China province aims to be world cosmetics manufacturing centre

Guangdong Province is expected to become one of the biggest
production centers in the world for global cosmetic brands.

Ma Ya, director of the provincial association of beauty parlours and hairdressers, Guandong, told Xinhua News that the province has already been developed to become China's leading supplier of cosmetics and personal care products, now holding two thirds of the country's cosmetics businesses.

Ya added that the region has manufactured cosmetics for one third of the country's leading cosmetics brands.

Now the next step is to develop this aspect of the economy on an international basis by attracting an increasing amount of international investment to the region.

So far production has centered around the cities of Qingyuan and Shantou, with other smaller pockets throughout this heavily developed economic region. However, further development of the industry is expected to focus on these two centers.

Bearing testimony to the growth of the industry in the region is the fact that in the last two months Botaniex, a botanical extracts manufacturer, has announced that it is to build a factory for the extraction of botanical and herbal ingredients, with the aim of supplying the global cosmetics markets.

Also reflecting the importance of the industry in the region is the fact that Guangzhou, the provinces' leading city, plays host to the yearly International Beauty Import-Export Expo - currently the largest industry event of its kind in China. This year the event will be held between 9-15 September.

Homing in on growth in the cosmetics industry could prove to be a lucrative move for this already highly developed province. Currently the cosmetics industry in China tops CNY 50 billion ($6bn) and is expected to reach CNY 80 billion by 2010.

Alongside this growth is also an increasing demand for international cosmetics brands. Being associated with sophistication and the exotic, such brands are appealing to the growing spending power of Chinese consumers.

All of this gives international cosmetic makers all the more reason to start production in China, and with many suppliers and a great deal of infrastructure already in place in Guangdong, the province should be well placed to acheive its ambitions.

Guangdong, with a population of 80 million people, is one of southern China's most highly developed provinces, housing a significant number of other industries, including electronics, energy industries as well as a high concentration of import-export businesses.

Neighbouring the highly developed Hong Kong and Macao regions, the province includes three special economic zones - Shenzhen, Zhuhai and Shantou - each of which harbours a high level of industrial activity.

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