Policy Digest

Support goes to real economy sector

The National Development and Reform Commission and 11 other departments jointly issued a notice on Friday to consolidate the development of the industrial economy and maintain its growth this year.

The notice, issued to provincial-level authorities as well as the ministries and institutions of the State Council, China's Cabinet, asked them to offer micro, small and medium-sized enterprises more tax deductions for equipment, extend policies that allow deferred payments of certain taxes by MSMEs in the manufacturing industry and lower the rate companies pay for their employees' unemployment insurance and employment injury insurance.

Authorities should also devise favorable policies for the real economy, push major State-owned banks to allocate more economic capital to the manufacturing industry and promote the rapid increase of mid-to-long-term loan offerings being made to industry companies.

The notice asked authorities to make effective use of the 200 billion yuan ($31.6 billion) in funds earmarked for the clean and efficient utilization of coal, and stabilize the price of iron ore and chemical fertilizer as well as launch campaigns to promote the development of the photovoltaic industry and speed up major infrastructure projects, such as 5G construction.

Authorities should encourage financial institutions capable of offering services overseas－under the premise of legality and controllable risks－to strengthen support for traditional foreign trade companies, cross-border e-commerce platforms and logistics companies in the construction and use of warehouses abroad.

The notice also requested authorities increase the number of trains on the China-Europe Railway Express, help companies expand exports via the railway and take measures to support the manufacturing industry in attracting foreign investments.

Also on Friday, the commission jointly issued another notice with 13 other departments to facilitate aid for the service industry to help it recover from difficulties related to the pandemic.

Quality growth sought for fishing industry

The Ministry of Agriculture and Rural Affairs issued a guideline to promote quality development of the country's distant water fishing industry during the 14th Five-Year Plan (2021-25) period on Feb 14.

The production of fish and marine products should reach about 2.3 million metric tons annually by 2025, the guideline said, calling for strict control of the number of boats and improving equipment.

It also asked relevant authorities to stabilize the number of distant water fishing companies; improve their quality and efficiency; reduce violations and accidents; increase the ability to survey sea fishery resources globally; and improve implementation of international conventions.

The guideline laid out specific requirements for the trawling of tuna and squid, as well as the development of biotic resources in the Arctic and Antarctica.

It called for consolidating traditional cooperation with West Africa and Southeast Asia and promoting ties with East Africa, the South Pacific, Latin America, West Asia and South Asia.

Additionally, the guideline asked authorities to encourage distant water fishing companies to develop a supply chain covering trawling, cultivation, processing, cold chains, delivery and marketing through mergers and cooperation.