Study On The Cluster Development Of Sand Industrial In Hexi Area

Since the conception of the industrial cluster was formally put forward in the 1990s, the structural development type of the new industry has been deeply studied by scholars at home and abroad. The significance of the principle of new industrial cluster to economic development has attracted unprecedented attention from the international academic, commercial and political circles. Industry cluster has developed into an important economic structure. Through interactive cooperation and communication, ventures within the industry cluster could grasp benefits from scale economy of scope, produce great spillover effects and drive the economic development of the region and even the whole country. It is proved that the industrial cluster has become a common feature of today's industries with international competitive advantages and an effective way to improve industrial competitiveness and a regional competitive advantage.As a sunrise industry, sand industry has played an important role in building a well-off society in desertification areas. The natural conditions in Hexi Area, which are in favor of the development of diverse sand industry, have impelled sand industry to become the important integral part of agriculture. The paper explores a clustered development road for sand industry in Hexi Region by integrating industrial cluster theory with practice of sand industry in Hexi Area.In the paper, firstly, the sand industry status in Hexi Area is analyzed. The sand industry in Hexi Area is beginning to take shape and the layout is becoming concentrated. Meanwhile there exist many problems mainly including unhealthy competition between low resource utilization of sand district, immature product intensive processing, low enterprise competitiveness, risk of production and management, shortage of funds and specialized talents and short industry chain. The sand industry clusters can solve the above problems. The paper emphasizes the necessity of developing sand industry clusters in Hexi Area from the following three aspects: creating regional brand, improving the competitiveness of sand industry in Hexi Area, developing local economy and maintaining social stability. Then feasibility of sand industry cluster arrangement in Hexi is studied in terms of 5 factors. They are advantages of location and resources, transportability and low transportation costs of cluster products, the possibility of mutual cooperation between a number of members and the complete social service organizations. Thirdly, the paper has discussed its forming mechanism by constructing forming mechanism model of sand industrial clusters in Hexi Area. Finally, suggestions and measures of developing sand industry cluster in Hexi Area from the perspective of government and enterprises are presented.