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China, Russia open up markets with grain agreements

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The pacts are likely to open up China’s market for Russian wheat, according to one official. Photo: Xinhua
Reuters

Moscow and Beijing have signed agreements on the control of grain quality, which technically open the Chinese market to Russian grain.

Russian food safety watchdog Rosselkhoznadzor and the Chinese government body in charge of quality control signed two food safety documents on Russian wheat, maize, rapeseed, soybean and rice supplies at a ceremony in Beijing.

READ MORE: Producing safer foods - not bumper harvests - now a priority, says China

The documents were signed along with other deals during Russian Prime Minister Dmitry Medvedev's visit to China, the Russian government press service said.

These moves will lead to some supplies, but they will be small
Yuliya Melano, Russian grain trader

The Interfax news agency said the Rosselkhoznadzor head Sergei Dankvert had previously said these agreements would open up the Chinese market for Russian wheat. Russia has been in talks on supplying grain to China for several years.

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But one Moscow-based trader said the agreements signed on Thursday would make only small volumes of grain from Russia competitive in China.

China has agreed to allow Russian wheat supplies only from several Siberian regions - the Altai, Krasnoyarsk, Novosibirsk and Omsk, Rosselkhoznadzor representative Yuliya Melano said.

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Melano said China had originally asked for wheat supplies in bags only, but Russia has managed to remove this condition.

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