Exploring opportunities in agribusiness
China and Brazil are getting used to being on the loop of the global economic agenda, and being pointed out as major attractive destinations to entrepreneurs and investors all over the planet.
The phenomenon is partly due to unprecedented levels of competitiveness reached by both countries, and partly resulting from the fact that they are among the few nations that present real potential to increase internal consumption through income distribution, while at the same time raise production to become reliable world providers of extraordinary quantities of several goods.
That equation stands for modern, equitable and sustainable trade and allows long-term partnerships with prosperity and benefits for both sides.
The positive scenario shared by both countries also converges on opportunities for cooperation in the several economic chains of the agribusiness sector, starting from domestic agriculture all the way to consumers of third party countries.
The possibilities are countless but, for them to become reality, a common path needs to be built.
The primary step was the signing of a memorandum of understanding in 2006, establishing the consultative and cooperative mechanism of quality supervision, inspections and quarantine between either government in order to promote bilateral trade on the basis of equality, mutual benefits and reciprocity.
The agreement also allows for the exchange of information and experiences, and guarantees healthy development of bilateral trade by resolving existing and pending technical issues.
Brazil exports to over 230 markets, growing rapidly as a supplier for both demanding developed markets and developing countries, eager to supply higher quality products in terms of variety and nutrition.
That dynamics calls for more inputs, best production practices, more equipped industries and better logistics in order to process and distribute faster and cheaper.
That is the focus of the Brazilian government's efforts for continuous improvement. That is where China can become a strategic partner, not only adding value to primary products but also establishing a partnership that enables greater access to the Asian market.
The author is the director of the Department of Agribusiness International Promotion, Ministry of Agriculture, Livestock and Food Supply, Brazil
(China Daily 12/28/2007 page20)
