China: Provincial Administration Signs Cooperation Framework Agreements With Manufacturers

Source from:  TobaccoChina Online 11/15/2010

Sichuan Provincial Tobacco Monopoly Administration in southwest China's Sichuan Province has recently signed framework agreements on bilateral cooperation in strategic development of units of leaf tobacco production bases with the tobacco manufacturing enterprises of Guangdong Province in south China, Hubei Province in central China, Guizhou Province in southwest China and Anhui Province in east China. The agreements were signed at the fair of negotiations between the manufacturing and commercial sectors of the tobacco industry on development of competitive brands development and raw materials supply guarantee in Sichuan Province. Under the agreements, Sichuan Provincial Tobacco Monopoly Administration and each of the four tobacco manufacturing enterprises will take steps to promote the establishment of units of leaf tobacco production bases in Sichuan Province in an-depth and orderly way in the 2010-2015 period, and will strive to develop long-term and stable bilateral strategic cooperation in this endeavor, with "establishment of exclusive bases for raw materials supply, development of unique characteristics of leaf tobacco products, and modernization of modes of production" as the targets, with "establishment of closer cooperation, strengthening of guidance, full-scale improvement of quality and realization of stable development" as the basic guideline, with establishment of a modern tobacco agriculture as the leading policy, with satisfaction of the demand of the four tobacco manufacturing enterprises for the supply of raw materials as the direction, with strengthening of the raw materials supply capacity and promotion of leaf tobacco production and development in Sichuan Province as the primary task, with the four tobacco manufacturing enterprises playing a leading role in bilateral cooperation, with the commercial sector being the principal player in the cooperation, and with scientific-technological research and development being the principal part of the cooperation. The framework agreements provide that under the unified leadership of the State Tobacco Monopoly Administration (STMA), Sichuan Provincial Tobacco Monopoly Administration and each of the four tobacco manufacturing enterprises will actively promote the planning for and construction of units of exclusive leaf tobacco production bases for the tobacco manufacturing enterprises, gradually increase the establishment of units of exclusive leaf tobacco production bases, implement the plans and schemes for the construction of units of exclusive leaf tobacco production bases, manage to strengthen the production and organization capacity of the units established, upgrade the technology for developing high-quality leaf tobacco products with unique characteristics, and develop leaf tobacco products that will better meet the requirement of manufacturing enterprises. At the fair, Sichuan Provincial Tobacco Monopoly Administration and each of the four tobacco manufacturing enterprises also held talks on promotion of bilateral cooperation in the business of leaf tobacco threshing for particular cigarette making formulas, joint technological research and development, establishment of leaf tobacco quality appraisal and reporting mechanisms, and on joint exploration in the establishment of mechanisms for investment and establishment of mechanisms for coordination in the settlement of major events and for information exchange and sharing. Enditem