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China's farm exports to Japan fall on new chemical standards: report

by Staff Writers
Beijing, Aug 1, 2006
China's farm product exports to Japan fell 18 percent year-on-year in June due to new Japanese standards on chemical levels in food imports, state press said Tuesday.

The 18 percent drop in farm produce exports to 569 million dollars resulted in an overall 1.2 percent fall in Chinese agricultural exports for the month, the Shanghai Securities News reported.

The new Japanese import restrictions directly affect eight billion dollars of agricultural products exported by up to 6,000 Chinese enterprises, it said.

Japan, the largest overseas market for Chinese farm products, on May 29 widened its regulations on agricultural chemical residues.

Under a new Positive List System, Japan sets a limit for the level of residue in food of any chemical that is not already subject to government standards or cleared as safe for consumption.

The uniform level is the same standard recommended last year by the European Union which is devising similar regulations, according to Japan's health ministry.

The regulation was established after consumer complaints that Chinese frozen spinach contained excessive chemical residue.

The new rules are stricter than Chinese standards and affect 60 Chinese farm products including grain, corn and aquatic products, the Shanghai Securities News reported.

Japan is known for strict controls on agriculture. It has prohibited farmers from growing any genetically modified crops although it imports such products for animal feed or to make cooking oil and soy sauce.

Chinese Minister of Commerce Bo Xilai expressed concern in May about the new system, according to the Shanghai Securities News.

Bo reportedly said he hoped that Japan would reduce examination procedures and offer technical assistance to China in an effort to meet the new standards.

An official at the agricultural ministry refused to comment on the Shanghai Securities News' report, saying figures would be released at the end of the month.

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Jinan Iron and Steel, Laiwu Steel to join forces
Beijing, Aug 1, 2006
Jinan Iron and Steel and Laiwu Steel, two of China's largest steel companies, said Thuesday they planned to join forces to boost their presence in a competitive marketplace.







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