Business news

MINSK, 12 June (BelTA) – The Belarusian Agriculture and Food Ministry and the Chinese companies Xinrongji Holding Group and DRex Food Group have signed a cooperation roadmap, BelTA has learned.

Belarusian Agriculture and Food Minister Leonid Zayats explained that the document stipulates specific dates for implementing events and taking measures till the end of the year. “We’d like to stay on schedule,” he stated.

According to the minister, the Chinese side has stated its intention to register a joint venture as a joint-stock company in Belarus soon. The joint venture will export Belarusian agricultural products and food to China, with the expected monthly trade turnover of about $10 million. The Belarusian side has agreed to become a co-founder in the joint venture. Besides, the company will have the authority to make investments by buying shares in charter capitals of Belarusian milk-processing companies and channeling the funds into modernization and expanding the choice of products. This clause of the protocol is supposed to be implemented by 1 September.

The Chinese investors also intend to set up an enterprise in the China-Belarus industrial park Great Stone to make a new kind of packaging based on polylactide. This material is meant to replace plastic and polyethylene packaging. The manufacturing process will use potato and corn as raw materials. “It will be an import-substituting and export-oriented product,” noted Leonid Zayats.

The minister continued: “Apart from that, the Chinese partners are willing to think about investing in our milk-processing companies — Zdravushka Milk and Orsha Meat Canning Plant. The latter needs a new slaughterhouse and a new sausage department.” The sides have decided to send a team of experts to these companies in order to prepare the paperwork and the feasibility study to justify such deals.

DRex Food Group President Dai Shiwei remarked that the Belarus government works very effectively and fast. It will make the Chinese partners take care of their end of the deal faster. “I believe that if the two sides work hard and the circumstances are favorable, we will fulfill all the clauses and will stay on the schedule the protocol stipulates. On the whole, we are satisfied with results of the talks,” he stressed. The head of the Chinese corporation also stated he was absolutely confident in the quality of Belarusian products and the bright future of the joint projects.

Top-ranking executives of the Chinese corporations Xinrongji Holding Group and DRex Food Group came to Belarus on a working visit. They are ready to invest $1 billion in modernizing existing enterprises and building new ones in Belarus. If the projects proceed successfully, the volume of investments may be increased.