By 2008, Xinjiang had 1,059 enterprises engaged in agricultural produce processing. It is the largest tomato processing and export base in China. Its daily dairy-processing capacity has been boosted from less than 1,000 tons to nearly 3,000 tons in a couple of years, the fastest growth in all provinces and autonomous regions. It is also the largest production base of beet sugar in China, with an annual output of 600,000 tons. The wine-making industry is advancing dynamically. Agricultural processing has made production-on-order available to more than half of the planting areas, benefiting 65% of rural households.

—Modern industry system gradually formed. Xinjiang's industry has grown out of nothing, and developed from small to big. In recent years, through transforming advantageous resources, and supporting large enterprises and groups while nurturing small and medium-sized ones, Xinjiang has quickened its industrialization pace. Its main industrial products have seen multiple increases in output; and a complete modern industrial system has taken shape, comprising petroleum, coal, iron and steel, chemical industries, power, building materials, and textiles. Industrial zones have emerged, including the economic belt on the northern slope of the Tianshan Mountains, the Urumqi-Changji Hui Autonomous Prefecture integrated economic zone and the Korla-Kuqa petrochemical belt, while 32 national and regional industrial parks have been built.

Industry has become an important factor propelling the local economy. In 2008, the industrial sector reported a 52.3% contribution to local economic growth, and industrial added value totaled 179.07 billion yuan, 274 times more than that of 1952, 16.6 times above 1978, and 3.98 times more than figures in 2000. The use of information technology in major industries and sectors has been strengthened, while the total amount of major pollutants discharged has been basically controlled, and energy-saving and emission-reduction efforts have yielded good results.

—Mineral resources further developed. Xinjiang is one of Chinese regions rich in oil, gas and coal resources. Encouraged by the state policy of large-scale exploration and development through big investments, Xinjiang has endeavored to turn its resource advantages into economic advantages, and to boost the local economy through resources development so as to benefit all people in Xinjiang.

In 2008, Xinjiang ranked second in China by generating 27.22 million tons of crude oil; and first, by producing 24 billion cubic meters of natural gas. Driven by local oil-and-gas development and China's cooperation with West Asian countries in relevant fields, the construction of pipelines in Xinjiang is advancing rapidly. By 2008, Xinjiang had a network of pipelines whose total length exceeded 4,000 km, covering southern, northern and eastern Xinjiang.

In recent years, thermal power and coal-chemical industries have boomed in Xinjiang. The rapid growth of energy and chemical industries has not only met local demands for energy and petrochemical products, but also spurred services and other relevant sectors. This is important for the formation and upgrading of regional economic structure, as well as for job creation and the urbanization rate.

—Opening wider to the world. Xinjiang is one of China's major gateways opening to the west. It is also an important passageway on the new Eurasian continental bridge. Bordered by Mongolia, Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Afghanistan, Pakistan and India, Xinjiang has the longest land borders among all frontier provinces and autonomous regions in China. Since China's reform and opening-up in 1978, Xinjiang has experienced a change from being closed or semi-closed to all-round opening up.

Now, Xinjiang has 17 Grade-I ports approved by the state and 12 Grade-II ports approved by the autonomous region itself, linking it immediately to over a dozen surrounding countries. By the end of 2008, Xinjiang was conducting economic and trade cooperation, as well as scientific and technological and cultural exchanges, with 167 countries and regions.

In 2008, Xinjiang's volume of foreign trade reached US$22.217 billion, ranking 12th in China (and second among central and western municipalities, provinces and autonomous regions); it made US$164 million in non-finance direct investment abroad, ranking 13th in China; and its turnover from overseas contracted projects reached US$795 million, ranking 14th. The region dispatched 8,548 people to work overseas, ranking 13th in China.

—Tourism has witnessed buoyant growth. In recent years, Xinjiang's tourism has become a new economic growth point. By 2008, the region has opened nearly 500 scenic zones or spots. Besides the main tourist route along the Silk Road, there are also the Kanas Lake eco-tourism zone, the Heavenly Lake, Sayram and Bosten lakes, ancient cultural ruins in Turpan and Kuqa, the folk customs zone in Kashi (Kashgar), and the Ili grasslands. In 2008, Xinjiang hosted 22.3132 million foreign and domestic visitors, and reported nearly 20 billion yuan in tourism revenues.

—Regional economic growth coordinated. The state and the autonomous region have supported areas with advantageous conditions to take the development lead, while adopting preferential policies and measures to boost the development of southern Xinjiang (with the focus on Kashi, Hotan and Kizilsu Kirgiz Autonomous Prefecture) as well as pastureland and frontier areas, for more balanced development between southern and northern Xinjiang, and between urban and rural areas.

The economic belt on the northern slope of the Tianshan Mountains will take the initiative in taking on the industries from China's eastern coast, so as to build a new industrial base. Urumqi-Changji integration will be accelerated, while construction of national export processing zones, development zones and industrial parks will be sped up, and a modern service sector will be further developed. Based on oil and gas resources, and thermal power and coal-chemical industries, the construction of the Turpan-Hami petrochemical belt on the southern slope of the Tianshan Mountains will be expedited to seek a congregating effect of large projects to form groups of ancillary industries.

Great efforts will be made to promote the economic and social development of the three prefectures (i.e., Kashi, Hotan and Kizilsu Kirgiz Autonomous Prefecture) in southern Xinjiang, with priorities on a number of projects that are central to long-term development and improvement of people's livelihood, such as quakeproof housing, transformation of the old town of Kashi, rural infrastructure construction, underground water tapping, reclamation of saline-alkali lands, provision of safe drinking water, and spread of biogas in the countryside. Preferential policies shall be adopted to improve production and living conditions in pastureland and frontier areas, and to accelerate their development.

The great economic achievements are the results of concerted efforts by all peoples of Xinjiang, and of support from the Central Government and the entire nation. Over the years, the Central Government has, in formulating plans on national economic and social development, listed Xinjiang's projects in infrastructure, agricultural development and a modern industrial system construction as key state projects enjoying preferential policies and funding support.

From 1950 to 2008, the Central Government invested 386.23 billion yuan in Xinjiang, accounting for 25.7% of the total investment in the region. From 1955 (when the Xinjiang Uygur Autonomous Region was established) to 2008, Xinjiang received a total of 375.202 billion yuan in subsidies from the central budget. Along with the implementation of the western region development campaign in 2000, the amount of subsidies has grown by 24.4% on average annually, reaching 68.56 billion yuan in 2008. The Central Government has increased capital input and support to the region by using loans from international financial organizations and foreign governments.

In recent years, to optimize Xinjiang's industrial structure, the Central Government has moved a number of enterprises and factories from the more economically developed southeast coast to Xinjiang, and transferred engineers and technicians from other areas to the region's newly built pillar enterprises. A large number of workers from Xinjiang's ethnic minorities have been selected to work as interns in other areas, thus fostering a contingent of skilled workers for the region within a short period.

Moreover, the various municipalities and provinces have been paired up with different parts of Xinjiang to provide the latter with large sums of capital, technology and talent, which have played an important role in the region's development. On the one hand, the more-developed areas have dispatched technicians, teachers, doctors, management personnel and other professionals to work in Xinjiang's prefectures and counties, to disseminate advanced technology and concepts. On the other, Xinjiang has dispatched teams of its own officials, technicians and workers from Party and government organs, as well as economic management departments, to work and study in relevant provinces and municipalities.

In recent years, at the request of the Central Government, Beijing, Tianjin, Shanghai, Zhejiang, Shandong, Liaoning, Jiangxi and Henan as well as 15 state-owned large enterprises have been paired up with 33 counties (or cities) in southern Xinjiang to provide them with economic, scientific and technological, and cultural assistance.

II. Remarkable Improvement in People's Lives

Having eliminated poverty and solved basic subsistence problems, the people of all ethnic groups in Xinjiang have now set their eyes on more prosperous lives, along with marked improvement in their standard of living.

In 2008, the per-capita net income of farmers in Xinjiang was 3,503 yuan, which is 28 times more than that of 1978, and 1.2 times more than that of 2000 when the western development campaign was launched; the per-capita disposable income of urban residents reached 11,432 yuan, which is 35 times more than that of 1978, and double that of 2001. The per-capita deposited savings of urban and rural residents averaged 14 yuan in 1955, 52 yuan in 1978, 4,913 yuan in 2000, and 11,972 yuan in 2008. Per-capita consumption was 122 yuan in 1952, 181 yuan in 1978, 2,662 yuan in 2000, and 4,890 yuan in 2007.

The residents' income increases have become more diversified. In the countryside, besides conventional crops such as grain and cotton, fruit trees have become a new source of earnings for farmers and herders, bringing in 340 yuan per capita in 2008. In places that had developed fruit growing earlier, earnings from selling fruit accounted for more than 40% of the total income of farmers and herders. Another way to increase earnings is seeking jobs elsewhere, particularly in eastern China. In 2008, more than 1.5 million farmers and herders found jobs outside Xinjiang, bringing back an additional 150 yuan per person for all rural residents. The development of tourism has promoted the production and sales of tourist products with distinctive features of minority ethnic groups, and the growth of local handicrafts, directly or indirectly producing hundreds of thousands of jobs, and thus increasing household incomes.

The consumption levels of rural and urban residents have steadily risen. Average per-capita amount of grain rose from 195.62 kg in 1949 to 300.09 kg in 1978, and further to 426.60 kg in 2008; average per-capita amount of cotton rose from 1.18 kg in 1949 to 4.46 kg in 1978, reaching 141.52 kg in 2008; and average per-capita amount of meat was 11.68 kg in 1949, 7.83 kg in 1978, and increased to 53.85 kg in 2008.

The consumption structure has changed. The Engel's Coefficient (the proportion of food consumption) for rural residents was 60.8% in 1978, 50.0% in 2001, and 42.5% in 2008; while for urban residents it was 57.3% in 1980, 36.4% in 2001, and 37.3% in 2008.

Family consumption patterns are shifting from everyday items to services, culture, education, travel, healthcare, credit, information, private cars, and luxury housing. The consumption structure is changing from agricultural products like foodstuffs to electronic products for comfort and leisure. Food consumption is shifting from staple foods to non-cereal foods stressing nutritional balance. Clothing consumption is following the trends of readymade garments, latest fashions, brand-names and unique styles. The consumption on home appliances has experienced a shift from bicycles, sewing machines, watches and radios, to color TV sets, refrigerators, washing machines and cameras, as well as personal computers (PCs), video cameras, pianos and gym facilities. Now, cars are also becoming more affordable for an increasing number of families.

The number of home appliances bought by urban and rural families has been steadily rising. In the countryside, in 1990 every 100 households owned 12.58 washing machines, which increased to 20.87 in 2000, and to 38 in 2008; in 1990 every 100 households owned 0.40 refrigerators, which increased to 9.93 in 2000, and to 30.32 in 2008; in 1990 every 100 households owned 1.37 motorcycles, which increased to 18.33 in 2000, and to 50.77 in 2008; and the number of cell phones per 100 households increased from 0.33 in 2000 to 54 in 2008.

In the cities, every 100 households owned 2.78 air-conditioners in 2000, and 11.18 in 2008; 4.81 cell phones in 2000, and 144.40 in 2008; 5.68 PCs in 2000, and 41.32 in 2008; and 0.82 private cars in 2000, and 4.62 in 2008.

People's living conditions have seen continuous improvement. A wide range of transportation vehicles available has made travel much easier and faster. In the early days of reform and opening-up in the 1980s, it took nearly one week to travel from Urumqi to Beijing by train, while now it takes only three hours by air. The length of paved road per 10,000 urban residents was 1.6 km in 1978, 4.5 km in 2000, and up to 15.7 km in 2008. The number of buses per 10,000 urban residents was 3.1 in 1978, which increased to 13.2 in 2008.

Housing conditions have also greatly improved. Per-capita floor space in the countryside was 10.2 square meters in 1983, 17.25 square meters in 2000, and 22.79 square meters in 2008; while per-capita floor space in cities was 11.9 square meters in 1983, 20.06 square meters in 2000, increasing to 27.3 square meters in 2008.

Presently, 97.86% of the population in cities have access to tap water and the rate is 87.18% in county seats. While 89.33% of people in cities have access to cooking gas, the rate is 66.67% in county seats. In cities and towns the rate of centralized heating is 51.2%, the rate of sewage treatment 68%, and the rate of treatment of domestic waste is 16%. The urban green-coverage is 30.49%, the vegetation-land ratio is 26.19%, and per-capita public green area is 6.94 square meters.

In recent years, reasonably priced clean gas has become available to more than 300,000 households in 23 counties and cities in southern Xinjiang, including Korla, Hotan, Kashi, Artux, Aksu, Moyu, Lop and Shule. The number of household gas users in southern Xinjiang keeps growing by 1,000 every month. The felling and burning of poplar trees for household fuel has become a thing of the past.

III. Steady Development of Social Programs

Before the founding of the PRC in 1949, Xinjiang had but one college, nine secondary schools and 1,355 primary schools. Only 19.8% of school-age children attended primary school, and the overall illiteracy rate was a shocking 90%. Unprecedented changes have taken place in education in Xinjiang after 1949. At present, Xinjiang has basically made the nine-year compulsory education universal and eliminated illiteracy in the young and middle-aged population. Adult and vocational education started from scratch, and has been developing steadily. Since 2006, with the introduction of a new mechanism that guarantees rural education funding, Xinjiang's primary and secondary school students have enjoyed free compulsory education. In 2008, the government granted living subsidies to all underprivileged students who live at school and exempted urban students from tuition fees during their compulsory education period. Since 2007, the state has initiated an annual budget of 129 million yuan for the education of 51,000 very poor university students and 95,000 secondary and higher vocational school students, 70% of whom come from ethnic minorities. In 2008, the Xinjiang Uygur Autonomous Region Government invested a total of 18.77 billion yuan in the region's education system, representing a year-on-year increase of 32.3%. Statistics from that year show that Xinjiang had 4,159 primary schools with 2.012 million students, and a 99.6% enrollment rate for school-age children. There were 1,973 secondary schools with 1,722,000 students, and 32 institutions of higher learning with 241,000 undergraduate and 10,300 graduate students in total.

The state gives priority to education for ethnic minorities and has enacted special policies to support its development. To ensure their rights to higher education, the state adopted favorable enrollment policies for ethnic-minority students in the 1950s, now including further policies for proportional enrollment, separate examinations and admission scores. The state has set up primary and secondary boarding schools in farming and pastoral areas, providing free accommodation and food, as well as books and stationery. The state is committed to the cultivation of high-caliber professionals from minority backgrounds, sending promising students for overseas studies and through programs such as Specialized Training for Xinjiang Minority Sci-Tech Personnel and the High-Level Minority Talents Program. To develop education for ethnic minorities, it encourages the use of minority languages in classroom teaching. For ethnic groups with their own written languages in Xinjiang, school education is conducted in their own languages. Over the years, special state funds have been earmarked for the compilation and printing of textbooks in Uygur, Kazak, Mongolian, Xibe and Kirgiz languages, satisfying the needs of minority students for textbooks of major courses. In Xinjiang, test papers for the annual national college entrance examinations are printed in Uygur, Han, Kazak and Mongolian languages.