Shanghai Daily news

Neighboring the Pudong International Airport, Shanghai Zhuqiao Airport Industrial Park targets the city's processing and logistic industries.
Flanked along Yuandong Avenue in Nanhui District, the park's west part is home to 62 processing enterprises covering 156.6 hectares, while its east area is being prepared for the logistic industry, although a blueprint for the area is still being discussed by district officials.
"The park was established to spur the local economy by utilizing the convenient traffic provided from its neighboring airport, in addition to solving the free labor force from 1,117 families nearby," said Huang Huozhang, vice chairman of the park.
The location was part of an agricultural town before 2002.
Last year, processing output hit 1.2 billion yuan (US$144.58 million), an increase of 200 percent from the previous year. After three years of preparation, many businesses began opening in the park in 2004, according to Huang.
In 2004, 38 firms in the furniture, painting material and auto parts industries began production in the park.
Park officials expect output will climb 67 percent this year to hit 2 billion yuan. If those expectations are met, tax revenues from the park will range between 55 million and 60 million yuan this year, according to Huang.
"Since the central government set up new rules to control industrial land in the first half of last year, it has become more difficult to lure new manufacturers as the zone's land usage was tightened," said Huang. In accordance with the central policy, solid thresholds were fixed to raise the productivity of the land.
To be eligible to set up shop in the processing park, domestic companies must invest more than 2 million yuan, while overseas-invested firms must invest at least US$250,000.
All companies must also ensure that annual output is more than 4 billion yuan per square kilometer or they will be asked to leave the park.
So far, eight firms have been kicked out of the park due to their low production capability.
Despite the tightened rules on the use of industrial land, the park still hopes to lure more qualified processing manufacturers to enlarge its scale as well as increase its competitiveness.
It is in talk with two companies involved in the food and plane maintenance industries that work with China Eastern Airline, the country's second-largest airline.
While few details about the logistics area in the park have been released yet, as the local government is still looking at plans for that portion of the park.