July 4, 2012

Chongqing Grain Group, Argentinian firm mull dairy venture

Chongqing Grain Group is discussing with Argentinian flour and vegetable-oil maker Molino Canuelas SA on almost US$10-million joint investments in soy and dairy farms in Argentina, China Daily newspaper reported Monday (July 2).

The investment would be a 50-50 venture, the newspaper said, citing Molino Canuelas' industrial manager Claudio Canepa.

The companies plan to rent a 10,000-hectare soy farm in central Argentina's Cordoba province and expect to produce more than 30,000 tonnes of soy a year to be shipped to China, the newspaper said.

There are also plans for a joint investment in dairy farms, it said. Neither company could immediately be reached for comment.

Chongqing Grain Group said last November that it would invest US$500 million in a soy-processing facility in Brazil.