China's urbanization, the increase in income of the Chinese middle class and the increased demand for feed for animal protein production have made Brazil an important trading partner for the Asian country. This was the panorama presented in the panels on China, this Thursday (9), at the Agrodigital Arena of Expodireto Cotrijal.

The lecture "How to feed the dragon" China's relationship with food and the role of Brazil", was mediated by Larissa Wachholz, executive director of Vallya Agro and former head of the China Core at the Ministry of Agriculture. The stage also received Letícia Frazão Leme, diplomat at the Brazilian embassy in Beijing, and Jean Taruhn, special advisor to the Ministry of Agriculture for strategic markets in Asia.

A good deal for Brazil

The lecture began by belying that the Chinese dragon cannot feed itself. According to panelists, Chinese agriculture is highly productive and has annual growth of up to 4 percent. This is the result of an intensive use of technology and agricultural insums. However, only 8% of Chinese land is arable, which generates excessive cultivation and widespread use of fertilizers, which increases production.

Because of this, the Chinese government has chosen to relax the policy of self-sufficiency and began to buy more grain from other countries. For China, importing commodities is synonymous with saving water and soil.

With 100 times more productive land per inhabitant than China, Brazil has taken a prominent position in relation to China's food security. The Asian giant imports mainly soybeans and corn from Brazilian agribusiness, intended mainly for animal feed.

"Brazilian farmers are among those who have benefited most from China's need to ensure feed for animal production. China has a high feed demand to account for its domestic protein production, especially pigs. This was due to Chinese economic and social dynamism, in which a considerable part of the population reached the middle class and began to feed with more quality, demanding a richer and more diversified diet," wachholz explains.

The current scenario and future projection

Currently, 22% of agribusiness products imported by China are of Brazilian origin. According to the speakers, the trend is that this relationship is to remain strengthened. However, they draw attention to Brazil's need to expand trade and reach other markets, such as West Asian countries. Despite the good relationship with Brazil, China does not hide its interest in diversifying grain suppliers. In the medium term, this can become a risk for Brazilian agribusiness.

Source: Agrolink