Exports to exceed 2 billion euros
(Xinhua)
Updated: 2006-07-06 09:10
The European Union (EU) will see its agriculture exports to China exceed 2
billion euros in five years, if current trade trends continue, said a EU
representative.
As its economy continues to develop, China's urban
middle class will grow from 120 million to 150 million in five years, which
bodes well for the burgeoning farm trade between the two sides, said Raimondo
Serra, Agricultural Counselor with the Delegation of the European Commission in
China.
EU's agriculture exports are likely to hit 4 billion euros, when
China's urban middle class reaches 200 to 250 million, said Serra at a forum
during the "Sino-Italian Green Week" which runs from July 3 to 6.
As
more people become more affluent their tastes are expanding to include more
western-style foods, bringing greater opportunities for EU's farm trade in
China, Serra said.
"China, however, can produce most products and has a
comparative advantage in labor-intensive crop farming," he said, adding China's
production of garlic, mushrooms, tomato paste and frozen strawberries can put
heavy pressure on the EU.
"But the EU can't just build a defensive
strategy," Serra said.
China, which is short of land and water
resources, has production limitations and the country has been a net food
importer since 2003.
"The EU has opportunities in China, especially in
value-added products. In an environment of relatively low tariffs, we have to be
more offensive-minded," Serra said.
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