Essence Securities: Ports and logistics see dual positive policies

2014-11-11

Chinese Premier Li Keqiang presides over executive meeting of the State Councilto deploy building an economic belt along the Yangtze River to underpin China's sustainable economic development and discuss media-term and long-term planning of logistics development.

Building Yangtze River economic belt can: improve golden waterway functions of Yangtze River; develop multimodal transportation by transport ways to connect ports; standardize the inland river ship type and encourage to use saving energy and environmental protection vessles.

The media-term and long-term planning of logistics development was passed in the meeting. It put forward to: reduce logistics cost, promote large scale of logistics industry and support reorganization, perfect supporting policies to foster large-scale modern logistics enterprises; improve logistics infrastructure and complete transport network and solve the serious “cutthroat” problems.

The policies are framework document, the practical benefits of which are still need to wait. From logistics adjustment and the revitalization planning, the policies for now have not greatly influence list companies earnings of logistics sectors.

The market has expectation for Yangtze River economic belt and logistics planning. The share price also reacts for the relative policies.

As mentioned above, after coming out,the policies have not been carried out completely.

Source from : CNSS

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