The Chinese mainland's All China Federation of Supply and Marketing Cooperatives has signed a deal to buy 5-thousand tonnes of fruit from Taiwan. Meanwhile, memos on normalization of farm products trade are expected to be signed to solve the problem of slow sales of agricultural products from the island.
This is the first time the All China Federation of Supply and Marketing Cooperatives has travelled to Taiwan to purchase farm products. It leads a group of 12 local cooperatives, 5 industry associations and 13 agricultural companies. According to the deal, the mainland's purchasers will pay 400 million yuan, or 1.2 billion New Taiwan dollars. A local agricultural company says the deal brings real help for the island's farmers.
Han Jiahuan, Chairman of Dachan Group said "This is the first official trade mission from the mainland and the purchase volume is very big. We've discovered that the mainland is a very big market for us. And the timing is also perfect for farmers in Taiwan who want to pursue further development and find a regular distribution channel. It will be great for them if we can connect with the system of the China Cooperatives."
The mainland's buyer says long-term cooperative agreements will be signed to protect the interests of local farms in Taiwan.
Li Chenyu, Director of ACFSMC said "We have 650-thousand local bases in the Chinese mainland which sell agricultural products, daily commodities and renewable goods. They will be very important distribution channels for Taiwan's farm products which have been suffering a slump in sales. "
Sources say a system of regular access will be set up in Taiwan to ensure the supply of farm goods.
