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New Rules Hit Agricultural Exports
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China's agricultural exports growth saw an obvious fall in the first half of this year. This is mainly a result of new rules launched by the European Union and Japan, which imposed limits on farm product imports.

 

The agricultural trade deficit reached US$2.1 billion in the first half of this year, more than the total in the whole of last year. The major reason is that the European Union's new food safety law came into effect on January the 1st. In addition, Japan revised its positive list system in May, which raised the threshold on food chemical residue levels.

 

Official, ministry of agriculture Han Yijun said:" The new positive list system has two aims. One, it enhances food safety for Japanese consumers. Two, it helps Japan to limit imports from other countries."

 

Japan is the biggest importer of China's food and agricultural products. In 2005, Japan imported US$8 billion worth of products from China, accounting for one third of China's total. But in June, the first month after Japan launched the new rule, China's farm product exports to Japan fell 18 percent from last year.

 

To deal with the difficulty, Chinese farmers are making efforts to raise food safety, explore global market and adjust product structure. At the same time, government is offering favorable policies to support exports.

 

(CCTV.com August 7, 2006)

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