Song Xin: Gold Industry Has Advantage in "the belt and road initiative" Strategy

International Multinational Corporation Leaders Roundtable Conference On December 8, at the 9th International Multinational Corporation Leaders Roundtable-"One Belt One Road" Cooperation and Development Forum, Song Xin, President of China Gold Association, General Manager and Party Secretary of China Gold Corporation Attend the meeting and give a keynote speech. He introduced to the participants the general situation of the gold industry in the areas along the "Belt and Road Initiative" route and the leading advantages of the gold industry in the "Belt and Road Initiative" strategy, and put forward six suggestions for giving priority to the development of the gold industry.

Song Xin said that the "Belt and Road" radiates regions rich in gold resources such as Southeast Asia, the Commonwealth of Independent States, and Africa, and has a good foundation for the development of the gold industry. Its total gold reserves are about 23600 tons, accounting for about 42% of the world's total. The total gold production is about 1150 tons, accounting for 36% of the world's total. At the same time, China is the world's largest gold producer and gold consumer, gold import demand is huge. From 2013 to 2015, the average annual need to import gold (including imported gold ore raw materials to produce gold) of 1450.13 tons. He said: "The countries along the route are rich in gold resources and strong consumption, but their development is uneven. Many countries have weak infrastructure and backward technology. They urgently need support from external technology, capital, talents, and markets."

Song Xin pointed out that the gold industry has the first advantage in the "the belt and road initiative" strategy. First, compared with other mining industries, the development of gold resources has relatively low requirements for local infrastructure construction conditions, relying on diesel power generation and self-repair of mining roads to achieve infrastructure and production; second, the development of gold resources has the characteristics of small investment, short cycle and quick results. Moreover, gold mining areas are mostly located in remote and backward areas, which have a high contribution to increasing local fiscal revenue and stimulating employment, and are easy to be accepted by the local area; third, my country's gold industry has a number of scientific and technological achievements with independent intellectual property rights, which can effectively solve the difficult mining and difficult handling. The development problem of gold resources. In particular, the biological oxidation gold extraction technology is at the international leading level in terms of bacteria, temperature adaptation range, and tolerance to harmful elements; fourth, the "Belt and Road" region has a strong gold complex and profound gold culture, and Chinese and foreign companies use gold jewelry as a cultural carrier. As a point of cooperation, it promotes cultural exchanges and promotes cultural innovation, which meets the requirements of the "Belt and Road" construction of cultural advancement.

In view of the situation along the "Belt and Road Initiative" route and the strategic advantage of China's gold industry, Song Xin put forward six suggestions to give priority to the development of the gold industry under the framework of "Belt and Road Initiative".

1 Increase support for the gold industry in the implementation of the "Belt and Road" strategy One is to increase support for the gold industry in the implementation of the "Belt and Road" strategy. From the perspective of national core strategy and RMB internationalization, the gold industry should be identified as a strategic industry, and the "Belt and Road" gold industry development plan and supporting encouraging policy systems should be formulated to cultivate large multinational gold companies with international competitiveness and promote my country's transformation from a gold power to a gold power.

2 Support gold companies to "go global", realize the transformation and upgrading of the gold industry, encourage upstream gold mining to "group out to sea", explore and develop overseas gold resources, and actively cooperate with large groups on the basis of the domestic gold development pattern dominated by large groups. Countries rich in gold resources cooperate to allocate, develop and utilize gold resources globally. Encourage downstream gold and jewelry companies to use the interconnection platform provided by the "Belt and Road" to promote cooperation between Chinese and foreign companies in gold processing and manufacturing, technology research and development, brand building, and marketing model innovation, build smooth and convenient trade channels, and integrate market resources. The formation of an integrated Eurasian and African gold market will drive the upgrading of my country's gold consumption and the transformation and upgrading of the industry.

3 Promote the development of my country's western gold industry Establish gold refining bases in western provinces and regions for the "Belt and Road" countries, absorb and utilize the gold resources of Asian, African, and European gold-producing countries radiated by the "Belt and Road", as well as crude gold raw materials and second-hand jewelry, Gold-containing electronic products to increase domestic gold supply capacity. Establish a gold and jewelry creative industry demonstration zone in western cities to form a national gold and jewelry industry innovation and upgrading platform integrating design and development, processing and manufacturing, wholesale and retail, exhibition exchanges, and foreign trade.

4 Explore a new model of industry-finance integration that innovates to support the development of the gold industry

Gold is easy to value and securitize, and the gold industry is a capital-intensive industry, which can be actively explored and practiced in the combination of industry and finance. It is suggested that the national "Silk Road Fund" should set up a sub fund for the gold industry to provide special support for the development of the gold industry; coordinate the AIIB and commercial banks to carry out businesses with distinctive gold characteristics according to the characteristics of the gold industry; promote the establishment of a special gold industry fund to support the development of the gold industry; and support gold enterprises to raise funds in A- shares, the new third board and overseas capital markets.

5 Give full play to the role of the China Gold Association in organization and coordination. The China Gold Association currently has more than 300 member units. It has gathered large-scale backbone enterprises with influence and driving force in the upstream and downstream of the gold industry, and has concentrated more than 90% of the country's gold output and 85%. More than 80% of gold processing volume and more than 80% of gold retail volume. In the process of implementing the "Belt and Road Initiative" strategy, the China Gold Association, on behalf of the gold industry and member enterprises, docked with relevant ministries and local governments, communicated and negotiated to solve relevant policy aspects and common problems, participated in the research and formulation of encouraging policies for the development of the "Belt and Road Initiative" gold industry and promoted the development of the gold industry, so as to create a good policy environment for the development of the industry.

6 Give full play to the leading role of China National Gold Corporation in the integration of domestic resources and the development of overseas resources. China National Gold Corporation is the only central enterprise in my country's gold industry. Gold resource reserves, mineral gold production, refined gold production, and gold investment product market Six indicators such as market share, gold selection and metallurgy technology level, and the physical gold trading volume of comprehensive members of the Shanghai Gold Exchange rank first in the domestic industry, it is also the only gold company in China that has received the highest credit rating (BBB) in the international gold industry. It can give full play to its advantages in technology, talents, capital, and corporate credibility, assume the political responsibility of building national golden control on a global scale, defending national economic and financial security, and increasing resource integration and corporate mergers and reorganizations. The strategy of "going out" will build an international multinational company and form the development ability to control domestic and foreign gold resources.

This year's International Multinational Corporation Leaders Roundtable and the "Belt and Road" Cooperation and Development Forum is organized by the China Association for the Promotion of International Multinational Corporations and the United Nations Development Programme, the United Nations Conference on Trade and Development, the United Nations Industrial Development Organization, the United Nations Environment Programme, the United Nations Global Compact Organization, Co-sponsored by the United Nations University for Peace, and undertaken by the China Association for the Promotion of International Multinational Corporations and the People's Government of Chaoyang District. Adhering to the concept of "peaceful cooperation, openness and inclusiveness, mutual learning, mutual benefit and win-win", with the deep-seated impact of "Belt and Road Initiative" on the global economic pattern, the opportunities and challenges of investment and trade, and the role of multinational corporations in the development of "Belt and Road Initiative" as the main topics, we will promote practical cooperation among countries and enterprises in an all-round way.