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1. Introduction to the Project
1.1 Project Background
1.1.1 P roject Introduction
Changbai Mountain is the natural reserved area in the world, national 5A tourist scenic spot, national nature reserve and one of Top 10 mountains of China. Our province, giving the leading status of Changbai Mountain, is making all efforts to build the tourism into the pillar industry. With the construction of Changbai Mountain Airport, railway and expressway, the tourism of Changbai Mountain has been rapidly developed and its popularity has been continuously increased. The implementation of the comprehensive helicopter utilization project will be helpful to the innovation of the special tourist experiencing mode of Changbai Mountain, enriching of the high-end tourist product system and improvement of the image and competitiveness of the tourism brand of Changbai Mountain. The project is the helicopter operating base integrating tourist and sightseeing flight, VIP business flight, scenic spot emergency rescue and prevention and control of forest plant diseases and pest insects, etc. It has achieved the air forest protection and interlinking of three slopes of of Changbai Mountain and established the tourism interlinking system of Jilin Province, radiating the three provinces of Northeast China. To be exact, the building of the helicopter apron in Changbai Mountain will facilitate landing and takeoff so as to achieve the purposes of tourism and business operation of Changbai Mountain.
1.1.2 Market Prospects
(1) Overview
Although some projects of helicopter air sightseeing and short-distance chartered flight, etc. of our country have not been established into a scale and an industry by now, with the national economic development and the simplification of all the approval formalities, the helicopter tourist market of our country is expected to be truly started.
In recent years, with the improvement of people’s living standard day by day, the disposable income per capita has been continuously increased and people’s consumption demand for tourism has become stronger and stronger; however, with the continuous updating of people’s concepts on tourism, some traditional tourism demands and products such as sightseeing and shopping, etc. have not been unable to meet people’s consumption demand for the rising tourism with adventure, sports and leisure, etc. as the themes. In such a situation, a lot of tourist forms and new products including the helicopter tourism have emerged and tended to rise and flourish. The helicopter tourism belongs to the aviation tourism. It can provide the unique views and feelings for the tourists at the low altitude of the air, which cannot be met in the tourism on the ground. Today, the high-end tourist market of our country has been developed rapidly, so the uniqueness of the helicopter tourism has the great attractive force for the tourists who continuously pursue the new objects and seek novelty.
By now, the civil helicopter application has been further developed, which is mainly represented in the facts that the application fields have been continuously expanded and the network service pattern has been established. In addition to the traditional application field, the civil helicopter application fields will be further expanded. With the rapid growth of the economy of our country, it is necessary to establish the new high-consumption strata, which will bring about the continuous growth of the demand for the private helicopters. With the gradual opening of the low altitude of air of our country, the helicopter tourism will obtain the big development space.
Changbai Mountain has become the necessary scenic spot that the tourists out of Jilin Province will visit. Based on the above, the building of the comprehensive helicopter application project in Changbai Mountain can make the tourists visit the north, west and south slopes of Changbai Mountain and then Changbai Mountain is taken as the center to establish the tourism interlinking system of Jilin Province.
(2) Market Analysis
The civil helicopter is the important modern transport tool. Its ownership has become one of the important symbols of the economic development level of a country or region.
In 2015, the ownership of civil helicopters of our country is about 90 and that in the world is more than 35000 and the average ownership per 1 million persons is 4.5. Calculated according to the above, the ownership of helicopters of our country should be 5070, but in fact, the average ownership of our country is only 0.07, less than 2% of the world.
In some provinces or cities of our country such as Tianjin, Xinjiang, Jiangxi and Henan, etc., a lot of helicopter tourism projects have been developed, so the project has the good prospect.
(3) Market demand analysis
The project is the new mode of the tourism and its consumption is periodical. It is mainly oriented to the tourists to Changbai Mountain in the whole country. The helicopter tourist market is mainly oriented to the high-end groups of consumers. The main consumption demands include passenger transport, cargo transport and air sightseeing projects. The passenger transport is mainly aimed at the outside tourists to Changbai Mountain; the cargo transport is mainly aimed at the large enterprises in the local area and around it; the air sightseeing is mainly aimed at people of Jilin Province. With the market investigation, the citizens of our province are greatly interested in the helicopter tourism and willing to try it. In addition, many new couples are willing to hold their wedding ceremony in such a mode, so the project has the good market prospect.
(4) Competition analysis
In recent years, the economy of Changbai Mountain economic circle has been rapidly developed. The project, as the rising tourism, has the broad development prospect in the market. The tourists coming to Changbai Mountain for tourism every year has been increased year by year. The helicopter tourism is still a blank in the tourist transport in our country, so the target market of the helicopter tourism is broad. The riding of helicopters will not only alleviates the ground traffic pressure but also provide the convenient and rapid air services. The novel tourism mode will attract a great number of tourists and make the tourism of Changbai Mountain have the strong competitiveness.
1.1.3 Technical Analysis
In the project, the helicopter apron should be first built. The helicopter apron is the platform for the helicopter to take off and land. Such a platform should be often equipped with the relevant auxiliary navigation equipment, air traffic communication and service equipment, meteorological facilities, fire and rescue equipment and airport marks, etc. Therefore, the helicopter apron is designed by the special helicopter apron engineers and the apron equipment should completely meet the specification of Volume 2 of Appendix 14 of CAAC and ICAO. It is planned to build Chibei, Chixi and Chinan Helicopter Airports, which will be oriented to the high-end group of tourists to build the helicopter tourist routes and make the tourists able to take helicopters to fully enjoy the scenery of Changbai Mountain.
1.1.4 A dvantaged Conditions of Project Construction
(1) Policy conditions
According to the Opinions on Deepening the Reform of the Low Airspace Management System printed and issued by the State Council and the Central Military Commission in August 2010, the low airspace pilot reform will be popularized in the whole country as of 2011. The low airspace will be divided into controlled airspace, monitored airspace and report airspace for management. According to the requirements of division of the three airspaces, Changchun, Jilin Province and Guangzhou first obtained the qualification for the pilot reform.
On November 20, 2013, the Headquarters of General Staff of the Chinese People’s Liberation Army and Civil Aviation Administration of China jointly issued the Provisionsn on Approval and Management of the General Aviation Flight Missions, pointing out that the military will release the approval right of the general aviation flight missions unrelated to the national defense and territory so as to simplify the general aviation flight flow, to some extent. Li Jiaxiang, Director of CAAC expressed that efforts would have been made to achieve the complete opening of the low airspace by 2015, which is undoubtedly good news for the project.
(2) Location advantages
Changbai Mountain is located in Yanbian Autonomous Prefecture of Jilin Province, which is an ethnic minority area and the country and the province have given great support to it in some aspects such as input of funds and policies. Yanbian Prefecture is determined as the experimental area of the reform and opening of the ethnic autonomous area. Because Yanbian Prefecture is the underdeveloped area, it has the strong cost advantages of materials, employment, construction and operation, etc., thus favorable to the reduction of the cost and improvement of the competitiveness. In the human resources and technical level, the project can depend on Air Force Aviation University in the province to provide the personnel support and technical support.
(3) Advantages of industrial foundation
Changbai Mountain is one of the Top 10 famous mountains of China. It became one of the first batch of national AAAAA scenic spots in 2007. With the continuous development for years, the scenic spot, depending on the Heavenly Pool of Changbai Mountain, has become famous at home and abroad and attracted a great number of tourists. The project can be built on the scenic spot of Changbai Mountain and the emphasis is put on the helicopters to develop the high-end tourism.
The helicopter tourism project has the low input and flexible operation. In addition to the operating income of helicopters, the aviation catering and hotel reception services will become the good selling points. Compared with the cableway, it will not destroy the scenic spot. Some problems such as purchase and maintenance of helicopters, flight report and approval formalities, employment of air and ground crew have become easy to resolve with the development of the times. Now, there are a lot of pilots transferred to civilian work from the military, so it is easy to find the air and ground crew.
1.2 Content and Scale of Project Construction
1.2.1 P roduct Scheme and Scale
The project covers an area of 30 hectares. It is mainly to build the base in Chibei District and the aprons in Chixi District, Wangtian’e, Chinan Distsrict and Hengshan, etc. and purchase the helicopters to achieve the tourism and business operation of the scenic spot.
1.3 Total Investment and Funds Raising of the Project
1.3.1 Total Investment of the Project (See Table 1 for details)
Table 1: List of Total Investment Summary               Unit: 10,000 Yuan
No.
Name of expense
Investment
Percentage to total investment%
Remarks
1
Construction investment
61370
61.37
 
2
Interest incurred in construction period
2280
2.28
Capitalized interests
3
Working capital
36350
36.35
 
 
Total investment of project 1+2+3
100000
100.00
 
Remarks: the “10,000 yuan” in the table is in RMB.
1.3.2 Funds Raising
Joint venture
1.4 Financial Analysis and Social Evaluation
1.4.1 Major Financial Indexes
            List of Major Indexes for Financial Benefits Forecast
No.
Name
Unit
Index
Remarks
1
Operating income
10,000 yuan/a
20000
Normal year
2
Total profits
10,000 yuan/a
12000
Normal year
3
Financial internal rate of return of all investment
%
11
After income tax
4
Financial net present value Ic=10%
10,000 yuan
8976.35
After income tax (operating period of 10 years)
5
Payoff period of all investment (after tax)
a
8
Including construction period of 2 years
Remarks: the “10,000 yuan” in the table is in RMB.
1.4.2 Social Evaluation
Because there are a few projects of helicopters used for the tourism development in China, the implementation of the project can not only strengthen the attractive force of the scenic spot of Changbai Mountain, bring the remarkable tourist income for Changbai Mountain and promote the regional development but also expand the helicopter application field of our country and perfect the development of the civil industry. The comprehensive utilization of helicopters will produce the strong economic interlinking effects, gradually increase the citizens’ income and promote the regional economic development.
1.5 Ways of Cooperation
Unlimited
1.6 What to be Invested by Foreign Party
Funds or other ways interviewed
1.7 Construction Site
Chibei District, Chixi District, Wangtian’e, Chinan Distsrict and Hengshan Base of Changbai Mountain Management Committee
1.8 Progress of Project Construction
The project plan has been completed.
2. Introduction to Partner
2.1 Basic conditions
Name: Management Committee of Changbai Mountain Protection Development Zone
Address: Chibei District of Changbai Mountain Protection Development Zone
Legal Representative: Xie Zhongyan (Director of the Management Committee)
2.2 Overview:
The Management Committee of Changbai Mountain Protection Development Zone, organized in August, 2005 and officially unveiled in January, 2006 is the agency of Jilin Provincial Government at the departmental level and exercises the uniform leadership and management of the economic, social and administrative affairs and natural resources of the management zone on behalf of the provincial government and the “uniform planning, protection, development and management” of Changbai Mountain, with the administrative authorities of the government of a city (prefecture). The areas under it include the Management Bureau of Changbai Mountain National Nature Conserve, Jilin Province, Antu Changbai Mountain Tourist Ecomomic Development Zone, Yanbian Korean Autonomous Prefecture, Changbai Mountain Heping Tourist Resort, Fusong Changbai Mountain Tourist Economic Development Zone, Baishan City and Changbai Mountain South Slope Tourist Economic Park, Changbai County. The area directly under the zone is about 3278km2 and the area of the conserve is 1964.65km2 and the planned guidance area is 13478km2, with the population of 0.151 million. Under it are three county-level tourist economic districts, that is, Chibei, Chixi and Chinan and Changbai Mountain Development and Construction Group. In the zone, there are the rich natural resources and unique natural and ecological environment. In recent years, the zone, based on the concept of sustainable development, has carried out the outlook on scientific development, built the objective of harmonious development of human beings and the nature, protected and developed the ecological system of Changbai Mountain, transformed the great economic value of the ecological environment into thehigh economic benefits and the ecological resource advantages into the market competitive advantages, comprehensively kept and improved the environmental quality, promoted the harmonious development of economic construction and environmental construction and achieved the uniformity of economic, social and environmental benefits. The management committee will exercise the preferential policies of “discussion according to a specific item” in some aspects such as land and tax collection, etc. for the external enterprises settling in the Changbai Mountain Management Committee.
Changbai Mountain Protection Development Zone, depending on the resource advantages of Changbai Mountain, has attracted a great number of tourists in the whole country in recent years. The zone has the rich tourist resources, ice and snow resources, hot spring resources, mineral water resources and ecological food resources. The two key industries in the development in the zone are tourism and processing industry of ecological products.
Xie Zhongyan, Director of Changbai Mountain Management Committee, male, Han, born in Qian’an, Jilin in May, 1969, joined the Communist Party of China in 1991, started working in July, 1991, graduated from the environmental science of Changchun Geographical Institute of the Chinese Academy of Sciences, with the on-job postgraduate’s degree, a doctor of science and senior engineer, now works as Secretary of the Party Work Committee of Changbai Mountain, Jilin Province and Director of Changbai Mountain Management Committee (at the departmental level).
2.3 Contact Methods
Contact person of project city (prefecture): Liu Yi
Tel: 0433-5710078 13704339880
Fax: 0433-5710078
Website of the city (prefecture) http://cbs.jl.gov.cn
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