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Internet Plus can carry logistics industry forward: Premier Li

Updated: Jul 21,2016 10:07 AM     english.gov.cn

Premier Li Keqiang visits an exhibition on big data achievements in Southwest China’s Guizhou province on May 25, 2016. [Photo/Xinhua]

Premier Li Keqiang stressed at the executive meeting of the State Council on July 20 that “promoting Internet Plus logistics can develop new economy and upgrade traditional economy”.

The meeting agreed to boost the integration of logistics and Internet technology, lower the cost for enterprises and make people’s lives more convenient.

Prior to this, Premier Li discussed plans for the development of the logistics industry as well as promoting “Internet Plus circulation” during three executive meetings.

“We should promote the in-depth integration of information technology such as Internet, big data and cloud computing with logistics, and propel the transformation and upgrading of logistics industry and even Chinese economy. It is the supply-side reform of logistics industry,” said the Premier at the meeting on July 20.

At a national conference on social investment held in Beijing on July 18, Premier Li urged efforts to boost social investment by expanding room for development.

He brought it up again at the executive meeting on July 20, saying, “We have made great efforts in logistics in recent years, enabling the country’s logistics costs to be reduced from 20 percent of the GDP to 16 percent. It is a remarkable progress. But compared with the global average, the rate is still relatively high, and there is a big gap with developed countries.”

The Premier added that “we should acknowledge both the weak link in the development of logistics and also its great potential.”

During two early inspections in Guizhou and Henan provinces, Premier Li learned about the initiatives of two enterprises involved in developing “Internet Plus logistics”, which has greatly lowered trucks’ idle rate for cold chain transportation via Internet Plus and crowd-funding.

On hearing this, Premier Li said the development of “Internet Plus logistics” should be combined with mass entrepreneurship and innovation, which can nurture new technology, new model and new business format. It can also increase the competitiveness of the logistics industry and lower enterprises’ costs and raise the efficiency for economic operation.

Premier Li also said that the development of Internet Plus could create new conditions and problems, but government departments should not block or stifle it at its emerging stage.

“We should roll out favorable policies including tax breaks, less red tape and financial support for logistics enterprises that can stimulate employment, lower enterprise costs and provide convenience for people’s lives,” said the Premier, while also encouraging financial institutions to support the development of small and micro-sized enterprises of logistics, optimize service and strengthen supervision.

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