China Begins Direct Sales Of Fruit & Vegetables To Russia

Tyler Durden's picture


Despite the ongoing mainstream media meme that Russia is becoming 'isolated' from the rest of the world thanks to Western sanctions, it appears they have found a few new 'old' friends to become un-isolated with. On the heels of Russia's food-import-ban sanctions last week, Russian and Chinese officials have announced an agreement that China will start selling fruit and vegetables directly to Russia via a special logistics center in Russia's far east. Notably, this week saw Russia's GDP beat consensus expectations, Ruble rally, and stocks jump as German confidence plunged - can you say blowback?

As RT reports,

China will start selling fruit and vegetables directly to Russia, and Baorong company plans to set up a special logistics center in Dongning on the border with Russia’s Far East to do it.


The 70,000 square meter wholesale market and 30,000 square meter warehouse, fitted out with refrigerators and other equipment, will be in a special cross-border customs zone, ITAR-TASS cites the head of the Association of Applied Economy of the Heilongjiang Province Zhang Chunjiao.


“Direct export of fruit and vegetables to Russia will be organized from it," she said.


It will cost $9.7 million to construct. Customs clearance times will be reduced, and there will be no need to double-check the cargo because of video surveillance in the warehouse.


A Chinese company Dili, also intends to create a similar cross-border trade zone by the end of 2014, Zhang Chunjiao added.


The announcement comes after Russia introduced a 1-year ban on imports of some agricultural products from the EU, US, Australia, Canada, Australia and Norway last week. If it lasts, it could cost European Union members $16 billion, Vygaudas Usackas, the EU ambassador to Russia, estimated.

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We assume payment for these imports will be in Rubles or Renminbi... not US Dollars.

*  *  *

As we noted last week, there is good reason why Europe is being battered by these new sanctions; but who is hit hardest?

EU member states have already complained their economies would be hit hard, with Germany and Poland losing the most trade with Russia, and the Baltic states – Lithuania, Latvia and Estonia – seeing their shares of GDP falling even sharper.



For the US the effect will be very limited, as agricultural exports to Russia are about one tenth of one percent of total US gross domestic product of about $144 billion, according to the US Department of Agriculture.


US food exports to Russia in 2013 amounted to less than 1 percent of the country’s total agricultural exports, the US Department of Agriculture said to RIA Novosti. Conversely, Russian exports to the US and European markets are 13 percent of its GDP. In 2013, the US exported $1.3 billion of food goods to Russia, about a quarter of which were poultry products.


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Furthermore, perhaps in the interests of not embarassing itself, the EU is not asking China to refrain from supportinG Russia:

The European Union has no plans to ask a number of states, in particular China, to refrain from replacing banned European food products in the Russian market, a source close to EU leadership told RIA Novosti on Tuesday.


“There are no concrete plans,” the official said, answering a question on whether the EU will ask China and some other countries not to replace banned agricultural and food products from Europe with their own goods in the Russian market.


Media reports earlier suggested that the European Union planned to convince Brazil, Chile and other Latin American states not to export their food products to Russia. It was said that EU expects these countries not to take advantage of the embargo on European products.

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So it seems, US sanctions sparked European blowback... how long before Washington finds itself alone again.

*  *  *

More un-isolation?

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Tue, 08/12/2014 - 10:14 | 5081546 Renfield
Renfield's picture

<<how long before Washington finds itself alone again>>

I've never seen an American president with so few friends. Even Bush had more international allies - and yes, even friends. No wonder Barky spies on everyone. He has no friends that he can trust enough NOT to spy on, I guess. Is it not obvious by now that America is the one being isolated?

Tue, 08/12/2014 - 10:15 | 5081556 Headbanger
Headbanger's picture

Yet another fuck you Barry!

Tue, 08/12/2014 - 10:22 | 5081595 Oracle 911
Oracle 911's picture

Agreed, and that recently signed currency swap (extension) comes handy.

Tue, 08/12/2014 - 10:27 | 5081612 Latina Lover
Latina Lover's picture

Fooky U,  EU.

-rumored  advertising slogan of Chinese Food Export Collective to Russia

Tue, 08/12/2014 - 10:29 | 5081631 Dr. Richard Head
Dr. Richard Head's picture

I find the doublespeak of the MSM is so obvious.  They talk about isolating Russia with sanctions, so that would mean that countries that push sanctions are the isolationists.  However, when Ron Paul says to stay out of other countries' affairs and that sanctions are act of war they call Dr. Paul the isolationist.  I fucking hate the MSM.

Tue, 08/12/2014 - 10:32 | 5081649 Latina Lover
Latina Lover's picture

MSM is nothing more than the collective mouthpieces of the USSA/bankster deep state:


"The CIA owns everyone of any significance in the major media." -- William Colby, former director of the CIA (1973-1976).


Tue, 08/12/2014 - 10:52 | 5081760 LawsofPhysics
LawsofPhysics's picture

Yes, incuding NPR.  Lots of distraction going on with those poor people stranded on that mountain...

U.S. interests you say?  We can perform a humanitarian mission in Iraq, but Russia cannot do the same in their own back yard?

Please, explain...

Tue, 08/12/2014 - 11:00 | 5081810 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

but Russia cannot do the same in their own back yard?

Might it have something to do with Russians being European Caucasians?

Tue, 08/12/2014 - 11:11 | 5081871 Spastica Rex
Spastica Rex's picture

You mean albinos?

Tue, 08/12/2014 - 12:31 | 5082183 Miles Ahead
Miles Ahead's picture

Hate MSM?  The question is, how do you even know to hate MSM?  I have no idea whether I hate MSM or not; shit, I may even like FOX news; I'll never know...

... cause I never turn the shit on... hello???  I mean with cable and all... what you guys got, rabbit ear antennas sitting atop your RCA consoles?

Who the heck keeps watching things they hate?  If it ain't on ZH, RT, or PressTV, I'm gonna miss it.  Hope when I win the lottery they post it on one of those sites or I'm e-fckt.


Tue, 08/12/2014 - 12:48 | 5082352 Ayr Rand
Ayr Rand's picture

YES! Two countries that cannot feed themselves... will feed each other. LOL. This cannot be made up. :) Thank you ZH for bringing this to our attention. 

Tue, 08/12/2014 - 12:37 | 5082243 MrPalladium
MrPalladium's picture

It has everything to do with being caucasian!

WWII started because Hitler tried to reclaim lands inhabited by German speaking kinsmen and had no further ambitions. But the right of cosmopolitan internationalists to cobble together multicultural "nations" comprised of populations that cannot speak to each other (but can be useful to pit against each other to defeat the interests and demands of the larger ethnic majority at election time) will be defended by war.

Divided as it is between Ukrainians and Russians, "democracy" in Ukraine makes it a fertile field for oligarch plunder, as was Poland at the outset of WWII with East Prussia an easily manipulated counterweight to Polish workers and peasants who might otherwise have their way in elections.

That fact that Russia wants to be a mono-ethnic country is a profound threat to oligarch political control everywhere, and strongly suggests that Putin actually cares about his own people, or at least cares about using them to curb oligarch political power and predation.

Tue, 08/12/2014 - 17:51 | 5084176 Sirius Wonderblast
Sirius Wonderblast's picture

Well, isn't it a bit larger than that? The US is likely to now invade Iraq for the third time, and replace it's regime for the second time, to push back fruitloops it armed and sponsored, all while uttering with uttermost sanctimonious hypocrisy, what an awful criminal thing it would be if Russia intervened in a conflict on its' own doorstep (steppe?).

Please tell my why rational people can't see this?

Tue, 08/12/2014 - 11:33 | 5081989 Kirk2NCC1701
Kirk2NCC1701's picture

LoP, as this ban affects the US also, I'm guessing that your customers over there are buying from you via Brasil or China? ;-)

Tue, 08/12/2014 - 10:54 | 5081769 Leonardo Fibonacci2
Leonardo Fibonacci2's picture

Can you say Barry Hussein Obama is a Fuckup?  Sure you can!!!

Tue, 08/12/2014 - 11:02 | 5081805 Dr. Richard Head
Dr. Richard Head's picture

All monsters that think they can control an entire country and its population are fuckups.

Tue, 08/12/2014 - 11:35 | 5081995 Dixie Rect
Dixie Rect's picture

They can have Merica's favorite vegetable---Uncle Joe Biden

Tue, 08/12/2014 - 12:04 | 5082145 Doubleguns
Doubleguns's picture

Deleted, just saw Buzzsaw99's comment below. 

Tue, 08/12/2014 - 17:59 | 5084211 Antifaschistische
Antifaschistische's picture

Do you realize the potential this has on the price of Garlic!!

oh well...the California Garlic industry will have to fire up their plants again.   oh.....wait, they don't have any water!!!


Tue, 08/12/2014 - 10:32 | 5081643 eclectic syncretist
eclectic syncretist's picture


Tue, 08/12/2014 - 11:54 | 5082101 Stuck on Zero
Stuck on Zero's picture

Now that China is exporting fruits and vegetables to Russia how will China pay for U.S. fruits and vegetables to replace them?  With dollars?

Tue, 08/12/2014 - 12:38 | 5082299 JohninMK
JohninMK's picture

Doubt it. A barter deal on steel pipes for the forthcoming gas pipeline?

Tue, 08/12/2014 - 10:31 | 5081638 Latina Lover
Latina Lover's picture

Headbanger:  Obama's favorite chinese dish:  Cream of SomYongGuy.

Tue, 08/12/2014 - 10:36 | 5081669 eclectic syncretist
Tue, 08/12/2014 - 10:56 | 5081783 Leonardo Fibonacci2
Leonardo Fibonacci2's picture

"Obama's favorite chinese dish:  Cream of SomYongGuy."

Cream of Sum Yum Gai from the Cum of Reggie directly in Barry's mouth and ears!!!

Tue, 08/12/2014 - 10:40 | 5081699 NotGrokkingIt
NotGrokkingIt's picture

The entire world is obviously racist.

Tue, 08/12/2014 - 11:45 | 5082037 Kirk2NCC1701
Kirk2NCC1701's picture

No, only Caucasians are officially racists. Well, 2% of them aren't racist either and are totally exempt.

Everyone else, who is not White or Preferred, is merely expressing ethnic or racial Pride. Drink your Kool Aid and be quiet. /s

Tue, 08/12/2014 - 12:17 | 5082198 Miles Ahead
Miles Ahead's picture

So this is a black/white thing?  Lesee... China sells fruits to Russia... some ape start on again about racism and the unfairly accused caucasians. 

Got it. 

Tue, 08/12/2014 - 10:46 | 5081732 jefferson32
jefferson32's picture

+1 for "Barky". Best so far!

Tue, 08/12/2014 - 10:47 | 5081735 Anusocracy
Anusocracy's picture


The world is on a learning curve concerning the US and its behavior. Bush was just earlier on the curve.

There is no substantial difference between POS Bush and POS Obama.

Tue, 08/12/2014 - 11:12 | 5081875 Freddie
Freddie's picture

Obama is not an American.  He is owned by Deep State, AIPAC and the elite dual citizens.

Tue, 08/12/2014 - 12:15 | 5082191 WillyGroper
WillyGroper's picture

You confuse friends with blackmail & interests.

Tue, 08/12/2014 - 10:15 | 5081549 buzzsaw99
buzzsaw99's picture

i have one standing rule: never knowingly eat anything that comes from china

Tue, 08/12/2014 - 10:16 | 5081559 pods
pods's picture

Right with you buzz, not sure this is a positive for Russia.


Tue, 08/12/2014 - 10:28 | 5081628 Latina Lover
Latina Lover's picture

I'm not sure I agree... eaten some great chinese during trips to Shanghai, LOL.

Tue, 08/12/2014 - 11:00 | 5081809 Anusocracy
Anusocracy's picture

There are good levels of food inspection and safety but even the US has plenty of problems.

China has four times our population which would mean about four times the food problems.

Tue, 08/12/2014 - 11:41 | 5082028 Freddie
Freddie's picture

The USA is a joke with open borders, ebola, GMO, crap fake food, pink slime, corn syrup and the list goes on.

You USA firsters-Obama lovers sicken me.

Tue, 08/12/2014 - 12:05 | 5082157 Doubleguns
Doubleguns's picture

Buzzsaw remember they even fed their own children adulterated formula. yep never eat any thing from China. The ruskys will regret this very soon. 

Tue, 08/12/2014 - 12:45 | 5082320 Never One Roach
Never One Roach's picture

<< never eat anything that comes from China......or the Fuki Pacific or California or the Gulf ....or any of our fresh water streams.....>>


Sadly, many of our own resources are also polluted and who knows WTF will happen when that mass of heavy Fuki water hits Cali beaches as shown by that MIT computer model. China is probably the dirtitest shirt but the problem is global.

Tue, 08/12/2014 - 14:19 | 5082828 HardAssets
HardAssets's picture

" You USA firsters-Obama lovers sicken me. "

There's a Big Pharma vaccine for that.

Tue, 08/12/2014 - 11:02 | 5081819 HardAssets
HardAssets's picture

Yep . . . In my younger days I had a Chinese girlfriend (she was an American citizen though)

absolutely no complaints.

As an aside - I've had some fantastic Chinese Food in mainland China and in Hong Kong

Maybe the fruit & veggies will be from export sources

Tue, 08/12/2014 - 11:36 | 5082008 Dixie Rect
Dixie Rect's picture

"Yep . . . In my younger days I had a Chinese girlfriend (she was an American citizen though)"


When you asked her for 69, did she bring you brocolli beef?

Tue, 08/12/2014 - 13:28 | 5082566 Hulk
Hulk's picture

Now thats funny I don't care who you are !!!

Tue, 08/12/2014 - 11:23 | 5081942 firstdivision
firstdivision's picture

Set off metal detectors on your return trip?

Tue, 08/12/2014 - 11:38 | 5082011 BlindMonkey
BlindMonkey's picture

The thing about eating Chinese snatch is you want more in 2 hours.

Tue, 08/12/2014 - 12:41 | 5082312 MrPalladium
MrPalladium's picture

"I'm not sure I agree... eaten some great chinese during trips to Shanghai, LOL."

Are you talking about food?

Tue, 08/12/2014 - 10:29 | 5081630 JamesBond
JamesBond's picture

cut off your arm to sever the head of your enemy




Tue, 08/12/2014 - 10:30 | 5081633 Hulk
Hulk's picture

You two have obviously never tried the aged, pulled from the River Pork !!!

Tue, 08/12/2014 - 10:39 | 5081687 NeverForgetSilver
NeverForgetSilver's picture

Have you? How does it taste?

Tue, 08/12/2014 - 11:03 | 5081816 Hulk
Hulk's picture

Like Chicken, you silly !!!

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