The production of the rapeseed oil ranked the first in the country for 17 years. The cotton, vegetables, meat, poultry, aquatic and other major agricultural production realized overall growth. The growth of rural per capita net income reached a historic record of 1,065 Yuan since the opening up and reforms, up by 18.3% and grew higher than the urban residents for 2 consecutive years. The organized, large-scale and mechanized agricultural production was accelerated with 6570 more farmer specialized cooperative organizations, more circulation land of 79,300 hectares and newly added agro-machinery capacity of 2,200 MW. The accelerated implementation of “Four Batches” Project in agriculture production contributed to the output of more than 600 billion Yuan. Daohuaxiang Group became the first leading company with its sales revenue exceeding 10 billion Yuan.

The resettlement of the residents living in the area of the middle route of the South-to-North Water Diversion Project was basically completed, and the management project of the middle and lower reaches of Han River was in full swing. The Ministry of Water Resources chose Han River valley as the only national demonstration zone for irrigation modernization. Irrigation and other agricultural infrastructure construction were additionally strengthened. Another 19 key counties enjoyed the central government’s subsidies for small-sized agricultural irrigation, and 52,000 small-scale water source projects were established. 133,000 hectares of new areas with stable yields, despite drought or flood, were added, while 73,300 hectares of low-yielding land were improved, and 1,580 square km of land were protected from soil erosion. The drinking water safety of 2.15 million rural people was guaranteed. More than 560 km of medium and small rivers have been managed. 6.25 billion Yuan was invested to tackle the problem of farmland in rural areas. The pilot project of the New Socialist Countryside Construction was further promoted to 8 levels and covered 39% of the towns.

The environment improvement of more than 800 administrative villages has greatly changed the outlook of the rural area. The implementation of New Decade Rural Poverty Alleviation and Development Framework, and the Twelfth Five Year Plan, solved food and poverty issues for 400,000 poor people. The 616 Assistance program in ethnic minority areas achieved new success. The pilot project of eliminating poverty and achieving a relatively comfortable standard of living was completed in time, and the phase target of apparent changes in 3 years was reached. The village collective economy was further consolidated and developed. The activity of “sending ten thousand cadres to ten thousand villages and households” established a closer party-mass and cadre-mass relation and enhanced the stability and development of the rural area. We strove to deepen reform and opening-up, and significantly expanded the space for development. We paid special attention to the reforms in key areas and crucial links, and accelerated the system and mechanism innovation in fields like the supervision of state-owned property, environmental protection, land use, finance and taxation, and collective forest property rights, etc. The comprehensive and supplementary reform was steadily carried out to build Wuhan Metropolitan Area into a "dual-mode society".

For instance, carbon emissions trading became a national pilot project while the waste emissions trading operated normally in the Optics Valley United Assets and Equity Exchange. As China's first bidding platform for waste and renewable resources, Wuhan Mineral Exchange was officially set up. The Wuhan East Lake Bonded Area was also approved by the State Council, while initial progress has been made in the reform of health and medical system. Five critical tasks were accomplished on time. Approaches were introduced for a new development pattern of public hospital.

Medical service system at the basic level was further improved, with medical institutions in basic-level areas being fully covered by the state's basic system for drugs, and the all-in-one IC card for medical service was introduced to rural residents. A service for speedy clearance of basic medical insurance in places other than one’s own hometown was offered. We further expanded the "One Project, One Discussion" mechanism and raised subsidies to peasants, designed to alleviate their burdens during rural utilities development.

In addition, we fostered a pro-business culture and created an atmosphere that values pioneering spirit. As a result, the number of market entities rose to 2.19 million, grew by 16.7%. 27 products made in Hubei were newly labeled with the “Well-known Trademark of China”. Through study tours to the developed for the central and western regions, we further emancipate minds, and bring closer the inter-provincial exchange and cooperation. In addition, we accelerated the implement of the "Open-up First" strategy, vigorously promoting business and investment. Last year, import and export volume reached 33.52 billion Yuan, an increase of 29.1 %, with an export of 19.54 billion U.S. dollars at a growth rate of 35.3%. A series of large-scale trade and exchange activities were held in Hubei, or held with different countries and regions such as Japan, Korea, Europe, Jiangsu and the Pearl River Delta, Hong Kong and the Yangtze River Delta, which bore fruitful results.

Last year, foreign direct investment actually achieved 4.65 billion in U.S. dollars with a growth of 14.9%. A total number of 93 Fortune top 500 enterprises had investment in Hubei. Furthermore, remarkable results were achieved on the activity of 100 Central SOEs' Visiting Hubei, with 78 agreements signed over key projects, involving a total investment of 520 billion Yuan of which 110 billion being already paid-in. The transfer of industries from coastal to inland areas accelerated at a faster pace. Total investment of 337.6 billion was from other provinces, growing by 70%. Jingzhou City was approved by the central government as a pilot area for supporting the transfer of industries from coastal areas.

We focused on the overall development of social undertakings, and the people's living standard was steadily improved. We increased investment on securing and improving people’s livelihood, and 70.6% of public spending was used in that field. The "education-first" strategy was further implemented, and all types of education developed in an all-round way. Education expenses, in general, increased by 20.3%, and the education expenses at the provincial level grew by 25%. Besides, 7 scholars in Hubei became new academicians. 40 talents from Hubei were newly listed on the national "1000 Talents Program", with another 59 on the "100 Talents Program". We took significant steps to build Hubei into a strong province of culture. Hubei’s animation industry achieved an increase of 67.5%, rising to fifth place in China. Key cultural programs were implemented to benefit the people. Cultural facilities in rural and urban communities were improved remarkably. 110 museums and memorials of Hubei were open for free admission. The Moving Library Program designed to deliver books for people living in remote areas was launched. To celebrate the 90th anniversary of the founding of the CPC, as well as the 100th anniversary of the Xinhai revolution, we produced many excellent dramas and publications. We have successfully held the sixth Chinese Peking Opera Art Festival and the second National Intelligence Games where we harvested 2 first prizes and 7 gold medals respectively.

General management against the gender imbalance of babies achieved positive results. Employment, and residents' income, are on a steady growth pattern, especially in the mid-low income group. Urban per capita disposable income grew at 14.4%.The number of new urban jobs increased by 766 thousand. The coverage of the Social Security System was further expanded, and the level of social security continued to improve. A total of 44.54 million person participated in the five major social insurances. The new rural cooperative medical system covered 98.4% of rural population. 23.76 million urban, and rural, people participated in the social endowment insurance system, and 2.29 million rural residents were guaranteed a subsistence allowance. Basic endowment insurance for enterprise retiree’s was raised to 1,387 Yuan per month, per person, an increase for the seventh straight year. We strongly pushed forward the Government-Subsidized Housing Project, and started to build 353.5 thousand new apartments, accounting for 107% of the year's state-assigned task. 180 thousand new apartments were nearly finished.

In rural area, 104 thousand dilapidated house renovations were finished, and 100% of the original residents have moved back in. Other works including social relief, and arrangement of the displaced people were carried out successfully. The 10 key issues about people's livelihood which the provincial government has committed to handle early this year were all solved. Moreover, we also strengthened and developed social management to accelerate the formation of a social management pattern adapted to the requirements of the new situation. We also set up a working system to resolve social conflicts, and improved the mechanism for emergency response. We dredged the channels for the expression of public appeals. Organizations at urban, rural and basic levels were further strengthened. We continue to promote the development of a government run by law, and a society ruled by law. We finished the fifth, and launched the sixth, Five-year Legal Popularization period in an orderly way. In addition, we continued to deepen reform of the judicial system, making mechanisms develop along with infrastructures. Further improvement was made in the public security system, while general social management and supervision over food and drug and production safety was further strengthened. The general management of Internet and other emerging media also made significant progress. Religion further played a positive role in social development.

We strove to strengthen the capability building of government itself, which well-improved the development environment of Hubei. For instance, we vigorously pushed forward the development of a law-based, service-oriented government that further improved the government's credibility and power of execution. We carried out competition activities intensively to enhance work performance, reinforced measures to improve implementation and efficiency, which resulted in a sound improvement of administrative effectiveness. We pushed forward the accountability campaign to improve the performance of duty of our civil servants. To reduce the cases and links in project examination and approval, we forcefully promoted a procedure-simplifying reform. With a cancellation of 23% procedures, Hubei became one of the provinces with the least number of items subject to provincial examination and approval.

We strengthened administrative supervision and audit supervision, reinforced actions against 3 typical abuses of public expenses and the behavior of monetary gift taking, which helps to reduce administrative cost. The system of "one position, two duties" (indicating that work performance and integrity are equally important) was conducted, and new progress was made to combat corruption and upholding integrity. We earnestly implemented the resolutions made by Provincial People's Congress, and its Standing Committee, and reported on the government's work. We were consciously open to legal supervision, work monitoring, democratic oversight, and positive consultations and discussion with the provincial CPPCC over important issues. 556 proposals from the deputies of Provincial People's Congress and 654 cases brought by the provincial committee of CPPCC were properly dealt with. We maintain close contact with people's organizations such as the Labor Union, the Communist Youth League, the Women's Federation, etc. Additionally, the National Defense Mobilization and Reserve Force were further strengthened. A new round of counterpart assistance to Xinjiang and Tibet was firmly pushed forward. New achievements were also made in other fields such as women and children’s issues, people's air defense, bidding management, administration of government offices, association of science and technology, statistics, the protection of state secrets, archives, mapping, meteorology, seismology, hydrology, conscription, counselors, literature and history, local chronicles, philosophy and social sciences, policy consulting and so on.

The good start of the first year of the Twelfth Five-Year Pan period has signified a new step forward for building Hubei as the strategic stand that supports the rise of Central China policy, and composes a new chapter for promoting the balanced and leap forward development, which will extremely enhance our courage and strength, and inspire us to achieve higher purposes enthusiastically. These achievements did not come easily. They were made thanks to the firm leadership and correct decision-making of the CPC, the State Council, the Provincial Party Committee, the supervision and support of the Provincial People's Congress and the Provincial committee of the CPPCC, and the people of Hubei, who united with shared determination and collaborated with pragmatic manner, as well as the support and joint effort of the PLA, various offices in Hubei and all relevant organizations.

Furthermore, General Secretary Hu Jintao and Premier Wen Jiabao paid visits to Hubei successively, further pointing out the directions for our development. Grand commemorations were held to celebrate the 90th anniversary of the founding of the CPC and the 100th anniversary of the Revolution of 1911, which strongly encouraged our people for speeding up the rise, and revival, of Hubei. Such inspiring atmosphere is becoming denser as people of Hubei were united with full of strength, confidence and wisdom to strive for the leap forward development. Here, on behalf of the Provincial People’s Government, I would express my heartfelt thanks and high respects to general cadres and all ethnic groups, the PLA troops in Hubei, the armed police force, the non-communist parties, federations of industry and commerce, political independents, people's organizations, Hong Kong, Macao and Taiwan compatriots and overseas Chinese, foreign friends and all people at home and abroad for their concern and support of the economic and social development of Hubei!

With recognition to the achievements, we are also fully aware that confronted with many contradictions and difficulties, the economic and social development has not met people's anticipation. Major problems are as followings: insufficient development and inactive market entities continue to be the primary issues to be resolved; the basis of independent growth needs to be further strengthened; the agriculture industry is still vulnerable to natural disasters; general industry is not strong in competitiveness; the service industry is relatively lagging behind; resources like energy, capital and land emerge as the essential factors that confines development; speeding up the transformation of the economic development pattern remains an arduous task; the consumer price index stays high up after a tiny drop; a proportion of people still lead hard lives; a few problems are to be solved in fields of social security, education, culture, medical service and social management; the phenomena of “mediocrity, laziness, desultoriness and weakness” exists among some local civil servants at different degrees, the development environment needs to be improved; and In particular, as a result of the increasing downward pressure upon Hubei's economy, operating problems of some enterprises has worsened, and the potential risks in economic and financial fields are raising. Faced with those difficulties and issues, we should keep clear minds, work in an innovative manner, and take effective measures to solve these issues by all means.