Two weeks after a deadly riot in Xinjiang, residents in the far western region of China are gradually shaking off the shadow of the violence and striving for a revival.
On the Youth Road of downtown Urumqi, the regional capital, the Haojiaxiang supermarket is again crowded with customers hunting for bargains. After the July 5 riot in the city that has left 197 people dead and more than 1,600 injured, the supermarket saw its weekend turnover exceed the pre-riot level because of massive discounts.
The supermarket, one of the largest in Urumqi, has resumed normal operations from July 8 after early closings on July 6 and 7.
"More products are at a discount to attract customers," said the store's deputy manager Xu Bin. Discount ranges now account for 20 percent of the supermarket's overall grocery sales, including fruit, vegetables and other daily necessities.
According to local government statistics, 98 percent of the stores, supermarkets and farm products markets that were damaged during the July 5 riot have resumed businesses.
A 4S store of Nissan auto, which estimated a loss of 8 million yuan (US$1.2 million) as the rioters burned and smashed its vehicles, has received orders for 23 cars after it reopened on July 15.
At an agriculture product market on the Hezret Road in Kashgar, previous prosperity has returned -- venders are peddling their goods and customers are bargaining.
"I hope people of all ethnic groups in Xinjiang can work together and restore the market as soon as possible," said Abdulla Sabur, an old Uygur man who owns a raisin booth outside a bazaar in Urumqi.
The supply of vegetables, meat and other daily necessities is abundant in Urumqi and prices have gradually stabilized after a steep surge, according to the National Development and Reform Commission (NDRC), the country's top economic planner.
Between July 6 and July 9, vegetable prices in the city surged more than 30 percent while meat prices rose between 6 percent and 25 percent as tension after the riot affected supply and demand.
To ease shortage, 1,500 tonnes of vegetables were shipped to Urumqi between July 6 and 11, according to the Ministry of Commerce.
The NDRC has urged local authorities to ensure market supplies, ease price hikes and enhance inspection to avoid illegal hoarding and speculation.
Nevertheless, bleak business pictures can be seen in Urumqi's largest border trade market on Yan'an Road, one of the most ravaged places during the violence. Stores had re-opened, but attracted much fewer customers than before.
"Many foreign clients dare not come to Urumqi in the short term because of the riot," said Dong Lipeng, a garment wholesaler from Wenzhou city in east China's Zhejiang Province. "The riot has hurt business here."
The riot would affect trade and economic exchange between Xinjiang and Central Asian countries because of foreign customers' safety concerns, said Wang Haiyan, a researcher at the Chinese Academy of Social Sciences of Xinjiang Uygur Autonomous Region.
However, it would have limited impact on the long-term trade and economic exchange between Xinjiang and Central Asian countries, Wang said. With the situation being stabilized, economic activities and trade should return to normal in Xinjiang soon.
As a major port for trade between China and neighboring Russia and Central Asian countries, Xinjiang reaped US$22.2 billion in foreign trade last year. It had set a target of 25-percent growth in 2009.
He Yiming, director of regional commerce department, said it was possible for Xinjiang to reach its trade target despite the global economic downturn and the riot.
"It's not easy, but we still have a chance to realize the foreign trade target of US$27.8 billion this year," he said.
The tourism industry, which contributes?six percent to?seven percent of Xinjiang's gross domestic product (GDP), has also been affected by the July 5 violence.
About 3,400 domestic and overseas tourist groups, comprising 200,000 travelers, had canceled tours to Xinjiang as of July 12, according to the tourism bureau of Xinjiang Uygur Autonomous Region.
Although not a major contributor to the regional GDP, the tourism industry was an important source for local residents to increase income, said Huang Pingchao, an official with regional bureau of commerce in Xinjiang.
To revive the industry, local tourism authority has sought a 5-million-yuan subsidy from the regional government to help travel agencies survive.
In addition, each traveler who visits Xinjiang before Aug. 31 would receive a 10-yuan subsidy per day, a move expected to attract 50,000 tourists during this period.
Despite the riot, investor confidence in Xinjiang's long-term economic development is not affected.
Multinational companies including the world's soft drink giant Coca Cola, Canada Fei Cui International Industrial Group Ltd. and retail giant Carrefour have all expressed confidence in the region's future.
"Coca-Cola still has a very optimistic outlook on Xinjiang's economy and consumer potential in the long term," said Chen Hongbing, general manager of the COFCO Coca-Cola Beverage (Xinjiang) Co., Ltd..
The Chinese government had responded quickly to restore order after the riot, he said. "The riot won't have any impact on our long-term marketing and investment here."
Thanks to decades of fast development, Xinjiang's economy has been on a fast track. Provincial GDP rose 14.8 percent annually on average from 1999 to 2007. It grew 11 percent last year from 2007 despite the adverse impacts of global financial crisis.
Nur Berkri, chairman of Xinjiang Uygur Autonomous Region, was confident that the regional economy would develop rapidly in the second half of this year. But he admitted the riot would add to the difficulties brought by the global financial crisis.
More measures would be taken to boost agricultural production, improve industrial output, stimulate private investment and expand consumers' demand in the second half, Berkri promised.
(Xinhua News Agency July 21, 2009)
