US agribusiness Archer Daniels Midland Co (ADM) and China’s state-owned food and agri firm COFCO have signed a memorandum of understanding (MoU) to export US soyabeans into China.
The signing of the AMD-COFCO agreement was witnessed by the US and Chinese presidents Donald Trump and Xi Jinping as part of the former’s national visit to China, World Grain wrote on 9 November.
ADM said the signing was a “strong example” of the increasingly productive and mutually beneficial trade relationships between the two countries.
“The USA and China are the world’s two largest producers and consumers of food and together, both countries play a key role in helping to achieve food security not only for their respective populations, but for the globe,” ADM said.
The agreement was ADM’s latest foray into expanding into the soya sector, following its October investment to expand its Straubing, Germany, facility to crush non-GMO soyabeans.
ADM said concentrating on processing non-GM soya was a part of the company’s growth plan.
For COFCO, the ADM deal was its second MoU this year, coming after the May signing of an agreement with Denmark to further bilateral cooperation in food and agriculture between China and the Scandinavian country, World Grain wrote.