chinadaily.com.cn
left corner left corner
China Daily Website

Sino-Arab fertilizer firm 'model for future'

19860529
Gao Shi ( China Daily )

China is willing to develop more co-operative enterprises with Third World countries to strengthen South-South co-operation, State Councillor Zhang Jingfu said yesterday.

Zhang made the remarks in a speech at a meeting in the Great Hall of the People with Kuwaiti and Tunisian industrialists on the board of the Sino-Arab Chemical Fertilizer Co Ltd, a joint venture in Qinhuangdao, Hebei Province involving China, Kuwait and Tunisia.

"This is the first large-scale joint enterprise between China and Third World countries. It will serve as a model in South-South cooperative ventures in China," said Wang Yiping, head of the Loan Bureau under the State Economic Planning Commission.

A Nouri, of the Petrochemical Industrial Company of Kuwait, said: "This is a challenge to us. But we are determined to successfully complete the first co-operative enterprise involving three developing countries."

The joint fertilizer venture involves a total investment of $50 million. Its registered capital is $15 million, of which China's contribution is $6 million.

Its production capacity is designed to be 480,000 tons of ammonium phospate compound fertilizer or 600,000 tons of nitrogen, phosphorus and potassium compound fertilizer a year. This will considerably help reduce China's long-standing need for imports of phosphate fertilizer, said Guan Hongju, administrative manager of the enterprise.

"Although the world chemical fertilizer market is not so good at present, we are confident of the prospects for this joint venture," Guan said.

The enterprise is scheduled to go into operation in June 1988. It will be completed within two years of signing the construction contract.

CHINA BUSINESS SEARCH
    Hot Topics