Events focus on ties to neighboring region

Meetings review progress and development of China's economic exchanges with Central and Eastern Europe

The fifth Meeting of Heads of Government of Central and Eastern European Countries (CEEC) and China was held in Riga, Latvia, on Saturday. Chinese Premier Li Keqiang attended the meeting.

A business forum also took place alongside the meeting from Nov 4-6 to foster cooperation in various business areas within the China-CEEC framework - known as 16+1. According to the Investment and Development Agency of Latvia, the forum covered broad and captivating perspectives of cooperation, paying close attention to various aspects of entrepreneurship in the 21st century.

According to the meeting's official website, the 16+1 format is an initiative led by the People's Republic of China aimed at intensifying and expanding cooperation with 11 EU member states and five Balkan countries.

The meeting was planned to "review the progress and results of CEEC-China (16+1) cooperation since 2012 as well as the implementation of the Medium-Term Agenda for Cooperation between CEEC and China and the Suzhou Guidelines", according to the website.

Panel discussions at the Business Forum centered on the importance of transport and logistics, investment and finance, trade, tourism and lifestyle, industrialization and sustainable development in the context of the 16+1 initiative.

Maris Kucinskis, prime minister of the Republic of Latvia, said the forum was "an important opportunity to create new contacts, network and share ideas, contributing to promotion of trade and investment".

Sept 12 marked the 25th anniversary of the establishment of diplomatic relations between China and Latvia.

"Latvia is an important partner of China in the Baltic Sea Region. Over the past 25 years ...both sides have strengthened mutual trust in the political field, maintained a good momentum of development in economy and trade, as well as expanded and deepened areas of cooperation," said the Chinese Embassy to Latvia in a preface to a report, "Latvia as a business partner for China".

Maris Kucinskis said on the 25th anniversary of the establishment of diplomatic relations between the two countries: "As cooperation and confidence continue to grow, so does the common determination to engage in mutually profitable projects and business."

Kucinskis said that transport and logistics is one of the cornerstones of Latvia's growing economy due to the country's geographical location.

"We see ourselves as an integral part of the Belt and Road Initiative by offering convenient transport connectivity to Northern Europe and the whole Baltic Sea Region," he said.

Over the years, there have been several success stories of Latvian businesses entering China, the most notable being Latvian cosmetics and soap producer Stenders, which entered China in 2006-07.

More recently, dairy and ice cream producer Food Union has started to actively engage in the Chinese market. In 2016, Food Union started regular exports of dairy products to China. To make this possible, a representative office was opened. The company is also planning to invest in production facilities in China.

Chinese companies likewise have a growing interest in Latvia, and the importance of cooperation between the two countries continues to increase. Chinese companies seek to cooperate with high-capacity Latvian companies and then enter the market of other European countries as they develop their business. From China's perspective, Latvia is perceived as an important gateway to the EU, Commonwealth of Independent States and Nordic region. Compared to other EU member states, Latvia has an advantage in terms of its geographic location and consumption patterns. Chinese investors have invested in wood processing, real estate and seem increasingly interested in infrastructure (ports, airlines and railways).

Riga's port has the closest international airport and there are possibilities for the integration of transport and distribution centers along the route to Northern Europe and CIS countries.

The story is provided by the Investment and Development Agency of Latvia.

(China Daily 11/07/2016 page10)