Customs union to spark agricultural opportunities for Kazakhstan, China - executive (repeat)
Shanghai. March 17. INTERFAX-CHINA - A customs union between Russia, Belarus and Kazakhstan will present business opportunities for Chinese companies in Kazakhstan, particularly in agriculture, the head of a business consultancy said March 16.
The customs union, which came into effect on July 6, 2010, is aimed at boosting trade and investment between the three countries by creating a single market between them.
The customs union would create opportunities for Kazakh-Chinese joint ventures in food and agricultural industries, said Liu Chuanwu, president of Huahe International, at a press conference in Almaty, Kazakhstan.
There may be greater demand from China for Kazakhstan-produced cotton, soybean, potato, beet and other crops because of their "high environmental quality," said Liu. Once Chinese companies enter Kazakhstan's market, they will have free access to Russia and Belarus too, he added.
Liu said there would be a short-term negative impact for Chinese firms operating in Kazakhstan as they would have to renegotiate contracts to comply with trade measures introduced by the customs union.