Growing Chinese investment in overseas agriculture

Date:2018-04-28 View: 7 Compiler:
The demand of China's agricultural industry for resources and technology, combined with the relatively large influence of financial institutions, is encouraging China's agricultural industry and food product industry to grow overseas investment. This trend reflects the growing global ambition of Chinese entrepreneurs. It also attracts the attention of the global business world and government leaders everywhere.
 
Investment data shows that Chinese investment in overseas agricultural industry, forestry and fishing, increased from 300 million USD in 2009 to 3.3 billion USD in 2016. And these numbers still do not do justice to the scale of foreign investment in overseas agricultural industry as they do not include data for food processing and trade companies in manufacturing and service industries. The Chinese Department of Agriculture circulated an announcement that shows there were more than 1,300 Chinese companies registered overseas in agricultural, forestry, and fishing with an overseas investment value of 2.6 billion USD.
 
Rapid growth of investment does not necessarily mean successful investment. Several overseas investments did not achieve their expected scale, and some of them were completely abandoned. Although several successful explorations and combined purchases benefited from bank loans and trade negotiations guided by government leaders, Chinese scholars show that few overseas investors in the agricultural industry obtain government support.

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