The advantage of geographical position of yunnan province


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SOCIAL AND ECONOMIC DEVELOPMENT REPORT   

OF YUNNAN PROVINCE 

 

 

Written by Gan Kaipeng and Xu Jieming 

Translated by WangYunshang and Xu Jieming 

 

 

THE ADVANTAGE OF GEOGRAPHICAL POSITION 

OF YUNNAN PROVINCE 

 

 

Generally, the basic features of its geography and population in Yunnan 

Province could be summarized as the following words of ‘frontier, mountainous and 

multi-nationality’. 

  The area of Yunnan Province covers 394,000sq.km with 94% of the 

mountainous. From the perspective of its geo-position in China, the east of Yunnan is 

connecting with the provinces of Guizhou and Guangxi, the north part is connecting 

with Sichuan Province, and the northwest part is connecting with Tibet Autonomous 

Prefecture (Region). And from the perspective of its eco-polit-geographic location in 

Asia, the west part of Yunnan Province is connecting with Myanmar, and the south 

part is connecting with Lao and Vietnam.   

The boundary lines between Yunnan Province and these countries are 4060 km, 

which consists of the 1/5 of the whole frontier line on the land of China. At present, 

there are more than 20 cross-border highways which connecting Yunnan and its 

neighboring countries, Myanmar, Lao and Vietnam

.

   



 

 

1



 

Picture 1: The On-building Express-highway from Kunming to Bangkok

 

 



 

 

From the perspective of its natural geographic location, Yunnan still has its 

advantage. Because of being located to the north part of the Peninsula of Southeast 

Asia, the subtropical area, as well as connecting with Tibet Plateau, the highest 

elevation area of the world, Yunnan is influenced by the monsoons from the 

Southeast Asia, and also affected by the high-frigid climate from Tibet Plateau. So, 

the natural geography position made Yunnan diversified physical geographies, 

species and climates. It has very rich natural resources, and on average, the per capita 

occupancy volume of resources of Yunnanese is 2 times of that in other parts of 

China. The climate types in Yunnan are vertically distributed, including various 

kinds which arranging from that of Hainan Island where is the hottest area in China 

to the one of Heilongjiang where is the most cold area in China. The amount of 

species of animals and plants in Yunnan cover 1/2 of that of China. Because of its 

multi-geomorphology, multi-climate, multi-species of animal and plant, and 

 

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multi-nationality cultures, Yunnan nearly has the largest tourist resources in China. 

There are various kinds of tourist resources except the oceanic ones.   

The total water resource reserve is 10 40.0 million kilowatts with more than 90 

million kilowatts possible be exploited. Its reserve of mineral ranks the third in 

Southwest China, and the lead and zinc reserves rank the first in China. 

There are 16 prefectures (districts) or municipalities, and 129 counties from the 

perspective of the administrative divisions of Yunnan Province. Among them, there 

are 8 prefectures and 29 counties belong to the ethnic minority autonomy 

administratively, and 25 counties located in the bordering areas between China and 

Lao, Vietnam and Myanmar. There are 5 administrative levels in Yunnan Province, 

just like all the other areas in China. They are the provincial level, municipal 

/prefectural level, county/district level, township level and village level. There are 

25 minority nationalities of whose each population exceeding 5000. The total 

population of minority nationalities reaches 14 million, occupying 34% of Yunnan 

Provincial population. And the resident areas of minority nationalities reach 70% of 

Yunnan area.   

Among the minority nationalities, Bai, Dai, Hani, Lisu, Wa, Lahu, Nahsi, 

Jingpo, Blang, Achang, Nu, Deang, Jino, Pumi, and Dulong are the 15 ones whose 

populations only resided in Yunnan Province. In addition, there are 16 nationalities 

whose populations inhabited in the across-border areas. They all have their own 

distinctive evolution histories, unique customs and life styles. All of these have 

formed the plentiful, diversified and fantastical cultures of Yunnan Province.   

At the same time, Yunnan is an overlapping point for mixing Chinese culture 

and the cultures of Southeast and South Asia, including Indian culture. Yunnan is 

also one of the provinces whose populations speaking multi-languages and writing 

multi-characters. Among the minority nationalities in Yunnan, except Hui (Islam), 

Manchu, and Shui who have already mainly spoke Han (Chinese) language and 

written Han (Chinese) characters, the other 22 ones are still mainly using their own 

languages and characters as well as Han’s in part also. 

Since ancient times, Yunnan has been the important overland passage between 

 

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China and the Southeast as well as South Asia. That means it was a pivotal position 

of the Southwest Skill Road from Asia to Europe. Except for its landed borders with 

Lao, Vietnam and Myanmar of ASEAN, Yunnan is linked to Thailand and 

Kampuchea by Meigong (Mekongk) River in Southeast Peninsula and Lancang 

River in China. At the same time, Yunnan is near to South Asian countries, such as 

India and Bangladesh.   

 

Picture 2: The Lancang-Meigong River Basins 

 

4



      So, in fact, it is located in the junction point of three large world markets: Chinese, ASEAN’s 

and the Sub-continent of South Asia. It is also located between the two biggest Oceans, the 

Pacific Ocean and the Indian Ocean. Due to its particular geographical position, Yunnan has 

been vital region for China’s participating in the Sub-regional Cooperation along 

Lancang-Meigong River, and vital for China to open its door towards the Southeast Asia and to 

establish China-ASEAN Free Trade Region. 

 

5


Picture 3: The Pan-Asia Railway and the 3 Circles 

 

 



From the late of 1990s, Yunnan is becoming one of the 9 provinces of China 

that are actively building Pan-Pearl River Delta Cooperation together. 

Because Yunnan takes an active attitude to multi-lateral coordination, it has 

built its new and distinctive pattern for multi-level and external-oriented cooperation 

strategy. It is to develop itself simultaneously as a part of the Pan-Pearl River Delta 

Co-developmental Area domestically and as a part of the China-ASEAN Free Trade 

 

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Region internationally. 

Picture 4: The Pan-Pearl River Delta Co-development Area 

 

The external-oriented regional cooperation of Yunnan is mainly divided into 2 



parts as the following: internally, it participates in the regional cooperation of 

Pan-Pearl River Delta; externally, it mainly participates in the Sub-regional 

Cooperation of Lancang –Meigong Basins. These two regional co-operations both 

form the important part of China-ASEAN Free Trade Area.   

Because of been located in the extreme or say the fountainhead of the Pan-Pearl 

River Delta and the northeast extreme of Lancang-Meigong River Sub-regional 

Development Area, Yunnan is in an important position of ‘linking the East Asia and 

connecting the South one’ with its important passageways for building 

China-ASEAN Free Trade Area and multi-level cooperation internally and 

externally. It has very special and strategic functions and excellent geo- advantages 

in the developments of China and Southeast Asia both. 

 

7



Picture 5: China and the Countries of ASEAN 

 

 



Picture 6:  The Space of Yunnan External-oriented Development and Relevant Co-operation Cycles   

 

A = Economic Development Cycle of Yunnan, Guizhou and Guangxi Provinces   

B = The Eco-torism Region of ‘Large-Xianggelila’ which cycles Yunnan, Sichuan and Tibet 

C = The Sub-region Cooperation of  ‘the Golden Tetragon’ which cycles Yunnan of China, Myanmar, 

Laos and Thailand 

 

8



D=  The Regional Cooperation of ‘Pan-Pearl River Delta’   

E=  The Southwest China Economic Coordination which covers 7-lateral of 6 

provinces/autonomous-prefectures/autonomous municipality; 

F = Sub-regional Cooperation along the Lancang River and Meigong River 

G = Bangladesh-China-India Regional Cooperation 

    H = China-SASEAN Free Trade Region



 

 

RECENT ECONOMIC AND SOCIAL DEVELOPMENTS 

 

In general eco-social strategy, Yunnan always focuses on the ‘Three Targets’, 



namely “building it into a distinctive province in China which with a powerful green 

economy, rich ethnic-cultures, and a great of international land passageways”. In 

addition, it is striding forwards following the 4 specific strategic measures, namely 

“to pay first attention to its sustainable development; to blooming its society and 

economy by educational and scientific developments; to speed its urbanization; and 

to enhance its omni-oriented open-door policy”.   

  For its economy, the 5 pillar industries, tobacco and cigarette; bio-resources 

exploitation; tour industry; electric power generation; and mining industry, have 

been fostered in order to push Yunnan economic and social developments forwards 

and up to a new stage.   

Since the Central Governmental policy on “Exploiting the West China Greatly” 

has been implemented in the middle of 1990s, the Yunnan has achieved its social 

and economic developments, especially during the last 5 years. Its achievements are 

as the followings:    

 

1.

 



Economic aggregation continuously increases, and integrated economic strength 

obviously enhances   

1)

 



The total value of production in the province is keeping very fast growth. The 

 

9



GDP increased from 207.471 billion Yuan in 2001 to 347.234 billion Yuan in 

2005 (see Table 1). The overall economy shows a tendency of increasing, 

although occasionally it is unsteady. The rate of GDP increase was 6.5% in 2001, 

and reached to 9.0% in 2005. The per capita GDP increased from 4866 Yuan in 

2001 to 7833 Yuan in 2005. 

Table 1: GDP/ Growth Rate/Value Added of Yunnan 2001-2005 (unit: 100 million) 

6.5


8.2

8.5


11.5

9

2074.71



2233.32

2465.1


2959.48

3472.34


119.62

157.61


232.97

494.19


546.52

1

10



100

1000


10000

growth rate

GDP

value added



growth rate

6.5


8.2

8.5


11.5

9

GDP



2074.71

2233.32


2465.1

2959.48


3472.34

value added

119.62

157.61


232.97

494.19


546.52

2001


2002

2003


2004

2005


   

 

2)



 

Overall industrial structure has been further adjusted and optimized. The 

proportion of value-added of the first (agriculture), second (manufacture) and 

third (service) industries to GDP separately was 20.4: 43.4: 36.2 in 2001, and 

changed into 18.4: 41.3: 40.3 in 2005. The adjustment tendency was that the 

proportion of value-added of first industry to GDP reduced to some extent year 

by year, the same as that of the second industry, but that of the third industry 

obviously increased.   

 

2. Manufacture (industry) increases fast, agriculture develops steadily, and 

communications/ transportation enhances greatly 

1)

 



Industrial production is constantly developing, so its pillar position in the 

development of Yunnan economy is being obviously strengthened. The industrial 

value-added of was 120,007 million Yuan in 2005, with increasing over 7.7% 

than 2004. Among them, the value-added from large-scale industrial sectors is 

 

10


101,807 million Yuan, increasing by 8.4%. In these large-scale industries, the 

value added from light industry was 53,491 million Yuan, increasing by 5.8%, 

and the value-added from heavy industry was 48,316 million Yuan, increasing by 

11.7% when compared with that of the last year. The outputs of the products in 

different industrial sectors have increased to different extents (Table 2). 

Table 2: Outputs of Yunnan’s Main Industrial and Agricultural Products of 2005 (unit: 10 thousand Ton)

Products 

   

Products 



Main agricultural 

products 

Growth rate 

compared with the 

ones of 2004 

2005  


(%) 

Main industrial products 

2005 

Growth rate 



compared with the 

ones of 2004 

(%) 

Grain 1514.93 0.4 



 

refined 


tea 6.04 59.4 

  Fresh cut flowers 

36.0 

7.1 


Raw coal   

6462.14 


21.5 

Fruits  


136.6 

18.3 


electric energy production

624.2 


14.8 

Tea  


11.6 

21.9 


Raw steel 

513.41 


47.0 

Rubber  


24.0 

9.7 


Steel product 

486.93 


38.9 

 Meats 


300.04 

8.0 


Ten non-ferrous metals 

147.44 


13.9 

Milk  


30.9 

15.1 


Cement  

2832.62 


22.5 

2) The agricultural production develops steadily, so its fundamental position in the 

development of Yunnan economy is consolidated and strengthened. The gross 

output value of farming, forestry, husbandry and fishing was steadily increasing in 

the province. It was 105,000 million Yuan in 2005, increased by 6.3% when 

compared with that of the last year. The main outputs of various kinds of 

agricultural products have increased to different extents (Table 2). 

3) The communications and transportation is effectively improved, so it plays an 

advanced role of promoting Yunnan economy and its society. Up to 2005, the 

volume of goods transport reached 65,649 million ton/kilometer through the 

various kinds of transportation, which was increasing more 4.5% than that of the 

last year. The volume of passenger transportation was 33,160 million person/km, 

increased by 4.4% compared with that of the last year. 

 

11



 

3. Investment of fixed assets expanded, the financial and monetary system ran 

smoothly 

It was the faster development period of Yunnan economy from 2001 to 2005. 

Also were its social fixed assets investment and general investment increasing 

constantly. 

1) The scale of social fixed assets investment is expanding constantly in the 

province. The total social fixed assets investment reached 174,300 million Yuan in 

2005, increased by 31% when compared with that of last year. From 2001 to 2005, 

the total aggregated social fixed assets investment was 565,828 million Yuan, 

increased by 16.5% annually (Table 3).   

Table 3:    Total Amount of Yunnan Fixed Assets and Its Growth Rate 2001-2005 (unit: 100 million)

 

0



5

10

15



20

25

30



35

0

200



400

600


800

1000


1200

1400


1600

1800


2000

growth rate

total amount of investment per year

growth rate

5.3

12.8


23.2

30.3


31

total amount of

investment per year

734.81


828.6

1021.18


1330.6

1743


2001

2002


2003

2004


2005

 

 

2)

 

Fiscal revenue and expenditure increased steadily, and they guaranteed the needs 



from institutes operating and governments’ public expenditure. The gross fiscal 

revenue of the province was 76,600 million Yuan in 2005. From 2001 to 2005, 

the aggregated fiscal revenue reached 284,092 million Yuan, increased by 12.1% 

annually. The general and local budgetary revenue of Yunnan was 30,800 million 

Yuan in 2005 (Table 4).   

 

Table 4: Yunnan Budgetary and Fiscal Revenues 2001-2005 (unit: RMB 100 million Yuan) 

 

12


 

0

200



400

600


800

1000


1200

Yunnan's total fiscal revenue

Bugetary revenue of local finance

Bugetary revenue of local

finance

191.28


259.25

299


263.3

308


Yunnan's total fiscal revenue

432.61


466.01

510


666.3

766


2001

2002


2003

2004


2005

 

3) The saving deposit and the loan of the financial institutions in the province both 



increased fast. The saving deposit balance was 509,100 million Yuan in the end of 

2005, increased by 14.2% compared with the previous year. From 2001 to 2005, it 

increased 15.6% annually. The balance of the loan of all the financial institutions 

was 395,500 million Yuan in 2005, increased by 18.6% compared with the 

previous year. From 2001 to 2005, it increased 14.8% at an annual average. 

 

4. Market prospered, commodity price stabled, and living standard of urban and 



rural residents improved 

1) The market was prosperous and stable, and the total volume of the retail sales of 

the social consumer goods increased year by year. It was 103,440 million Yuan in 

2005, increased by 13% when compared with the previous year. From 2001 to 

2005, the total aggregated volume of the retail sales of social consume goods was 

408,412 million Yuan, so the average percent of the increase for this five years 

was 12.1%. The total index of the social commodities’ retail price in the province 

was 100.1 in 2005, increased at an annual average of 0.2% from 2001 to 2005. 

The index of resident's consumer price was 101.4 in 2005, increased at an annual 

average of 1.5% from 2001 to 2005.   

2

)Living standard of urban and rural residents improved and life quality upgraded. 



 

13


All the per capita annual disposable income, per capita net income of rural 

residents, the year-end balance of urban and rural residents’ savings account, and 

the annual average cash wage of the employed in urban areas increased steadily 

(Table 5), with the increase rates respectively of 4.3%, 6%, 17.5% and 9.6%. 

But the problem is still the big difference between the residents in urban areas and rural areas, 

for example, in 2004 the per capital disposable income for urban residents was 8871 Yuan, but 

that for rural residents only reached 1890 Yuan.

 

 



Table5: Indicators of Living Standard of Urban & Rural Residents   

in Yunnan 2001- 2005 (unit: Yuan) 

 

1



10

100


1000

10000


100000

2001


2002

2003


2004

2005


per-capital annual income of town residents  

per-capital annual income of rural residents 

amount of saving deposits of urban and rural residents 

average wage per year of urban employees (YN)

 

 

3)



 

The pace of opening to the world was accelerated and foreign trade increased 

very fast. From 2001 to 2005, Yunnan Province was actively pushing its trade 

cooperation with the surrounding countries. At the same time, it consolidated and 

developed its shares in the markets of the Southeast Asia and East Asia, and 

continuously improved its positions in the markets of America, Europe, as well 

as of the South Asia and Africa. It improved and strengthened bilateral or 

multilateral trade cooperation. The gross volume of its import and export, and the 

 

14


total volume of export and import separately in Yunnan Province were all lasting 

growth (Table 6). 

 

Table 6: Total Export & Import Volume in Yunnan (unit: 100 million Yuan) 

 

19.89



22.26

26.68


37.5

47

12.44



14.29

16.77


22.4

26

7.45



7.97

9.91


15.1

21

0



5

10

15



20

25

30



35

40

45



50

2001


2002

2003


2004

2005


Yunnan's total export & import volume

Yunnan's total export volume

Yunnan's total import volume

 

 



5. The legal corporations and NGOs developed rapidly 

 

1) From the perspective of the number of the corporations, there were 97219 legal 



corporations and 161228 units of industry activities

,according to the general survey 

at the end of 2003 by the Provincial Statistics Bureau . From the perspective of their 

distribution geographically in the province, at the end of 2003 the top five municipal 

/prefectural areas where with more corporations in proper order were Kunming, 

Honghe, Qujing, Yuxi, and Dali, with 59.36% of the whole corporations in the 

province. The top five districts with more industry activities units were Kunming, 

Qujing, Honghe, Dali and Chuxiong, with the 55.70% of all the units in the province 

(Table 7).

   


Table 7: Location of Legal Corporations and Industrial Activities Units in 2003

 

 



Location 

Number of 

Industry 

Location

 

Number of 



corporations

 

Number 



–of-Industry 

 

15



Number of 

corporations 

 

 

activity units 



activity units 

 

Kunming 

 

25573 36109 



Simao 

 

5223 8640 



Qujing 

 

8315 15521 



Xishuangbanna 

2642 4240 



Yuxi 

 

7896 10690 



Dali 

 

7135 12114 



Baoshan 

 

3929 7961 



Dehong

 

3652 6041 



Zhaotong 

 

4942 9990 



Lijiang 

 

2460 3915 



Chuxiong 

 

5939 11359 



Nujiang

 

1301 2052 



Honghe

 

8791 14701 



Diqing

 

1080 1599 



Wenshan

 

4231 8233 



Lincang 

 

4110 8063 



 

2) Looking from the enterprise ownership structure, at the end of 2003 the state and 

collective-owned enterprises still occupied the leading position. At the same time, the 

private-ownership enterprises developed very fast, and the foreign-ownership 

enterprises increased to some extent. So, the enterprises’ ownership structure 

displayed a trend of diversification (Table 8). 

 

Table 8

Number, Output Value and Relevant Percentage 



of Enterprises by Ownership Catalogues in 2003

 

Number

 

Industrial output value 

 

Index 



Absolute 

number

 

Proportion  



(%) 

 

Absolute 



number  

 

Proportion  



(%) 

 

State-owned enterprise 

 

629 0.40 7457305 



34.26 

Collective-owned enterprise 

 

2127 1.34  1050425 



4.83 

Joint shares enterprise 

 

499 0.31 239875 



1.10 

Coordinated enterprise 

 

56 0.04 



107831 

0.50 


Limited liability company

 

400 0.25 3113840 



14.31 

 

16



Limited joint stock company 

 

116 0.07 1717589 



7.89 

Private enterprise 

 

8434 5.29  3013914 



13.85 

Other enterprise 

 

3319 2.08  470574 



2.16 

Foreign/Taiwan/Hong Kong/Macro 

enterprise

 

209 0.13 964654 



4.43 

Self-employed enterprise

 

143581 90.09  3627977 



16.67 

IN SUM 

Rural industrial enterprise 

 

132380 83.06  6961818 



31.99 

Light industrial enterprise 

 

107690 67.57  10147043 



46.12 

Heavy industrial enterprise 

 

51680 32.43  11616940 



53.38 

Total enterprises in Yunnan

 

159370 100.00  21763983 



100.00 

 

3) From the perspective of the scale structure of the enterprises, at the end of 2003, 

the total amount of units and the gross output value of legal enterprises have all made 

further progress in the province, which made the enterprise scale structure further 

rationalized in Yunnan province. But, while viewing the scale structure of the 

enterprises from different located areas, the large and middle-sized enterprises still 

concentrated on Kunming and its periphery (Table 9). There were 19 large-scale 

enterprises in Kunming, Qujing and Yuxi, which were 73.08% of large-scale 

enterprises in the whole province.   

 

Table 9: Number, Gross Output Value, Size and Location 



of Yunnan Industrial Enterprises in 2003 

Medium-sized 

enterprises

 

Large-scale enterprises

 

Small enterprises

 

Location 



Gross 

output 

value 

 

Number-of- 



enterprises 

 

Number-of- 



enterprises

 

Gross 



output 

value 

 

Number-of 



-enterprises

 

Gross 



output 

value 

 

Kunming 

 

12 


2792295 110 

1566069 561 

1450036 

 

17



Qujing 

 

5 811148 



47 

984942 


147 

399994 


Yuxi 

 

2 1604760 



39 

498702 


198 

581953 


Baoshan 

 

--



 

--

 



13 102457 

44  63457 



Zhaotong 

 



172628 6 

167863 55 

56982 

Chuxiong 

 



425249 11 

147217 87 

144296 

Honghe 

4 347601 

35 

1245045 


97 234949 

Wenshan 

--

 



--

 

11 149860 



67  114789 

Simao

 

--



 

--

 



15 129544 

82  91997 



Xishuangbanaa 

 

--



 

--

 



1 21578 

35 44750 



Dali 

 

--



 

--

 



20 476670 

71  157722 



Dehong 

 

--



 

--

 



9 126354 

77 66023 



Lijiang 

 

--



 

--

 



3 21051 

37 63493 



Nujiang  

--

 



--

 

3 36981 



19 37009 

Diqing

 

--



 

--

 



1 6061 

18 30118 



Lincang 

 

--



 

--

 



15 158366 

34  41702 



Other 

-- 


-- -- 

-- 1 


-- 

In sum 

 

26 



6153682 339 

5838762 1630 

3579268 

 

4)



 

According to the statistics of Yunanan Civil Affairs Bureau, the NGOs of 

Yunnan province developed very rapidly. NGOs, such as non-profit social 

organizations, foundations, non-governmental and non-commercial units reached 

nearly 1000 in 2004. According to the statistics of Yunnan Association for 

International and Civil Organizational Cooperation, in present, there are at least 

21 international NGOs registered in Yunnan with 45 membership associations. 

Only in 2005, these 21 NGOs and the NGOs from Hong Kong and Macao 

gathered 86 million Yuan foreign funds for developing education, heath and care, 

women improvement, environmental protection and social relief in Yunnan. 

There is saying, “as long as the NGO exists in China, it absolutely exists in 

Yunnan whatever it is.” 

 

18


 

6. The development of population, employment and social protection 

1) There is a great achievement on the control of population growth in Yunnan. In 

2005, the birthrate was 14.72

‰, death rate was 6.75‰, the natural rate of 

population growth was 7.97

‰, which drops by 1.03‰  when compared with that 

of 2004. The total population in the province was 44.504 million by the end of 

2005, increasing 352 thousand when compared with that of 2004. Among the total 

population, there are 13.129 million urban residents and 31.375 million rural 

residents. The relevant proportion is: 29.50% (urbanite) and 70.49% (rural). 

3)

 

Situation of employment is becoming better and the resolution of re-employment 



problem has achieved effect. Of the laid-off workers from the state-owned 

enterprises in Yunnan Province, 107.1 thousand have been re-employed by the 

end of 2005. The new-increased employees are 194.1 thousand, but still there are 

129.7 thousand who are registered as the unemployment in fact, and the 

unemployment rate is 4.2% in urban area. 

As the situation in the other areas in China, the employment of the graduates 

from higher education is one of the biggest problems. Because the too fast pace 

of the evolution from the “elite higher education” to the “mass higher education” 

in Yunnan, much many graduates who entered higher education at the beginning 

of the 21th century wish better employment. It is and will be the biggest problem 

in recent and recent future.   

And, in Yunnan there are still another employment problems, such as the the 

employment of the spare population from rural areas or say from agriculture, the 

employment of the older population. They are not presented on the official 

statistics, but still problems.     

4) 


Social welfare is being developed constantly, and the social security is 

strengthened also. There are 20,300 welfare berths for philanthropic 

hospitalization in the province, adopting 10,700 person/time in the year of 2005. 

There are 723,000 people who gained the allowance for the minimum 

 

19


living-standard guarantee. There are 2.5869 million people who participated in 

basic aged-pension insurance, among them the number of the employed is 1.7679 

million, and the retired is 819,000

           



 

But the biggest problem is that in tradition the social protection only covers 

the urban residents to some extent, not including rural residents. For the people 

who haven’t been registered in the towns or cities, their benefits from items of 

the public social protection offered by governments almost zero. Even there are 

some kinds of collective cooperation or mutual aids in rural areas, they are not 

enough to cover so large population there. So, the population living in rural areas 

still face the risks of lacking medicine and health-care, unemployment allowance, 

older pension and so on. 

 

7. Education on different levels developed very fast     

1) Both the total amount of educational institutions and the enrolments at different 

levels from primary schools to higher education, have increased by a large scale 

(see Table 11). Schooling attendance rate of the school-age children is up to 96.3%, 

and the relevant rate of the graduated from primary schools is up to 92.2% also. 

There are 143,500 illiterates become into the literates in the year of 2005. Even 

though these progress above, on average, the population in the province still only 

receives education which lasting 6.61-year. That means they haven’t finished the 

9-year compulsion education in China. It is due to the big gap of educational 

institution and installment or say facility between the rural areas and urban areas. 

 

Table 10: The number of educational institutes and relevant data 

  of 2005 in Yunnan Province 

Number of 

education 

institutes 

 

Enrollment 



(unit: 

10,000)  

 

Rate of 



increase 

(%) 

 

Schooling 



attendance  

(Unit: 10,000)   

 

Rate of 



increase  

(%) 

 

 



20

University and college 

 

44 8.45 



12.6 

25.47 


17.7 

Vocational middle 

school 

 

386 11.36 



16.4 

29.49 


8.6 

Senior middle school 

 

443 19  13.6 



48.31 

15.1 


Junior middle school 

 

1814 63.31 -0.1 



 

19.58 -1.3 

 

Primary school 

 

18747 73.34  0.1  441.23 



0.1 

Adult's higher education 

institute

 

5 --



 

--

 



13.11 6.4 

2) Cultural Industry and health-care are developed further. The coverage rate of 

broadcast and television are up to 91.0% and 92.5% separately in 2005. There are 

10110 medicine and health care institutions. Among them, there are 648 hospitals 

with 74,700 berths totally. The staff of medicine and health-care is 65,200, among 

them the number of the doctor is 26,200 and the nurse is 26,300. But the problem 

still is that they too concentrated on cities and counties. 

Anyway, some problems still exist in the economic and social developments of 

Yunnan Province. For example, the agricultural infrastructure is still weaker, and it is not 

developed enough to resist natural calamity or famine. The 'bottlenecks' of the energy, 

traffic have not been overcome at all. The cost of the running of agricultural production 

still keeps higher. The pressures of employment and social protection are much more 

enlarged. The contradictions between social development and economic development, as 

well as between the overall sustainable development and the resources and environment 

problems is still obvious. At the same time, the problems of old-age society, too high 

proportion of the family expenditure on the education for the children and teenage, the 

gap of social and economic development between developed areas and underdevelopment 

ones are springing up.   



 

SUMMARY OF ENVIRONMENTAL PROTECTION 

 IN YUNNAN PROVINCE 

According to the data that Yunnan Provincial Environmental Protection Bureau 

 

21


(YPEPB) website offered, the environmental protection direct investment in 2005 is 

4,916 million Yuan, increasing by 33.7% when compared with that of 2004, and it 

accounts for 1.4% of GDP of Yunnan Province. Among them, the investment on 

improving the environmental protection infrastructure in urban areas is 3,149 million 

Yuan, on industrial pollution prevention and management is 1,767 million Yuan. From 

2002 to 2005, the accumulative and directive investment on the environmental protection 

in Yunnan Province has been reached 17,100 million Yuan. On average it equals 1.27% 

of the GDP of Yunnan Province in these 5 years (Table 11).   



Table 11:    Investment on environmental governance in Yunnan 

  (2001-2005, unit: A hundred million Yuan) 

Direct  


Year 

Investment 

 

Infrastructure 



in urban area 

 

Industrial pollutio



control

 

Proportion of 



GDP (%) 

 

2000 15.34 



--

 

--



 

--

 



2001 24.80 

16.44 


8.36 

1.19 


2002 25.48 

17.48 


8.0 

1.14 


2003 34.80 

27.15 


7.65 

1.40 


2004 36.76 

24.75 


12.01 

1.20 


2005 49.16 

31.49 


17.67 

1.40 


Total 

 

171.00 117.31  53.69  --



 

The development of the environmental protection of Yunnan Province made greater 

progresses in the following several aspects: 

1. Develop environmental management programmes and international cooperation   

For this 5 years, there are 5,713 items of environmental impact reports, forms/tables, 

registration records and so on all that are about the environmental impacts of the 

construction projects in Yunnan have been approved by the environmental authorities in 

different levels of Yunnan Province. They involved in the construction projects with total 

investment of 1,222.06 million Yuan. The relevant estimated total investment on 

environmental management is up to 7,940 million Yuan and the rate of the 

implementations of the environmental assessment on these construction projects reach 

 

22


96.4%. The environmental management authorities have organized 1,136 items of 

environmental checks or say evaluations when the construction projects have been 

delivered, which completely concerned the total project investment of 18,410 million 

Yuan, Out of these project investment, the total investment on actual environmental 

protection was 1,090 million Yuan, their qualified rate is 99.3%.   

While the Yunnan economy is developing very fast, the disposal and emission of 

new-generated pollutants have been effectively controlled to some extent. At the same 

time, the YPEPB organized the applications for the Special Fund for the Environmental 

Management Projects issued by the National Government. There are 2 projects on the 

comprehensive environmental pollution management in Yunnan main basins or say 

9-lake areas, 2 demonstration and dissemination projects on pollution-prevention of the 

newly metallurgical technique and art, and 4 projects about environmental monitoring 

capacity-building have been granted with 26,500,000 Yuan totally from SFEMP of 

Central Government.   

At the same time, from 2000 to 2005, YPEPB (the Yunnan Provincial Environment 

Protection Bureau) has successfully applied for 20 international collaborative projects 

with the grant of nearly 121 million Yuan, favorable-loan of over 20 million Yuan, and 

hard currency loan of 2,400 million Yuan. Its cooperative partners include Asian 

Development Bank (ADB), World Bank (WB), and the relevant institutes from Britain, 

Holland, Sweden, as well as the NGOs such as World Nature Fund..

 

 

2. The constructions of ecological environment monitoring, environmental 

management information system and the environmental legislation have been 

enhanced  

Yunnan Province takes the lead position in launching the pilot projects in ecological 

environmental monitoring in China. There have 4 national-level pilots which respectively 

located in Wenham, Dali, Yimen and Binchuan, been built for monitoring nature 

reservation zone, mineral exploitation and process zone, rural ecological environment 

management zone and so on. Through the researches and practical works in these 

monitoring-sites, some new conceptions and methodologies that effectively restricted 

 

23



pollution, ecological environment damage, and the illegal anti-environmental actions, 

have been formed. From 2001 to 2005, 5 Environmental Information Centers, such as the 

Provincial Environmental Information Centre, and those of Kunming Municipality, Yuxi 

Municipality, Dali Municipality, Honghe Prefecture, Zhaotong County, have been 

established. The official LAN (local area net), satellite news report system, optical cable 

transmitting system and the video-conference system of YPEPB have been built also. 

They make official routines between YPEPB and the other sectors of Yunnan 

Government, between YPEPB and the EPBs in the other provinces of China, and 

especially the official routines between YPEPB and the National Environmental 

Protection Ministry e-mailed by internets. So does the official document transmitting 

between YPEPB and NEPM. The websites of YPEPB, as well as those of 14 prefectures / 

municipalities in Yunnan Province also have been built. 

From 2001 to 2005, 4 local regulations on environmental protection, such as " The 

Environmental Protection Regulation of Dai Autonomous Prefecture of Xishuangbanna” 

"The Environmental Pollution Prevention Statute of Lahu Autonomous County of 

Lancang", "The Environmental Pollution Prevention Regulation of Hani-Yi Autonomous 

County of Pu'er " and " The Protection Regulation of Dumu Reservoir in Qujing” have 

been published. Another 2 pieces of local governmental law, "The Regulation of 



Environmental Protection Management for Construction Projects in Yunnan Province", 

and "The Prohibitive Regulation of Production, Sale, and Usage of the Non-melted 



Plastic Bag in Kunming” also have been published.   

Through the Special Actions of Environmental Protection from 2003 to 2005, there 

have 1,263 illegal emission enterprises been punished, and 1,386 enterprises that 

processed zinc and coal by the indigenous anti-environmental protection methods have 

been banned. 

Only in 2005, the administrative authorities, which are responsible for 

environmental protection at different levels, have implemented 2,178 items of 

administrative penalty, with punishing fund of 4,163,700 Yuan. At the same time, they 

have held 39 hearing meetings for environmental administrative penalty, dealt with 3 

cases of relevant administrative reconsideration and 1 case of administrative litigation. 

 

24


By these actions, they have effectively investigated, prosecuted and contained the 

problems of environmental pollution.   



 

3. The environmental education, the scientific and technological standardization of 

environmental protection and management, the cleaner production and 

environmental economy have been advocated 

In Yunnan Province, there is a special Forum on “Environment Protection and 

Sustainable Development", and different propaganda activities have been held on every 

World Environment Day. Meanwhile, the actions for establishing " Green Series " in 

various ranks of the province have been developed, more than 1,300 “Green Schools” at 

different levels, 30 "Green Communities " also have been built.   

There 4 scientific research fruits achieved by the environmental protection institutes 

been awarded the Progressive Prizes of Sciences and Technologies (provincial/ 

ministerial level) during the 5 years. There are another 4 results obtained the patent-right 

certifications. There 7,907.65 ten thousand Yuan as R/D fund been invested for the 

scientific research. Among these scientific research activities, the provincial 

environmental management institutes have undertook 144 items with research 

expenditure 1,882.6 ten thousand Yuan, and their 2 scientific and technical results 

awarded the PPST at provincial/ministerial level only in 2005. 

In 2005, after investigation and evaluation, Yunnan Government decided to establish 

3 trial sites for developing recycle economy. They are industrial zone in Kaiyuan, 

agricultural zone in Eryuan and tourist zone in Puzehei district of Qiubei. 

Meanwhile, through online monitoring, out of the 44 enterprises that were evaluated 

as the first batch of seriously polluted companies in Yunnan, 16 have finished their 

cleaner production reformations under the forced mandatory, and passed the relevant 

authorities’ verifications by the end of 2005. In October of 2005, another 50 seriously 

polluted enterprises have been listed and published as the second batch of the companies 

which will be forced reforming on schedule, and the relevant mandatory requests to force 

them changing into cleaner production regularly following the environmental protection 

law have been issued. In March of 2005, YPEPB approved 8 Environmental Protection 

 

25



Bureaus located in the cities such as Kunming, to establish 9 pilot organizations for 

verifying cleaner production in Yunnan. 

In sum, the building of the center of the on-line monitoring system for 

environmental protection in Yunnan, and the initial test of its relevant soft-ware system 

have been finished. 76 enterprises with the emission license issued by Yunnan 

Government already installed or are installing 41 sets of instruments for operating 

monitoring and controlling, and 140 sets of online monitoring devices.     

In 2005, Yunnan Aluminum Industry Limited Company passed through the on-spot 

examination by The National Environmental Protection Bureau and become the first one 

who winning the title of "THE NATIONAL EXCELLENT ENVIRONMENTAL 

ENTERPRISE” out of all the Chinese electrolytic aluminum companies. It also becomes 

first one who winning this title in Yunnan Province as well as in west China. 



 

4. The Developments of the environmental industry, the special action of 

environment and the environmental safety inspection have been launched   

By 2005, in the whole province, there are 513 enterprises with employees of 61,674 

have been engaged in the environmental industry. They made 8,497 million Yuan of 

annual output value from sale, and earned gross income of 7,795 million Yuan, as well as 

created an annual profit of 542 million Yuan. 

  In the Special Actions of Environmental Protection, there are 20,979 personnel as 

inspectors involved in, 8,700 enterprises have been checked and investigated, among 

them 800 enterprises have been prosecuted legally, and 391 of the cases have been settled. 

Meanwhile, according to requests from Central Government, the environmental safety 

inspection launched within the range of the whole province, with 4,748 inspectors 

involved and 1,251 enterprises checked, among them 201 accident potential enterprises 

have been verified, and 126 of these enterprises have been mandated to be regulated and 

reformed on schedule because of being polluted and polluting. 

From the perspective of the construction and relevant planning of the environmental 

protection organizations and their personnel, the total staff of specific environmental 

management institutes in Yunnan is up to 3,642 persons in 2005. There is independent 

 

26


environmental protection agency existed in 97 counties, cities and districts in the 

province. Among these agencies, 

The Environmental Protection Agency of Dali Prefecture; 

    The Environmental Protection Agency of Xishuangbanna Prefecture; 

The Environmental Protection Agency of Shilin County

;   


and Yunnan Provincial Environmental Information Centre   

are awarded to “THE ADVANCED INSTITUTE” by the National Environmental 

Protection Ministry.   

At the same time, the Yunnan Provincial Environmental Protection Bureau has 

worked out "Yunnan Environmental Management Programme from 2006 to 2010 "; " 

The Programme of Proventing and Controlling Water Pollution in Yunnan Basins along 

Pearl River ". Meanwhile, "The Programme for Preventing and Controlling Water 

Pollution in Reservoir Area of Three Gorges and its Upper (Fountain) Area " has been 

continuously written. Some of the local environmental management programs, such as 

those in Baoshan, Dali, Zhaotong, Chuxiong have been written and compiled also. 

In the aspect of the emission fee collection, 194.153,2 million Yuan have been 

collected in 2005 , among them 80.358,1 million Yuan have been handed in Provincial 

Treasury


,94.447,8 million Yuan in the Treasuries of Prefectures and Counties in Yunnan. 

Compared with 2004, the levy of the emission fee increases greatly with 40.64 million 

Yuan, the increasing rate is up to 26%. In which, there is 59.822,4 million Yuan directly 

levied by the authorities in the province level, increasing by 13.29 million Yuan, and the 

increasing rate is up to 29%; The emission fee which handed in the provincial treasury is 

80.358,1 million Yuan, increasing by 18.81 million Yuan, and increasing rate is 31%.   

 

Anyway, there are still some problems should be paid attention to and dealt with, 



such as how to get more and more Yunnan population to participate in the development of 

the environmental protection in Yunnan Province, especially those from the 

heavy-polluted industrial enterprises, how to measure the environmental management 

system and relevant activities in the private-ownership enterprises, especially those in the 

 

27


mining and raw mineral product process because in Yunnan many SEM in this rank exist 

and their producing custom and indigenous methods are backward in environmental 

management, maybe some ones without any environmental management system.   

On one hand, the needs for enhancing the propagandas of environmental protection, 

environmental management system, even the environmental management accounting 

system in order to make the public strengthen their environmental consciousness, to 

support the development of environmental protection actively and to practice the 

environmental management and to have specific environmental management skills really 

exist.  

On the other hand, all enterprises and institutions of Yunnan Province should be 

awareness of the environmental management system and relevant specific environmental 

management accounting system through step by step environmental education training, 

and pay special attention to the comprehensive technological transformation from the 

developed or say western countries, especially pay attention to those models from EU, so 

as to promote the environmental management capacities of enterprises, to reduce the 

discharge of pollution.   



 

   


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[2]  云南省政府.云南省国民经济和社会发展第十个五年计划纲要[R].2001. 

[3]  邱膑扬,廖春花,明庆忠.云南参与泛珠、澜—湄次等,多重外向区域科技合作的区位优势对云南产业结构

的影响与发展措施[M].经济问题探索.2006 年第 1 期. 

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索,2006 年第 2 期. 

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[6]  十五云南经济和社会发展成就辉煌.云南电子政务门户网站:www.yn.gov.cn. 

[7]  云南省统计局.云南省 2005 年国民经济和社会发展统计公报.2006. 

[8]  云南省环保局网站:http://www.ynepb.gov.cn/ 

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车志敏,何宣.云南经济年鉴:2005.  北京:线装书局,2005. 

 

 



 

 

 



29

Document Outline

  • Picture 3: The Pan-Asia Railway and the 3 Circles
  • Picture 5: China and the Countries of ASEAN
    • RECENT ECONOMIC AND SOCIAL DEVELOPMENTS
      • Table 7: Location of Legal Corporations and Industrial Activities Units in 2003
      • Location
    • Simao 
    • State-owned enterprise 
      • IN SUM
        • Table 9: Number, Gross Output Value, Size and Location
    • Location
    • University and college 


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