In today’s talking points: Agriculture entrepreneurs urged to set sights on China market; China needs ‘extraordinary measures’ to revitalize countryside: minister; China Agriculture ministry to closely watch soybean supplies after tariff plan; China tariffs could help Australia gain share from US wine, nut and fruit producers.
Agriculture entrepreneurs urged to set sights on China market
Malaysian entrepreneurs in food and agriculture are preparing to venture into China in order to enhance economic growth in Sarawak. With the “One Belt One Road” initiative in play, now is an opportune time for Malaysia to further strengthen its bilateral ties with China. Aside from capitalising from China’s 1.3 billion population through a focus on food exports, organic vegetables and other produce, there is talk to create a more strategic partnership through an exchange of technology. The Chief Minister of Sarawak also anticipates a greater interest in Malaysia as a tourist destination for Chinese travellers.
Read more at: The Star
China needs ‘extraordinary measures’ to revitalize countryside: minister
China must adopt “extraordinary measures” to help revitalize the countryside and prevent its rural economy from falling further behind amid continuing urbanization, the country’s agriculture minister said. He also claimed China had to modernise its farm sector and provide support for entrepreneurship in rural regions. Han emphasised the importance of Rural revitalisation to the agriculture ministry. This remains in line with overarching Chinese goal of tackling the wide urban-rural income gap as well as alleviating rural poverty. In the past, rural farmers have left for the cities for a better life. Now, China is trying incentives to encourage rural workers to stay put.
Read more at: Reuters
China Agriculture ministry to closely watch soybean supplies after tariff plan
China’s Agriculture Ministry said it believes soybean supplies to be ‘basically normal’ in the short term after Beijing proposed a 25 per cent tariff on US imports, but will monitor impacts for the rest of the year. The Ministry released an official comment on the issues and said that in its monthly crop report South America is the main supplier of soybeans to China during the first part of the year. The proposed tariffs are in retaliation for recent aggressive US trade actions amid an escalating trade dispute. State corn sales is expected to begin this week to curb rising prices of the grain but its impact will seem to be limited.
Read more at: CNBC
China tariffs could help Australia gain share from US wine, nut and fruit producers
China’s tariff of up to 25 percent on U.S. agriculture could be good news for Australia’s nut, wine and fruit producers. Currently, almost 40 percent of Australia’s fruit exports last year went to greater China. The ongoing tariff war between US and China could improve the situation for Australian producers as American exports to China become more expensive.
Australia’s wine exports to mainland China rose 63 percent last year, while U.S. wine exports to the world’s second-largest economy were down. The Wine Institute said the move to add 15 percent tariff will increase US wine import tax from 48 percent to almost 68 percent. New Zealand wines are currently tariff free while Australian wines will be tariff-free starting in 2019.
Read more at: CNBC