Recently, in Vientiane, the capital of Laos, Tianguan group Laos branch reached an agreement with the Plan and Investment Committee of Laos, Tianguan Group will invest in cassava planting and processing industry inKhammouan province Laos.  

As reported, the Tianguan Group plans to invest initial 20 million Chinese Yuan in renting 50,000 hectares lands for 60 years planting cassava in Laos. In the first 5 years, the cassavas gathered from the base will be transported to China for ethanol processing. 5 years later they will set a factory in local, which will consume 800,000-900,000 tons cassava per year, while provide about 4000 job opportunity for indigene.    

The Tianguan Group is one of fuel alcohol manufacturer appointed by Chinese government , they require millions of tons starch raw materials. Cassava is the main raw material of fuel alcohol producing, contains abundant of starch, fat, protein, and vitamin in its roots. The weather of Laos belongs to tropics and subtropics monsoon, fit for the cassava growth. There are enough local lands can be hired and planted; the cassava can be processed in local or freighted to China,.

The local government also provided corresponding preferential policy to the Tianguan Group for this project: the product exportation tax will be free, 5 years free of income tax and have another 3 of years reduce to remit (in Laos the highest income tax is 20%, reduced tax ratio is around 2%-5% of income tax).