While some Chinese farmers rack their brains to get their corn,
beans and milk sold, a Chinese-funded farm in Zambia, in remote
Africa, sold everything the farm produced and is expected to make a
profit of US$600,000 this year.
The Zhongken Farm, established near Lusaka with an investment of
US$220,000 in 1994, sold a total of two million chickens, 1,000
heads of beef cattle, 6,000 pigs and 1.80 million liters of milk by
the end of 2001. It was one the most successful stories of Chinese
investment in the African agricultural sector.
"We are proof that Africa is a top option when we are about to
invest in the agricultural sector abroad," said Han Xiangshan,
deputy general manager of the China State Farms Agribusiness
Corporation, owner of Zhongken Farm, summing up the company's
experience in Africa at a seminar on Friday.
"We can make great profits through investing in the farming sector
and processing farm produce," he told about 60 Chinese
entrepreneurs attending the China-Africa Agricultural Investment
and Cooperation Seminar, which wrapped up Friday.
Agriculture is one of China's greatest concerns following its
accession to the World Trade Organization (WTO). Many Chinese
officials and farmers thought of investing in Africa when they were
considering ways to cope with the challenges brought about by the
WTO entry.
The entrepreneurs attending the two-day seminar hailed from 15
provincial localities of China. They were briefed about the basic
conditions in Africa and about China's incentive policy for
investing in Africa by vice-ministers from the Ministries of
Foreign Affairs, Foreign Trade and Economic Cooperation (MOFTEC)
and Agriculture.
Han, along with other businessmen who have invested in Africa's
farming sector, also shared their experiences with the
entrepreneurs.
China and Africa have enjoyed traditional friendship. Beginning in
the 1960s, China initiated a large number of cooperative
agricultural projects in the Republic of the Congo, the Democratic
Republic of Congo, Guinea, Mali, Mauritania, Niger, Sierra Leone,
Somalia, Tanzania, Togo and Uganda. Most were initially aid
projects, however, agriculture cooperation has continued up to the
present time.
Officials said, however, that agricultural cooperation in Africa
has changed a great deal since the early days.
Most African countries are now politically and socially stable, and
have listed agriculture as the top priority in poverty relief and
economic development.
With respect to China's experience, it continues to successfully
provide food for its nearly 1.3 billion citizens. China's
agricultural experience, high-breed crop species, agricultural
technology and equipment are wanted by many developing countries,
according to the participants.
"China will make agricultural cooperation with Africa a key area of
cooperation in the coming years," said Li Zhaoxing, vice-minister
of Foreign Affairs. "We will take more pragmatic and effective
measures to push forward the mutually beneficial cooperation."
The Ministry of Agriculture said many African countries are
interested in cooperating with China in the areas of crop
cultivation, vegetable and flower-growing, agro-tech promotion and
training, irrigation systems, the raising of farm animals and
aquaculture, the processing of farm produce and in providing
engineering services for agricultural projects.
However, some experts said that agricultural cooperation with
Africa in the coming years should be conducted in new ways and
should be able to generate profits. Non-profitable cooperation
cannot last long, they said.
Officials in charge of China's investment abroad supported this
position.
"China-Africa agricultural cooperation in the new century must be
conducted by enterprises and should be market-oriented," said Wei
Jianguo, vice-minister of MOFTEC. "We encourage Chinese companies
to invest in the farming sector in Africa through a variety of
forms, including joint ventures, joint stock companies or
solely-owned companies."
African diplomats in Beijing welcomed China's decision to
strengthen agricultural cooperation with Africa.
Joseph Obiang-Ndoutoume, acting head of the African diplomatic
mission in China and Ambassador of Gabon to China, said the
development of agriculture is an important way to relieve poverty,
and most African countries still need to do more to develop their
agriculture. They hope to have more cooperation with China, he
said.
Emmanuel Zinyuke, counselor of the Embassy of Zimbabwe in Beijing,
said African countries will open their arms to Chinese agricultural
investors. He said it will strengthen the ties between Africa and
China.
Some Chinese agricultural investors in Africa, who have made
profits are ready to expand their businesses. The Jiangsu
Provincial State Farm Corporation, for instance, is ready to expand
its business from Zambia to Zimbabwe, South Africa and Botswana in
the coming two to three years.
"Ten years of experience in Africa has made me more confident about
investing in Africa," said Wu Yuchao, deputy general manager of the
Jiangsu Provincial State Farm Corporation, which began to invest in
Zambia in 1990. "We are now capable of expanding our business in
southeast Africa, and we are confident about our success."
(Xinhua News Agency September 28, 2002)
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