These international markets include South America, Australia and Europe, he said.
The country’s biggest food trader also set goals to be able to process 30 million tons of corn, 20 million tons of soybean, 10 million tons of rice and wheat, as well as 5 million tons of sugar by the end of 13th Five-Year Plan (2016-20).
«COFCO has invested more than $3 billion in global markets over the past two years and expanded its investment activities from grain to other foodstuffs such as meat, edible oil and milk and beverages,» Zhao said.
«We will become a strong rival to compete with the ‘ABCD’ companies,» he added.
The term «ABCD» refers to the companies that currently dominate global grain trading, serving as middlemen between farmers that grow crops and buyers such as food producers. The groups are ADM Co, Bunge Ltd and Cargill Inc from the United States and the Netherlands-based Louis Dreyfus SAS.
hao said COFCO will focus on acquiring or merging with firms that can help solve food shortages at home and further improve its capability in maritime transportation, as well as the entire supply chain services in seed, pesticide and fertilizer businesses over the next five years.
Oilseeds, such as soybean and rapeseed, and feedstuff will be the company’s main focus, because China’s grain inventory is already at historic highs, including an estimated 250 million tons of corn after 12 consecutive years of increased production.
COFCO’s prime target markets are the South and North Americas, and areas along the Black Sea in Europe.
COFCO has more than 10,000 employees from more than 70 countries and regions working in various overseas markets, mainly in Asia, Latin America and Europe.
Source: PostOnlineMedia
http://www.poandpo.com/companies/chinese-food-trader-cofco-aims-to-rival-global-giants-18-6-2016/