Some Opinions Concerning Supporting and Stimulating Cultural Industry Development

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All provincial, autonomous region and municipal culture offices (bureaus), the Xinjiang Production-Construction Corps Culture Bureau, all plan-designated culture cities, all departments and bureaus of this Ministry, the State Administration of Cultural Heritage:


In order to deeply implement the spirit of the 16th Party Congress, and at the same time as forcefully making cultural undertakings flourish, vigorously develop cultural industries, hereby, integrating the culture work reality, the following opinions on supporting and stimulating cultural industry development are put forward.


I, Fully understanding the strategic significance of cultural industry development

(1) Cultural industry refers to business-type sectors engaging in cultural product production and providing cultural services. Cultural industry is a concept parallel to cultural undertaking, both are important component parts of socialist culture construction. Cultural industries are necessary outcomes of social productivity development, are burgeoning industries that started to develop following the progressive perfection of our country’s socialist market economy system and the incessantly progressing modern production methods. At present, the cultural industries have already formed into categories such as the performance sector, the television sector, the audiovisual sector, the cultural entertainment sector, the cultural tourism sector, the network culture sector the books and periodicals sector, the cultural heritage and artwork sector as well as the art training sector, etc. Socialist cultural industries are required to put social interest first, and strive to realize the economic value of cultural products and cultural services through the market.


(2) Developing the cultural industries is an important channel for making socialist culture flourish under market conditions and satisfying the popular masses’ spiritual culture needs; it is an important step in accelerating the development of the service sector, stimulating our country’s economic restructuring and industrial structure upgrading; it is a major step in adapting to economic globalization, vigorously participating in international competition, strengthening our country’s comprehensive national strength. It has enormous practical significance and a profound strategic significance for realizing our country’s economic, political and culture coordinated development and the magnificent objective of constructing a relatively well-off society.


(3) Following the development of domestic and foreign circumstances and the drive ahead in the progress of constructing a relatively well-off society, the new emerging development tendencies demanded of culture by our country and society are: people realizing  their own complete development consciousness further activates, even more paying attention to the richness of spiritual culture life, culture requirements incessantly grow; culture and market integration is even closer, diversified and multi-level culture requirement realization is even more geared towards the market; the popular masses’ requirements of cultural product and cultural services quality raises incessantly, culture consumption choice is more autonomous; cultural product production, transmission and consumption methods and means are made more scientific and modern; international culture exchange is even more frequent, cultural-area foreign opening-up incessantly expands; development of the cultural industries function in carrying forward and cultivating ethnic spirit and strengthening the cohesiveness, creativity and competitiveness of Chinese culture is ever more important. Our country’s cultural industries face a historical development opportunity and broad expansion space.


II, Our country’s cultural industry development status and its problems.

(4) Since reform and opening up, and especially in the last few years, all localities have conducted vigorous exploration and bold practice, accumulated precious experiences and have obtained remarkable achievements in the aspect of stimulating cultural industry development. Cultural work units’ industrial mentality has clearly strengthened, and a batch of culture enterprises and enterprise groups facing the marked and developing innovatively have emerged. Each cultural industry category has developed and flourished, leading to vigorous functions in stimulating cultural structural reform, liberating and developing art productivity, strengthening cultural work unit vitality, making cultural markets flourish and standardized, broadening attraction of social capital participation, enriching and enlivening the masses’ spiritual culture life, improving people’s life and consumption patterns, broadening internal demand, strengthening employment, opening up taxation sources and promoting development of third industries.

(5) Looking from the overall picture, our country’s cultural industries are still in the beginning stage of start-up, exploration, fostering and development, and the difference with development countries is very large. This concretely manifests as cultural industry development not being full, quantities and scales are on the small side, market mechanisms are not perfect, cultural industry development speed and efficiency still need a relatively large rise. The main problems influencing cultural industry development: firstly, the understanding of the importance and urgency of developing the cultural industries is insufficient, thoughts and concepts cannot adapt to the development requirements of socialist market economy structures. Secondly, Commercial culture industries are mixed up with public service-type culture undertakings, separated from the market, and lacking vitality. Thirdly, cultural industry policies are not perfect, the order of legislation is low. Fourthly, cultural structural reform is lagging, industry restructuring is feeble, socialization and marketization levels are low. Fifthly, entities are divided, the phenomena of administrative monopolies and local barriers are grave, and it is hard to shape uniform and open, competitive and ordered market setups. Sixthly, cultural product science and technology content is relatively low, innovative capacity is insufficient, competitive capacity is not strong.


(6) Facing the new tendencies of the mutual agitation of all the world’s thoughts and cultures, it is necessary to stand on the height of  carrying forward and fostering the ethnic spirit, reviving the Chinese ethnic culture, strengthen a sense of historic responsibility and urgency, and raise the level of cultural industry development consciousness. Both soberly understanding the situation and problems of our country’s cultural industries, and fully noticing our country’s relatively superior and beneficial conditions for cultural industry development. Both being good at studying successful experiences of reform in the economic area, and vigorously absorbing and leaning from beneficial foreign cultural industry development achievements. Facing the market, facing the masses, grasping opportunities, accelerating development, striving to make our country’s cultural industry appearance to change relatively largely in a short time.


III, Guiding opinions, development objectives and basic thinking

(7) The first twenty years of the new century are an important strategic opportunity period for our country, and are also and important strategic opportunity period for cultural industry development. For developing the cultural industries, it is necessary to, under the guidance of the important “Three Represents” thought and the spirit of the 16th Party Congress, closely integrated with the struggle objective of completely realizing a relatively well-off society and satisfying the popular masses’ spiritual culture requirements, closely integrating the requirements of implementing development of an advanced culture and promoting the construction of a socialist spiritual civilization, closely integrating  the incessant move forward in cultural system and mechanism innovation, closely integrating promoting national economy development and promoting economic restructuring and industrial structure upgrading. Liberating thoughts, learning truth from facts, moving forward with the times, expanding innovation, incessantly researching new circumstances, resolving new problems, striving to explore grasping the internal rules of cultural industry development, summarizing successful experiences of cultural industry development, starting from reality, marching a road of cultural industry development with Chinese characteristics.


(8) Our country’s cultural industry development objectives are: under national macro-economic control, fully giving rein to the basic function of market mechanisms in cultural resource allocation. All cultural industry categories to have reasonable structuring, advanced technology, shaping a batch of cultural enterprises with strong competitiveness and influential cultural brands, establishing modern cultural product production, service and sales networks with a certain scope, comprehensive cultural industry strength and competitiveness to clearly strengthen, occupying a certain proportion in the international market. Cultural industry growth speed to be clearly higher than the national economic growth speed, the proportion of cultural industry consumption in daily consumption to clearly increase. By 2010, shaping relatively complete policy and regulatory setups beneficial to cultural industry development, shaping relatively developed cultural product production systems as well as uniform and open, competitive and orderly culture market setup, making the cultural industries become a pillar industry and new growth point in the national economy.


(9) Stimulating cultural industry development, must conform to the characteristics and rules of socialist spiritual civilization construction as well as cultural development rules, must be adapted to the requirements of socialist market economy development, vigorously moving forward the integration of culture with market economy, high and new technology, persisting in grasping together market construction and economic development, taking cultural enterprises as the main subjects, taking reform as driver, taking scientific progress as methods, taking policies and regulations as guarantees, adjusting industrial deployment, optimizing industrial structures and resource allocation, shaping a cultural industry setup with many channels and diversified investment, taking State-owned enterprises as main subjects, jointly developing with many kinds of ownership systems.


IV, Main cultural industry development steps

(10) Promoting State-owned commercial culture work unit reform. Innovating structures and mechanisms, fostering market subjects. Conducting enterprise structure reform, implementing company system reform, perfecting legal person governance organs, establishing modern enterprise system with clear property rights, clear rights and duties, division of politics and enterprises, with scientific management. Deepening internal enterprise reform, establishing scientific and high-efficiency policy-making management mechanisms. Accelerating personnel and labour system reforms, moving forward allocation mechanism reform, persisting in the principle of participating of production factors such as labour, capital, technology and management, etc., in allocation according to contributions, permitting culture and art talents and management talent with special abilities as well as the immaterial assets they have such as intellectual property rights, creative achievements and scientific research or technological achievements, etc. to participate in profit distribution. Implementing supervision and management over culture enterprise State-owned assets according to the law, efficiently using State-owned assets, guaranteeing and maintaining their added value.


Article 11: Progressively broadening market access policies. All cultural industry categories managed by administrative cultural entities must lower thresholds, and open up towards people-run capital. Vigorously absorbing foreign capital to participate in artwork business, audiovisual product retail, mass entertainment operation as well as culture facility construction, reform and operation. Exploring cultural theatres and groups, and performance intermediary organs cooperating with foreign capital, doing well pilot projects, obtaining experience. In all cultural spheres encouraging and permitting foreign capital entry, also encouraging and supporting domestic capital, and especially people-operated capital to enter in methods such as exclusive investment, joint venture, cooperation, joint operation, share-holding, franchising, etc., encouraging and permitting listed companies to enter in methods such as asset reorganization new issue of shares. Non-State owned economic investment culture industry programme and construction of cultural venues, in aspects such as market access, land use, credit, tax collection, financial listing, etc., enjoy equivalent treatment with State-owned economic investment.


(12) Vigorously integrating cultural resources. Fully giving rein to the basic function of the market under State macroeconomic control in resource allocation, smashing regional, departmental, sector and ownership barriers, conducting integration of cultural resources again, raising intensification of operational levels and industrial concentration. Supporting cultural industries to invest and do business across regions and across sectors, incessantly expand business scope, adjust industrial structures and expand development space. Encourage and rely on powerful enterprises, with the market as guidance, with capital and business as nodes, utilizing joint, reorganization, merger, going to the market and other methods, to integrate superior resources, focusing on developing a batch of large-scale cultural industry groups having indigenous intellectual property rights and cultural innovation capacity, prominent core business, and strong core competitiveness. Establishing asset and business responsibility systems, those meeting conditions may implement asset authorization business. Supporting the forging of a batch of State-owned cultural holding companies and State-owned asset management companies. At the same time encouraging and supporting the development of cultural enterprises, spurring them to give rein to their vigorous function in adjusting industrial structures, expanding internal demand, strengthening employment and other aspects.


(13) Using high and new technology to raise cultural industry competitiveness. Moving the integration of high and new technology achievements with the cultural industries forward, raising the science and technology content of cultural product production and cultural service methods. Using high and new technology and applied technology to transform traditional cultural industries, cultivate and exploit burgeoning cultural industries. Forcefully developing burgeoning cultural industries closely integrated with high and new technology such as he audiovisual sector, the network culture sector, etc., guiding domestic software developers, network operators, content providers and all sorts of other enterprises to launch high and new technology cultural products having advanced global technology levels, indigenous intellectual property rights and ethnic characteristics, as soon as possible reduce the deficit with the outside world.


(14) Implementing the “marching out” development strategy. Vigorously striving for support from relevant departments to grant preferences to export of cultural products and cultural services, creating the necessary conditions in aspects such as finance, insurance, foreign exchange, taxation, talents, law, information services, immigration and emigration management, etc., for cultural enterprises’ expansion into international market, expansion of market share and raising of international competitiveness. Adopting measures to foster and support large-scale State-owned cultural enterprises having a relatively strong innovation capacity and competitiveness, making a batch of large and strong foreign-oriented exchange brands, introducing our country’s excellent performing arts troupes and art exhibitions of a certain status, and especially modern cultural products reflecting contemporary Chinese styles to international markets. Expanding cooperation with famous foreign cultural groups with standardized management, advanced technology, that are friendly to us, throwing our country’s cultural products and cultural services into international markets as far as possible.


(15) Supporting the development of focus cultural industry programmes having a demonstration function and a guiding function. Striving for a certain amount of government investment, to act as cultural industry guidance funds, granting financial subsidies, credit discount and other support to focus cultural industry programme exploitation and operation, and especially content industry cultural product production. Broadening cultural industry funding channels, shaping multi-channel import mechanisms. Strengthening contacts and communications with financial organs, vigorously recommending cultural industry products with good development prospects and desirable effects, striving for credit support granted by banks.


(16) Accelerating the construction of socialized modern circulation organization. Doing market base establishment well, encouraging circulation enterprises to develop in a grouped, systematized, networked and branded direction. Utilizing modern market organization forms and chain operation, logistics and delivery, electronic commerce, cinema chains and other modern retail methods to reduce circulation segments, broaden circulation channels, effectively integrate markets, stimulate cultural product circulation and raise the effect of capital use and enterprise business quality.


(17) Grasping cultural industry talent training work well. Perfecting talent incentive mechanism, broadening talent selection channels, creating an environment for excellent talents to come to the fore. Forcefully fostering and attracting business management talents, cultural management talents and science and technology innovation talents, and all other sorts of talents urgently needed in the cultural sector, attracting and employing foreign high-level talents, implementing a talent strategy of attracting them well, retaining them and vividly using them. Encouraging and supporting State cultural industry innovation and development research bases as well as comprehensive universities meeting conditions to participate in cultural industry talent fostering and training work, saving human capital for sustainable cultural industry development.


(18) Creating a desirable cultural market environment. Striving to construct cultural markets and complete cultural market systems. Accelerating cultural product market and factor market construction, developing intermediary market organizations. Expanding internal cultural demand, guiding cultural consumption, fostering cultural consumption markets, advocating healthy and civilized cultural consumption methods. Expanding cultural market law enforcement strength, perfecting cultural market management mechanisms. Adapting to the development situation of burgeoning cultural industries, building cultural market management information network systems, adopting high technology methods to strengthen cultural market supervision and management. Granting vigorous support and providing good services to cultural enterprises doing business according to the law and with standardized management, those upsetting market order must be punished according to the law, shaping a market environment that is beneficial to fair enterprise competition.


(19) Realistically strengthening intellectual property rights protection. Cultural enterprises must strengthen an intellectual property rights protection consciousness and a legal system concept, vigorously formulate intellectual property rights strategies to participate in market competition, implement intellectual property protection in the entire process of research, creation, exploitation, production and retail. Before commercial cultural products and cultural services enter the market, patent applications, trademark registration and work or software registration must be timely conducted, in order to obtain legal protection and they must be used correctly and according to the law. Forcefully supporting cultural innovation, encouraging the broad cultural workers to create and use even more intellectual property rights. Substantially raising our country’s indigenous intellectual property rights quality and quantity, fostering and developing national cultural industries’ core competitiveness. Strictly investigating, prosecuting and punishing piracy, illegal publishing, illegal retail and all other sorts of activities infringing intellectual property rights, protecting the lawful rights and interests of intellectual property rights holders.


(20) Strengthening cultural industry theory and policy, law and regulation research. Focusing on researching strategic, perspicacious and overall questions relating to cultural industry development, grasping the general trends of cultural industry development, researching and formulating cultural development strategies in this region. Paying attention to research the common rules and different characteristics of our country’s cultural industries and foreign cultural industries, researching common rules and different characteristics in all categories. Incessantly formulating and perfecting original cultural industry policies, researching and formulating new cultural industry policies and at the same time, vigorously stimulating cultural industry law and regulation research and formulation.


V, Strengthening foreign-oriented cultural industry work leadership

(21) Liberating thoughts, seeking truth from facts, progressing with the times, bringing ideologies in line with the spirit of the 16th Party Congress. Consciously liberating thoughts and understandings from the fetters of concepts, methods and systems no longer suited to the times, establishing new cultural development view conform to the characteristics and rules of the Socialist civilization construction, and adapted to the requirements of the Socialist market system. Persisting in taking development and flourishing at the centre, taking satisfying the people’s spiritual cultural requirements as goal, grasping public interest cultural enterprises with one hand, and grasping commercial cultural industries with one hand. Persisting in putting social interest first, striving for the integration of social interest with economic interest.


(22) Putting cultural industries in an important position, and listing them in the important matters agenda of the Ministry of Culture. Persisting in grasping with both hands and strengthening both hands, uniformly planning requirements, uniformly deploying implementation and uniformly supervising and inspecting cultural undertakings and cultural industries. Paying attention to draw experience from selected units to promote the larger picture, timely summarizing the model experiences of cultural industry development, fostering a batch of cultural industry development demonstration bases, in order to guide overall work. It is necessary to vigorously strive for the support from the leadership of Party Committees and relevant governments departments, bring cultural industries into overall planning for local national economic development and reform, determine middle and long term development objectives, and adopt realistic and feasible methods for implementation.


(23) Further transforming government functions, raising macro-level control capacity. Strengthening government regulation, government supervision, government service and social management and other administrative functions, realizing the transformation from planned economic management to market economy management, from “organizing culture” to “managing culture”, from managing government cultural work units to managing the overall cultural sector. According to government openness principles, rationalizing relationships with enterprises, establishing new types of enterprise relationships conform to modern administrative systems’ and modern market economy requirements. Transforming work styles, raising service levels. Perfecting administrative examination and approval procedures, reducing administrative examination and approval programmes. Establishing scientific cultural industry statistical target systems. Establishing and completing cultural industry sector associations, strengthening sector self-discipline.


(24) According to the spirit of the 16th Party Congress, on the basis of this Opinion and under the leadership of local Party Committees and governments, all levels’ cultural departments must fully consider the cultural differences and economic imbalances between the regions, start from reality, suit measures to local conditions in developing cultural industries. At the same time as stimulating the speedy growth of cultural industries in economically developed regions, vigorously promoting cultural industry development in Western regions, supporting them to transform their unique cultural resources into industrial superiority. It is necessary to implement the construction of all localities’ “large cultural provinces” “strong cultural provinces” “cultural cities”, etc., utilizing local cultural resources, developing superior cultural industries and characteristic cultural industries. Not aiming for formalism, and not aiming for “cutting things even with one stroke”, is not an excessive target requirement or not suited to reality, earnestly and satisfactorily implementing all concrete policy measures stimulating cultural industry development.


Ministry of Culture of the People’s Republic of China

4 September 2003















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