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UNCLAS SECTION 01 OF 04 GUANGZHOU 013562 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR EB, R, EAP/CM, EAP/PD 
STATE PASS USTR - STRATFORD, CELICO 
USDOC FOR 4420/ITA/MAC/MCQUEEN, DAS LEVINE 
USPACOM FOR FPA 
 
E.O. 12958: N/A 
TAGS: ECON EAGR PGOV ETRD EINV CH
SUBJECT: The Long March: The Fourth Wall, Meizhou's Opening 
to the World 
 
REF: A) Guangzhou 13384, B) Guangzhou 13385 
 
(U) THIS DOCUMENT IS SENSITIVE BUT UNCLASSIFIED.  PLEASE 
PROTECT ACCORDINGLY.  NOT FOR RELEASE OUTSIDE U.S. 
GOVERNMENT CHANNELS.  NOT FOR INTERNET PUBLICATION. 
 
¶1. (SBU) Summary: As part of the Long March, a series of 
road journeys through the Guangzhou consular district 
(reftels), we traveled to Meizhou, the traditional capital 
of the Hakka, a subset of China's majority Han ethnic 
group. The Hakka, or "guest people," currently find 
themselves faced with striking a balance between a critical 
need to lure more investment and tourism, and their 
centuries-old struggle to protect and retain their cultural 
identity.  End Summary 
 
The View from Backstage 
----------------------- 
 
¶2. (U) The Hakka began migrating to this remote, 
mountainous region some 1700 years ago, often fleeing 
invasion, and rarely receiving a warm welcome.  That 
history has shaped the way they view - and engage - the 
world.  This is seen clearly in the roundhouse, the 
region's dominant architecture.  In many centers of Hakka 
culture, these multi-story structures are built much like 
Roman arenas, forming a complete circle and shutting out 
the world.  In Meizhou, however, roundhouses tend to 
encircle just three-quarters of an open central courtyard; 
a large pond occupies the fourth side.  Much like theatres, 
which they resemble in many ways, these attractive 
structures with their open "fourth walls" serve 
simultaneously to protect inhabitants from the world 
outside, and to invite it in.  This tradition informs 
Meizhou's leaders today, as they seek to encourage 
development and investment while at the same time 
protecting what they consider their most valuable asset: 
their unique culture.  In meetings with the Congenoffs, 
Meizhou's leaders laid out their plans for doing just that. 
 
Setting the Scene: Meizhou Today 
-------------------------------- 
 
¶3. (U) Liao Haojiang, Deputy Director of the Meizhou 
Development and Reform Bureau, is quick to admit that "The 
World Capital of Hakka People" - as city fathers like to 
call Meizhou - is one of the less developed prefectures in 
Guangdong Province.  This is due in part to its terrain: 
80% mountains, 10% river, just 10% flatlands, and overall 
71% forested.  Meizhou's population of 4.98 million is 
evenly split between urban and rural dwellers; some 870,000 
natives have left the prefecture. 
 
¶4. (U) Meizhou's GDP grew on average 9.9% annually over the 
last five years, to RMB 31.4 billion (USD 3.9 billion), a 
per capita GDP of RMB 7940 (USD 990).  During that period, 
the prefecture received foreign direct investment of USD 77 
million, primarily from Hong Kong and Southeast Asia.  In 
such a sprawling, mountainous region, a good road network 
is critical to development; Meizhou's currently ranks best 
among Guangdong's mountain prefectures, with two highways, 
two more under construction, and some 11,354 km of roads. 
 
¶5. (U) In education, the prefecture has had more success 
producing scholars than keeping them.  Some 22 leading 
Chinese academics come from Meizhou.  The junior high 
schools achieve 80% attendance, the high schools 60%; the 
local university hosts 12,000 students and offers 
undergraduate education. 
 
Raising the Curtain: the 11th Five-year Plan 
------------------------------------------- 
 
¶6. (SBU) The dynamic balance between the Hakka people's 
dual reflexes of self-protection and engagement can be seen 
in the theme chosen for their 11th Five-year Plan: 
"Environmentally-Conscious Industrialization, Driven by 
Culture, and Oriented Toward Openness." Safe within the 
encircling walls of their homogenous culture, they invite 
the world to join them. 
 
GUANGZHOU 00013562  002 OF 004 
 
 
 
¶7. (U) Their goals are ambitious, but not unreasonably so: 
average growth of 10%; a GDP (by 2010) of RMB 55 billion 
(USD 6.9 billion); per capita GDP (by 2010) of RMB 13,000 
(USD 1620); and a shift in agriculture from traditional 
(subsistence) crops to commoditization (cash crops).  Over 
the last five years, GDP broke down as: 25% agriculture, 
42% industry, and 33% service sector.  The goal for the 
next five: 15% agriculture, 48% industry, and 37% service 
sector, highlighting a larger portion of the GDP devoted to 
industry and service sector growth.  The service sector is 
currently strongest in hotels and tourism-related services; 
the relatively modest increases are meant to come from 
production-oriented services such as logistics, accounting 
and auditing. 
 
¶8. (U) Four traditional industries are targeted for further 
development: tobacco, power generation, building materials 
and copper refining.  Two new ones - IT/electronics and 
biopharmaceuticals - will also receive special attention. 
Liao feels the prefectures industries are currently too 
resource driven, and need to move toward more tech-driven 
activities; the goal is a 3% yearly decrease in energy 
consumption per unit of GDP, a goal in line with the 
central government's push to improve energy-efficient 
production. 
 
Improving Society and Culture 
----------------------------- 
 
¶9. (U) Meizhou's leaders say efforts will be made 
prefecture-wide to improve education, in an effort to 
offset a brain-drain that has seen talented Meizhou natives 
leaving for neighboring - and more rapidly developing - 
Guangzhou and Shenzhen.  Along with attempts to lure them 
back, 100% attendance in both high school and junior high 
school will be pursued through improvements in technology. 
Liao says the environment will not be sacrificed in the 
name of development, though this is not currently a concern 
given Meizhou's relatively under-developed state.  The 
Meizhou city metropolitan area has a 50,000-ton wastewater 
treatment capacity, trash-fueled power plants, and the 
ability to handle one ton of medical waste daily.  The 
eight counties surrounding the capital are currently 
building treatment plants.  Revenues generated by increased 
development will be used to improve social services across 
the board, with a particular emphasis on poor farmers. 
These will come in for improvements in roads, social and 
health services, and safe drinking water. 
 
But Will it Play Out of Town? 
Meizhou's Vision of the New Socialist Countryside 
--------------------------------------------- ---- 
 
¶10. (SBU) According to Wei Fangyuan, Deputy Director of the 
Meizhou Agriculture Bureau, the New Socialist Countryside 
will be better than the old in five fundamental ways: 
Production, Quality of Life, Village Environment, Civic 
Attitudes/Atmosphere, and Democratic Management.  In a 
significant break from previously stated national goals, 
Meizhou leaders now acknowledge that some 80% of the 
population will continue to live in rural areas for the 
foreseeable future; the government had articulated a 
national goal of drawing 60% of the population into urban 
areas.  (Note: this contrasts with the recent announcement 
by the Guangdong Communist Party Committee and the 
Guangdong Government in its recently released planning 
document, "Decisions on Accelerating the Construction of 
Socialist New Countryside," which said that in the next 
five years, Guangdong Province would urbanize 4.76 million 
of its rural population.  End note.) 
 
¶11. (U) With this new perspective, the focus has shifted to 
raising rural production and farmer incomes.  This will be 
pursued in four ways: through using technology and hybrids 
to raise grain output; encouraging surplus labor to leave 
rural areas; transitioning from traditional to cash crops; 
and building cooperatives to help farmers market their 
produce.  In addition, efforts will be made to ensure 
farmer's products meet industry standards.  Much of this 
 
GUANGZHOU 00013562  003 OF 004 
 
 
will be run through Meizhou's agricultural technology 
university, founded in 1933 and well-respected in China. 
Its graduates serve in government throughout the country. 
 
¶12. (SBU) Many of these initiatives were on display when 
Conoff was shown the model village of Shukeng, in Chendong 
Township.  Located just outside the Meizhou city limits, 
the village's 2,000 residents enjoy a per capita yearly GDP 
of RMB 5,200 (USD 650).  Shukeng boasts more than 30 km of 
roads, including a brand new one branching off the main 
road to Meizhou and running through the center of town. 
Meizhou Foreign Affairs Office Deputy Director Du Maojiang 
readily admitted the village was chosen for viewing because 
it is doing the best of all the prefecture's model 
villages.  According to Shukeng's elected leader, a Mr. 
Jiang, the village's two main sources of income are fruit, 
and money sent home from youth working in Meizhou city. 
All residents 18 years and older vote in local elections 
which are held every three years. 
 
¶13. (U) A concrete example of the village's modernization 
efforts came in the form of a waste recycling system 
installed in a local home.  The crude but apparently 
effective system gathered human and swine waste in covered 
cisterns in a courtyard just outside the kitchen windows. 
A plastic tube running from the cisterns into the house 
carried methane used to power the gas stove, as well as 
some lighting.  The entire system cost RMB 1500 (USD 187), 
with RMB 800 (USD 100) of the total paid by a government 
grant.  The system is meant to provide multiple benefits: 
improved health through effective disposal of waste; 
economic savings from eliminating the need to purchase 
cooking and lighting fuel; and environmental protection 
through recycling. 
 
Meizhou's Amateur Hour Promoting Tourism: Let's Do a Show 
--------------------------------------------- ------------ 
 
¶14. (SBU) The presentation by the Deputy Director of the 
Meizhou Toursim Bureau, Yang Guihong, was the least 
persuasive of all those provided by prefecture officials. 
Reading from a script, he spoke - not without justification 
- of the attractiveness of both Hakka culture and the 
Meizhou landscape.  Tourism officials hope to use both to 
lure visitors from the Pearl River Delta area, Hong Kong, 
Macao and Southeast Asia, but have no clear plans for doing 
so.  Promotional materials are rudimentary; a few coffee 
table books filled with glossy photos, but no maps or other 
information that might be useful for trip planning. 
 
¶15. (U) Without such information, it would not be easy for 
the prospective tourist to reach Meizhou.  The city's small 
airport only provides regular flights to two destinations: 
Guangzhou and Hong Kong.  Flights to Guangzhou are 
routinely cancelled 24 hours prior to departure when 
bookings do not reach a pre-set minimum; unwary travelers 
can find themselves stranded in Meizhou for days waiting 
for enough passengers to accumulate.  At one time flights 
to Shenzhen, Xiamen and Zhuhai were also offered, but these 
were cancelled due to lack of interest. 
 
Comment 
------- 
 
¶16. (SBU) The Mandarin Chinese name for the Hakka - "Kejia" 
- literally means "guest people."  Now these perpetual 
guests face the challenge of playing host, to investors and 
tourists, both foreign and domestic. 
 
¶17. (SBU) While this will require the development of some 
new reflexes, deep veins of entrepreneurship and 
hospitality running through the Hakka culture will serve 
well when engaging the world.  The commitment to welcoming 
and supporting investment is clear, but still in its 
formative stages.  Commitment to protecting the environment 
is discussed, but not yet proven.  Commitment to promoting 
tourism is nowhere in evidence, though it begins to appear 
in Yongding, Fujian Province, the next stop on the long 
march. 
 
 
GUANGZHOU 00013562  004 OF 004 
 
 
¶18. (SBU) In the end, reviews of the new show now on offer 
in Meizhou would likely be mixed; in theatrical terms, a 
critic might call it a show with legs, but not yet a hit. 
 
DONG