June 6, 2007

Soybean association formed in China's Heilongjiang province

China's Heilongjiang Soybean Association was officially established on May 19. Safeguarding farmers' interest, protecting locally-produced non genetically-modified soybeans and promoting sustainable growth of the province's soybean industry are the main aims of the association.

Accounting for one-third of China's soybean production and planted area, Heilongjiang is a major soy-producing region in the country. In recent years, rising soybean import volume as well as the increased presence of multi-national grain trading companies had posed considerable challenges to local soybean producers.

To effectively address these challenges, Heilongjiang's Jiusan Oils and Fats Company, Tianqi Commodities and Futures Company as well as local processors, trading companies and soybean experts have decided to set up the association. Approval was obtained from the Heilongjiang government in November last year for this 400-member association.

Two teams of experts from the association will offer assistance to farmers in the technical and business aspects of soybean planting. Helping farmers to realize higher crop yields will be the goal of the first team of soy specialists. The second team comprising soy market analysts and researchers will guide farmers on ways to minimise exposure to market risks and to maximise returns from their crops.

Shen Liguo, Vice-governor of Heilongjiang province, said that with government and private initiatives in place, and with its crops being non-genetically modified and relatively high in protein and oil content, Heilongjiang's soybean sector is poised for further growth.

RMB1=US$0.1309 (Jun 6)