Shiyan eliminated 1.9 billion "polluted GDP"
In late August, the Shiyan municipal government issued an official notice announcing that all 69 yellow ginger processing companies in the city have been shut down. The primary reason cited was their failure to meet environmental discharge standards, which has raised concerns about pollution and public health.
What makes this move different from previous actions is the comprehensive approach taken by the local authorities. Instead of just issuing warnings or fines, Shiyan implemented strict measures such as land reclamation, power disconnection, revocation of business licenses, and removal of industrial equipment. This marked a significant shift in environmental enforcement.
According to reports, these 69 companies had a combined annual production capacity of 5,590 tons of saponin. Their closure resulted in an estimated annual loss of 45 million yuan. However, the environmental cost of producing one ton of saponin is staggering: it generates 500 tons of wastewater and 8 tons of waste residue. The wastewater from these operations exceeds standard limits by four times in acidity, 750 times in biochemical oxygen demand, and 20 times in ammonia nitrogen levels.
Luo Yuanhong, deputy mayor of Shiyan, emphasized that "the public’s happiness index is more important than the economic growth rate." He stressed that the city would not sacrifice its environment for short-term economic gains, even if it meant slowing down GDP growth. “We must protect the living environment for future generations,†he said.
Shutting down the ginger processing industry was a tough decision. The relocation of Dongfeng Motor Corporation had already hit Shiyan’s economy hard, as the city was once heavily dependent on the automotive sector. Meanwhile, the medical and chemical industries—especially those involved in yellow ginger processing—had become key drivers of economic growth. Saponin production in Shiyan accounted for 20% of the global market.
The closure of the ginger processing companies is just one part of a broader effort to eliminate "polluting GDP." Since 2002, Shiyan has shut down 186 polluting enterprises, with a total output value of 1.9 billion yuan. These actions reflect a growing commitment to sustainable development and long-term environmental protection.
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