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Home >> Business
UPDATED: 08:26, May 13, 2004
China hopes to double agricultural exports in a decade
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China hopes to double its agricultural exports in a decade to meet its economic growth need and increase farmers' incomes.

Such target could be met in the year 2013, Vice Minister of Commerce Yu Guangzhou told a symposium on agricultural exports andexport credit insurance Wednesday.

Agriculture will be one of the key sectors fueling trade both domestically and abroad in the coming years. The quality of agricultural products will be monitored and improved at the beginning of the production chain, Yu said.

China exported 21.2 billion US dollars worth of agricultural products last year, mainly marine products, garden and animal products and grain, up 17.9 percent year-on-year. The major buyersinclude Japan, the United States and the European Union.

"But technical barriers to trade (TBT), in the name of environmental protection and health requirements, are hindering agricultural exports," said Han Jun, a senior researcher with the Development Research Center of the State Council, a think-tank of China's cabinet.

According to a survey by the Ministry of Commerce last year, 89.7 percent of Chinese enterprises exporting local food specialties and animal products said their business was affected by TBT, 82 percent said they lost market shares and 35 percent were pushed out of the market.

"Chinese losses caused by TBT included 4.4 billion US dollars worth of live animal exports and 4.1 billion US dollars worth of plant products exports last year," said Xia Youfu, professor with the University of International Business and Economics.

Other products, such as animal fat and plant oil, food and beverage were also affected.

Meanwhile, the agricultural exports were helpful for the employment of abundant rural labor and increasing the farmers' income.

About 16 million of the abundant rural laborers got jobs related to agricultural exports annually. "One national leading agricultural enterprise can offer about 76,000 jobs and per ton ofcorn exports will offer one job," Xia said.

Statistics from eastern China's Shandong Province, major exporter of agricultural goods including vegetable, marine and animal products, show that the average income of farmers increasedby 140 yuan (16.9 US dollars) year-on-year in 2001 and of which, 70 yuan was gained from agricultural exports.

Zhou Xudi, deputy general manager of the Shaanxi Hengxing FruitJuice Beverage Co. Ltd, said the company's business benefits over 600,000 rural families cultivating fruit trees scattered in 13 counties and offers 3,000 long-term jobs and 40,000 short-term jobs per year.

"Agricultural exports contribute not only to the increase of foreign currency reserve, but more to the increase of farmer's income, employment and the optimization of the industry structure in rural areas," Yu said.

Source: Xinhua

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