Speech in the "Year 2000 International Symposium on
Modern Logistics and Electronic Commerce"
Mr. Zhang Zhigang
Vice Chairman of the State Economic and Trade Commission
October 29, 2000
In the golden autumn of year 2000, the "Year 2000 International Symposium on Modern Logistics and Electronic Commerce" jointly sponsored by the State Administration of Internal Trade and the United Nations Development Program is ceremoniously inaugurated in Beijing today. It is an important and meaningful cooperation between a Chinese government department and the UNDP. Leaders of the State Council have attached importance to this event. Her Excellency State Councilor WU Yi originally planned to address the occasion. However, she can not make it due to some urgent matter. Nonetheless, she has specially sent a written speech to us. Other relevant government departments have also rendered generous support to this symposium. First of all, I would like to extend warm welcome and sincere congratulations to officials from the UNDP, diplomats from the embassies and commercial agencies of relevant countries, representatives from all relevant Chinese departments, delegates from corporate and academic circles at home and abroad, as well as friends from the Chinese or foreign media!
Today, Chinese and foreign guests from different background have gathered together to discuss and exchange views on two hot-spot issues, namely modern logistics and e-commerce, which is significant indeed. Countries with developed economy have always paid much attention to logistics services, the source of the third profit. For long, they have actively studied technologies and management methods concerning logistics services so as to facilitate the circulation of commodities, lower logistics cost, and provide satisfactory services to customers, which have produced plentiful advanced experiences. The swift development of science & technology and the emergence of New Economy based on information technology, in particular the rapid growth of information technology and e-commerce with the Internet as foundation, have called on circulation of commodities to catch up accordingly. Economically advanced countries have further intensified study and investment in e-commerce and logistics distribution. It is predicted that modern logistics and e-commerce shall still be hot spots of the world economy and exert important influence on the world economy and commodity distribution.
Due to vary reasons, China has not paid sufficient attention to the development of logistics. The economic and business communities have not put it in the right place. A relatively wide gap still exists as compared to developed countries. It is imperative to develop logistics in China rapidly if all relevant government agencies and the vast number of companies expect the Chinese national economy to grow in a sustainable and stable way and the economic development level to rise. Logistics development is also necessitated by China's accession to the WTO and the implementation of Developing the West Strategy. It is very important for China to improve economic operation quality, increase economic efficiency of companies, and to achieve the two transformations, i.e. in economic structure and economic growth mode. In the tenth Five-year plan of China, logistics distribution has been identified as an area that needs to be developed vigorously. It is my hope that all dear participants shall fully understand the importance and urgency of developing modern logistics in China. I also do hope that companies can really change their mentality and concepts, give play to the role of modern logistics in increasing efficiency, reducing cost, exploring market and serving customers, learn by heart the advanced technologies and experiences in logistics from developed countries, and push forward the integration of logistics with e-commerce so that China's logistics can catch up the leading level in the world.
If perceived from the broad concept, there are numerous industries and companies that are related to logistics covering wide scope, long chain and large number of companies. All companies in the business of procurement, manufacture, warehousing, transportation, freight forwarding, distribution and sales are involved in logistics. These companies are the mainstays as China develops its modern logistics. Joint effort from companies in all the above-mentioned industries is required if we intend to lower circulation cost, enhance the competitiveness of companies on market, and to quickly scale new height in logistics development of China. I would like to specifically emphasize that companies engaged in circulation, as the backbone of commodities circulation, should have a clear picture of the changes and tendencies of commodity circulation development, step up efforts in developing logistics distribution, integrate actively the circulation of commodity with e-commerce and logistics distribution so as to open a new chapter in China's commodity circulation.
Different aspects are involved in the progress of modern logistics, which is a systematic project. It requires concerted efforts from government departments, companies and all walks of the society of our country, and demands coordination and cooperation between different regions, sectors and industries. Since currently relevant Chinese departments and industries are developing individually and construct separately, it is imperative to consolidate coordination and cooperation among departments and industries in the future. The State Economic and Trade Commission will join hands with other relevant departments in strengthening coordination among different industries and promoting unified planning and standardization across the country in the field of logistics development. Relevant departments in various locations should also plan well how to develop logistics and provide guidance according to the local situation, bring together logistics resources and avoid redundant construction or disorder development.
China is about to accede to the WTO and the Chinese economy will be further integrated into the world economy. In the future, China will steadfastly pursue reform and opening-up policy while its economic operation will also comply with international practices in all aspects. Logistics of China intends to carry out international communications and cooperation extensively. We welcome foreign guests present here and large foreign logistics companies or other foreign companies to pay attention to China, an important logistics market, perceive the enormous development space of China's logistics industry, and participate actively in China's logistics development, in particular to invest in the construction of logistics infrastructure in the central and western regions. And last but not the least, to invest and cooperate in various forms.