General Economy

Gross domestic product (GDP)

GDP for 2004 was 79.012 billion yuan, up 10.4% from the previous year.

GDP ratio (primary, secondary and tertiary industries)

The primary industry yielded a value added of 28.73 billion yuan, 8.0% more than that of the previous year; the secondary industry, 20.117 billion yuan, a growth of 15.8%; the tertiary industry, 30.165 billion yuan, a growth of 9.6%. The proportion of the three sectors is 36.36: 25.46: 38.18.

Revenue and expenditure

Provincial revenue was 6.939 billion yuan, an increase of 21.2% over the previous year. Provincial expenditure was 14.111 billion yuan, a growth of 22.9%.

Consumer price index (CPI)

CPI was up 4.4% from the previous year.

Investment in fixed assets

Fixed asset investment was valued at 32.25 billion yuan, up by 16.7% from the previous year.

Major Industries

Agriculture

In 2004, the agricultural added value was 28.73 billion yuan, an increase of 8.0% from the previous year.

Industry

The industrial added value totaled 14.044 billion yuan, an increase of 16.7%.

High-tech

The number of high-tech enterprises reached 116 at the year-end. The yearly income of 28 such enterprises each tops 100 million yuan.

Construction

Its added value was 6.073 billion yuan, up by 13.8%.

Transportation

The annual volume of goods handled through various modes of transport was 25.534 billion tons, 8.2% up from the previous year while annual passenger flow reached 20.911 billion, 28.3% up.

Postal services

The annual turnover of postal operations totaled 371 million yuan, 6.9% up from the previous year.

Telecommunications

The annual turnover of telecom services was 5.78 billion yuan, 45.8% up from the previous year.

Retail

The annual turnover from retail sales reached 21.923 billion yuan, an increase of 14.4% from the previous year.

Tourism

Revenue from tourism totaled 11.101 billion yuan, up by 18.7%.

Continued Effects of Market Reform

Imports & exports

The annual value of imports and exports totaled US$3.402 billion, an increase of 49.4% from the previous year.

Economic and technological cooperation

Overseas project and labor contracts signed during the year, totaling 69, were valued at US$2.38 million, up 50.0% from the previous year. Business turnover for the year totaled US$680,000, down 91.0% from the previous year.

Foreign investment

Foreign direct investment realized in monetary terms was US$670 million, up by 8.4% from the year before.

Urban Construction and Management

Road transport

A total of 740 million yuan were invested in the construction of inter-county and rural highways. 515 km of such roads were open to traffic during the year.

Social Undertakings

Science and technology

The R&D input for the year stood at 600 million yuan, 10.0% up from the previous year.

Education

The registered number of students in institutions of higher learning was 57,883, 33.1% more than the 2003 figure, and that number in polytechnic schools was 42,152, up 15.7%.

Culture

The province had a total of 22 professional performing organizations, 21 cultural centers, 30 archives, and 19 public libraries. There were also 17 newspaper publishers and 46 magazine publishers.

Public health

There were a total of 2,600 medical and healthcare institutions equipped with 17,700 beds and staffed with 29,239 medical professionals and technicians at the year-end. The local centers for disease control and prevention numbered 31.

Sports

Athletes from the province won 3 first prizes and 1 third prize in international competitions, and 15 first, 29 second and 32 third prizes in national games.

Poverty relief

A poverty relief fund of 440 million yuan was allocated to support 11 poor counties. 182 million yuan were put in the renovation of rural power grid, benefiting 175,000 more rural households. 68.02 million yuan was invested in improving rural water supply.

Population, Employment, Social Security and Living Standards

Population

The birth rate in 2004 was 14.77‰, while the mortality rate was 5.79‰. The natural growth rate of the population stood at 8.98‰. At the end of the year, the total population stood at 8.178 million.

Employment

The employed population stood at 3.731 million at the end of 2004, an increase of 3.5% from the previous year-end. A total of 81,000 new jobs were created during the year.

Registered unemployment rate

The registered urban unemployment rate was 3.6%.

Social security

In 2004, insurance plans for endowments, medical treatment, industrial injury and unemployment covered a population of 1.19 million, 2.0% up; 680,000, 7.8% up; 680,000, 3.2% down; and 568,000, 1.6% down, respectively. Various urban community service facilities totaled 418, rendering help to 25,800 people in need.

Residents' income

The disposable income of urban residents was 7,736 yuan per capita, up by 6.6% from 2003. Rural residents' per capita net income was 2,818 yuan, a growth of 8.9% from the previous year.

Geography and Natural Conditions

Elevation extremes

With Mt. Wuzhi (Fiver Fingers) and Mt. Yingge (Parrot) standing at its very heart, Hainan Island has a staircase-like topographic structure descending step by step from towering mountains to flat tablelands and plains at its periphery.

Most mountains on Hainan Island are 500 to 800 meters high, but 81 of its peaks are higher than 1,000 meters. Among those rising 1,500 meters or higher above sea level are Mount Wuzhi, Mount Yingge, Mount Ezong, Mount Houmi, Yajiada Ridge and Mount Diaoluo. These mountains mostly fall into three mountain ranges: the Wuzhi Mountain located in the central part of Hainan Island with its highest peak – also the highest peak on the whole island – at an elevation of 1,867.1 meters; the Yingge Mountain lying northwest of Mt. Wuzhi with its highest peak at an elevation of 1,811.6 meters; and the Yajiada Mountain in the west of the island with its highest peak rising 1,519.1 meters above sea level. Most rivers on the island originated from the central mountainous area, forming a radiating river system. The inland has 154 streams flowing directly into the sea. The total drainage area covered by the three major rivers of Nandu, Changhua and Wanquan accounts for 47% of the island's territory.

Climate

A tropical maritime climate prevails in Hainan, bringing it all-year-round windy but warm days, abundant rainfall, clearly divided dry and wet seasons, frequent tropical storms and typhoons, as well as diversified climatic resources. Winterless Hainan Island has an annual sunshine time of 1,750 to 2,650 hours, a yearly average temperature of 23˚C to 25˚C, and an average annual rainfall of above 1,600 mm. The wet central part and east coast of Hainan receive more rainfall than the semi-dry southwest coast and other semi-wet areas. Winter and spring are usually dry while summer and autumn produce the wettest seasons.

Natural resources

Hainan Island makes up 42.5% of the nation's total tropical land, with an average per capita possession of 0.48 hectares of land used for agriculture, forestry, animal husbandry and fishery. As a result of such excellent conditions as sunlight, heat and water, farmlands here can be cultivated anytime of the year, and many plants can yield two or three crops a year. Based on their suitability, the land in Hainan Island can break down into seven major categories: that suitable for farming, for rubber planting, for tropical crops growing, for forestation, for livestock breeding, for aquaculture, and for other purposes. Currently, 3.152 million hectares of land in Hainan Island have been cultivated, while 260,000 hectares remain virgin soil, around 90% of which are potential farming lands. Most wastelands awaiting reclamation join together, favorable for large-scale exploitation and tractor-ploughing.

Grain crops, which have the widest distribution and highest yield in Hainan, mainly comprise rice, upland rice, shanlanpo rice, wheat, sweet potato, cassava, taro, maize, Chinese sorghum, millet and beans. Among the industrial crops are sugarcane, hemp, peanut, sesame, tea, etc. There also exist great variety of both cultivated and wild fruits that come under 29 families and 53 genera. Cultivated commodity fruits consist of pineapple, litchi, longan, banana, plantain, citrus, mango, watermelon, parambola, jackfruit, and the like. In addition, over 120 kinds of vegetables are grown here. Hainan Island is rich in tropical crop resources. Major tropical crops with large growing area and of high economic value include rubber plant, coconut palm, oil palm, betel palm, pepper, sisal hemp, lemon grass, cashew, cocoa and others.

More than 4,000 kinds of plants grow in Hainan, roughly one-seventh of the nation's total, of which over 600 are peculiar to this island. Its tropical forests characterized by conspicuous vertical zoning and mixed growth of trees of different species and ages, and with high trunks and broad crowns are mainly distributed over the mountains of Wuzhi, Jianfeng, Bawang, Diaoluo and Limu, with those in the Wuzhi Mountain belonging to rain forests.

Hainan is home to over 500 species of terrestrial vertebrates, including 37 kinds of amphibians (of which 11 are only discovered in Hainan, and eight have been listed as animals unique to China), 104 kinds of reptiles, 344 kinds of birds and 82 varieties of mammals (21 of which are peculiar to Hainan). In addition to black-crested gibbon – one of the four anthropoid apes living on earth – and slope deer (Cervus eldi) that are among the rarest species of the world, there are such treasured animals as sambar (Cervus unicolour), macaque and cloud-leopard. Currently, 14 kinds of wild animals here are under first-class state protection, and 88 under second-class state protection.

Hainan is rich in medicinal herbs. Of the 4,000-odd kinds of plants growing here, about 2,500 can be used as medicinal herbs. Besides, about 50 kinds of animals and marine products can be used to serve medicinal purposes too.

Vast offshore fishing grounds with an area of nearly 300,000 sq km, great variety of aquatic products with a short growth period, and long fishing season form the characteristics of Hainan's aquatic and marine resources turns Hainan into an ideal place to develop tropical marine fishery. There are more than 800 kinds of aquatic products here, including 600-odd fishes, of which over 40 are cash fishes. The province's coastal beaches that can be used for sea-farming totals up to 25,700 ha.

Hainan Island is China's ideal natural saltworks. Salt can be made by evaporating brine in the sun along its long coast stretching for hundreds of miles from Sanya to Dongfang. At present, several large saltworks, such as Yinggehai, Dongfang and Yuya, have been developed.

Hainan is rich in mineral resources. Explorations up to 1991 show that among the 148 minerals with verified workable reserves nationwide, 57 (or 65 if classified based on their potential industrial purposes) are of certain mining value in Hainan. In addition, 126 mineral deposits (including six large groundwater sources) have had their reserves verified. Over 10 varieties of superior minerals produced here hold a very important position in China's mining industry, including glass-quality quartz sand, natural gas, titanium, zircon, sapphire, crystal, gibbsite, oil shale and zeolite. The reserves of iron ore accounts for roughly 70% of the country's high-grade iron ore reserves. The reserves of titanium and zircon make up 70 and 60% of the country's total respectively. In addition, gold, granite and mineral water here are of significant developmental value.

Hainan abounds with oil and natural gas. General survey and exploration have targeted three large sedimentation basins – the Beibu Gulf, Yingge Sea and southeast Hainan – with a total area of around 120,000 sq km, of which 60,000 sq km prospect well with oil-gas mines. The potential reserves of hydroelectricity on Hainan Island amount to 1 million kilowatts, of which 650,000 kw are expected to generate 2.6 billion kw/h of electricity annually. The volume of groundwater hits about 7.5 billion cubic meters, making up 20% or so of Hainan's total water reserves, of which approximately 2.53 billion cubic meters are potentially exploitable. Its untapped energy sources with great potentialities include ocean energy, solar energy and bioelectricity.

Tourism resources

Distinctive tourism resources abound in Hainan. Sandy coasts take about 50 to 60% of its 1,528-km coastline. The beaches are usually hundreds of or thousands of meters wide, stretching gently into the sea with a slope of five degrees. Located alongside an unruffled sea, with crystal-clear seawater at the temperatures between 18 ˚C and 30˚C, plus bright and abundant sunlight, most of its beaches are good for swimming, sunbath, sand-bath and wind-bath almost all year round. Under the cool shade of the trees, the air is very refreshing too. Over 60 spots dispersed along the eastern coastline between Haikou and Sanya can be developed to bathing beaches. Also lie along the eastern coastline are mangroves and coral reefs that are unique to tropical coastal areas.

Hainan is noted for its singularly-shaped mountains, of which many are tourist attractions and summer resorts. Densely spread tropical primeval forests are characteristic of Hainan's lofty mountains, such as the four most well-known virgin forest regions of Mount Jianfeng in Ledong County, Mount Bawang in Changjiang County, Mount Diaoluo in Lingshui County and Mount Wuzhi in Qiongzhong County.

To protect rare birds and animals, several wildlife reserves and domesticating fields have been established in Hainan, including the Bawangling Black-crested Gibbon Reserve in Changjiang County, the Datian Slope Deer Reserve in Dongfang County, the Dazhou Isle Esculent Swift Reserve in Wanning City, and the Macaque Reserve on the Nanwan Peninsula in Lingshui County.

Hainan Island is densely crossed by limpid rivers. Winding streams, deep pools, fantastic waterfalls and mirror-like reservoirs dotted in the mountains and virgin forests add beauty to the landscapes and attract tourists.

Historical volcanic eruptions have left many craters on Hainan Island. Two typical craters connected by a caving-in gap-bed ridge are located on Mount Shuangling with an elevation of over 200 meters in Shishan, Qiongshan City. The nearby Leihuling Crater and Luojingpan Crater are also well preserved. In addition, there are a number of karst caves such as the well-known Luobi (Pen-dropping) Cave in Sanya, Qianlong (Thousand Dragon) Cave in Baoting County and Huangdi (Emperor) Cave in Changjiang County.

Hot springs are widely dispersed on the island. Due to their low mineralization, high temperature, big flow and high quality, many of the hot spring waters have curative effects. Furthermore, the hot springs are all located in places with attractive landscapes, providing excellent conditions for developing holiday resorts for combined purposes of tourism, sightseeing, convalescence, and scientific researches.

The island also offer many historical sites, such as the Wugong (Five Revered Officials) Temple in memory of five renowned court officials of the Tang (960-1279) and Song (618-907) dynasties who were relegated to Hainan Island; the Dongpo Academy of Classical Learning and Lord Su's Temple in commemoration of Su Dongpo, a literary giant of the Northern Song Dynasty (960-1127); the Tomb of Qiu Jun, a noted official of the Ming Dynasty (1368-1644); the Grave of Hai Rui, an upright official of the Ming Dynasty; and Mafubo Well dug by General Fubo of the Eastern Han Dynasty (25-220), as said in legends. Other attractions of historical interest include the Ancient Town in Yazhou, the Wei Family Temple, Qiongtai Academy of Classical Learning, and Wenchang Pavilion. There are also revolutionary sites such as the former site of the Qiongya Corps headquarters; memorial statue to the Red Detachment of Women in Jiaji town; Jinniuling Cemetery of Revolutionary Martyrs; Memorial Hall of Baisha Uprising; Ancestral Home of the Song Family; and Mme Soong Ching-ling's Memorial Museum.

Hainan is the home of the Li as well as many other ethnic groups who still hold to their unsophisticated folk customs and unique living habits, which have made the island even more valuable in culture and tourism.

Farms of tropical crops on the island also present charming pictures of unique rural scenery.