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China-Netherlands food trade high on new Silk Road agenda

By Wu Yiyao (chinadaily.com.cn) Updated: 2015-10-30 17:23

Netherlands-based Rabobank, a lender focused on finance and research of the food and agricultural sectors will remain focused on a growth strategy in China.

Wiebe Draijer, Chairman Executive, Board of the bank said, "It's going to help clients take advantage of new opportunities under China's Belt and Road Initiative.

Draijer said despite slow economic growth, China's demands for quality food and agricultural products have been rising fast, and the lender seeks to leverage more opportunities and meet clients' demands, particularly in trade of perishable foods and in improving food supply chains.

In the presence of the visiting King Willem-Alexander of the Netherlands on Wednesday, Rabobank and Wageningen University jointly released a report on logistic of agricultural opportunities.

The report says in comparison to shipping by sea, the new railway between Chongqing and Europe reduces transport times by over 30 days, which opens new opportunities for trade in perishable food and agricultural products.

"As more investment is made in the New Silk Road, we see the route acting as a driver to improve China's cold chain logistic services and clearance processes. Currently these are major barriers to the development of trade opportunities of food and agricultural products by railway logistics between China and Europe," said Draijer.

He added that market demands driven by food and agricultural products between Netherlands and China are ample to support the development of logistics and infrastructural programs under the Belt and Road initiative.

China's consumption of perishables grows by 17 percent between 2010 and 2025, according to the report.

"There is a lot to do to reduce waste during railway transportation and to improve cold-chain logistics. Development of a stable and safe food system in China is a high priority for consumers. It's one that we're keen to play a role in supporting where we can," said Draijer.

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