Mondo Visione Worldwide Financial Markets Intelligence

FTSE Mondo Visione Exchanges Index:

Dalian Commodity Exchange And Heilongjiang Provincial Agriculture Commission Sign Strategic Cooperation Agreement Of Services For Agriculture, Farmer And Rural Area

Date 30/08/2012

On August 27, during the “Heilongjiang Autumn Agricultural Producers and Buyers Match-Making Meeting and Market Prospect Activity 2012”, Dalian Commodity Exchange and Heilongjiang Provicial Agriculture Commission signed the Strategic Development and Cooperation Agreement of Services for Agriculture, Farmer and Rural Area at the Harbin Shangri-La Hotel. Liu Zhiqiang, Assistant to the President and CEO of Dalian Commodity Exchange, and Li Lianrui, Deputy Director of Heilongjiang Provicial Agriculture Commission signed the agreement on behalf of the both sides. Zhang Yuxiang, Member the CPC Committee of the Ministry of Agriculture, Sun Yao, Vice Governor of Heilongjiang Province attended the signing ceremony. Leaders of local governments in Heilongjiang Province, responsible people of the Agriculture Commission, related experts and scholars, as well as some representatives from the enterprises involved in the actuals attending the “Heilongjiang Autumn Agricultural Producers and Buyers Match-Making Meeting and Market Prospect Activity 2012” were also present at the signing ceremony.

In accordance with the agreement, the two sides of DCE and Heilongjiang Provicial Agriculture Commission will realize resource sharing, promote the joint development of the markets of both actuals and futures, and provide better services for the work of the agriculture, farmer and rural area. The two sides will follow the principles of mutual complements, mutual benefit and long-term cooperation, to conduct long-term strategic cooperation in the following several aspects.

The two sides will conduct in-depth market information service by integrating and using their own information platform advantages to release the market information about the actuals and futures free of charge through the modes such as publishiment, internet, mobile phone messages, hotlines etc., and provide information service for the farmers. The two sides will extensively carry out trainings for the farmer marketing teams, add the futures content into the training programs for the farmer marketing teams in Heilongjiang Province, put emphasis on trainings for the marketing personnel of the specialized farmer cooperatives that are of large scale, strength and standard operation, aim to conduct trainings for 500 marketing personnel in 2012, and increase the number up to 2,000 by 2015. The two sides will jointly launch the analysis of production and sales situation and the market prospect activities during the two seasons of Spring and Autumn each year, promote the market communication and cooperation, and provide services for the agricultural production and the match-making between the producers and buyers. The two sides will develop the futures order pilot plans, select some institutions to participate in the futures order pilots, and continuously summarize the pilot experience for advancing the promotion and application. The two sides will also take advantage of the periodic communication and meeting mechanism to promote the sound, coordinated and rapid develoment of the cooperation beween the two sides.

Some people present at the signing ceremony said that Heilongjiang Province is a major national production base of commercial grains, and plays an important role in securing national food security. The futures market is an indispensible part of the modern marekt economy system, and has a positive role in guiding the farmers to grow and sell the grains, stabilizing the grain production, and promoting the sound operation of related enterprises. Giving play of the role of the futures market to provide services for the agriculture, farmer and rural area is an inevitable option for acclerating the modern agriculture market development. The cooperation this time will make the previous cooperation between DCE and Heilongjiang Province further closer, promote the resource sharing and joint development of the two sides, and play an important role in realizing the mutual integration betweeen the futures market and the agriculture, farmer and rural area.

According to reports, since the year of 2005, DCE has been conducting the market service project of “thousand villiges and ten thousand households” in the major grain production regions in northeast China including Heilongjiang Province, providing market knowledge trainings free of charge for the farmers, village cadres at the grassroots, and responsible people of grain enterprises, supplying the market information services through modes such as internet, mobile phone messages and information publishment, guiding the agricultural cooperatives and leading enterprises to actively participate in the business mode plots of “company+ farmer, and futures+order”, advancing the growth of the new-type farmers sohpisticated in grain growing and marketing, and delivering effective services for the work of the agriculture, farmer and rural area.