Premier Wen Jiabao said on Saturday China was confident and fully capable of keeping a good momentum of economic growth this year despite domestic difficulties and a global economic slowdown.
Addressing a seminar for the country's ministerial-level official in Beijing, Wen said this year had been the most difficult year as China faced both global challenges and domestic problems in economic operation.
Global financial instability and economic slowdown had exerted a strong influence on the country. In addition, China had to tackle domestic problems, including price increases and regional economic slowdown.
Premier Wen Jiabao on Saturday addresses a seminar for the country's ministerial-level official in Beijing.
However, the country had adopted a series of counter measures and these had proved effective, he said.
With huge domestic demand, relatively abundant capital and an improved labor force quality, the country was fully confident and capable of reinforcing the good momentum of economic growth. Wen noted the material wealth collected in the past three decades and accumulated experience would help the country to address problems arising from economic development.
Efforts should be made to rein in inflation and ensure macro-economy stability, especially the financial market and the stock market, he stressed.
In his speech, Wen urged local governments and officials to put work and food safety at the top of their agendas.
The development of enterprises and economy should not be at the cost of people's lives and health, he emphasized.
Wen also vowed to beef up efforts to monitor food quality and rectify the food market. All illegal activities should be severely punished to ensure people have safe food.
He also championed the balanced development between the rural and urban areas, saying agricultural issues should be the first priority of government work
The seminar was presided over Vice Premier Li Keqiang. Vice President Xi Jinping also attended.
Source: Xinhua
Sunday, September 21, 2008
13 Chinese hurt in turbulence in China Airlines flight in Indonesia
Thirteen Chinese were hurt when a plane operated by China Airlines was struck by turbulence on its route from Taipei to Bali of Indonesia on Saturday, a doctor said.
Guning Atmajaya, the doctor who treated eight of the hurt passengers at the Sanglah Hospital, said that six of them were seriously injured and needed an intensive medical care.
"All of the 13 injured passengers are Chinese. Six of them need special medical treatment as they suffered from serious broken bones," he told Xinhua on telephone from the hospital.
The plane with the flight number CI-687 and 400 passengers on board was hit by the turbulence around 14:00 Bali time, which caused the plane swaying, head of the Indonesian health ministry crisis center Rustam Pakaya said.
"The turbulence strongly hit the plane and hurt 13 people, six of them suffering from broken bones," he told Xinhua.
The plane landed at 14:10 Bali time, said Pakaya.
Security officer at the Ngurah Rai international airport in BaliMade Sugiarta told Xinhua that the plane was on its route from Taipei of China to Bali of Indonesia.
Source: Xinhua
Guning Atmajaya, the doctor who treated eight of the hurt passengers at the Sanglah Hospital, said that six of them were seriously injured and needed an intensive medical care.
"All of the 13 injured passengers are Chinese. Six of them need special medical treatment as they suffered from serious broken bones," he told Xinhua on telephone from the hospital.
The plane with the flight number CI-687 and 400 passengers on board was hit by the turbulence around 14:00 Bali time, which caused the plane swaying, head of the Indonesian health ministry crisis center Rustam Pakaya said.
"The turbulence strongly hit the plane and hurt 13 people, six of them suffering from broken bones," he told Xinhua.
The plane landed at 14:10 Bali time, said Pakaya.
Security officer at the Ngurah Rai international airport in BaliMade Sugiarta told Xinhua that the plane was on its route from Taipei of China to Bali of Indonesia.
Source: Xinhua
FM: China indignant, opposed to U.S. Senate legislation on Tibet
China on Saturday expressed strong indignation and opposition over a legislation on Tibet recently approved by the U.S. Senate.
"The Tibet issue is China's internal affair, so is the Chinese government's contact and dialogue with the Dalai Lama," Chinese Foreign Ministry spokeswoman Jiang Yu said.
She made the remarks when responding to a question on a legislation approved by the U.S. Senate on Friday, which reportedly urged the Chinese government to begin earnest negotiation with the Dalai Lama on the future of Tibet.
"We urge the U.S. Senate to abide by the basic rules of international relations, stop supporting and conniving with the Dalai Lama and separatist forces for 'Tibet independence', and immediately stop wrongful remarks and deeds that interfere into China's internal affairs and harm the China-U.S. relations," said Jiang.
Source: Xinhua
"The Tibet issue is China's internal affair, so is the Chinese government's contact and dialogue with the Dalai Lama," Chinese Foreign Ministry spokeswoman Jiang Yu said.
She made the remarks when responding to a question on a legislation approved by the U.S. Senate on Friday, which reportedly urged the Chinese government to begin earnest negotiation with the Dalai Lama on the future of Tibet.
"We urge the U.S. Senate to abide by the basic rules of international relations, stop supporting and conniving with the Dalai Lama and separatist forces for 'Tibet independence', and immediately stop wrongful remarks and deeds that interfere into China's internal affairs and harm the China-U.S. relations," said Jiang.
Source: Xinhua
Top legislator: China to strengthen inter-parliamentary exchanges with U.S.
China would make joint efforts with the United States to improve parliamentary exchange mechanism and strengthen inter-parliamentary contacts so that legislatures from both sides continue to play a positive role in promoting bilateral relationship, a top Chinese legislator said on Friday.
Chen Zhili, vice-chairwoman of the Standing Committee of China's National People's Congress , made the remarks in separate meetings with Senator Daniel Inouy and Representative Joseph Crowley during her stay here on Friday.
Inouy is in charge of a dialogue mechanism between the Senate and the NPC while Crowley leads a parallel mechanism between the House of Representative and the NPC.
Chen spoke positively of the progress made in China-U.S. relationship in recent years. She said both sides should firmly stick to the direction of constructive cooperation and increase dialogues, exchanges and cooperation to enable a sound and steady development of bilateral relations.
The U.S. lawmakers congratulated China on the successful hosting of both the 2008 Olympic Games and the 2008 Paralympic Games in Beijing. They said the Senate and the House of Representatives attach great importance to U.S.-China ties and would join hands with the Chinese side to further strengthen exchanges and cooperation in various fields, including inter-parliamentary exchanges.
Chen was here at the invitation of U.S. First Lady Laura Bush to attend the White House Conference on Global Literacy scheduled to open in New York on Monday.
Source: Xinhua
Chen Zhili, vice-chairwoman of the Standing Committee of China's National People's Congress , made the remarks in separate meetings with Senator Daniel Inouy and Representative Joseph Crowley during her stay here on Friday.
Inouy is in charge of a dialogue mechanism between the Senate and the NPC while Crowley leads a parallel mechanism between the House of Representative and the NPC.
Chen spoke positively of the progress made in China-U.S. relationship in recent years. She said both sides should firmly stick to the direction of constructive cooperation and increase dialogues, exchanges and cooperation to enable a sound and steady development of bilateral relations.
The U.S. lawmakers congratulated China on the successful hosting of both the 2008 Olympic Games and the 2008 Paralympic Games in Beijing. They said the Senate and the House of Representatives attach great importance to U.S.-China ties and would join hands with the Chinese side to further strengthen exchanges and cooperation in various fields, including inter-parliamentary exchanges.
Chen was here at the invitation of U.S. First Lady Laura Bush to attend the White House Conference on Global Literacy scheduled to open in New York on Monday.
Source: Xinhua
Algeria hopes to deepen strategic cooperation with China
Algerian Prime Minister Ahmed Ouyahia on Saturday expressed hopes to further deepen the strategic cooperation between Algeria and China.
Meeting with visiting Chinese Vice Commerce Minister Chen Jian, Ahmed Ouyahia said he was satisfied with existing bilateral cooperation, and wished this cooperation would deepen and further develop to a new high.
He urged the Chinese companies in Algeria to have closer cooperation and exchanges with Algerian enterprises.
Chen also met with Algerian Commerce Minister El-Hachemi Djaaboub the same day on boosting China-Algeria economic and trade cooperation.
Source: Xinhua
Meeting with visiting Chinese Vice Commerce Minister Chen Jian, Ahmed Ouyahia said he was satisfied with existing bilateral cooperation, and wished this cooperation would deepen and further develop to a new high.
He urged the Chinese companies in Algeria to have closer cooperation and exchanges with Algerian enterprises.
Chen also met with Algerian Commerce Minister El-Hachemi Djaaboub the same day on boosting China-Algeria economic and trade cooperation.
Source: Xinhua
Eight officials held for fatal mine accident in N China
Eight officials in Xiangfen County in north China's Shanxi Province have been detained for negligence following a fatal mine accident that killed 262.
The provincial procuratorate confirmed on Saturday the officials included Lian Huizhong, head of the county's Taosi Township, Liang Deling, the township legislature director, Liu Weiguang, the township business office director, and three Xiangfen County Safety Production Supervision Bureau officials. Also held were two county land resources department officials.
Ke Hanmin, chief procurator of Shanxi Provincial Procuratorate, said the officials should be accountable for the accident because they didn't take due care despite knowing about the potential production risks in the Xinta Mining Company. On the morning of Sept. 8, an iron ore waste retaining pond burst and engulfed at least 262 people.
He vowed the procuratorate would render heavy penalties to those found responsible for the accident to protect people's legitimate rights.
Source: Xinhua
The provincial procuratorate confirmed on Saturday the officials included Lian Huizhong, head of the county's Taosi Township, Liang Deling, the township legislature director, Liu Weiguang, the township business office director, and three Xiangfen County Safety Production Supervision Bureau officials. Also held were two county land resources department officials.
Ke Hanmin, chief procurator of Shanxi Provincial Procuratorate, said the officials should be accountable for the accident because they didn't take due care despite knowing about the potential production risks in the Xinta Mining Company. On the morning of Sept. 8, an iron ore waste retaining pond burst and engulfed at least 262 people.
He vowed the procuratorate would render heavy penalties to those found responsible for the accident to protect people's legitimate rights.
Source: Xinhua
Shanghai mega-thunderstorm kills man, injures 14
A migrant worker was crushed to death and 14 were injured after a thunderstorm hit part of Shanghai on Saturday afternoon, municipal flood authorities said.
The storm hit the eastern Chinese city's Pudong and Nanhui districts from around 2 p.m. to 5 p.m. with precipitation of up to132 mm, the Shanghai Municipal Flood Control Headquarters said.
A strong wind accompanied the storm.
A 47-year-old male migrant worker died after a two-storey workshop building at a steel factory in Heqing Town collapsed. Another person was injured.
Elsewhere, nine persons were injured at two construction sites. Four others were injured when a 100-square-meter market building fell.
The headquarters said all the injured had been sent to hospital for treatment and there was no danger to life.
The "once-in-a century thunderstorm" also flooded some road sections and more than 60 households, it said.
Source: Xinhua
The storm hit the eastern Chinese city's Pudong and Nanhui districts from around 2 p.m. to 5 p.m. with precipitation of up to132 mm, the Shanghai Municipal Flood Control Headquarters said.
A strong wind accompanied the storm.
A 47-year-old male migrant worker died after a two-storey workshop building at a steel factory in Heqing Town collapsed. Another person was injured.
Elsewhere, nine persons were injured at two construction sites. Four others were injured when a 100-square-meter market building fell.
The headquarters said all the injured had been sent to hospital for treatment and there was no danger to life.
The "once-in-a century thunderstorm" also flooded some road sections and more than 60 households, it said.
Source: Xinhua
Dairy producers and sellers under scrutiny in China
China's State Administration for Industry and Commerce on Saturday initiated a nationwide scrutiny over dairy producers and sellers in the wake of the baby milk powder scandal.
In an urgent circular issued to local industry and commerce administrations throughout the country, the SAIC ordered to verify the qualifications of every dairy producer and seller, make sure of pulling all tainted products off shelves, close down the business of selling dairy products without licenses and deliver to local police any criminal cases involving in trading fake and bad-quality dairy products.
By 9 a.m. on Saturday, the SAIC had received 106,143 complaints and refunded 304.38 tons of dairy products.
More than 6,200 infants have developed kidney stones after drinking baby formula tainted with the hazardous chemical melamine, which makes the protein content of the milk appear higher.
Dairy giant Sanlu, based in the Hebei provincial capital of Shijiazhuang in north China, was the first company exposed in the scandal, but subsequent investigations found a total of 22 manufacturers involved, including leading companies such as the Bright Dairy & Food and Mengniu Group.
Source: Xinhua
In an urgent circular issued to local industry and commerce administrations throughout the country, the SAIC ordered to verify the qualifications of every dairy producer and seller, make sure of pulling all tainted products off shelves, close down the business of selling dairy products without licenses and deliver to local police any criminal cases involving in trading fake and bad-quality dairy products.
By 9 a.m. on Saturday, the SAIC had received 106,143 complaints and refunded 304.38 tons of dairy products.
More than 6,200 infants have developed kidney stones after drinking baby formula tainted with the hazardous chemical melamine, which makes the protein content of the milk appear higher.
Dairy giant Sanlu, based in the Hebei provincial capital of Shijiazhuang in north China, was the first company exposed in the scandal, but subsequent investigations found a total of 22 manufacturers involved, including leading companies such as the Bright Dairy & Food and Mengniu Group.
Source: Xinhua
China starts inspections of special equipments ahead of week-long holiday
China's quality supervisory agency has ordered a nationwide inspection of special equipments to ensure the security of these equipments during the National Day holiday.
The General Administration of Quality Supervision, Inspection and Quarantine said local authorities should inspect and test key items to find and solve any hidden problems and make emergency plans.
The items include boilers, pressure containers and pipelines, elevators, cranes, passenger ropeways and other large pieces of equipment and machinery.
The quality watchdog required relevant units to make due preparations and arrange sufficient staff for emergencies.
An official with the administration said the authorities were under great pressure as there would be a tourist surge in popular destinations such as the Olympic host city Beijing during the coming National Day holiday, the first week-long holiday after the country adjusted national legal holidays.
He said before the holiday, the administration would organize inspections on special equipments in the quake battered Sichuan Province, another popular tourist destination.
Source: Xinhua
The General Administration of Quality Supervision, Inspection and Quarantine said local authorities should inspect and test key items to find and solve any hidden problems and make emergency plans.
The items include boilers, pressure containers and pipelines, elevators, cranes, passenger ropeways and other large pieces of equipment and machinery.
The quality watchdog required relevant units to make due preparations and arrange sufficient staff for emergencies.
An official with the administration said the authorities were under great pressure as there would be a tourist surge in popular destinations such as the Olympic host city Beijing during the coming National Day holiday, the first week-long holiday after the country adjusted national legal holidays.
He said before the holiday, the administration would organize inspections on special equipments in the quake battered Sichuan Province, another popular tourist destination.
Source: Xinhua
More officials dismissed over N China fatal mine accident
Another three officials were sacked on Saturday for a fatal mine accident that has killed 262 people in north China's Shanxi Province.
Kang Haiyin, the Communist Party of China chief of Xiangfen County, where the tragedy occurred, were dismissed from his post, according to a meeting held by the CPC Shanxi committee in Linfen.
CPC deputy chief Li Xuejun of Xiangfen, was dismissed. The meeting also proposed to dismiss Li from his post as Xiangfen's magistrate.
Han Baoquan was proposed to be dismissed from his post as the deputy magistrate of Xiangfen.
The CPC Shanxi committee also decided to suspend the work of Linfen's Communist Party chief Xia Zhengui, and dismissed Liu Zhijie from his post as the CPC deputy chief of Linfen.
Liu Zhijie, and Zhou Jie, were proposed to be dismissed from their posts as Linfen's mayor and vice mayor respectively.
The reshuffle of government posts needed approval from the local legislative body.
An unlicensed iron ore dregs retaining pond in Xiangfen burst on Sept. 8, discharging a huge torrent of tailings, mud and rock that devastated a downstream village, an office building and a busy outdoor market.
The death toll from the accident has risen to 262 with several still listed as missing.
An initial investigation found the collapse was due to negligence. The tailings dumping pond was built in violation of regulations and had few safety inspections.
Source: Xinhua
Kang Haiyin, the Communist Party of China chief of Xiangfen County, where the tragedy occurred, were dismissed from his post, according to a meeting held by the CPC Shanxi committee in Linfen.
CPC deputy chief Li Xuejun of Xiangfen, was dismissed. The meeting also proposed to dismiss Li from his post as Xiangfen's magistrate.
Han Baoquan was proposed to be dismissed from his post as the deputy magistrate of Xiangfen.
The CPC Shanxi committee also decided to suspend the work of Linfen's Communist Party chief Xia Zhengui, and dismissed Liu Zhijie from his post as the CPC deputy chief of Linfen.
Liu Zhijie, and Zhou Jie, were proposed to be dismissed from their posts as Linfen's mayor and vice mayor respectively.
The reshuffle of government posts needed approval from the local legislative body.
An unlicensed iron ore dregs retaining pond in Xiangfen burst on Sept. 8, discharging a huge torrent of tailings, mud and rock that devastated a downstream village, an office building and a busy outdoor market.
The death toll from the accident has risen to 262 with several still listed as missing.
An initial investigation found the collapse was due to negligence. The tailings dumping pond was built in violation of regulations and had few safety inspections.
Source: Xinhua
South China club fire kills at least 43, injures 88
A fire at a club in south China's Guangdong Province left at least 43 people dead and 88 others injured on Saturday night, local police said.
Among those injured, 51 people needed treatment and were being treated in hospital. All were in stable condition, doctors said.
The fire broke out at about 11 p.m. at a club, named "King of the Dancers," in Longgang District in Shenzhen City, when hundreds of people were watching a performance.
According to police's initial investigation, the fire was triggered by fireworks ignited during the performance on the third floor of the club.
There was only a narrow aisle, about 10 meters long, in the hall. Many people got hurt in stampede, said Yang Zhi, a club staff member who survived the fire.
"I saw people rushing out at about 11 p.m. and all light were off." Yang wetted his clothes and followed the others. He got burns on the neck.
The fire was extinguished at the night. Most of the injured were the audience, police said.
The province has set up a special working team for the case. An investigation has begun.
Source: Xinhua
Among those injured, 51 people needed treatment and were being treated in hospital. All were in stable condition, doctors said.
The fire broke out at about 11 p.m. at a club, named "King of the Dancers," in Longgang District in Shenzhen City, when hundreds of people were watching a performance.
According to police's initial investigation, the fire was triggered by fireworks ignited during the performance on the third floor of the club.
There was only a narrow aisle, about 10 meters long, in the hall. Many people got hurt in stampede, said Yang Zhi, a club staff member who survived the fire.
"I saw people rushing out at about 11 p.m. and all light were off." Yang wetted his clothes and followed the others. He got burns on the neck.
The fire was extinguished at the night. Most of the injured were the audience, police said.
The province has set up a special working team for the case. An investigation has begun.
Source: Xinhua
At least 31 dead, nine missing in C China coal mine gas outburst
At least 31 people have been confirmed dead and nine others missing in a coal mine gas outburst in central China's Henan Province early on Sunday.
A local government spokesman said coal and gas erupted at about1:40 a.m. at Xinfeng No. 2 Coal Mine, southwest of Dengfeng City.
There were 108 people underground when the accident occurred and 68 of them escaped.
Rescue efforts are underway.
The coal mine is a private one.
Source: Xinhua
A local government spokesman said coal and gas erupted at about1:40 a.m. at Xinfeng No. 2 Coal Mine, southwest of Dengfeng City.
There were 108 people underground when the accident occurred and 68 of them escaped.
Rescue efforts are underway.
The coal mine is a private one.
Source: Xinhua
37 dead in central China coal mine gas outburst
A rescue headquarters spokesman confirmed 37 people were killed in a gas outburst at a coal mine in central China's Henan Province early on Sunday.
The accident happened at about 1:10 a.m. at Xinfeng No. 2 Coal Mine, southwest of Dengfeng City, when 108 workers were underground.
The spokesman said 64 people escaped and seven others were taken out of the pit safely.
Those injured were hospitalized.
The coal mine, belonging to Guangxian Industrial and Trade Co.,Ltd., was undergoing a technical innovation. The people in charge of the company have been under control.
The city authorities ordered all coal mines that were under technical innovation to suspend operation for safety overhaul.
Investigation into the cause of the accident is underway.
Source: Xinhua
The accident happened at about 1:10 a.m. at Xinfeng No. 2 Coal Mine, southwest of Dengfeng City, when 108 workers were underground.
The spokesman said 64 people escaped and seven others were taken out of the pit safely.
Those injured were hospitalized.
The coal mine, belonging to Guangxian Industrial and Trade Co.,Ltd., was undergoing a technical innovation. The people in charge of the company have been under control.
The city authorities ordered all coal mines that were under technical innovation to suspend operation for safety overhaul.
Investigation into the cause of the accident is underway.
Source: Xinhua
Knife-wielding man hurts 12 in C China downtown street
A migrant worker stabbed 12 people, two seriously, on Saturday in the downtown area of Shiyan in central China's Hubei Province, local police said.
Police in Shiyan City received several reports from 11:38 a.m. that a man stabbed pedestrians in a busy street near an apparel market.
Police caught the man at about 11:50 and seized a knife, measuring more than 30 cm long.
The injured, ranging in age from 15 to 42, were being treated and all were in stable condition.
Li was also hospitalized after he stabbed himself in the belly.
According to police investigation, the man, named Li Zehong, 46,was a farmer from Yunxian County. He and his wife had been chronically on bad terms. Their son and elder daughter were working in southern Guangdong Province. His wife and the younger daughter lived in Shiyan.
The case is still under investigation.
Source: Xinhua
Police in Shiyan City received several reports from 11:38 a.m. that a man stabbed pedestrians in a busy street near an apparel market.
Police caught the man at about 11:50 and seized a knife, measuring more than 30 cm long.
The injured, ranging in age from 15 to 42, were being treated and all were in stable condition.
Li was also hospitalized after he stabbed himself in the belly.
According to police investigation, the man, named Li Zehong, 46,was a farmer from Yunxian County. He and his wife had been chronically on bad terms. Their son and elder daughter were working in southern Guangdong Province. His wife and the younger daughter lived in Shiyan.
The case is still under investigation.
Source: Xinhua
Five detained over coal mine fire that killed five, trapped 26 in NE China
Five people were detained in connection with Saturday's coal mine fire which had left five people dead and 26 others missing in northeast China's Heilongjiang Province.
The coal mine's investor, the manager, a vice manager in charge of production and another in charge of ventilation, and the engineer were under police control, said Wang Rui, vice mayor of Hegang City.
Their accounts had been frozen, he added.
The fire was detected at about 3:30 a.m. at Fuhua Coal Mine in Hegang when 43 miners were underground, a rescue headquarters spokesman said.
Twelve managed to escape while 31 were trapped. Rescuers had recovered five bodies of the trapped miners.
The licensed mine, in Xingshan District of Hegang, is privately-owned by the Fuhua Mining Co., Ltd. It has an annual production capacity of 60,000 tonnes.
The city has ordered all its coal mines to suspend operation for checkups.
Rescue efforts and investigation are underway.
Source: Xinhua
The coal mine's investor, the manager, a vice manager in charge of production and another in charge of ventilation, and the engineer were under police control, said Wang Rui, vice mayor of Hegang City.
Their accounts had been frozen, he added.
The fire was detected at about 3:30 a.m. at Fuhua Coal Mine in Hegang when 43 miners were underground, a rescue headquarters spokesman said.
Twelve managed to escape while 31 were trapped. Rescuers had recovered five bodies of the trapped miners.
The licensed mine, in Xingshan District of Hegang, is privately-owned by the Fuhua Mining Co., Ltd. It has an annual production capacity of 60,000 tonnes.
The city has ordered all its coal mines to suspend operation for checkups.
Rescue efforts and investigation are underway.
Source: Xinhua
China condemns hotel suicide bombing in Pakistan
China on Sunday condemned the terrorist attack on the Marriott Hotel in Islamabad, capital of Pakistan.
"China opposes terrorism of any kind. As the friendly neighbor and all-weather friend of Pakistan, China will continue to support the unremitting efforts of Pakistan's government and people to maintain stability," said Foreign Ministry spokeswoman Jiang Yu.
She was responding to a question on the truck bomb outside the Marriott Hotel in central Islamabad that killed at least 60 people and injured more than 200 on Saturday.
She said China expressed heartfelt condolences to the victims of the attack and extended sincere sympathies to the bereaved families and the wounded.
Source: Xinhua
"China opposes terrorism of any kind. As the friendly neighbor and all-weather friend of Pakistan, China will continue to support the unremitting efforts of Pakistan's government and people to maintain stability," said Foreign Ministry spokeswoman Jiang Yu.
She was responding to a question on the truck bomb outside the Marriott Hotel in central Islamabad that killed at least 60 people and injured more than 200 on Saturday.
She said China expressed heartfelt condolences to the victims of the attack and extended sincere sympathies to the bereaved families and the wounded.
Source: Xinhua
China's dairy farmers cry for help over spilt milk
On the outskirts of Nantongye village, a huge yogurt plant is under construction. It is planned that it may take all fresh milk produced by more than 3,000 cows raised by one third of the village households.
The plant owner is the Sanlu Group, whose baby formula was found containing the toxic chemical melamine that caused more than6,200 children nationwide to have kidney stones.
Dairy farmers at Nantongye village were long-term suppliers to Sanlu, the biggest dairy producer in northern Hebei Province and nationwide, though villagers say they did not sign contracts with the company.
The company built five stations in the village to collect freshmilk, but since last Sunday it has stopped buying from farmers as all Sanlu plants have been suspended from production since the scandal was revealed.
Most farmers raise cows in small farms covering not much more than a courtyard. Li Zhidong's 18 cows produce about 160 kg of milk a day. In the past week, her earnings have dropped by 330 yuan a day.
"I gave away the milk to family, friends and neighbors. Some feed it to their pigs. The rest I pour into the sewer," says Li, 56, who manages the farm with her husband. "All good milk. It's such a waste."
She has stopped feeding the cattle concentrated feed, giving them hay. Now they produce less milk each day.
"I have no choice but to cut costs," she says. "If the cows stop producing, it will take at least 10 months for them to give milk again."
Usually Li and her neighbors herd their cattle to a nearby milking station, where tankers collect the fresh milk and carry itto the plants.
"We did not add anything bad in the milk. We never even had the opportunity," Li says. "Those bad guys have put all of us in trouble."
Some of the 378 milk stations supplying Sanlu are like those in Nantongye village, directly run by the company itself, and others are owned by middlemen or big dairy farms.
Hebei police have arrested two brothers, surnamed Geng, who rana station supplying Sanlu and charged them with adding melamine tomilk.
"Sanlu did help us in our business and improved our lives," says Li. Her family earned about 10,000 yuan a year from their cattle. Her son and daughter-in-law worked at Sanlu plants.
But the farmers are now in difficulty. Li's neighbor, Li Jufeng, plans to sell all 13 cows his father raised.
"My dad had a traffic accident two days ago. We need money to pay for his treatment," says the 32-year-old. "If we keep the cattle, we cannot sell the milk and have to spend money on them."
A father of a boy and girl, he worked for a Sanlu milk powder plant until the scandal broke. "I don't know what will happen to me and whether I will get paid this month."
The local government has been busy searching for new milk buyers. "Yili and Mengniu had promised tobuy our milk, but they just came a day and stopped because some of their products were also found with problems," says Zhang Junyong,an official in charge of agriculture at Tongye township government.
Four dairy firms in Hebei have reached agreements with the provincial government to buy some of the 2,500 to 3,000 tonnes of daily milk formerly supplied of Sanlu, a government source told Xinhua.
The government is also negotiating with Beijing-based Sanyuan Group and Shanghai-based Bright Dairy.
Some district governments and neighborhood committees in the provincial capital, Shijiazhuang, also approached dairy farmers. They carried fresh milk to government offices and neighborhoods and sold direct to residents.
Chen, a district government worker who declined to give her full name, bought 1.5 liters of fresh milk. "I paid 0.5 yuan per 500 ml. I heard the government gave an 0.5 yuan subsidy per 500 ml to farmers," she says. "The only problem is that fresh milk cannot keep for long."
SECURITY OF CONTRACT
Unlike Li in Nantongye, Zhou Dongji at Nanjiachun village continues feeding his 14 cows as usual.
The scandal has had little effect on him and 58 other dairy farmers in his village. Bright Dairy continued buying their milk though its yogurt products were also found containing melamine in a nationwide inspection.
"We signed contracts to sell only to Bright Dairy," says Zhou.
His cattle are not kept on his own farm, but a big farm with those of other farmers. In the eight-hectare lot, each farmer has one unit for their own cattle. They feed the cows themselves whilethe dairy company is in charge of milking, breeding, disease prevention and treatment.
In Wangdu county where Zhou's village is located, other dairy giants like Mengniu and Yili have set up similar facilities.
"It is always easier to control the quality of milk produced bycontracted farmers than the independents as the latter sell to whoever gives the highest price," says Liu Chenfa, a Mengniu facility manager.
But insiders say some dairy firms refuse to contract farmers inorder to avoid risk when supply exceeds demand.
Source: Xinhua
The plant owner is the Sanlu Group, whose baby formula was found containing the toxic chemical melamine that caused more than6,200 children nationwide to have kidney stones.
Dairy farmers at Nantongye village were long-term suppliers to Sanlu, the biggest dairy producer in northern Hebei Province and nationwide, though villagers say they did not sign contracts with the company.
The company built five stations in the village to collect freshmilk, but since last Sunday it has stopped buying from farmers as all Sanlu plants have been suspended from production since the scandal was revealed.
Most farmers raise cows in small farms covering not much more than a courtyard. Li Zhidong's 18 cows produce about 160 kg of milk a day. In the past week, her earnings have dropped by 330 yuan a day.
"I gave away the milk to family, friends and neighbors. Some feed it to their pigs. The rest I pour into the sewer," says Li, 56, who manages the farm with her husband. "All good milk. It's such a waste."
She has stopped feeding the cattle concentrated feed, giving them hay. Now they produce less milk each day.
"I have no choice but to cut costs," she says. "If the cows stop producing, it will take at least 10 months for them to give milk again."
Usually Li and her neighbors herd their cattle to a nearby milking station, where tankers collect the fresh milk and carry itto the plants.
"We did not add anything bad in the milk. We never even had the opportunity," Li says. "Those bad guys have put all of us in trouble."
Some of the 378 milk stations supplying Sanlu are like those in Nantongye village, directly run by the company itself, and others are owned by middlemen or big dairy farms.
Hebei police have arrested two brothers, surnamed Geng, who rana station supplying Sanlu and charged them with adding melamine tomilk.
"Sanlu did help us in our business and improved our lives," says Li. Her family earned about 10,000 yuan a year from their cattle. Her son and daughter-in-law worked at Sanlu plants.
But the farmers are now in difficulty. Li's neighbor, Li Jufeng, plans to sell all 13 cows his father raised.
"My dad had a traffic accident two days ago. We need money to pay for his treatment," says the 32-year-old. "If we keep the cattle, we cannot sell the milk and have to spend money on them."
A father of a boy and girl, he worked for a Sanlu milk powder plant until the scandal broke. "I don't know what will happen to me and whether I will get paid this month."
The local government has been busy searching for new milk buyers. "Yili and Mengniu had promised tobuy our milk, but they just came a day and stopped because some of their products were also found with problems," says Zhang Junyong,an official in charge of agriculture at Tongye township government.
Four dairy firms in Hebei have reached agreements with the provincial government to buy some of the 2,500 to 3,000 tonnes of daily milk formerly supplied of Sanlu, a government source told Xinhua.
The government is also negotiating with Beijing-based Sanyuan Group and Shanghai-based Bright Dairy.
Some district governments and neighborhood committees in the provincial capital, Shijiazhuang, also approached dairy farmers. They carried fresh milk to government offices and neighborhoods and sold direct to residents.
Chen, a district government worker who declined to give her full name, bought 1.5 liters of fresh milk. "I paid 0.5 yuan per 500 ml. I heard the government gave an 0.5 yuan subsidy per 500 ml to farmers," she says. "The only problem is that fresh milk cannot keep for long."
SECURITY OF CONTRACT
Unlike Li in Nantongye, Zhou Dongji at Nanjiachun village continues feeding his 14 cows as usual.
The scandal has had little effect on him and 58 other dairy farmers in his village. Bright Dairy continued buying their milk though its yogurt products were also found containing melamine in a nationwide inspection.
"We signed contracts to sell only to Bright Dairy," says Zhou.
His cattle are not kept on his own farm, but a big farm with those of other farmers. In the eight-hectare lot, each farmer has one unit for their own cattle. They feed the cows themselves whilethe dairy company is in charge of milking, breeding, disease prevention and treatment.
In Wangdu county where Zhou's village is located, other dairy giants like Mengniu and Yili have set up similar facilities.
"It is always easier to control the quality of milk produced bycontracted farmers than the independents as the latter sell to whoever gives the highest price," says Liu Chenfa, a Mengniu facility manager.
But insiders say some dairy firms refuse to contract farmers inorder to avoid risk when supply exceeds demand.
Source: Xinhua
Death toll rises to 19 in NE China coal mine fire
Rescuers have found another 14 bodies at a coal mine in northeast China's Heilongjiang Province, bringing the death toll from a fire on Saturday to 19.
A rescue headquarters spokesman said 12 miners remained missing as of 2 p.m. on Sunday.
Rescuers reached the fire in the shaft at 1 a.m. on Sunday and found the bodies. The fire was still spreading and the shaft roof over the fire was about to crumble. The density of toxic gases kept increasing, making the rescue work even more difficult, the spokesman said.
Experts were working on schemes to control the fire, including injecting liquefied carbon dioxide.
The fire broke out at about 3:30 a.m. on Saturday at Fuhua CoalMine in Hegang City when 43 miners were underground. Twelve managed to escape while 31 were trapped. Rescuers recovered five bodies late on Saturday.
The mine's owner, manager, a vice manager in charge of production and another in charge of ventilation, and engineer werein police custody. Their bank accounts had been frozen, Wang Rui, vice mayor of Hegang, said.
The licensed mine, in Xingshan District of Hegang, belongs to Fuhua Mining Co., Ltd., and has an annual production capacity of 60,000 tons.
The city has ordered all its coal mines to suspend operation pending inspections. Mine safety authorities are investigating the cause of the blaze.
Source: Xinhua
A rescue headquarters spokesman said 12 miners remained missing as of 2 p.m. on Sunday.
Rescuers reached the fire in the shaft at 1 a.m. on Sunday and found the bodies. The fire was still spreading and the shaft roof over the fire was about to crumble. The density of toxic gases kept increasing, making the rescue work even more difficult, the spokesman said.
Experts were working on schemes to control the fire, including injecting liquefied carbon dioxide.
The fire broke out at about 3:30 a.m. on Saturday at Fuhua CoalMine in Hegang City when 43 miners were underground. Twelve managed to escape while 31 were trapped. Rescuers recovered five bodies late on Saturday.
The mine's owner, manager, a vice manager in charge of production and another in charge of ventilation, and engineer werein police custody. Their bank accounts had been frozen, Wang Rui, vice mayor of Hegang, said.
The licensed mine, in Xingshan District of Hegang, belongs to Fuhua Mining Co., Ltd., and has an annual production capacity of 60,000 tons.
The city has ordered all its coal mines to suspend operation pending inspections. Mine safety authorities are investigating the cause of the blaze.
Source: Xinhua
China power coal reserves in major plants hit new high
China's coal reserves in 353 major power plants have hit a record 29.33 million tonnes, according to Ministry of Railways figures on Friday.
This amount was compared to normal reserves of 23 million to 24 million tonnes in the previous years, experts said.
"Reserves are sufficient to ensure current electricity generation. Although some small plants are still short of coal due to various reasons, the severe power coal shortage of the previous months is expected to ease as a whole," said Zhang Zhonghua, an Orient Securities analyst.
Experts attributed the surging stockpile to a weaken demand for power as the traditional summer peak season had passed. The country consumed 319.8 billion kwh of power in August, down 1 percent from 322.5 billion kwh in July.
The country's efforts in enhancing coal transport capacity and shutting down small-scale thermal coal plants also contributed to the rise, the ministry said.
Last year, China shut down small coal-fired power generators with a total capacity of 14.38 million kwh. The figure accounted for 28.76 percent of the total capacity the country planned to close during the 11th Five-year Plan , according to the National Development and Reform Commission.
Source: Xinhua
This amount was compared to normal reserves of 23 million to 24 million tonnes in the previous years, experts said.
"Reserves are sufficient to ensure current electricity generation. Although some small plants are still short of coal due to various reasons, the severe power coal shortage of the previous months is expected to ease as a whole," said Zhang Zhonghua, an Orient Securities analyst.
Experts attributed the surging stockpile to a weaken demand for power as the traditional summer peak season had passed. The country consumed 319.8 billion kwh of power in August, down 1 percent from 322.5 billion kwh in July.
The country's efforts in enhancing coal transport capacity and shutting down small-scale thermal coal plants also contributed to the rise, the ministry said.
Last year, China shut down small coal-fired power generators with a total capacity of 14.38 million kwh. The figure accounted for 28.76 percent of the total capacity the country planned to close during the 11th Five-year Plan , according to the National Development and Reform Commission.
Source: Xinhua
Sliding oil price to benefit China economy
Depressed by the global economic recession and Wall Street turmoil, the price of crude oil plummeted heavily this week. Market analysts said the drop would bolster China's economic development.
PRICE PLUNGE AMID ECONOMIC TURMOIL
The turmoil on Wall Street in the wake of the U.S. sub-prime crisis is far from conclusion. Global financial markets tumbled again after the historical "Black Monday" on Sept. 15 when the fourth biggest U.S. investment bank, Lehman Brothers, filed for bankruptcy. Adding to the woes,financial giant Merrill Lynch was taken over by Bank of America, while leading insurer AIG needed an85 billion U.S. dollar bailout from the U.S. government to keep afloat.
This was accompanied by a tumbling price for crude oil. Light, sweet crude for October delivery fell below the 100 U.S. dollars per barrel level to hit 95.71 U.S. dollars on the New York Mercantile Exchange on Sept. 15, a 35 percent drop from the record 147.27 U.S. dollars of July 11.
"An ebbing world economy and declining demand for crude oil has dragged down the price, while a stronger greenback and weaken speculation also led to the result," said Jiang Xinmin, an expert with the National Development and Reform Commission, the country’s economic regulator.
"Speculators are prone to sell off oil if demand is expected to fall in the future. They will shift to speculate in some other commodities and financial products. This will further help a fading price," he explained.
Professor Dong Xiucheng of the Beijing-based China University of Petroleum said the world's big investment banks were the major speculators and participants in the futures markets. They had contributed much to the surging oil price.
"However, this wave of financial crisis is expected to play the role of an alarm bell, which will warn them to give up excessive and abnormal speculation in crude oil markets in future."
Jiang predicted the price would very likely stay bellow 100 U.S. dollars a barrel for a long period. "Crude prices will come back to reflect the world economic situation."
EASING INFLATION PRESSURE
The "crude oil price fall will help China to tame inflation, which is one of the country's biggest pressures currently," said Tang Min, China Development Research Foundation deputy secretary general.
Because of the booming economic development and severe natural disasters this year, the country's consumer price index , a main gauge of inflation, rose 7.9 percent in the first half over the same period last year. It hit a 12-year high of 8.7 percent in February.
This nearly doubled the country's target figure. Earlier this year the nation set a goal of limiting CPI to 4.8 percent for 2008.
"China's inflation pressure has grown tougher as the prices of world goods and commodities rose sharply this year amid surging oil prices, because oil is one of the most important raw materials and components of industry," Tang said.
Last year, the nation imported 163 million tonnes of crude, up 12.4 percent over the previous year. This accounted for nearly half of the oil consumed nationwide, according to China Customs figures.
"The country has become more and more reliant on international trade and the world market after it adopted the opening-up policy," Tang said. "This means the rising crude prices would pass onto the domestic industries and consumers easier."
"It's not difficult to understand a falling oil price is passed on to other domestic industrials. It will pull down prices of the whole industrial chain."
Zhao Jinping, an economist with the State Council, the country's Cabinet, added: "Although inflation has been eased a little in recent months, the producer price index continues to increase, which indicates the raw material price is still high. Inflation could not be solved at the root if oil prices stay high."
According to National Bureau of Statistics figures, the PPI for the country's industrial products jumped 8 percent in the first seven months over the same period last year.
"The oil industry is the one of the most upstream in the industrial chain," said the NDRC's Jiang. "Enterprises will reduce their business costs greatly when oil prices plunge. This may benefit consumers, tame inflation and boost the economy."
Tang adds, all in all, the country is expected to face less inflationary pressure if the oil price continues to fall.
OIL REFINERS BENEFITED
Industry insiders said China Petrochemical Corp. , Asia's largest oil refiner, could earn profit only if the oil price was below 95 U.S. dollars per barrel. The balance point for PetroChina, the other domestic oil giant, was 88 U.S. dollars.
However, the country's oil companies have been losing money for each barrel of foreign oil they refined and sold to domestic consumers. This was because they couldn't pass on the increase under the government-set refined oil price.
Sinopec saw its first half net profit fall 73.4 percent over the same period last year, dragged down by big losses in its refining sector. The leading refiner confirmed losses of 46 billion yuan in its refining sector, despite receiving government subsidies of 33.4 billion yuan.
"A falling crude price is no doubt good news for domestic oil refiners, whose profits were squeezed by high world oil prices and a relatively lower domestic price," said Zhuang Jian, an Asian Development Bank economist.
"Now refiners can buy cheaper crude from overseas markets if the price falls. This will help them to reduce business costs and increase profit fundamentally," he said.
Professor Dong added the effect of the drop varied among the different companies. "For example, Sinopec may benefit from a falling crude price because almost 70 percent of its crude is from overseas. China National Offshore Oil Corp. will probably see reduced profit because its earnings are mainly from the exploration sector."
To solve problems that have resulted from the soaring world crude prices, the government raised the benchmark gas and diesel oil retail prices to 6,980 yuan and 6,520 yuan, respectively, per tonne in June, up more than 16 percent and 18 percent. But it does little to make up for refiners' losses.
Dong points out the rising domestic crude price and providing enterprises with subsidies will not solve the problem fundamentally. "These moves not only add to the government's financial burden, but also lead to a more severe domestic oil shortage. Foreign oil companies prefer to buy cheaper crude from China at a relatively low price."
The ADB's Zhuang adds the surging oil price had obviously put the government in a dilemma.
"On one hand, oil refiners expect the country to lift the refined oil price. On the other hand, it fears a free refined price may spark severe inflation and harm other downstream industries. In a long-run perspective, the country should adjust the refined pricing mechanism when the world price is relatively low.
"Raising the domestic refined price is not an easy job at present and needs good timing, but a falling world oil price has made the issue easier to realize. China should seek good opportunities to adjust the pricing mechanism."
Source: Xinhua
PRICE PLUNGE AMID ECONOMIC TURMOIL
The turmoil on Wall Street in the wake of the U.S. sub-prime crisis is far from conclusion. Global financial markets tumbled again after the historical "Black Monday" on Sept. 15 when the fourth biggest U.S. investment bank, Lehman Brothers, filed for bankruptcy. Adding to the woes,financial giant Merrill Lynch was taken over by Bank of America, while leading insurer AIG needed an85 billion U.S. dollar bailout from the U.S. government to keep afloat.
This was accompanied by a tumbling price for crude oil. Light, sweet crude for October delivery fell below the 100 U.S. dollars per barrel level to hit 95.71 U.S. dollars on the New York Mercantile Exchange on Sept. 15, a 35 percent drop from the record 147.27 U.S. dollars of July 11.
"An ebbing world economy and declining demand for crude oil has dragged down the price, while a stronger greenback and weaken speculation also led to the result," said Jiang Xinmin, an expert with the National Development and Reform Commission, the country’s economic regulator.
"Speculators are prone to sell off oil if demand is expected to fall in the future. They will shift to speculate in some other commodities and financial products. This will further help a fading price," he explained.
Professor Dong Xiucheng of the Beijing-based China University of Petroleum said the world's big investment banks were the major speculators and participants in the futures markets. They had contributed much to the surging oil price.
"However, this wave of financial crisis is expected to play the role of an alarm bell, which will warn them to give up excessive and abnormal speculation in crude oil markets in future."
Jiang predicted the price would very likely stay bellow 100 U.S. dollars a barrel for a long period. "Crude prices will come back to reflect the world economic situation."
EASING INFLATION PRESSURE
The "crude oil price fall will help China to tame inflation, which is one of the country's biggest pressures currently," said Tang Min, China Development Research Foundation deputy secretary general.
Because of the booming economic development and severe natural disasters this year, the country's consumer price index , a main gauge of inflation, rose 7.9 percent in the first half over the same period last year. It hit a 12-year high of 8.7 percent in February.
This nearly doubled the country's target figure. Earlier this year the nation set a goal of limiting CPI to 4.8 percent for 2008.
"China's inflation pressure has grown tougher as the prices of world goods and commodities rose sharply this year amid surging oil prices, because oil is one of the most important raw materials and components of industry," Tang said.
Last year, the nation imported 163 million tonnes of crude, up 12.4 percent over the previous year. This accounted for nearly half of the oil consumed nationwide, according to China Customs figures.
"The country has become more and more reliant on international trade and the world market after it adopted the opening-up policy," Tang said. "This means the rising crude prices would pass onto the domestic industries and consumers easier."
"It's not difficult to understand a falling oil price is passed on to other domestic industrials. It will pull down prices of the whole industrial chain."
Zhao Jinping, an economist with the State Council, the country's Cabinet, added: "Although inflation has been eased a little in recent months, the producer price index continues to increase, which indicates the raw material price is still high. Inflation could not be solved at the root if oil prices stay high."
According to National Bureau of Statistics figures, the PPI for the country's industrial products jumped 8 percent in the first seven months over the same period last year.
"The oil industry is the one of the most upstream in the industrial chain," said the NDRC's Jiang. "Enterprises will reduce their business costs greatly when oil prices plunge. This may benefit consumers, tame inflation and boost the economy."
Tang adds, all in all, the country is expected to face less inflationary pressure if the oil price continues to fall.
OIL REFINERS BENEFITED
Industry insiders said China Petrochemical Corp. , Asia's largest oil refiner, could earn profit only if the oil price was below 95 U.S. dollars per barrel. The balance point for PetroChina, the other domestic oil giant, was 88 U.S. dollars.
However, the country's oil companies have been losing money for each barrel of foreign oil they refined and sold to domestic consumers. This was because they couldn't pass on the increase under the government-set refined oil price.
Sinopec saw its first half net profit fall 73.4 percent over the same period last year, dragged down by big losses in its refining sector. The leading refiner confirmed losses of 46 billion yuan in its refining sector, despite receiving government subsidies of 33.4 billion yuan.
"A falling crude price is no doubt good news for domestic oil refiners, whose profits were squeezed by high world oil prices and a relatively lower domestic price," said Zhuang Jian, an Asian Development Bank economist.
"Now refiners can buy cheaper crude from overseas markets if the price falls. This will help them to reduce business costs and increase profit fundamentally," he said.
Professor Dong added the effect of the drop varied among the different companies. "For example, Sinopec may benefit from a falling crude price because almost 70 percent of its crude is from overseas. China National Offshore Oil Corp. will probably see reduced profit because its earnings are mainly from the exploration sector."
To solve problems that have resulted from the soaring world crude prices, the government raised the benchmark gas and diesel oil retail prices to 6,980 yuan and 6,520 yuan, respectively, per tonne in June, up more than 16 percent and 18 percent. But it does little to make up for refiners' losses.
Dong points out the rising domestic crude price and providing enterprises with subsidies will not solve the problem fundamentally. "These moves not only add to the government's financial burden, but also lead to a more severe domestic oil shortage. Foreign oil companies prefer to buy cheaper crude from China at a relatively low price."
The ADB's Zhuang adds the surging oil price had obviously put the government in a dilemma.
"On one hand, oil refiners expect the country to lift the refined oil price. On the other hand, it fears a free refined price may spark severe inflation and harm other downstream industries. In a long-run perspective, the country should adjust the refined pricing mechanism when the world price is relatively low.
"Raising the domestic refined price is not an easy job at present and needs good timing, but a falling world oil price has made the issue easier to realize. China should seek good opportunities to adjust the pricing mechanism."
Source: Xinhua
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