Work on the warehouse complex being funded by Sinograin starts in Qidong. [Photo/Nantong Daily]

The groundbreaking ceremony for a new giant warehouse and storage complex being funded by China Grain Reserves Group Ltd, or Sinograin, was held on July 1 at Lyusi Port – located in the county-level city of Qidong, administered by Nantong in East China's Jiangsu province.

Sinograin is a large State-owned key enterprise approved by the State Council – China's Cabinet – and is the country's largest grain storage and transportation company, making it a mainstay of the national economy. It has 24 branches and seven wholly-owned subsidiaries across the country and one scientific research institute, with businesses covering 31 provinces, autonomous regions and municipalities directly under the central government.

The new complex, costing 2 billion yuan ($297.90 million), will be built on a site covering 20 hectares. Grain storage facilities with a warehouse storage capacity of 680,000 metric tons and a tank capacity of 228,000 tons, as well as facilities for production, living and offices will be built. After completion, the annual output value is expected to reach 4 billion yuan.

The project is widely seen as being key development for Qidong, pushing forward with its maritime-oriented development strategy and is expected to help Lyusi Port accelerate the construction of port-centered industries with output value of 100 billion yuan.