Central No. 1 Document Issued, Cross-Strait Agricultural Cooperation Welcomes New Business Opportunities

Agricultural cooperation has always been a key area of cross-Strait economic and trade exchanges. The newly issued 2015 Central No. 1 Document brings new business opportunities for cross-Strait agricultural cooperation. Zhu Lei, director of the Economic Division of the Institute of Taiwan Studies at the Chinese Academy of Social Sciences, and researcher Wang Jianmin and other experts said in an exclusive interview with Xinhuanet that the No. 1 Document's “beneficial” effects on deepening cross-Strait economic cooperation can be observed from three angles.

First, the issue producers care about most: “how to keep farmers' incomes growing.” Among the measures to ensure farmers' income growth, more agricultural subsidies and preferential policies are being introduced, which helps attract Taiwan farmers to start businesses on the mainland, use their existing production experience, improved varieties and management methods from the island, and open up the mainland agricultural products market. This is also in line with the mainland's efforts to improve the agricultural products market.

Second, the issue consumers care about most: “how to eat with peace of mind.” Among the measures to safeguard consumer food safety, the establishment of a quality and safety information platform and a regulatory system for agricultural products and food helps protect and stimulate the mainland food market. In recent years, serious food safety problems have broken out repeatedly on the island of Taiwan. If Taiwan food can withstand the strict inspection of the mainland food market, it will help enhance its quality and brand. The standardized development of the mainland agricultural products and food market is both an opportunity and a challenge for Taiwan businesses, and it is also a good beginning for expanding the “landing” of Taiwan agricultural products.

Third, the financing issue that agriculture-related enterprises care about. The No. 1 Document proposes advancing reform of the rural financial system, while encouraging all types of commercial banks to innovate “three rural” financial services, supporting banking financial institutions in issuing “three rural” special financial bonds, and encouraging eligible agriculture-related enterprises to issue bonds. Taiwan financial institutions have certain advantages in rural finance and can play a role in the mainland rural financial market through cross-Strait financial cooperation. Considering that the “Cross-Strait Agreement on Trade in Services” has long failed to be passed and take effect on the island, exploration can be made in some parts of the mainland, such as the West Coast Economic Zone, to try and pioneer first.

The experts also said that the mainland's agricultural development prospects are broad, and this year's work on Taiwan affairs will expand the scope of benefits and participation for Taiwan farmers and fishermen in cross-Strait exchanges, so cross-Strait agricultural cooperation has great potential in the future. It is hoped that the broad community of Taiwan agricultural and fishery enterprises and farmers and fishermen will learn more about agriculture-related business opportunities on the mainland and participate more in the process of cross-Strait agricultural cooperation and development.