonded goods, and offer other value-added services such as packaging and assembly.

"Using the logistics center, inland-based companies' ability to operate globally will be greatly improved. They will be able to save time and cut material costs by running their businesses from here," He said.

"Its opening means more projects involving strategic emerging industries are likely to locate to the area, creating more jobs."

Shaanxi has been making strenuous efforts to establish itself as a strategic inland trading hub.

Tang Shiting, an officer with the local Customs department, said goods traded through the new distribution center will be exempt from value-added tax, and her office will do everything it can to make the movement of goods through its operations as slick and efficient as possible.

Lou Qinjian, the Shaanxi governor, has been previously quoted as saying that great progress has already been made in streamlining the trading of goods in and out of the province, and as a result the number of foreign products available in local supermarkets is growing fast.

Plans are also afoot, said officials, to expand the province's cross-border electronic commerce facilities, and develop more direct transport links with abroad.

Jin Wan, a housewife from the provincial capital Xi'an, said she has already been noticing more imported foods being sold in local supermarkets.