The ever increasing trade volumes with Russia in the past few years has laid a solid foundation for Heilongjiang Province to realize rapid economic development and be better equipped to hold the annual China Harbin International Fair for Trade and Economic Co-operation (Harbin Fair), said a leading government official of the province.

Wang Limin, vice-governor of Heilongjiang Province, predicted that this year's fair, which begins today until June 19, in the provincial capital city of Harbin, will help the province attract more investment from Russia.

Official statistics show that the province realized a gross industrial output value of 551 billion yuan (US$68.9 billion) last year, an increase of 11.6 per cent over 2004.

In terms of foreign economic and trade co-operation, its foreign direct investment last year increased by 17 per cent over 2004, and its export and import volumes also grew at a rate of more than 40 per cent over 2004.

"The rapid economic and trade development proves the success of the annual Harbin Fair," Wang said.

The province's unique geographical position makes it the bridgehead in economic co-operation and trade between Russia and China, Wang said.

Sharing a borderline of more than 3,000 kilometres with Russia, Heilongjiang is the most important Chinese province in Sino-Russian trade. Economic and trade co-operation with Russia has grown rapidly over the past few years, Wang said.

Last year, trade volume between Heilongjiang and Russia reached US$5.68 billion, accounting for nearly 20 per cent of China's total.

And that figure is expected to jump to US$14 billion by 2010, Wang said on the sidelines of a promotional conference for the fair in early March in Beijing.

"The annual Harbin Fair has become a key platform for economic and trade co-operation between Heilongjiang and Russia, and helps the province maintain its leading position in business relations between China and Russia," Wang said.

As part of a blueprint to upgrade its economic and trade co-operation strategy, Heilongjiang has mapped out plans to boost its trade with Russia over the next five years, according to Wang.

As of this year, full support would be given to upgrade economic and scientific co-operation with Russia, Wang said.

Meanwhile, more co-operation programmes between Heilongjiang and Russia in the fields of energy, raw materials and the processing of agricultural products will be highlighted within the next five years. "Both sides have a lot in common in these fields," Wang said.

Wang revealed that the Federal Government of Russia has given greater attention to the Harbin Fair by organizing a delegation consisting of enterprise and government representatives to participate.

"The Harbin Fair is becoming the biggest and most important event that faces the vast market of Russia and Northeast Asia," Wang said.

To further boost Heilongjiang's economic and trade relations with Russia, a series of events will be held at the 17th Harbin Fair, Wang said.

The Russian Business Day, one of the most important economic campaigns for the Year of Russia in China, will be held at the fair, in order to expand trade and economic co-operation with Russia and to implement the strategy of revitalizing traditional industrial bases in Northeast China, according to Wang.

The event will be jointly sponsored by the Ministry of Commerce, Heilongjiang provincial government, as well as Russia's Ministry for Economic Development and Trade.

Meanwhile, about 500 companies from the Russian Far East are expected to introduce their projects at the fair.

The companies will introduce 93 investment projects at the exhibition, a press statement from the presidential envoy in the Russian Far East reported early last month.

The Russian Far East will have a total exhibition area of 828 square metres, with large-scale exhibitions organized by the Primorye, Khabarovsk and Amur regions, the statement said.

The fair will also include seminars devoted to partnerships in wood processing and transportation in the boundary areas, as well as presentations of individual Russian companies, enterprises and investment projects.

Source: China Daily