June 23, 2004

Argentina's Soybeans Face No Problems In China

A ship carrying Argentine soybean exports to China is disembarking normally in the southern Chinese port of Shenzhen, despite media reports to the contrary, Juan Carlos Morelli, Argentina's ambassador to China, said on Tuesday.

On Monday, media reports said China's General Administration of Quality Supervision, Inspection and Quarantine, or AQSIQ, had rejected or detained a 50,000 metric-ton shipment of Argentine soybeans because it contained an unacceptable amount of fungicide.

The news sparked concern that China, which had recently rejected a number of Brazilian soybean shipments for similar reasons, would cause problems for Argentine exporters.

However, Morelli denied that any Argentine ships were having problems unloading their goods.

"The AQSIQ has just confirmed that the ship in question is disembarking its cargo normally and that, up until now, there has been no type of detention or delay of the cargo," Morelli said.

China is the world's No. 1 soybean importer, buying around 20 million tons of soybeans annually.

Argentina, the No. 3 soybean exporter, shipped about 6 million tons of soybeans to China in 2003, making China the single most important buyer of local agricultural goods last year.

Argentine President Nestor Kirchner is scheduled to visit China at the end of this week to boost commercial ties between the two nations.

Kirchner will be accompanied by more than 250 representatives of Argentina's private sector, including a large delegation of agribusiness leaders.