China eyes Uganda's agribusiness in new front
KAMPALA — Tucked away over 50 kilometers north of the capital Kampala, Chinese technicians continue to set up the first agricultural industrial park in the East African country.
In different parts of the country, Chinese experts advise local farmers on how best to make agriculture a lucrative business.
Back in the capital, Chinese enterprises at a one day China-Uganda business forum are networking to devise ways of setting up more businesses in the country.
Among the key discussions in the meeting attended by top Ugandan government officials and Chinese enterprises is the agriculture sector, the mainstay of the economy.
Agriculture is Uganda's main economic activity with over 70 percent of the country's population deriving its livelihood from the sector.
Government figures show that the sector growth 2014/15 was 4.4 percent with a contribution of 24 percent to the Gross Domestic Product. The growth was mainly on account of increased cash and food crop production.
Uganda is hoping, basing on the experiences back home, that the Chinese enterprises could set up businesses to boost growth in the sector.
Already some Chinese business people have set up shop. The locals are farming Chinese hybrid rice and fox-tail millet both on a small and large scale basis.
According to experts, the yield of Chinese hybrid rice is three times more than the local breed from one hectare of land. Similarly, the yield of fox-tail millet is two times more than the local breed, finger millet in the same acreage.
At the business forum, Evelyn Anite, minister of state for privatization and investment said Uganda welcomes Chinese enterprises into the agriculture sector with open arms, noting that government has set up many incentives to make the sector lucrative.
"That is one untapped opportunity that many investors have not gone into," Anite told the meeting convened by Uganda Investment Authority (UIA), a state run investment agency and the Chinese Enterprise Chamber of Commerce in Uganda.
Among the key incentives is that companies would enjoy tax free export on agricultural products. Those that bring into the country machinery that is geared towards adding value to agriculture would not pay tax on the equipment imported.
Jolly Kamugira, UIA executive director told the meeting that the companies also stand out to benefit from the different lucrative markets that the country has access to.
Uganda exports its agriculture products tax and quota free to the United States through the American Growth Opportunity Act. It has also access to the European Union market and other markets like China on tax and quota free basis.
In the region, Uganda supplies its agriculture produce to neighboring South Sudan, eastern Democratic Republic of Congo, Rwanda, Burundi and western Kenya.
According to UIA, the investment opportunities in the sector are in commercial farming, agro-processing, manufacturing inputs, cold storage facilities and irrigation among others.
Uganda is optimistic that with the conclusion of the ongoing transport and energy infrastructure projects, the cost of doing business in the country would go down enabling investors to recoup big returns.
Source: Xinhua Date: 2017-05-08
China eyes Uganda's agribusiness in new front (2)
KAMPALA — Tucked away over 50 kilometers north of the capital Kampala, Chinese technicians continue to set up the first agricultural industrial park in the East African country.
In different parts of the country, Chinese experts advise local farmers on how best to make agriculture a lucrative business.
Back in the capital, Chinese enterprises at a one day China-Uganda business forum are networking to devise ways of setting up more businesses in the country.
Among the key discussions in the meeting attended by top Ugandan government officials and Chinese enterprises is the agriculture sector, the mainstay of the economy.
Agriculture is Uganda's main economic activity with over 70 percent of the country's population deriving its livelihood from the sector.
Government figures show that the sector growth 2014/15 was 4.4 percent with a contribution of 24 percent to the Gross Domestic Product. The growth was mainly on account of increased cash and food crop production.
Uganda is hoping, basing on the experiences back home, that the Chinese enterprises could set up businesses to boost growth in the sector.
Already some Chinese business people have set up shop. The locals are farming Chinese hybrid rice and fox-tail millet both on a small and large scale basis.
According to experts, the yield of Chinese hybrid rice is three times more than the local breed from one hectare of land. Similarly, the yield of fox-tail millet is two times more than the local breed, finger millet in the same acreage.
At the business forum, Evelyn Anite, minister of state for privatization and investment said Uganda welcomes Chinese enterprises into the agriculture sector with open arms, noting that government has set up many incentives to make the sector lucrative.
"That is one untapped opportunity that many investors have not gone into," Anite told the meeting convened by Uganda Investment Authority (UIA), a state run investment agency and the Chinese Enterprise Chamber of Commerce in Uganda.
Among the key incentives is that companies would enjoy tax free export on agricultural products. Those that bring into the country machinery that is geared towards adding value to agriculture would not pay tax on the equipment imported.
Jolly Kamugira, UIA executive director told the meeting that the companies also stand out to benefit from the different lucrative markets that the country has access to.
Uganda exports its agriculture products tax and quota free to the United States through the American Growth Opportunity Act. It has also access to the European Union market and other markets like China on tax and quota free basis.
In the region, Uganda supplies its agriculture produce to neighboring South Sudan, eastern Democratic Republic of Congo, Rwanda, Burundi and western Kenya.
According to UIA, the investment opportunities in the sector are in commercial farming, agro-processing, manufacturing inputs, cold storage facilities and irrigation among others.
Uganda is optimistic that with the conclusion of the ongoing transport and energy infrastructure projects, the cost of doing business in the country would go down enabling investors to recoup big returns.
Source: Xinhua Date: 2017-05-08
Nebraska serious about growing trade with China
In welcoming scores of Chinese and American business leaders to Omaha, Nebraska Governor Pete Ricketts said that he believes the state's relationship with China will grow.
"In China, we see the middle classes are increasing tremendously," Ricketts said on Friday. "That presents opportunities for us to expand the relationship. In Nebraska, we think long term."
"That's actually one of the things that is very similar between the Nebraska culture and Chinese culture -- emphasis on long term. That's why I think the relationship with China will grow," he said.
The governor said that China is the state's second largest trade partner outside of North America and one of the fastest-growing: "Nebraska exported $1.3 billion of products last year to China," he said.
Elaborating on the state government’s effort to improve education, regulation and the tax system, Ricketts invited business leaders to consider investing in the state.
"We seek those Chinese companies who look to invest in Nebraska to help them to grow their business in the US, help them to leverage our regulatory and tax environment, our central location and the shared culture value," Ricketts said.
Compared to other states such as Texas or California, Chinese direct investment in Nebraska is relatively small. The notable Chinese investments include a $3 million investment in shipping and logistics by Easyway International of Xi'an, Shaanxi province, and a $25 million investment in Worldlawn Power Equipment by Jiangsu World Group from Zhenjiang, Jiangsu province.
To attract more business from China, Ricketts visited China twice since he took office in 2015, with the last trip in November 2016. Ricketts said that he took more than 70 businesspeople with him.
During the last trip, Ricketts and Shaanxi province's governor Hu Heping formalized Nebraska and Shaanxi province's relationship as sister states.
"Basically, we had investment summits in Shanghai and Xi'an. We tried to connect business leaders together to see where we can find those relationships and where to invest."
"We visited Jiangsu World Group. They make lawnmowers in Nebraska and farming equipment in China; it's a kind of a natural relationship there."
He also witnessed Nebraska's Preferred Popcorn extend its relationship with its Chinese partner Zhong Liang Tian Run Trading Inc to sell an additional 10 million pounds of Nebraska popcorn to China.
Nebraska is strong in agriculture, and Ricketts said that's where Nebraska and China can grow the relationship the most.
"That's why when we were in China last fall, we broke ground on a demonstration Nebraska farm in Yangling. The idea is to show what technology and processes we have in agriculture to Chinese farmers and see how they may be able to use that."
Ricketts said that Nebraska is the largest irrigable state in the US, and 80 percent of center pivot irrigation equipment is made in the state. "China might take advantage of that technology," he said.
Ricketts had taken his family to China for sightseeing before he became governor, and said his favorite city is Xi'an.
"China is a beautiful country with friendly people. I love history, and China has history more than anyplace else. I love going to Xi'an to see terracotta soldiers and the first Qin Dynasty. I am a history buff, and I love to learn what people did a long time ago," Ricketts said of his impression of China.
Source: China Daily Date: 2017-05-08
Expo 2017 would be held in Kazakhstan: great opportunities for Chinese investment
A specialised Expo 2017 will be held in Astana, the capital of the Republic of Kazakhstan. The Expo, which is taking place on a site covering 25 hectares, will be open between 10 June and 10 September 2017.
China has become the first State to sign the participation agreement with Kazakhstan in EXPO-2017. Chinese pavilion received the maximum of the available options in the area of 1000 sq.m.
According to Vice-Chairman of The Committee for the promotion of international trade of China, National Commissioner of the Pavilion of China and representative of the Chinese Government to participate in Expo-2017» Wang Jinzhen: «China, as the second largest economy in the world and the largest producer and consumer of energy, considering the EXPO-2017 in Astana as a platform for a comprehensive demonstration of advanced technology and strategy of China in the energy sector, sharing experiences with Kazakhstan and other countries, as well as underscore China's image as a responsible power».
So, what is interest in Kazakhstan for China's business?
Kazakhstan is the largest country in the Central Asian region. And the richest in natural resources. On the territory of Kazakhstan last year started production at the biggest field in recent years - Kashagan. But except oil Kazakhstan is ready to offer foreign businesses numerous contracts in different fields: from the subsoil to the agricultural products.
Kazakhstan immediately after the collapse of the Soviet Union took dramatic start to becoming a market economy. And, unlike most of the post-Soviet States, Astana became not experimenting with the gradual transformation of the economy. Therefore, after 25 years after gaining sovereignty of this country is considered to be one of the most liberal business throughout the former USSR.
In the past few years, Kazakhstan took a course on industrialization of the economy. This was an attempt to get rid of commodity dependence, which is most acutely felt during recent economic crises. However, despite very substantial accumulated from financial resources (63 billion net reserves) bet on attraction of foreign investors. Moreover, as stated by the leadership of the country, it is not only and not so much on the financial investment, how about bringing in Kazakhstan competitive technologies and innovations.
It should be noted that the integration processes in the post-Soviet space makes Kazakhstan especially attractive for investors. Market for Eurasian economic space comprising five countries (Kazakhstan, Russia, Belarus, Armenia and Kyrgyzstan) is about 180 million people. Including Russia, which after the start of the sanctions war closed for many companies from Europe and the United States. Free movement of goods and capital, as well as the absence of customs and other barriers within the Eurasian economic space is very important for the producers, who mostly target today on the Russian market.
There is another important nuance, attracting investors into the country, its geographical location. Kazakhstan is located in the center of the Eurasian continent, has a significant transit potential. Today there are developing destinations both North-South and East-West. Already heavily used corridor in the framework of the new Silk Road in Western Europe-Western China. It helps to ensure the delivery of goods from China to Europe and back for 14-15 days (vs. 45 days by sea). The last year has launched a new railway corridor Kazakhstan-Turkmenistan-Iran.
Specified became important reasons for the growth of investments in the Republic in recent years. Only for the last 10 years the size of foreign direct investment amounted to 327 billion dollars, of which 15 billion came to the country only in the year 2016 (That amid the global crisis and observed outflow of capital in emerging markets is a good indicator).
In addition, business in Kazakhstan has attracted a number of advantages in comparison with neighbouring States.
Firstly, here clearly defined areas that the State is ready to open for investors. This engineering, agriculture, food industry, retail and chemical industry. For investors in these areas of Kazakhstan provides a number of preferences.
Basic package advantage for investors-exemption from customs duties and field grants. For the priority sectors identified by the Government, for investors with an investment volume of more than 13 million dollars an additional package preferences: exemption from corporate income tax and the land tax for 10 years, from 8 years of property tax. In addition, the Kazakh authorities guarantee a return cache Beck up to 30% of the capital expenditure spent on capital construction and equipment purchases.
It should also take into account the existence of 10 special economic zones, which also provide exemption from all major taxes for 10 years (including customs duties and CPN), as well as free of charge (for the entire duration of the FEZ 25 years) provide a plot of land for construction from the failed infrastructure.
If special economic zones focusing more on large production, the regional industrial zones are playgrounds and preferences for small and medium-sized businesses. The country provided 42 such playgrounds in all regions of Kazakhstan.
It should be noted that there is stability of investment contracts. That is, any subsequent changes to the national legislation (including the part of tax rates and preferences) do not touch the investment contract. Also guaranteed them stability, i.e. at the time of the conclusion of the investment contract with the Government of (Investment Committee) the investor commits those bets, those conditions that are stipulated for it at the time, when he signs a contract and subsequent changes to legislation and tax preferences will not touch it.
Kazakhstan also provides investors with the opportunity to attract its own (foreign) workforce without special permits. Such workers may bring for the period of construction objects and starting-up and adjustment works.
Such reforms to improve the investment climate creation allowed Kazakhstan to improve its position in the World Bank ranking of Doing business-last year the country was ranked 35 place. Moreover, such a measure as "reform" Kazakhstan took one of the leading places in the world.
Today Kazakhstan is one of the most open countries in the world. The attractive geographical location, enormous opportunities for investment in the most different business areas, and full support for investors on the part of the authorities to guarantee a successful enterprise development both local and foreign. Kazakhstan intends to in the next two decades to become one of the 30 most developed countries in the world. And, repeating the big leap in Singapore is quite able to do it. Especially making a bet for investors who are willing to bring into the country, the technology of the future. The benefit to this there are all conditions.
In December 2015 year between Kazakhstan and China signed a memorandum on simplification of group travel by Chinese citizens in Kazakhstan. In accordance with the memorandum, for tourist groups from China subject to availability of visa support, which prepares the travel company of Kazakhstan, visa is issued without personal presence of traveling within 5 working days
Source: China Daily Date: 2017-05-05
Wolfberry industry becomes Ningxia's major industry
The wolfberry industry, with a total annual output value of 13 billion yuan, has become a major industry in northwest China’s Ningxia Hui Autonomous Region, according to the latest data from the Ningxia Forestry Bureau.
By the end of 2016, wolfberry plantations occupied over 900,000 mu (60,000 hectares) in Ningxia, producing 93,000 tons of dried wolfberry and more than 40 deep-processed products such as beverage, seeding oil and health products.
With the brand effect, Ningxia has accelerated its wolfberry industry towards more export-oriented development.
Over 60 producers now export dried wolfberry and deep-processed products to over 50 countries and regions.
Their export volume exceeds 5,000 tons, taking up 60 percent of the nation's total, with a market share increasing by 15-20 percent annually.
Ningxia is located in the upper reaches of the Yellow River, with great sun light and heat resources ideal for growing quality wolfberry.
In recent years, Ningxia adheres to the modern agricultural development ideas and provides great support to the wolfberry industry which has been further enhanced
Source:Xinhua News Agency Date: 2017-05-05
China requires large banks to set up inclusive finance divisions in 2017
ChiChina's large commercial banks have been asked to set up inclusive finance departments to support small companies, agriculture, poverty relief and entrepreneurship before the end of 2017.
Large banks should become the backbone in the development of inclusive finance, according to a statement following a State Council executive meeting presided over by Premier Li Keqiang on Wednesday.
Their lending to small and micro enterprises should rise no slower than growth in all loans, the statement said, adding that the number of small and micro borrowers in a year should not be lower than the same period of the previous year.
Banks should tolerate a reasonably higher non-performing loan ratio for lending to small and micro enterprises, agriculture and poverty alleviation, according to the statement.
The government will offer monetary and credit policy incentives to financial institutions that meet the requirements for inclusive finance businesses, and support commercial banks to improve their service networks.
"By coordinating different measures, inclusive and convenient financial services will promote job creation, economic upgrading and improvement of people's lives," the statement said.
The executive meeting decided to raise the subsidy for emergency assistance efforts in natural disasters, the pension for family members of the deceased from major disasters, life assistance fund in the transitional period and central government subsidy for recovering and rebuilding damaged residential buildings.
In 2017, the country should solve the housing problems for all the people still staying in temporary places affected by natural disasters last year.
Source:Xinhua News Agency Date:2017-05-05
3rd Meeting of China-Argentina JCA held in Beijing
Mr. Zhang Zhongqiu, China’s Chief Veterinary Officer and Ms. Marisa Bircher, Secretary for Agroindustrial Markets of the Ministry of Agroindustry of Argentina, co-chaired the Third Meeting of China-Argentina Joint Committee on Agriculture (JCA) in Beijing on the afternoon of 27 April 2017.
The two sides reviewed the achievements of bilateral agricultural cooperation, spoke highly of the efforts made on mechanism development, agricultural trade and two-way investment, and looked forward to greater success in pragmatic cooperation. The two sides exchanged views on the Strategic Action Plan on Agricultural Cooperation between the Ministry of Agriculture of China and the Ministry of Agroindustry of Argentina 2017-2022 and agreed to conduct cooperation in 14 areas such as agricultural bio-technology, seed and scientific research.
To enhance agricultural cooperation, the two sides reached the following consensus: firstly, improving multilateral and bilateral agricultural cooperation mechanisms and enriching existing bilateral agricultural cooperation; secondly, strengthening cooperation in agricultural research and development and improving innovation capability of both countries; thirdly, facilitating bilateral cooperation on agricultural trade and investment and promoting connection and integration of agricultural sectors for mutual benefits and win-win outcomes.
After the meeting, the two sides signed the minutes of the third JCA meeting between China and Argentina.
Source:MOA Information Office Date: 2017-05-04
Minister Han Changfu meets Egyptian Deputy Speaker
At the invitation of the Egyptian side, Minister Han Changfu met with Mr. Mahmoud El-Sharif, Deputy Speaker of the Egyptian House of Representatives, during his visit to Egypt on the afternoon of 27 April 2017. The two sides exchanged views on strengthening bilateral agricultural cooperation. Chinese Ambassador to Egypt Mr. Song Aiguo attended the meeting.
Minister Han noted that China and Egypt are both ancient agricultural civilizations, sharing great similarity and complementarity in agricultural development. The two sides should improve cooperation mechanism, maintain candid communication and expand common ground to achieve mutual benefits and win-win outcomes. Minister Han suggested that both sides enhance cooperation in areas of improvement and breeding of main crops, joint development of animal vaccines, dry farming and water-saving technology, protected agriculture, agricultural machinery, personnel training, as well as agricultural trade and investment. China hoped the Egyptian side could provide favorable policies and create an enabling environment to facilitate Chinese investments in Egypt.
Mr. El-Sharif expressed his appreciation and welcome to Minister Han and said that China, a great agricultural country, has made remarkable achievements in agricultural development over the past decades. Egypt hopes to draw experience from China to energize its agriculture. President Abdel Fattah El-Sisi and the Egyptian society highly value cooperation with China. While implementing the 1.5 Million Feddan Project for land reclamation, Egypt earnestly anticipates that China could strengthen cooperation with Egypt and other countries along the Belt and Road to promote common agricultural development. The Egyptian Parliament is willing to extend stronger support and assistance to China-Egypt cooperation.
During the stay, Minister Han visited Chinese enterprises in Egypt and family farms in the irrigated area of the Nile River.
Source:MOA Information Office Date: 2017-05-04
China, Denmark adopt collaborative work plan
China and Denmark will strengthen cooperation in areas such as fishing, agriculture, food safety and drug regulations through a new collaborative work plan for the next three years, which is expected to bring the two countries' relationship to a new height.
Premier Li Keqiang and Prime Minister Lars Loekke Rasmussen of Denmark agreed to the joint work plan for their two nations from 2017 to 2020 during their meeting in Beijing on Wednesday.
The plan details the road map and timetable for further cooperation.
Rasmussen was making the first official visit by a Danish prime minister since the two countries established comprehensive strategic partnership in 2008.
Li said he believes China and Denmark have great potential for further cooperation. And, as next year will mark the 10th anniversary of the comprehensive strategic partnership, China is willing to use this opportunity to explore more cooperation between the two countries. Denmark is the first Nordic country to sign such agreement with China.
Li stressed that China also is willing to work with Denmark in dealing with regional issues and international affairs while promoting free trade and investment convenience.
Rasmussen praised China's rapid development since his last visit in 2010, and said China has shown increasing leadership on important global issues such as climate change.
He expressed his willingness to fully implement the three-year work plan between the two countries and said Denmark, a firm supporter of free trade, warmly welcomes investment from Chinese companies.
He also said as a member of the European Union, Denmark will promote the bilateral investment treaty between China and the EU to deepen relations.
After the meeting, Li and Rasmussen observed as the signing of six documents: on food and drug regulations, quarantine and sanitary requirements and giant panda protection, among others.
Liu Weimin, deputy director of the Department of European Affairs at the Ministry of Foreign Affairs, said the two leaders had long and candid discussions on promoting free trade amid increasing trade protectionism. He said Li emphasized that free trade benefits all countries and contributes to global peace and stability as well as the recovery of the global economy, while trade protectionism serves the no one's interests.
Liu said the two leaders agreed to send strong signals to promote free trade and globalization in the upcoming China-EU Leaders' Meeting.
Liu said both countries would work to enhance cooperation and, as 2017 is the year of tourism between China and Denmark, the first such activity between China and an EU country, steps to increase tourism were part of Wednesday's discussion between the leaders.
China remains Denmark's largest trade partner in Asia with their bilateral trade reaching more than 110 billion Danish kroner (about $16.11 billion) a year, according to Denmark's statistical authorities.
Source: China Daily Date:2017-05-04
Xinjiang rural labor forces to receive skill training
From this year onwards, Xinjiang Uygur autonomous region is to carry out skill training for the rural labor forces, in order to tackle the shortage of skilled workers.
With focus on skill cultivation and upgrading, the annual training will comprise of 300,000 people, while the project is valued at 1.5 trillion yuan ($217.9 billion).
According to the government paper issued on April 14, Xinjiang natives are to account for over 70 percent of the total employed people for the project, including 40 to 50 percent coming from poverty-stricken families. The construction companies will have the native people undertake 90 percent of the unskilled work.
By 2020, the end of the 13th five-year plan, the government plans to provide training for over 1.2 million people. The rural labor personnel who are seeking job for the first time, or those who have no experience or formal training, need to go through a complete set of personnel training in terms of the national commonly-used language, discipline, physical capabilities, as well as general and professional skills.
"The plan will help to take the residents out of poverty by teaching them to 'fish' while solving the labor shortage”, said Yu Huan, deputy secretary general of the autonomous regional government.
Yu also stressed that the institutes are supposed to bear the responsibilities to ensure the qualifications of each trainee for the job upon the finishing of their training.
DATE:2017-05-03 SOURCE:China Daily