China is planning a shake-up of its massive state-run food companies by transferring the trading assets of stockpiler Sinograin to food giant Cofco Group, in a move that’s set to reverberate around global agricultural markets, said Bloomberg.
The restructuring would be implemented in several stages and also includes Cofco taking over oilseed crushing capacity from Sinograin, said Bloomberg sources.
The revamp of the biggest state companies in China, the top consumer and importer of farm products, will take Cofco closer to its goal of rivaling the ‘ABCD’ group of international commodity powerhouses that dominate flows of agricultural products, while extending its ability to secure food supplies for the world’s most populous country.
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