Russian soybean exports to China are likely to remain low for the next few years, an agricultural specialist has warned, suggesting that amount produced will not be enough to provide a real alternative to the US. China suspended purchases of US soybeans and other farm products this month after US President Donald Trump threatened to impose more tariffs on Chinese products, compounding the shortages caused by 25 per cent tariffs on the crop that have been in place since July last year.
Russia is one of the many alternative sources China has been exploring since the start of the trade war and last month it approved imports of soybeans from all parts of Russia, opening itself up to supplies from the European part.
Last month China's Commerce Minister Zhong Shan said the country hoped to "Deepen its trade in soybeans" with Russia after a meeting with his counterparts in Moscow, days after Rusagro, a Russian agricultural exporter,had shipped its first bulk vessel of soybeans to China.
Since Russia still needs to import soybeans to fulfil its own needs, it was unlikely to provide an effective answer to China's problems, Rylko added.
Yang Baolong, the president of the China Soybean Association and the chairman of the Heilongjiang Agriculture Investment Corporation, said Russia's vast far east has the potential to become "An important source of soybeans" and urged Chinese businesses to "Seize the chance".
China and Russia vow to 'deepen trade in soybeans' after tariff war kills US crop exports.
He said that the huge demand from China for soybeans would encourage other countries to produce more of the crop to full the gap in the market left by the US. "That will take some time, since soybean is an annual crop," he said, "The supply this year might be tight, but the situation next year will be better."
https://amp.scmp.com/economy/china-economy/article/3023251/china-warned-it-shouldnt-pin-its-hopes-russian-soybeans?utm_term=Autofeed&utm_medium=Social&utm_source=Twitter&__twitter_impression=true
Russia is one of the many alternative sources China has been exploring since the start of the trade war and last month it approved imports of soybeans from all parts of Russia, opening itself up to supplies from the European part.
Last month China's Commerce Minister Zhong Shan said the country hoped to "Deepen its trade in soybeans" with Russia after a meeting with his counterparts in Moscow, days after Rusagro, a Russian agricultural exporter,had shipped its first bulk vessel of soybeans to China.
Since Russia still needs to import soybeans to fulfil its own needs, it was unlikely to provide an effective answer to China's problems, Rylko added.
Yang Baolong, the president of the China Soybean Association and the chairman of the Heilongjiang Agriculture Investment Corporation, said Russia's vast far east has the potential to become "An important source of soybeans" and urged Chinese businesses to "Seize the chance".
China and Russia vow to 'deepen trade in soybeans' after tariff war kills US crop exports.
He said that the huge demand from China for soybeans would encourage other countries to produce more of the crop to full the gap in the market left by the US. "That will take some time, since soybean is an annual crop," he said, "The supply this year might be tight, but the situation next year will be better."
https://amp.scmp.com/economy/china-economy/article/3023251/china-warned-it-shouldnt-pin-its-hopes-russian-soybeans?utm_term=Autofeed&utm_medium=Social&utm_source=Twitter&__twitter_impression=true
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