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Having fallen upon hard times, Guangxi Zhuang Autonomous Region"s sugar producers are on their way back to success with the help of new investment and policy
The Guangxi Zhuang Autonomous Region is China’s largest sugar producing base, while Chongzuo is the largest in Guangxi, thus nicknamed “China’s sugar capital”. The city has made full use of sugarcane crops and developed a large scale circular sugar industry. Cane juice can be made into cane vinegar — a healthy sweet and sour drink. It can also be made into blackstrap molasses plum candy, which is a snack very popular across China. A wide range of other sugar byproducts are also made available through sugar production — cane molasses can be processed into yeast, dried filter cake can be made into fertilizer and cane leaves and tail can even be made into an animal feed supplement.
As China’s largest sugar producer, Guangxi produces 60 percent of the country’s sugar. Chongzuo’s sugar output is about one-third of the region’s total, and one-fifth of the country’s total. However, in recent years, falling sugar prices in the international market had a negative impact on the development of the industry in the region. The enterprises and farmers in “China’s sugar capital” have fallen upon hard times.
The region’s government took action. It formulated an Overall Plan for Reinvigorating Guangxi’s Sugar Industry, with the aim of promoting the transformation and upgrading of its sugar industry and extending the whole industry chain of cane sugar.
According to the overall plan, Guangxi is going to build a China （Guangxi） Sugar Industrial Park in Chongzuo, consisting of the Sino-Thai （Chongzuo） Industrial Park, the China-ASEAN Nanning Airport Fusui Economic Zone and the Jiangzhou District Cane Sugar Circular Economy Industrial Park. On Sept. 15, 2017, the construction of the China （Guangxi） Sugar Industrial Park officially kicked off. When completed, the park is expected to improve the region’s industry chain of innovation.
Growing Sugar Industrial Park
At the beginning of last November, on the eve of the 2017 China Sugar Expo, our reporter joined more than 100 domestic and foreign businessmen on a fact-finding tour to Chongzuo.
In the Youth Cane Vinegar Company located in the Sino-Thai （Chongzuo） Industrial Park, the visitors marveled at the cane vinegar that tastes sweet and sour, complete with the fragrance of sugarcane. They were informed that the cane vinegar is made from fermented raw cane juice. It suits most people’s taste better than the apple vinegar already commonly found in the market. With increased market demand, the company is planning to increase output. Quite a few visitors showed interest in this project. Wei Shaoyong, vice-president of the Zhujiang Xijiang Industrial Investment Fund Management Company, indicated clear intentions to provide financing for the company in the form of equity or creditor’s rights on the basis of an integrated assessment.
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