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Chinese VP urges better agricultural technology
Updated: 2012-06-02 14:44(Xinhua)
HEFEI - Chinese Vice-Premier Hui Liangyu has called for
innovation in agricultural science and technology while
addressing a farming conference in Central China's Anhui
province.
In this age of urbanization and industrialization, science and
technology are vital means to maintain stable development of
agriculture as well as increase in farmers' income, Hui said on
Thursday at a national conference on the agricultural science
and technology education work, held from May 30 to June 1 in
Hefei, Anhui provincial capital.

The key to progress in the field is talented people and
education, according to the vice premier.
Hui stressed that increasing demand is proving to be a challenge
to the stable development of agriculture, while pointing out
China's deficiency in innovations and education.
Education of agricultural science and technology should follow
the principle of guaranteeing national food security and supply
of farm produce, Hui said.
He called for breakthroughs in core and advanced technology, as
well as in seed cultivation, and for better and cheaper
technology services to be provided to farmers.
The vice premier also emphasized the importance of fostering
agricultural professionals and providing culture and technology
training to farmers. He also promised
to increase governmental investment in the field.
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China / Media Digests China's agricultural trade deficit widens
Updated: 2012-06-01 17:36 (chinadaily.com.cn)
China's agricultural trade deficit surged by 80 percent
year-on-year during the first four months of the year, signaling
the country's growing reliance on food
imports.
During the first four months of 2012, the country's total
agricultural trade volume jumped to $54.7 billion, up 17.7
percent from the same period last year, according to data
released by the Ministry of Agriculture on May 31.
During this period, agricultural imports surged by 27.6 percent
year-on-year to $35.2 billion, while exports were up 3.3 percent
from last year to $19.5 billion, official data showed. This led
to a deficit of $15.7 billion.
According to the official statistics, imports of soybeans, corn,
wheat, cotton and sugar saw steady increases compared with the
same period last year. By contrast, more fruits and vegetables
were exported than imported, official data showed.
China expecting bumper summer grain harvest
Updated: 2012-06-01
HEFEI - China will reap a bumper 2012 harvest of summer grain
crops, mainly wheat and early-season rice, Minister of
Agriculture Han Changfu forecast Thursday in Hefei.
The haul of summer grain is crucial to boost the entire year's
grain production, Han said while addressing a wheat harvest
launching ceremony in Anhui province.
Meanwhile, output per hectare may hit a record high, said Han
without giving specific numbers. He predicted in early March
that the crop yield will top 120 million tons this summer, 2.5
million tons more than a year ago.
Also at the ceremony, Vice-Premier Hui Liangyu said securing a
good harvest of summer grain crops will help ensure supplies of
farm produce and will be of great importance to promoting sound
economic and social development.
Hui called for efforts to be stepped up to boost the harvest.
The country's grain output hit a high of 571.21 million tons in
2011, marking eight consecutive years of growth.
Egg, garlic prices surge in China
( Xinhua)
BEIJING - China has
seen egg and garlic prices surge over the past two weeks despite
expectations that inflation will further moderate, drawing calls
for better distribution and information services to stabilize
farm produce prices.
The average price of fresh eggs soared nearly 20 percent from
May 21 to Tuesday, the fastest increase recorded, according to
latest statistics from a farm produce price monitoring system
run by Xinhua News Agency.
In six provinces and cities including Beijing, egg prices rose
by more than 30 percent in that period.
From May 21 to Monday, the country's average garlic price jumped
more than 30 percent, the monitoring results show.
During that period, garlic prices advanced by more than 50
percent in six provinces and cities, with the highest growth of
86.6 percent recorded in Central China's Henan province.
The rises came after China's inflation rate slowed to 3.4
percent in April from 3.6 percent in March and was widely
expected to ease further in May due to falling food prices and
the base effect.
The latest price moves touched the nerves of inflation-wary
consumers, who worried that inflationary pressure would rebound
as food prices account for nearly one-third of the basket of
goods used to calculate China's consumer price index, the main
gauge of inflation.
However, an official with China's top economic planner said
Tuesday the price increases were "a reasonable recovery" from
low bases.
Garlic prices remained within a reasonable range, while egg
prices were still running low compared with the past two years'
high levels, said Zhou Wangjun, deputy head of the price
department of the National Development and Reform Commission.
Wholesale garlic prices stood at 5.5 yuan (87 cents) per kg
currently, up 48.6 percent from the lowest point last year but
well below the highest level of about 12 yuan per kg in October
2010, Zhou elaborated.
The price rises were mainly caused by cyclical fluctuations of
production and indicated there were problems with China's
agriculture sector in terms of scale, organization and
information services, Zhou said.
"Consumers should look at reasonable rebounds of farm produce
prices in a rational way, while authorities need to beef up
investment in agriculture and smooth over the cyclical
fluctuations," Zhou said.
The price fluctuations of farm produce reflected the
inefficiency of the distribution system, which increased the
cost for vegetables, eggs and meat to reach customers' hands,
said Cheng Guoqiang, a researcher with the Development Research
Center under the State Council.
Zhang Hecheng, head of the market department with the Ministry
of Agriculture, said inadequate marketing capability of Chinese
farmers also contributed to rapid ups and downs in farm produce
prices.
Farmers had difficulties in obtaining, understanding and using
market information and tended to make unwise decisions on the
production scale and price offers, Zhang said.
Nation
Chaoyang becomes nation's vegetable garden
Updated: 2012-06-06 08:04 (China Daily)
Print Mail Large Medium Small 0
Zhao Wei, a farmer in Chaoyang city, Liaoning province, picks
eggplants at her greenhouse. Zhu Chengpei / China Daily
Zhao Wei wandered through her large greenhouse, stopping every
so often to check on the progress of her eggplants.
"My husband and I used to be migrant workers earning about 2,000
yuan ($310) each month. Now our annual income is almost
quintupled," the 43-year-old said with huge smile.
And her family is not alone. Thousands of farmers across
Chaoyang in Liaoning province have seen their incomes increase
rapidly thanks to developments in the vegetable and flower
industry.
"The winter in Chaoyang can last up to five months. But since we
began promoting greenhouses, things have improved," said Chen
Tiexin, Party chief of Chaoyang. Chen said the per capita income
for farmers last year was 5.4 times what it was in 2001.
For example, he added, if a farmer grows corn on 1 mu (0.06
hectares) of land, it can bring an income of only 500 yuan. But
if it is used to grow tomatoes, the income can be about 100,000
yuan; cherries, 250,000 yuan.
Chen said the industrialized agriculture is in the fast lane.
"As planned, by the end of 2015, Chaoyang will be built into the
largest production base of green vegetables and the largest
distributing center for the produce of industrialized
agriculture in North China," he said.
Chaoyang boasts great advantages for growing vegetables in
greenhouses, he said. It has about 2,886 hours of sunshine
annually. Even in winter, it has enough sunshine to keep the
greenhouses warm. Its annual precipitation is less than 400 mm
but the drip irrigation technique used in the greenhouses
requires less water.
Chaoyang also has good transport links with Hebei province,
Beijing and Tianjin to the west; Inner Mongolia to the north,
and other cities in Liaoning province to the east.
Chaoyang's vegetables are already sold in major cities around
China, including Beijing, Shanghai, Guangzhou and Dalian, as
well as in Russia and parts of Southeast Asia. Famous local
brands include Lingxin, Kalu and Zhuangtouying.
Liu Yi, deputy director of the Chaoyang agriculture committee,
said Liaoning provincial government allocated 1 billion yuan in
June 2010 to accelerate the development of Chaoyang's
industrialized agriculture. That initiative attracted another 18
billion yuan in capital to invest in the sector.
"There are 760,000 greenhouses in Chaoyang, covering a total
area of 124,000 hectares," Liu said. There are 720,000 rural
families in Chaoyang and each one on average operates one
greenhouse.
In March, arrangements were made to ensure vegetables were
transported directly from the production base in Chaoyang to
supermarkets in Dalian.
More than 20 cooperative associations of farmers signed
contracts to supply nine supermarkets in Dalian. Under the
contracts, the supermarkets would buy 360,000 tons of vegetables
and fruit. The contract amount reached 170 million yuan.
"It reduced the middlemen and lowered costs, thus realized
mutually beneficial cooperation among farmers, supermarkets, and
customers," Liu said.
Chaoyang's vegetables are favored by more supermarkets.
Dashang Group, also in Dalian, is planning to build a large
wholesale vegetable market near the expressway entrance to
Chaoyang, Niu Gang, Dashang's president, revealed to China
Daily.
Dashang is one of China's largest retailers. It now has 170
large stores around the country. In 2011, its sales broke
through 110 billion yuan, making it the first domestic
department store whose annual sales exceeded 100 billion yuan.
"The pollution-free vegetable of Chaoyang deserves better sales.
It will be included in the whole circulation channel of Dashang
Group," Liu said.
Chaoyang is known as "the place where the first flower on Earth
bloomed and the first bird on Earth started to fly".
In the 1990s, fossils were discovered. They were believed to be
the most ancient angiosperm and the first feathered dinosaur
ever unearthed, both from the early Cretaceous period.
In addition, Chaoyang is the only city that set up special
bureaus for the administration of planting vegetables and
flowers in its counties.
"It shows that we place great emphasis on the development of the
vegetable and flower industries," said Si Haijing, a technician
with Lingyuan county's vegetable and flower administration.
ODI growth
rates set to increase sharply
Updated: 2012-06-01 09:27 (China Daily)
Outbound direct investment is set to soar in the coming years,
with double-digit growth rates predicted, the Ministry of
Commerce said.
"China's ODI is still in the initial stages, but the growth
trend looks set to increase," said Chen Runyun, commercial
counselor at the department of outward investment and economic
cooperation at the ministry.
ODI surged by 1.8 percent in 2011, from the previous year, to
$60 billion.
But the figure, from January to April of this year, grew by 72.8
percent year-on-year to $23.16 billion. China's total ODI, at
the end of April, stood at $345.1 billion.
"The trend is clear. ODI is on a fast-growth track which will
probably continue for some decades," Chen said.
"Various factors, including the increasingly appreciating yuan,
China's large foreign exchange reserves and domestic companies
expanding abroad, are driving the fast growth."
A recent ministry statement said that ODI is expected to
register an annual growth rate of 17 percent from 2011 to 2015,
reaching $150 billion in 2015. Contracted value for the nation's
engineering projects is expected to reach $180 billion in 2015.
"There are abundant opportunities ahead for outbound investment
and cooperation," the statement said.
China overtook Japan and the United Kingdom in 2010 to become
the fifth-largest global investor. China was the largest
investor among the developing nations in 2010 and 2011.
Overseas investment, by the end of 2010, mainly went to
manufacturing, retail, wholesale, commercial services and
mining. In his annual government work report, Premier Wen Jiabao
said China will guide enterprises to buy, invest and merge in
key sectors overseas, including energy, raw materials,
agriculture, and manufacturing. This is the first time that
specific sectors were included in the government report.
China's largest entertainment group, Dalian Wanda Group, agreed
in May to buy AMC Entertainment Holdings Inc for $2.6 billion,
including debt, in a bid to expand into the US.
The deal reportedly marks the largest-ever buyout of a US
company by a Chinese firm, and also gives Wanda the
second-largest operator in North America.
Wanda is also looking to buy a European cinema operator.
In terms of regions, Asia, Europe and Africa are the top three
destinations for ODI.
Chen predicted that Latin America will be another key investment
destination.
China's investment in the European Union jumped by 94 percent in
2011, year-on-year, to $4.28 billion, and in Africa it went up
by 59 percent year-on-year.
Yan Jufen, chief representative at the China Council for the
Promotion of International Trade in France, predicted future
investment growth.
"The demand for new technology will continue to be a driving
force behind the wave of Chinese investment," he said.
"And there is great potential in sectors such as the chemical
and aviation industries and alternative energy."
Foreign exchange reserves and the rising value of the currency
will also help, he said.
Che Shuming, deputy representative on the same council, said the
major advantage of Chinese companies was their capital strength.
"But difficulties and obstacles remain," Che said citing as an
example the technology block by European countries.
More and more overseas investment deals came through mergers and
acquisitions. The report by China Venture said the value of
deals in China's M&A market totaled $154 billion last year, up
74 percent from 2007. From January to April, the amount of
finished deals through M&A reached $26.77 billion.
But Chen said that even though Chinese companies have the
technical know-how and the capital, cultural factors often play
a part.
Cultural guidelines were released in May for the first time by
six ministries and bureaus, including the Ministry of Commerce.
"Chinese outbound companies need to strengthen their soft
power," said Zhang Guoqing, deputy director of the department of
policy research at the ministry.
The guidelines covered how to deal with differences in
languages, customs, values and religious beliefs, and emphasized
the importance of job creation.
Besides cultural issues, Li Rongcan, assistant minister of
commerce, said "many Chinese companies and investors complain
that they face protectionism".
"Chinese investments create benefits for both China and other
nations."
Usually, protectionism targets State-owned enterprises, and they
contribute two thirds of Chinese ODI.
"We will see more private companies invest overseas," said Lu
Jinyong, a professor at Beijing's University of International
Business and Economics.
Zhu
Baocheng attends 2nd APEC Ministerial Meeting on Food Security

Senior Advisor (Vice-Minister Level) Zhu Baocheng to the
Ministry of Agriculture attended and addressed the Second APEC
Ministerial Meeting on Food Security. The Meeting was held in
Kazan, Tatarstan of the Russian Federation from 30 to 31 May
2012.
Representatives from agricultural or food authorities of APEC¨s
21 member economies and six international organizations
including Food and Agriculture Organization (FAO) attended the
Meeting.
Zhu briefed about China¨s latest achievements in agricultural
development and grain production, and its significant
contribution to global food security. He also elaborated China¨s
positions and propositions on food security.
Zhu pointed out that, as a large developing country, China has
always attached great importance to food security, given top
priority to agricultural and food production to meet food demand
of urban and rural residents in terms of both quality and
quantity, and made impressive achievements.

Zhu stated in his speech that since 1980s, China has adopted the
following pro-agriculture policies to promote agricultural
development, including:
1. Adopting food accountability of the provincial governor
while relying on domestic production to meet demand;
2. Intensifying investment in agricultural development and
grain production;
3. Scaling up agricultural technological innovation and
extension;
4. Enhancing the protection of basic production factors such as
arable land and water resources;
5. Promoting the reform of grain circulation system and rolling
out the lowest purchase price system for major varieties;
6. Establishing market-principle-based policy system on food
security.
In general, China feeds nearly 21% of global population with
less than 9% arable land in the world. China has enjoyed bumper
harvest for eight consecutive years sine 2004, ample food
reserve, general balance in food supply and demand as well as
stable domestic food prices. Over years, the income of urban and
rural residents has kept growing, resulting in improvement in
livelihood. Supply capacity in balanced mix of food is enhanced
with increasingly diversified choices and improvement of
nutrition.
Zhu called for greater investment in grain production and closer
cooperation among APEC economies on the following fields,
including intra-regional joint R&D for
higher grain productivity, policy dialogue to promote
agricultural investment and trade facilitation, rational
development of biomass energy, as well as making full use of
regional information platforms for information exchange and
analysis on food security situation.
Discussions at the Meeting centered on food security challenge
faced by APEC region and ensuring food security, particularly
about:
1. To increase agricultural production and productivity;
2. To facilitate trade and developing food markets;
3. To enhance food safety and quality;
4. To improve access to food for socially vulnerable groups of
population; and
5. To ensure sustainable ecosystems-based management and
combating Illegal, Unreported and Unregulated (IUU) fishing and
associated trade.
The Ministers reached wide consensus on above-mentioned fields
on the Meeting, and the Kazan Declaration was unanimously
endorsed.
At the Meeting¨s interval, upon the request of Chilean Minister
Luis Mayo Bouchon for Agriculture, Zhu and Mayo held a bilateral
talk. Both sides exchanged views on the development of
China-Chile demonstration farm and bilateral agricultural trade.

During his stay in Russia Federation, Zhu also visited several
agricultural research and education institutes and
agro-processing enterprises.

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