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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.

*  *  *

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.

 

*  *  *

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.

*  *  *

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

*  *  *

More un-isolation?

  • *PUTIN SAYS EGYPT READY TO BOOST FURTHER FOOD EXPORTS TO RUSSIA
  • *EGYPT STUDIES FREE TRADE ZONE W/ RUSSIA-LED CUSTOMS UNION:PUTIN
  • *RUSSIA SEEKS TO DOUBLE EGYPTIAN FOOD IMPORTS, FEDOROV SAYS
  • *RUSSIA'S FEDOROV SAYS EGYPT SUPPLIED $460M IN FOOD IN 1H
 

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Tue, 08/12/2014 - 11:09 | 5081849 pelican
pelican's picture

I a conversion with an intell type.  Most think Russia is a joke that cannot harm us.  They feel we are harming them more then are hurting us.

Personally, I think they are playing with fire and might be the pin to pop the big bubble.

Tue, 08/12/2014 - 11:10 | 5081861 pocomotion
pocomotion's picture

Buy Local!  Can leftovers, save seeds.

Tue, 08/12/2014 - 14:06 | 5082767 tsuki
tsuki's picture

Check, check and check.  Just harvested a pineapple this morning.  Not as big as those foreign ones, but ripe and sweet. 

Tue, 08/12/2014 - 11:19 | 5081915 WillyGroper
WillyGroper's picture

OT: Speaking of Russia everyone should take the time for this one.

https://www.youtube.com/watch?v=8sVLCYMezi0

Tue, 08/12/2014 - 11:52 | 5082087 BlindMonkey
BlindMonkey's picture

You're kidding right? A 2 hour movie in Russian?

Tue, 08/12/2014 - 13:35 | 5082576 WillyGroper
WillyGroper's picture

No, I'm not. I just finished it, in increments. While a few of the facts will differ. e.g. nail gun death being shot more than double the times reported here. This ties it ALL together, as much reported here plus more. Fuku, Madoff, Jekyll, Bankster deaths, Darth Cheney, Indonesia, Malay, Virus', Alleged Fake Bonds found in Italy. Too many to mention. 

Plus, it validates EKM1's observation/thesis about the internal bankster/MIC pissing constest. 

No one's gonna twist your arm, or is it the subtitles that getcha?

Tue, 08/12/2014 - 16:31 | 5083658 shitco.in
shitco.in's picture

Nice, and it is by Ben Fulford... Interesting ties he has to the people involved in the alleged fake bonds you speak about aka Chiasso Incident.  Thank you for the link, this looks interesting. 

 

@Quus Ant (if you see this) - DEFINITELY watch this, it relates to the "fake" bonds I suggested you research earlier. 

 

Tue, 08/12/2014 - 16:36 | 5083690 Dublinmick
Dublinmick's picture

Rock on Willy

Tue, 08/12/2014 - 18:12 | 5084262 WillyGroper
WillyGroper's picture

Thanks DM. Would like to t/w you in chat.

Tue, 08/12/2014 - 18:14 | 5084272 BlindMonkey
BlindMonkey's picture

I will fully admit to having a short attention span.

Tue, 08/12/2014 - 11:19 | 5081917 The Phallic Crusader
The Phallic Crusader's picture

hey off topic guys - but did anyone read Krugman's most recent swipe at libertarians?

http://www.nytimes.com/2014/08/11/opinion/paul-krugman-the-libertarian-f...

I'm probably more 'statist' than many here {sorry!} but liked RP and have leaned more and more libertarian, small l, and def away from the GOP and Dem nonsense, and the L/R dichotomy - point here being I haven't read Mises or the other economists [other than some summaries or something] so I couldn't intelligently have responded - but some of the comments....

I thought liberals were supposed to be all warm and fuzzy and nice.

They seem more and more like fascists-in-waiting, offended at the very idea someone might disagree with them.

I'll never know what it's like to "come out" as gay, but I do know what it was like to tell family and friends up here in the people's republic of Cambridge that I was voting for RP.  For a few of them, you'd think I said I was heading up a drive to promote female circumcision...

 

I know some of you guys have blogs, etc. - if anyone does some sort of libertarian 'response' to this krugman article, I'd love to read it.

 

Tue, 08/12/2014 - 11:29 | 5081970 smacker
smacker's picture

"I thought liberals were supposed to be all warm and fuzzy and nice."

"They seem more and more like fascists-in-waiting, offended at the very idea someone might disagree with them."

 

You got it in one my friend.

Tue, 08/12/2014 - 12:37 | 5082292 Monty Burns
Monty Burns's picture

Absolutely!

Tue, 08/12/2014 - 13:19 | 5082518 Farmer Joe in B...
Farmer Joe in Brooklyn's picture

Krugman is such a typical liberal twat.

Reading the comments section of that article was just plain depressing.  We are living in a society of sheep.

Tue, 08/12/2014 - 15:30 | 5083236 damicol
damicol's picture

We don't read  fucking krugshit here..

 It will seriously impair your health like injecting sweating Ebola into you balls and ripe syphilis from obummers gonads directly into your pre frontal lobes

Tue, 08/12/2014 - 11:21 | 5081921 Its_the_economy...
Its_the_economy_stupid's picture

Do the Russians pay extra for the "Night Soil"?

Tue, 08/12/2014 - 11:29 | 5081965 Keltner Channel Surf
Keltner Channel Surf's picture

It'll be Fruit-of-the-Loom underwear, boxers that automatically shrink to become thongs after a single "warm" washing ...

Tue, 08/12/2014 - 11:33 | 5081991 Canucklehead
Canucklehead's picture

That special cross border zone will become China's Crimea.

Tue, 08/12/2014 - 11:47 | 5082065 orangegeek
orangegeek's picture

China will own Siberia eventually - resources - and Russia is ill-equipped to defend it.

 

Just a matter of time.

Tue, 08/12/2014 - 11:56 | 5082118 BlindMonkey
BlindMonkey's picture

It is a lot cheaper to buy what you need from another country than to fight for it. I doubt Russia and China end up in a war because they both know that.

Tue, 08/12/2014 - 16:02 | 5083432 bid the soldier...
bid the soldiers shoot's picture

Ah, the fabled Sino-Soviet border conflict!

It began at the same time as the US began its build up in South Vietnam and it ended at the same time the US packed up and left.

At the peak of the Sino-Soviet conflict, there were 21 Soviet divisions less than 500 mles from China's border with North Korea, which is where the Chinese and Russians surmised the US juggernaut would have gone had they been successful in North Vietnam.

But they weren't. Two years after the Tet offensive in 1968, Nixon began the US withdrawal.  Simultaneously, the Soviets packed up their armor at the Amur and went home.

Far from being a Sino-Soviet conflict, it was more a demonstration of the clandestine Sino-Soviet Alliance at work.

Who do think did all the reporting about the confrontation on the Amur?  The western MSM?  The CIA?

Everything we know about that conflict we got from the two communist nations involved.  And primitive satellite images.

Tue, 08/12/2014 - 16:35 | 5083688 Canucklehead
Canucklehead's picture

You gleaned all of that from tea leaves and the Wiki article?  Why did they wait 30 years to sign on the dotted line?

Tue, 08/12/2014 - 17:39 | 5084115 bid the soldier...
bid the soldiers shoot's picture

Perhaps because the S-S conflict opened the door to trade between China and the US?  The US believed that their conflict was for real and supported the Chinese.

What would it avail the Soviets and the Chinese to suddenly announce:  

Surprise!  We were just kidding.  We were always two peas in a pod. 

As long as the US thought that the Soviets and the Chinese were at odds, they favored the Chinese.

Neither S or C was dumb enough to kill the American Goose that laid the Golden Trade.

How did that turn out for everybody?

 

You gleaned all of that from tea leaves.

Yep just look at the date of events in Wikipedia for "Sino-Soviet conflict" and "US involvement in Vietnam"

And if you don't think the mafia killed Kennedy, you might get a feel for what motivated China and Soviets

 

Tue, 08/12/2014 - 19:26 | 5084575 Canucklehead
Canucklehead's picture

You realize the Russians were "miffed" diplomatically as the Chinese were ripping off all the Russian designs and selling those same products into the Soviet's market.

Fast forward today and it looks like Russia and China will be competing again for the same market. If Russia invades Ukraine, their international markets will shrink significantly. I don't expect China will stick with Russia once Russia has crossed that Rubicon.

Tue, 08/12/2014 - 22:18 | 5085381 bid the soldier...
bid the soldiers shoot's picture

And I think they're joined at the hip.

I don't pretend to know what China says to Russia (& vice versa) in private. You probably don't know either.  And what they say publicly, I file under "WMD" chit chat. I have to see a video of it or learn that the 200 nations of the UN all agree on it.

If not, it is just more bullshit.

Today China is the only nation with its own space station.  Of the US, Russia and China China was the last into space.  Aside from being very expensive, how easy is it for a nation to put up a space station without decades of experience?

Do you think the Chinese had assistance from Russia in developing 'Tiangong'?  Do you think Russian astronauts have been up there for any length of time?

We do know that missiles fired from low earth orbit travel very fast and are impossible to shoot down.

The Maidan coup took place Feb 22 2014 when Yanukovych was removed from office by a Rada intimidated by a mob.

Well, here's what Tyler Durden had to say on Feb 28, about a completely different subject.

China Currency Plunges Most In Over 5 Years, Biggest Weekly Loss Ever: Yuan Carry Traders Crushed Oh yeah "On January 26, 2014, it reached an 18-year high of  $.1653China allowed the yuan to rise against the dollar since 2005." And it just turned around, deus ex machina, after the US supported coup in Ukraine.
Thu, 08/14/2014 - 08:07 | 5091460 Canucklehead
Canucklehead's picture

Both the Russians and the Chinese see themselves as leaders of their worlds. They have no interest in sharing. That is the reason I believe they are not working together. They simply look for an opportunity to put the boots to one another.

Do Russia and China have any meaningful experience working with other nations? Has that experience been good? Do people generally want to emigrate to Russia or China?

Tue, 08/12/2014 - 12:17 | 5082199 The Blank Stare
The Blank Stare's picture

Please stop sucking paint cans

Tue, 08/12/2014 - 16:08 | 5082860 NeverForgetSilver
NeverForgetSilver's picture

Nah, I don’t think so. China should have learnt enough from Napoleon and Nazi. They may want  Mongolia back though. This run-away province caused them heartache.

Tue, 08/12/2014 - 11:46 | 5082058 orangegeek
orangegeek's picture
China Begins Direct Sales Of Fruit & Vegetables To Russia

 

now does this fruit include lead and other deadly toxins or will there be a surcharge for these value add components?

 

 

Tue, 08/12/2014 - 11:50 | 5082080 ThisIsBob
ThisIsBob's picture

I see that Poland wants the US to buy its apples.  Well, even in the USA, apples top the list of contaminated fruits and vegetables, an issue surely Poland does not have.

Tue, 08/12/2014 - 12:04 | 5082142 socalbeach
socalbeach's picture

Russia wins this round.  Just released by the Saker translation team.  English captions.

(August 12, 2014)

Russian Argentinian economic collaboration

https://www.youtube.com/watch?v=6Er6rRY_GrQ

Tue, 08/12/2014 - 12:18 | 5082210 The Blank Stare
The Blank Stare's picture

So does this mean Russia isn't joining the TPP?

Tue, 08/12/2014 - 12:25 | 5082236 TalkToLind
TalkToLind's picture

Let's see, the US has already used up Weapons of Mass Destruction and Al Qaeda as regime change excuses.  What excuse can we create for China, corn juice abuse?  Long live the petro/fruit-dollar, comrades!

Tue, 08/12/2014 - 12:30 | 5082262 Monty Burns
Monty Burns's picture

Egypt is exporting food??  WTF??

Tue, 08/12/2014 - 13:49 | 5082680 Village-idiot
Village-idiot's picture

I was thinking the same thing!

But, in the last couple of years I've noticed cans and jars (of pickles) from India, Vietnam, China, etc. Many countries that cannot feed themselves properly are growing and exporting cotton: Egypt, Bangladesh, Pakistan, India, etc.

You figure it out!

Tue, 08/12/2014 - 13:05 | 5082445 Funny Money
Funny Money's picture

They're going to eat Chinese produce?  lmao!  Enjoy teh cancer.

Tue, 08/12/2014 - 13:07 | 5082455 Ban KKiller
Ban KKiller's picture

Quality food no doubt. Um..no, not really. Expect shit and they will be fine. 

Tue, 08/12/2014 - 15:01 | 5082615 Village-idiot
Village-idiot's picture

The logistics in this are changing very quickly.

This just may be a permanent change: Russia buys food from asia and N. America buys food from Europe. I wonder which will be more expensive? (sarc)

Food from China tends to be full of GMOs, DDT, Glyphosates, heavy metals, melamine,  etc. European foods tend to have no GMOs, no DDT and less chemicals.

I hope that if the food coming here (to Canada) from Europe is very expensive, then we Canadians will start finding ways to grow more of our own. That'll mean better food security all around.

Now I'll just go out and till a little around my onions in my own veggie-patch. Life seems sooo much better when you have vegetable patch in your own back garden, with a years supply of potatoes and onions etc.

Tue, 08/12/2014 - 14:13 | 5082798 highwaytoserfdom
highwaytoserfdom's picture

TOTUS plan to get Russia  begging for Monsanto GMO's...King Me   Powers to TOTUS "wrong game"    LOL    

Tue, 08/12/2014 - 14:57 | 5083032 Village-idiot
Village-idiot's picture

What, or who is TOTUS? If you could make your posts more intelligible you might actually get your point across.

Tue, 08/12/2014 - 16:02 | 5083438 socalbeach
socalbeach's picture

Teleprompter Of The United States.

Tue, 08/12/2014 - 19:58 | 5084703 rgetty
rgetty's picture

Thats good Russia will be getting the tainted, poison food from China.

Tue, 08/12/2014 - 23:14 | 5085573 novictim
novictim's picture

Yummy Chinese produce! 

It's the Chromium (VI) gene mutating carcinogen and the slightly tangy arsenic compounds that really deliver on the flavor promise!

The only thing sweeter than this trade deal is Dear Leader Putin's benevolent love of his fellow Mother Russians.

Wed, 08/13/2014 - 02:57 | 5086016 onmail
onmail's picture

Thumbs up to China 

Let them (homosexual west) face the BRICS on their face.

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