September 19, 2011

ADM to sign agreement with China on soy sale

Archer Daniels Midland Co. (ADM) is going to sign an agreement with a Chinese food and supplement manufacturer to sell 180,000 tonnes of soy.

The pending deal was announced by ADM on Thursday (Sep 15), on the eve of an eight-day trade mission to China headed by Gov. Pat Quinn.

ADM said the agreement with Jiusan Oils and Grains Industries Group Co. Ltd. is part of an effort to boost the company's ability to serve growing Chinese demand for crops. China is the world's number one importer of soy.

The company said that Illinois soy farmers are playing an important role in meeting this demand and are proud to be able to join Gov. Quinn as he continues to work toward connecting the state's growers with fast-growing global markets.

The US$133,000 trip is Quinn's first visit to China. He and nearly 30 delegates representing government, business, education and labour have stops planned in Beijing, Shanghai and Hong Kong. Quinn also is planning to attend a conference in Japan.

David Ragan, ADM vice president for export trading, will represent the company at Monday's (Sep 19) signing. Also on the trip is Richard Guebert, vice president of the Bloomington-based Illinois Farm Bureau.

In addition to presiding over the ADM agreement, the governor's office said a similar pact with a telecommunications company is planned. Quinn also will sign a pact to promote pollution control and clean water technology.

"Trade and investment in China are essential to growing our economy, and during this trip, we will promote Illinois' exports and encourage Chinese companies to invest in Illinois," Quinn said.

State officials said Illinois exports to China totalled more than US$3 billion in 2010. Top products heading to the country include machinery, electronics and appliances, chemicals, plastics and agricultural products.