Dialogue between Mr. Cheng Zhigang and Claude Apithy, Benin Ambassador to China

 

On the morning of 29th, July, Mr. Cheng Zhigang, Secretary-general of China-Africa Industrial Cooperation and Development Forum, went to Benin Embassy and had a dialogue with Mr. Sèdozan Jean – Claude APITHY, Benin ambassador to China.

 

Cheng: Since China established diplomatic relations with Benin in 1964, the two countries have formed intimate friendship. Could you make a general introduction on the feature of Benin?

 

Ambassador: The two countries have sincere cooperation since the establishment of diplomatic relations in 1964. The projects such as Friendship Stadium, Benin Textile Company and Conference Building and so on and the help that China offers to Benin's development are all the friendly witnesses. In our opinion, such friendly cooperation is a necessary condition of changing undeveloped situation and building the stability of society and politics. In addition, it is also the common aspiration of the two countries' leaders.

 

Cheng: Can you give us a brief introduction on Benin's agriculture and industry development and what type of enterprises you'd like to invest in Benin?

 

Ambassador: General introduction to Benin's agriculture：Benin is an agricultural country. Agriculture is the main industry of the national economy. 56% of the population is engaged in agricultural industry. Agricultural income accounted for 40% of the PIB, 60% of export quotas. Family farming is the main mode, (for example, if there are eight people in a family, the average arable land area is two hectares.

 

Benin has great potential for agricultural development, but few have been explored. Agriculture exploration is usually the oldest mode of economy and technology. The country's leaders hope to strengthen the agriculture and make it a competitive, environment friendly and creative wealthy resource, which needs to be realized gradually. Benin' agriculture is now gradually entering into the phase of mechanization production. Our aim is to strengthen the food security which will predominate in foreign markets.

 

Benin's Industry：The unexplored potential resource has become a vantage for future development of Benin's industry, such as gold, iron ore, marble, limestone, Ornamental Stones, natural gas and other mineral resources. At the same time, the country's natural tourism resources are also a good opportunity for investors. The privatization and reintegration of industrial enterprises reduce the control of the state to the enterprises.

 

Benin's industrial development is in its infancy and edge zone and is export-oriented. The best way is the initial processing of the products of the small and medium-sized enterprises and the development of mineral resources.

 

Cheng: Benin is rich in tourism resources and is a very good tourist destination for Chinese citizens to travel. Can you give us a brief introduction to Benin's tourism resources?

 

Ambassador: Benin has rich tourism resources. In 2006 Beijing Summit of Forum on China-Africa Cooperation, Benin was selected as the tourists' yearning country.

 

Based on the national policy, the government is committed to developing the potential tourism resources to make it commercialized, finally entering the international market.For example: Cultural Tourism: Museums, the Royal Palace, the traditional ritual, dance and songs (Guèlèdè). Some museums and royal palaces are being repaired, and the National Grand Theater is also being built. Guèlèdè has been recorded in the World Heritage List, at the same time the International Research Office of Guèlèdè will be built at Savè, which is used for research, data collection, training and the organization of related activities.

 

Eco-tourism: you can take hunting and photographing in the national parks, North Wildlife Refuge (Pendjari National Park and W National Park). The city center for meeting and business travel.

 

Beach Backpack Travelling: guide you sightseeing the beauty of the beach and coconut palm.

 

Among many projects, the government decides to give priority to the development of tourism to promote the steady development of society and economy. Under such expectations, we plan to explore a region for tourism investment between Cotonou (Benin's economic capital) and Ouidah (ancient historical city).

 

Cheng: China-Africa Industrial Cooperation and Development Forum is aimed at promoting a new type of Sino-African strategic partnership to implement President Hu Jintao's eight-measure, in order to better enable Chinese enterprises to invest and trade in Africa. Does Benin have some good policies for the Chinese government and enterprises?

 

Ambassador: Benin offers a lot of convenience for Chinese businessmen to invest in Benin. Custom benefits to enterprises: Enterprises admitted under the Free Procession Zone scheme, within the framework of their activities, are entitled, with effect from the date of their admission, to exemption from import duties and taxes, except for the public utilities taxes, on some equipments and materials specified by the law.

 

A 60% reduction of the same duties and taxes is granted on commercial vehicles acquired by enterprises admitted under FPZ scheme within the framework of their related activities.

 

To zone promoters：Promoters admitted under the FPZ scheme, within the framework of their related activities, are exempted from import duties and taxes, except for the public utilities taxes, in respect of goods that are required for the developing, constructing and equipping their zone.

 

Fiscal benefits to enterprises：

 

Enterprises of the Free Procession Zone entitle terminable tax reduction on Industrial and Commercial Income；

 

Tax reduction on the industrial and commercial income at the rate of 20% for five years in specific zones；

 

Exemption from the Value Added Tax；

 

Zone promoters also entitle benefits；

 

They also entitle guaranties in addition to the benefits policy.

 

Cheng: How do you think Benin and China can complement each other better in the development of industry and agriculture? What are you recommendations?

 

Ambassador: Benin's expectations: in terms of industrial development, Benin is looking forward to have a more in-depth cooperation with China , especially in the deep processing of agricultural products and in the field of semi-heavy industry (such as: mineral resources exploitation and processing).

 

The whole visit was happy. At last all the staff took photos together and ambassador APITHY welcomed our visit and said that we keep in touch in the future.