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Shanghai Municipal Government Press Conference Memo (September 20, 2006)
22/9/2006 16:14

1. What's the status of the cultural industry in Shanghai's general economic structure?
A: Last year, Shanghai's cultural industry continued to grow at a pace faster than the average local economic growth, with revenues of 208.101 billion yuan (US$26.2 billion) and the added value of 50.923 billion yuan, up 13 percent and 13.2 percent from a year before respectively. The 13.2 percent growth was 2.1 percentage points higher than the local GDP growth and the added value accounted for 5.6 percent of the GDP, up 0.1 percentage point from the previous year, with a 6.5 percent contribution to the city's economic growth. Based on the above data, the cultural industry is playing a more important role in the local economic situation.


2. How is the cultural industry being classified?
A: The cultural industry is made up of two parts: cultural service and relevant industries. Last year, the cultural service industry accounted for 60 percent of the added value and the relevant sectors kept the balance. The cultural service industry covers six categories: press/publishing/copyright services (including press service, book/newspaper publishing and audio/electronic publishing products), broadcasting/TV/movie services, cultural arts services (including cultural arts formation and performance/performance sites, cultural protection & cultural facility service, public cultural activities, cultural research & community service), Internet service, cultural entertainment services (including tourism and entertainment services) and other cultural services (including advertising & exhibitions, cultural arts commercial agent service, cultural product leasing and auction services). The relevant cultural services cover two categories: the production of cultural articles, equipment and relevant products and the sales of these products.


3. The local cultural service trade was previously unbalanced, with imports far exceeding exports. Was this trade deficit eased last year?
A: The trade deficit was relieved last year, with copyright exports of books and electronic publishing seeing rapid growth. A total of 354 copyrights were exported last year, up by 96, or 37.2 percent from a year earlier. Some 221 arts performances and exhibitions were held overseas last year, with revenues of 16.67 million yuan. Publishing service exports turned in 1.35 billion yuan last year.


4. How is the private investment situation in the local cultural industry?
A: Last year, Shanghai's cultural industry authority issued a series of policies and guidelines to encourage non-public investments. The further opening of the cultural market has driven up the enthusiasm of private investors. By the end of last year, 186 institutions owned business licenses for broadcasting and TV program production, with 159 privately-owned; 85 business arts performance troupes with 43 privately-owned; and 157 performance agencies, with 78 percent privately-run. The private-based economy has played a major role in entertainment sites such as net-caf¨¦s and other Internet services.


5. How does the establishment of a public cultural system boost the cultural industry?
A: The establishment of a public cultural system has played an important role in boosting the city's cultural industry, which has been enhanced by government sourcing to the development of the industry. The acceleration of the establishment of community cultural activity centers, cultural information stations, museums and libraries has created more jobs and has driven up the demand for books, audio products, movies and Internet services. Last year, public-welfare cultural protection and equipment services, cultural activities of the public, cultural research and community services registered revenues of 2.35 billion yuan, with the added value of 1.24 billion yuan, covering four percent of the whole cultural service sector.


6. How accurate are the statistics in the cultural industry?
A: The existing calculation is based on the national standard. It's been largely improved from before, but still has some problems. For example, the statistics in certain industries are comparatively complete and standard, while not so complete citywide. The data is not complete enough to indicate the actual situation. Some entertainment sites such as net cafes are very small so the statistics can only be taken from the reports of business-owners themselves, with business revenues and the number of workers undervalued. Such problems are being solved now.