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By Yu Liang (China Daily)
Updated: 2008-02-29 10:11

The China-Singapore Suzhou Industrial Park has made great progress in the past 13 years due to policies encouraging innovation and investment, its administrative committee said.

The park covers about 4 percent of Suzhou's land and population and produces 15 percent of the city's GDP, 25 percent of its foreign investment and 30 percent of foreign trade.

It was built in May 1994 in the east end of Suzhou in Jiangsu province. It operates under the principle of "selective investment" to avoid aimless investment that may lead to negative impact such as environmental destruction.

It mainly targets capital-intensive, technology-intensive and flagship projects, the administrative committee said.

A joint project between the Chinese and Singaporean governments, the industrial park has set up a comprehensive network to attract investors and guarantee the park secures multibillion-dollar projects.

The park has recently put more emphasis on projects that highlight science, technology and service.

It has approved over 3,000 foreign-backed companies with total actual foreign direct investment of $13.4 billion. The park's trade volume has increased to $56.7 billion from a mere several million when it first opened.

It has created more than 10 policies to improve innovation and encourage investors to set up research and development centers. It's also launched plans to encourage intellectual property right protection and lure skilled professionals.