"The value of a processed donkey will reach 20,000 yuan from the current 6,000 yuan made from selling a whole donkey," Qin said.

Dong'e has been cooperating with a Japan-based company to develop donkey placenta-related products, Qin added.

Li said there were production lines to produce donkey meat in Aohan, but the facilities had closed due to the poor state of the market for processed donkey products.

In addition to expanding the industry chain, the local government in Aohan is also working to improve the donkey breed to increase the value of the animals and the related products.

"We have introduced 10 male wu donkeys (dark donkeys) from Dong'e to help improve donkey breed," Li said.

Li said the skin of a wu donkey is around 15 percent heavier than that of the local donkeys.

Li predicted that the donkey industry will be developed into a pillar industry in Aohan in a couple of years.

"The donkey industry is set to be a good way to enrich local people," Li said.