Bureaus Exclusive

Inland bonded logistics center operates in Shanghai

By Chen Qide (China Daily Shanghai Bureau)
Updated: 2010-09-26 19:21

Shanghai put into operation its first inland bonded logistics center in Putuo district Sunday as part of its strategy to push forward the construction on its international shipping center.

The Shanghai Northwest Bonded Logistics Center is complementary to the city's bonded logistics network which consists of bonded zones at ports of Waigaoqiao and Yangshan in Pudong.

"Setting up such a center enables the city to extend the bonded logistics business into inland cities at the Yangtze Delta Region, a strong stimulus to the development of the region's logistics industry," said Putuo Party Secretary Zhou Guoxiong.

"It will also help Putuo become a commercial and trade center in the city's northwestern areas," he said.

A company, entitled Shanghai Waigaoqiao Northwest Bonded Logistics Co. Ltd, has been set up to make the center operating smoothly by using advanced management, said Zhang Liande, Party secretary of Putuo Commercial Commission.

The company is a joint venture with a registered capital of 10 million yuan, 49 per cent of which comes from the Putuo State Assets Commission and 51 per cent from Shanghai Waigaoqiao (Group) Co. Ltd, Zhang said.

He said the center has signed a strategic cooperation framework agreement with Waigaoqiao Bonded Logistics Park to step up its development by means of partner's logistics resources.

The center covers an area of 0.33 square kilometers and was set up with an investment of about 700 million yuan (US$104 million). At present, it is able to handle cargoes of 5 million tons annually.

The center now has 59 logistics enterprises from home and abroad with a combined investment of 836 million yuan (US$124 million).

"It will function as a platform to distribute bonded goods from abroad into the retail network in the metropolis as well as the Yangtze Delta Region," said Xing Kangdi, general manager of the newly-established company.