Laos has shipped the first batch of 25 containers of bananas containing 500 tonnes to China via the Lao-China Railway.
The first train shipping bananas ceremony was held in Vientiane on Dec 5, which was organized by Department of Plantation, Ministry of Agriculture and Forestry and UANYE (Lao) Sold CO., LTD.
The events, Mr. Bounchan Kobounyasit, Director of the Department of Agriculture said that the Laos exported bananas and plantains, fresh or dried to China was US$219.1 Million during 2021, According to the United Nations COMTRADE database on international trade.
Since 2012, the Laos-China bilateral protocol was signed, a total of 15types of plants in 10 protocols, for bananas export, they jointly signed the phytosanitary terms and conditions for the export of bananas in 2013.
In the past, it was through the car through the Bo-Han-Bo-Ten international checkpoint.
The first train to export of bananas to China is of great significance as an opportunity to create trade value for both countries, attract investment to overcome the obstacles from Covid-19 and support the success of the construction of the Lao-China railway, which will help reduce capital costs and be able to compete with domestic and international products.
According to the memorandum of understanding for joint construction of one-way projects in two regions signed on August 26, 2022 between the Ministry of Agriculture and Forestry and the People’s Administration of Hunan Province, China.
It is stated that Hunan Province will purchase 1 million tons of agricultural products from Laos per year, which Xuan Ye Lao Company Limited has been assigned to be responsible for the production, purchase and export of products, the export of bananas to China through the Laos-China Railway.
After the opening ceremony, there will be continued export of high-quality bananas and other agricultural products from Laos to Hunan Province, China through the Laos-China railway, not less than 2 shipments per week. The president of Xuan Ye Company, said that the company is working hard to build a modern industrial-agricultural development zone in Vientiane by Joint construction of Xuan Ye Company and AVIC International Beijing Limited together with the Ministry of Agriculture and Forestry of the Lao PDR.
The objective is to create a comprehensive industrial chain for the export of Lao agricultural products, starting from breeding, planting, processing, storage, transportation to trade.
As a support project of the Laos-China Railway, since the beginning of the design and selection of the project site, this area is located near the Vientiane Railway Station with an area of 66 hectares, with a plan to build a food storage warehouse at the level of 200,000 tons, which will become the first transnational food warehouse through the Lao power line under the One Road initiative, estimated to reach 2025.
The area will achieve the goal of exporting 3 million tons of Lao agricultural products to China per year, creating an export value of more than 4 billion US dollars per year and helping Lao farmers escape from poverty and become rich in the number of 330,000 people.
Source: Lao News Agency