Reply
Advisor
Posts: 646
Registered: ‎10-18-2016
0

China Ag Policy

Have you read this piece?  

http://www.agriculture.com/markets/newswire/chinas-latest-farm-policy-shifts-focus-from-output-to-de...

 

It looks like China is going to switch from self-sufficiency to imports, and it wants to get a cut of the imports.  To me, that sounds like Smithfield all over again, all over.  China has invested in heavily in the Ukraine.  I don't know how that is coming along.  Isn't it being reported that China is investing in Brazil?

 

On one hand, China wants to keep people on the farm and in the small rural village.  The cities can't handle or provide work for them all.  On the other hand, subsidizing the rural sector seems to be costing a lot of money.  Is China looking for a miiddle way that involves vertical integration in foreign lands?  

Senior Contributor
Posts: 12,019
Registered: ‎05-13-2010
0

Re: China Ag Policy

Maybe not to do with this, but haven't Chinese interests been investing in and underwriting development in "2nd world" nations for decades?

Frequent Contributor
Posts: 37
Registered: ‎09-29-2016
0

Re: China Ag Policy

Yes. Maybe not the governoment itself, but individuals or corporations have been investing in foreign countries for decades.  It's no different than indivuals or corporations from the united states investing in countries like Brazil or Belize.

Highlighted
Veteran Advisor
Posts: 882
Registered: ‎05-13-2010
0

Re: China Ag Policy

China entities have been investing in several global grain businessess

 

although some of those investments have not gone all that well

 

this one on top of another $200 myn at Nidera earlier in 2016

 

https://www.bloomberg.com/news/articles/2016-12-14/trader-nidera-said-to-find-150-million-financial-...