Brazil and China sign agreement on agricultural investments

SHANGHAI – This Friday,Brazil and China signed an agreement to create an Investment Fund for Agribusiness Development in Brazil and China with capital of US$1 billion. The agreement was signed at the end of a seminar that gathered entrepreneurs from both countries and included Brazilian President Michel Temer in his first international trip after officially assuming the office on Wednesday.

The fund will serve Brazil’s agribusiness chain, especially in agricultural services and infrastructure improvements, including storage, logistics and ports. 

Shanghai-based Chinese bank Haitong said that the initiative aims to capitalize on the advantages of the industry and financing of the Chinese parties.

Mr. Xie Tao, CEO of the group Hunan Dakang International Food and Agriculture, says he sees important opportunities in Brazil and believes that economy will improve over the next 18 months.

Meanwhile, Brazil’s Minister of Agriculture, Mr. Blairo Maggi, announced the plan to expand Brazil's share in world agricultural exports from 7% to 10% within five years.

“I will not be there (at the ministry) until then, but we must we must start planting this now,” he said. According to the minister, the measures to be implemented in Brazil could boost the industry’s annual sales by US$30 billion.

Source: Valor Econômico