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Fruits from Taiwan embark mainland with wider, easier access
(Xinhua)
Updated: 2005-05-19 22:18
Apples, mangos, honey-dew melons and guavas landed Wednesday afternoon at
Longwu Wharf in Shanghai, a major port on the eastern coast of China.
The six tons of tropical fruits were the first batch to arrive in Shanghai
since the Chinese mainland provided easier customs access for about 10 types of
fruits yielded from Taiwan.
The change occurred in the wake of the mainland visits of Lien Chan, chairman
of Kuomingtang (KMT), or the Nationalist Party, and James CY Soong, chairman of
the People First Party (PFP).
One tangible result after the visits was the facilitation of the sale of
Taiwan fruits to the mainland.
On May 3, Chen Yunlin, director of the Taiwan Work Office of Communist Party
of China (CPC) Central Committee and the Taiwan Affairs Office of the State
Council, announced the mainland's decision to expand access of Taiwan fruits
from 12 to 18 species, and offer zero tariff on at least 10 fruits.
Chen said the mainland had also prepared to provide conveniencefor fruits
from Taiwan in terms of customs pass, inspection and quarantine.
The fruits will also be on display at the ongoing 7th China Cross-Straits
Trade Fair held in Fuzhou, capital of east China's Fujian Province. Wuhan,
capital of central Hubei Province, will welcome Taiwan fruits next month during
a "Taiwan week" business promotion activity.
Prior to his announcement, a team to probe Taiwan farm produce,which was led
by Vice Premier Wu Yi, has already been formed in early April. Team members
included officials from the Ministry of Commerce, the Taiwan Affairs Office of
the State Council, the Ministry of Agriculture, the Ministry of Communications
and the State General Administration of Quality Inspection and Supervision and
Quarantine.
The working team decided that farm produce from Taiwan would beimported via
designated ports. It also set a facilitation principle for customs pass for the
products.
In the meantime, the agriculture authority of Taiwan prepared to launch three
flagship stores for farm produce from the province in Beijing, Shanghai and
Guangzhou. Shanghai decided to establish a trading center for such products in
the later half of this year.
Since 1980s, agriculture began to lose its luster as industrialization and
urbanization paced up in Taiwan. The sector was beset with small production
scale and saturated domestic market, though its products, including tropical
fruits, were of high quality and economic value and involved high growing
technology imported from the Europe and the United States. From 2002, the prices
of Taiwan farm produce went down 30-40 percent, with farmers' income dropping
accordingly.
With overproduction and limited market, Taiwan has begun resorting to export
expansion for its farm produce.
Taiwan agriculture experts said if only one third of Taiwan fruits entered
the mainland market, investment by farmers on the island could be covered.
Last year, the Chinese mainland became the fourth export targetof Taiwan's
farm produce, including tropical fruits, with 292 million US dollars in export
volume, up 66 percent, according to the agriculture authority of Taiwan.
Mainland customs sources said that in 2004, arrivals of 12 species of Taiwan
fruits stood at 1. 64 million US dollars worth, or only 1.47 percent of the
mainland' s total fruit imports.
Experts from both mainland and Taiwan believe that upon the zero tariff
arrangement, Taiwan fruits will be priced 15 to 20 percent lower, which will
help increase imports.
"Though prices will adjust downward to some extent, they will remain high as
against those for mainland-growing fruits," said Li Jianru, who is in charge of
fruit procurement at Huatang Shopping Mall in Beijing.
"Top-quality Taiwan fruits could target at high-end market in the mainland
and vie for market share with imports from other regions," Li said.
Customers lined up in front of the Taiwan fruit stands at the Fuzhou
across-Straits trade fair in Fuzhou, capital of East China' s Fujian province.
High prices of the exhibits did not scare local attendees away.
"Grape fruit is priced at 19 yuan (2.3 US dollars) per kg and carambola, at
20 yuan (2.4 US dollar) per kg. In comparison with other imported fruits, they
are quite affordable," said a young woman surnamed Wu, who attended the fair.
Nine of the 20-odd species on display at the trade fair, are included in the
18 species under the market-access expansion plan by the mainland. They will be
sold at six supermarkets in Fuzhou after the trade fair.
According to Prof. Chen En with the research institute of Taiwan economy
under the Jinan University based in south China's Guangzhou, the biggest
obstacle to the sale of Taiwan's farm produce on the mainland is the absence of
direct flights. As Taiwan authorities banned direct cargo and passenger flights
across the straits, the farm produce of Taiwan has to be transferred to the
mainland via a third place, resulting in higher cost, longer time of shipment
and more possible risks.
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