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Business / Companies

Opening up fields of cooperation with outside world

By Zhong Nan (China Daily) Updated: 2015-06-08 07:59

To minimize risks, the central government has increased investment in the development of agricultural biotechnology and offered subsidies to major grain-producing areas and farming cooperatives.

To prevent supply shortages of certain crops, China in 2014 also approved the import of another two varieties of biotech soybeans developed by DuPont Pioneer, from the United States, and Germany's Bayer CropScience AG.

As China and other parts of the world face problems caused by exhausted farmland, limited water resources and old farming methods, Syngenta launched the Good Growth Plan in 2013, with six measurable targets to help address the challenges of global food security and sustainable development.

The measures include raising farm productivity while boosting resource efficiency, rejuvenating ecosystems and strengthening rural communities.

"We believe that businesses can play a greater role in helping growers farm more sustainably. Syngenta China has made a significant contribution in empowering small holders," said Pierre Cohadon, president of Syngenta China.

Under the plan, a total of 34 reference farms and 209 benchmark farms were established in 2014, covering corn, rice and potatoes.

It also trained 350,000 people, including 179,000 small-holder farmers, in safety programs last year.

Cohadon said this is only the beginning of the journey, as the program will last until 2020.

Partnerships with a range of stakeholders are required to achieve these commitments and bring greater benefits to the farmers, the environment and rural communities.

"The close alignment between our Good Growth Plan and the direction of China's agriculture modernization-reflected in the No 1 Document-will enable us to better support sustainable agricultural development in China," Cohadon said.

The annual No 1 Central Document issued by China's top leadership targets farmers, agriculture and rural issues, such as optimizing grain production and safeguarding farmers' income.

Ding Lixin, a researcher at the Chinese Academy of Agricultural Sciences in Beijing, said as the Chinese government wants to make good use of both domestic and foreign resources, participation of international companies will also encourage domestic companies to be more innovative.

"When local companies become bigger and more competitive, that will help the government feel more comfortable and eventually modify the policy, and therefore allow foreign companies to increase their investments, patent technologies, talents and new jobs in China," said Ding.

In China, foreign companies are allowed to hold up to 49 percent of shares in a joint venture in crop seed businesses such as corn, wheat and rice.

Ding said they are still limited by local regulations, which explains why these big names are willing to assist Chinese seed and agrochemical companies to grow bigger and become more professional.

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