It presented a good reason to raise a glass. The Ningxia National Open Development Comprehensive Pilot Zone for the Grape and Wine Industry was officially launched in Minning, Northwest China's Ningxia Hui autonomous region last week. Tailored for a specific industry, the pilot zone is the first of its kind and heralds Ningxia's drive to create new development models for niche sectors.

In combination with the Ministry of Agriculture and Rural Affairs and the Ministry of Industry and Information Technology, the provincial government hopes to promote Chinese wine and culture internationally.

The pilot zone certainly is on the right place or as they say in the wine has the right aspect. The eastern foothills of Helan Mountain in Ningxia is located at 38 degrees north, inside the "golden zone" for wine grape cultivation. Areas in this zone include Bordeaux in France and the Napa Valley in California.

Ma Huiqin, a professor at the College of Horticulture at China Agricultural University, says the pilot zone is an innovation in terms of industrial structure, concept and practice.

"After years of development, Ningxia wine has developed a unique personality, and its quality has been recognized at home and abroad," Ma says. She adds Ningxia wine could drive the grape and wine industry across the country, as the present 33,333 hectares of planting area here accounts for a quarter of China's total, making Ningxia the country's largest contiguous planting area. Its 211 wineries with an annual production of 130 million bottles achieve an annual output of about 26.1 billion yuan ($4.03 billion).

"Ningxia is one of the first regions in China to grow grapes and make wine," says Sui Pengfei, director of the International Cooperation Department of the Ministry of Agriculture and Rural Affairs. "The launch of the pilot zone in Ningxia is by all means dependent on Ningxia's unique terroir and natural endowments for the growth of wine grapes."