Sino-Vietnamese Cooperation Lets the "Belt and Road" Continue to Welcome New Opportunities

According to Ministry of Agriculture website news, on January 21, Vice Minister of Agriculture Yu Xinrong and Vice Minister of Agriculture and Rural Development of Vietnam, Li Guoying, co-chaired the first meeting of the Joint Committee on China-Vietnam Agricultural Cooperation in Hanoi. The two sides exchanged views on cooperation in fisheries proliferation and release and conservation, establishment of a Sino-Vietnamese hybrid rice research and development center, strengthening of livestock and poultry waste treatment and biogas cooperation, implementation of plant protection and pesticide cooperation, and promotion of agricultural trade and agricultural investment. Consistent.
 
In recent years, with the vigorous development of agriculture in Vietnam, the demand for agricultural machinery has also rapidly increased. However, due to the weak supporting industries, Vietnam's domestic agricultural machinery and equipment manufacturing enterprises still focus on small and micro enterprises. Products cannot meet the needs of agricultural production. Therefore, 80% of agricultural machinery such as rice transplanters and combine harvesters rely on imports. According to incomplete statistics, the proportion of agricultural machinery imported from China accounts for nearly 60%, while that of agricultural machinery produced in China only accounts for 10%-15%. Therefore, Sino-Vietnamese cooperation in the field of agricultural machinery and equipment still has a lot of room for development.
 
Domestic market boosts companies to "go out"
 
The domestic agricultural machinery market is "deeply hot," and exports have increasingly become important markets. In 2017, in response to the requirements of green agricultural development, the state has been liberalizing subsidies for green and environmental protection equipment. At the same time, it has focused on strengthening the subsidy policy to support the transformation and application of agricultural machinery scientific and technological achievements, assisting the innovation of agricultural mechanization technology, and increasing the effective supply of subsidies. Needless to say, agricultural machinery subsidies are still the dominant factor in the agricultural machinery market. The type of agricultural machinery the subsidies tend to favor and which type of agricultural machinery will continue to increase in production and sales, but this will not be as beneficial to the agricultural machinery market with small subsidies. It is necessary to seek market enterprises. Find another direction.
 
In 2017, the land contracted for 30 years, land transfer increased, and the construction of high-standard farmland continued. Therefore, the tractor market suitable for contiguous large and medium-sized horsepower segments was better than small-horsepower tractors. In addition, the small horsepower tractor market in our country has long been saturated, but some of the excess production capacity is still making a final struggle, some to eliminate old tractors, upgrading and upgrading in exchange for the market, and some have to seek a suitable market outside.
 
Industry giants explore the way for "going out"
 
With the proposal of the “Belt and Road” initiative, it has provided a powerful guarantee for the expansion of export of agricultural machinery enterprises. Under such opportunities, many agricultural machinery companies have also been making efforts to “go global”.
 
In 2017, the export situation of China's agricultural machinery is in a good position. According to statistics from the National Bureau of Statistics, although the total industrial import volume of enterprises above designated size was the industry with the largest decline in imports of machinery industry in the first 10 months, the total export value totaled US$7.989 billion, up 12.33% year-on-year, and the trade balance reached US$6.094 billion. In the first 11 months, the industry's export delivery value was 31.256 billion yuan, a year-on-year increase of 11.65%, of which Loewon Heavy Industry, Changzhou Dongfeng, China One Tow, Jiangsu Yueda and Aikei’s exports increased significantly.
 
In recent years, the level of domestic agricultural mechanization continues to increase, the competition in the agricultural machinery market has become increasingly fierce, and the export of agricultural machinery has increasingly become an important market for agricultural machinery manufacturing enterprises. Vietnam is a typical agricultural country, and this time China and Vietnam continue to deepen their cooperation in agriculture, which is expected to bring more development opportunities to Chinese companies that have already entered the agricultural market in Vietnam.
 
China Agricultural Machinery Network (www.nongjx.com) original, reproduced please indicate the source.
 
Sources, China Development Network
Article link: China Agricultural Machinery Network http://www.nongjx.com/news/detail/68495.html