Agri trade to be new frontier in joint biz

China's efforts to diversify its import of African agricultural products will enhance bilateral trade and create fresh opportunities for its companies to invest in countries in Africa, said government officials and business owners.

Eager to boost trade value, China and a number of African countries including Madagascar, Zimbabwe, the Central African Republic and Ethiopia, jointly proposed the establishment of a liaison mechanism for sanitary and phytosanitary (SPS) cooperation in late June.

The initiative aims to align inspection and quarantine standards and rules, facilitating the export of agricultural food products from Africa to China.

It represents a significant step forward in promoting trade and economic cooperation between the two sides, according to China's General Administration of Customs.

Wang Lingjun, deputy minister of the GAC, said the government will deepen inspection and quarantine cooperation with relevant government departments of African countries, and optimize market access assessment procedures for African agricultural and food products exported to China.

"This will contribute toward a win-win cooperation between China and Africa, and maintain the stability of global industrial and supply chains," he said.

Girma Amente, Ethiopian minister of agriculture, said his country welcomes more Chinese companies to invest in its agricultural sector and hopes to export more Ethiopian agricultural products, such as coffee, tea, spices and fruit, to China.

The trade value of agricultural products between China and Africa has jumped from 33.3 billion yuan ($4.6 billion) in 2012 to 58.6 billion yuan in 2022, with an average annual growth rate of 5.8 percent, data from the GAC showed.

Africa mainly exports aquatic products, honey, sesame, peanuts, tobacco, wool, cotton, soybeans, coffee and fruit to China.

Trade volume in this category soared 20.4 percent year-on-year to 26.6 billion yuan in the first five months of this year.

The proposed liaison mechanism for SPS cooperation underscores the commitment of both China and African countries to create a more efficient and streamlined process for the export of agricultural food products, said Sam Dalitso Kawale, Malawi's minister of agriculture.

By aligning inspection and quarantine standards, both parties can ensure the safety and quality of these products while reducing trade barriers and enhancing market access, he said.

Saying that this move holds great importance for African countries as it opens up new opportunities for their agricultural sector, Zhao Ping, vice-dean of the Beijing-based Academy of China Council for the Promotion of International Trade, said that by complying with China's SPS requirements, African exporters can gain access to the Chinese market, which has a high demand for a diverse range of agricultural and food products.

This, in turn, can stimulate agricultural production, generate employment opportunities, and boost economic growth in African countries.

COFCO Group, China's largest food trader in terms of sales revenue, said recently that a vessel carrying 53,000 metric tons of feed corn arrived at a port in Dongguan, Guangdong province, in early May. This was China's first feed corn import from South Africa.