Agriculture & Food

Fully studying and mastering the relevant rules of RCEP, comprehensively researching and arranging preferential policies related to agriculture under RCEP, and guiding enterprises to carry out efficient agricultural trade and investment are of great significance to the construction of a new "dual circulation" development pattern in China's agricultural sector.

The members of the Regional Comprehensive Economic Partnership (RCEP) such as ASEAN, China, Australia and New Zealand are the world's major producers of agricultural products such as rice, palm oil, rubber and aquatic products. According to estimates, the output of rice and palm oil in the region is close to 60% and 90% of the global output, respectively, and the global output of wheat, beef and raw sugar accounts for nearly 20%.

Statistics show that in 2021, the total agricultural trade between China and RCEP member countries will be US$93.7 billion, accounting for 30.8% of China's total agricultural trade. Fully studying and mastering the relevant rules of RCEP, comprehensively researching and arranging preferential policies related to agriculture under RCEP, and guiding enterprises to carry out efficient agricultural trade and investment are of great significance to the construction of a new "dual circulation" development pattern in China's agricultural sector.

Recently, the 2022 Zhejiang (Taizhou) RCEP Economic and Trade Cooperation Forum and the signing ceremony of major marine economic projects were held in Taizhou, Zhejiang. As the support unit of this event, the National Federation of Urban Farmers and Trade Centers planned two important events: high-level forum and round-table dialogue. Opportunities" to discuss the topic.

"In recent years, the new crown pneumonia epidemic, political turmoil and climate change have brought many challenges to countries around the world. The price of agricultural products has a great impact on people's lives, and it has also made many countries realize that food security has become more important." The National Federation of Urban Agricultural Trade Centers Chang Ma Zengjun said at the forum that RCEP has set a benchmark for revitalizing regional economic and trade cooperation, and will increase and deepen trade exchanges between member states.

In an interview with a reporter from the International Business Daily, Ma Zengjun said that all member states will continue to promote the implementation of the RCEP rules, which will surely bring about the transfer of industries in the region and the formation of industrial clusters, and will also form a new international trade distribution center. “For example, the Cumulative Origin Rule minimizes the threshold for a product to qualify for origin within the RCEP area. It acts as a 'softener' and helps encourage producers to allocate production resources within each Party's area, Promote the freedom of trade in the region, which in turn is conducive to the development of the industrial economy in the region.”

In Ma Zengjun's view, global economic and trade development is moving towards the direction of regional economic and trade development. The economy of China's Yangtze River Delta, Pearl River Delta and coastal areas will be driven by RCEP to create unique experiences at home and abroad that other countries can learn from, and promote other countries in the direction of agricultural product trade, production technology exchanges, and digital economy development. The agricultural economic development of the participating parties. This also means that in the future, China may cultivate a group of international agricultural enterprises and cross-border e-commerce platforms with digital trade as the core development model, which will promote the further development of Chinese agricultural brands.

Jamila Haji Hassan, Director General of the ASEAN Economic Integration Department of the Malaysian Ministry of International Trade and Industry, believes that in addition to strengthening existing networks, RCEP can also help domestic companies increase their growth rates as they integrate into the global trade ecosystem. and competitiveness, thereby driving the creation of new regional supply chains for agricultural products and food security. “In recent years, many countries have increased their investment in the modernization of the agricultural sector as a potential source of employment opportunities. In particular, some economies that are highly dependent on imported agricultural products and have insufficient self-sufficiency must ensure a stable food supply. To address the issues and challenges in the food supply chain, Malaysia has formulated the National Food Security Policy Action Plan 2021-2025, covering core strategies, 15 strategies and 96 initiatives to ensure the sustainability of Malaysia’s food supply.”

"With more than 90% of the trade in goods in the region finally achieving zero tariffs, there will be greater development opportunities in the manufacturing, service, digital economy and circulation fields in the region, which are inseparable from the specific preferential policies of various countries. Ma Zengjun told reporters that with the support of the French Rungis International Market, Vietnam has formulated a development plan for Hanoi to build a new wholesale market with complementary functions. Rungis Market is the largest fresh produce market in the world, selling almost every produce category including meat, poultry, dairy, fruit, vegetables and flowers. Last year, the market had a turnover of more than 10 billion euros. The importance of international cooperation in the field of agricultural products is becoming more and more prominent. The Federation of Agriculture and Trade will further leverage its channel resource advantages and accelerate the integration of local governments and enterprises with international standards. At this event, the Farmers' Federation and several government departments in Taizhou have made further exchanges on the RCEP International Agricultural Products Trade Center project.

Chen Min, vice-chairman of the National Federation of Urban Agricultural Trade Centers, also bluntly stated that at present, most of China's agricultural products are in the middle and low end, and there is still a long way to go in terms of industrialization, standardization and testing to meet international standards. Within ten years, high-quality agricultural products will gradually obtain zero tariffs, which means that many high-quality products will enter the Chinese market, which will bring more choices to consumers and will also bring impact to growers and operators. In the next step, the association will strengthen communication with the government to help optimize the regional industrial structure, streamline the agricultural product circulation structure, enhance the brand awareness of domestic agricultural products, assist in the establishment of credit channels, help high-quality agricultural products to achieve full credit tracking, and expand China's agricultural development.