Chinese Agree to Purchase $6.68 Billion Worth of U.S. Soybeans
Tuesday, January 25th, 2011
A delegation of Chinese soybean buyers signed agreements to purchase $6.68 billion worth of U.S. soybeans during signing ceremonies on Jan. 20 and 21, in Chicago. The commitments totaled over 423 million bushels.
The signings, arranged and sponsored by the U.S. Soybean Export Council (USSEC), followed the Chinese delegation's visit to CHS, Inc. in Minneapolis, a luncheon hosted by Minnesota Commissioner of Agriculture Dave Frederickson, and a briefing on soybean breeding and research at the University of Minnesota. The Illinois Soybean Association (ISA) also participated as a host to the Chinese delegation.
American Soybean Association (ASA) Executive Committee member Danny Murphy, who is Chair of ASA's Trade Policy & International Affairs Committee, and United Soybean Board (USB) International Marketing Chair Jim Call both spoke about the mutually-beneficial relationship between U.S. soybean farmers and China.
"It was a great experience to be present for the Soybean Signing Agreement in Chicago," Murphy said. "Chinese companies signed agreements to purchase 423 million bushels of soybeans with a value of $6.68 billion. ASA, USB, USSEC, Minnesota Soybean Growers Association, and ISA worked together to coordinate this event, and to host the Chinese soybean buying team as they visited Minnesota and Illinois. These agreements reinforce the commitment of U.S. soybean growers to our largest customer and China's faith and confidence in the U.S. to supply the soybeans they need."
The delegation, led by Chinese Vice Minister of Commerce Wang Chao, inked 21 deals with U.S. grain companies, including Cargill, Archer Daniels Midland Co. and Bunge. China currently imports at least one out of every four rows of soybeans grown by U.S. soybean farmers. Representatives from the Chinese companies said that they are pleased with the quality of U.S. soybeans, which they are purchasing in the form of both whole beans and soy oil.