Yuannan province positively import advanced productivity and give up backward production. Until 2010 year, the province will give up 20 million tons of backward production, and it had modify the specific strategy now: 4.8 millions for the 2007, 4.2 million for next year, and 5 million tons for the 2009, and no less of 5 million tons in 2010. The provincial economy vice-director, Xinning Wang, indicate that, the strong measurement in Yunnan means” equally kick out, close the small and add big, put down the old and establish the new”.

  At present, the cement production volume in Yuannan was 33.06 million tons last year, 54.5% of which are backward production. The backward problem is very server. From the view of the concentration of the line, there are totally 272 enterprises, and average production ability is only 0.22 million tons; it’s very low compared with national level; the industry structure is very unreasonable.   At present, there are following characteristics in the cement industry.

  1. Yuannan is in the preliminary period in the industrial development, and it is also the investment lacking period. Companied with the development of the economy in the Yunnan province, the outside investment will be increasing。

  2. The infrastructure construction of new village construction and development demand large quantity of cement and building material

  3. The advantageous geography environment in the Southeast Asia, and the cement industry sale semidiatmeter , make Yuannan cement with a lot of chances to send to market in the Southeast  Asia