​China and Russia seek further cooperation in agricultural sector

The file photo shows workers loading bags of soybeans cultivated in Russia by Dong Jin group.[Photo:my399.com]

China and Russia are stepping up cooperation in the agricultural sector as trade volume of agricultural products between the two countries hit record high and more Chinese giants in farming seek investments in Russia. 

Stats show that Russia's grain output reached a record high of 130 million tons last year. 

Farming has become a major engine of economic growth for Russia as the export of agricultural products reached 20 billion US dollars last year. 

Russian authorities expect exports in the sector to double by 2024 and hope to attract more investments.

As the world's largest importer of agricultural products, China imported 1.2 million tons of grain and food products from Russia from July of 2017 to May this year, hitting a record high. And over half of these imports are soybeans. 

Boris Dubrovsky, governor of Chelyabinsk, said he expects further bilateral cooperation in agricultural sector. 

"At the moment, we mainly export food products to China, such as flour, grain and Vegetable oil. There's huge potential for us to cooperate in food trade, yet we hope more Chinese companies to come to directly invest into farming industry, especially in the areas of agricultural production and processing." 

Wang Wentao, governor of Heilongjiang, China's northernmost province bordering Russia, said their cooperation with Russia involves the whole industry chain. 

"Now our province has established 18 economic cooperation zones in Russia. In 2017, our agricultural cooperation fields with Russia cover an area of over 500 thousand hectares. Over 200 companies in our province have investment in Russia. Our economic cooperation covers a wide range of areas including cultivation, Aquaculture, food processing and logistics."

Agricultural authorities in He Longjiang said apart from crop cultivation, they also cooperated with some Russian research institutions in developing farming technology.

Dong Jin group headquartered in Harbin, the capital city of Heilongjiang province, has rented farmlands in Khabarovsk since 2017 and built a mass cross border demonstration zone of agricultural industry.

Chairman of Dong Jin group Zhang Dajun said their project is a comprehensive one which involves cultivation, food processing and logistics.

"It takes five years for us to complete the project. We have invested 220 million yuan in equipment and funds. The farmland covers an area of 69 thousand hectares where 3500 cows are raised and two dairy factories were founded. We hired over 200 local workers."

The chairman added that his company has been dedicated to building a free trade port of agricultural products in Khabarovsk with an investment of 170 million yuan or 25 million US dollars.

Once completed, the port is expected to handle 300 thousand tons of agricultural products a year and help to facilitate transportation of exports from Russia's Far East to China and other countries.