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City officials pledged Friday to develop four large logistics parks in Beijing with a total investment of more than US$3 billion in time for its hosting of the 2008 Olympic Games.

According to the capital city's general scheme, four large logistics parks, including the Beijing Logistics Port and three logistics parks in Tongzhou Majuqiao, Fangshan Liangxiang and Capital International Airport, will be developed to support the capital's logistics network.

"All these projects, involving investment of more than US$3 billion, should be finished before the 2008 Olympic Games," said Yan Zhigang, an official from the Beijing Commerce Bureau, at Friday's Promotion of Beijing Logistics Projects, part of the Beijing-Hong Kong Economic Co-operation Symposium.

Beijing Logistics Port - the largest project in the promotion - will cover 4.7 square kilometres and cost 11 billion yuan (US$1.33 billion).

"Linking the Beijing-Tianjin-Tanggu and Beijing-Shenyang expressways, only 30 minutes drive from Beijing International Airport and directly reaching Tianjin Port, Beijing Logistics Port has invited Beijing Holdings Limited, Hong Kong Kerry Properties Limited, Hua Yuan Property Co Ltd, SOHO China Ltd, Sumisho Sagawa Logistics Co Ltd and Hutchison Whampoa Limited to take part in the project," said Yan.

Lu Hao, Beijing vice-mayor, said that Beijing should draw experience from Hong Kong, an international trading and port centre with a world-leading logistics system.

"The introduction of Hong Kong's advanced technologies and management skills may accelerate the development of Beijing's logistics industry, especially given the creation of the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA)," said Lu.

Raymond Leung, president of Hong Kong Logistics Association, said that Beijing's logistics market could be regarded as "a vast virgin land."

"And Hong Kong companies boast rich experience and corporate accounts, which implies the co-operation may be a win-win strategy for both of us," said Leung.

Lu pointed out that the development of Beijing's logistics industry should pay much attention to consolidating existing resources instead of blind construction.

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