The world-renowned cosmetics manufacturer L'OREAL has decided to boost investment in its Shanghai-based research center, according to Lan Zhenzhen, vice president of L'OREAL China.

The Shanghai Jinqiao Export Processing Zone Development Co. Ltd. has signed an agreement with L'OREAL China on transferring land use rights for a 20,000 sq m plot that neighbors the company's research center in the Pudong New Area of Shanghai.

"The plot of land will be used to further develop the research center, and to produce and test the company's products," Lan said.

"L'OREAL will also input more investment in Shanghai and in China at large by taking this move," she said.

But Lan declined to give more details - such as the price of the transfer and the sum of money to be invested for the expansion plan, citing "business secrets."

Officials of the Pudong New Area and the Jinqiao Export Processing Zone also did not comment on the transfer price, but said they welcome L'OREAL's move and will as always endeavor to create a more favorable investment environment for all companies including L'OREAL.

Paris-based L'OREAL is the world's biggest cosmetics corporation with a history of nearly a century. It owns 17 world famous brands, including Garnier, Lancome, Maybelline, VICHY, MININURSE and YUE-SAI.

In 2004, the firm's worldwide sales volume exceeded 14.5 billion Euros (17.5 billion U.S. dollars).

Source: Xinhua