China’s state-owned grain handling and processing company COFCO has shipped its first international export of flour and the destination was Canada.
“The export of Fortune Jindian dumpling flour, multi-purpose flour and Xiangxue dumpling flour and steamed bun flour mainly caters to the needs of overseas market for China’s quality special purpose flours, enabling local Chinese compatriots to taste the flavour of authentic hometown dishes during the Spring Festival,” the company said in a news release.
The shipment left China on Nov. 17 and was bound for Vancouver.
COFCO, the China National Cereals, Oils and Foodstuffs Corp., said in the release that it was building up its flour export business to help implement the government’s policy to bring down domestic stocks of wheat.
The United States Department of Agriculture estimates China’s wheat stocks at 111.6 million tonnes, or about 44 percent of total world stocks. China’s government has decided it holds too much wheat and corn and this year has changed its procurement policy to start to scale back government-owned stocks.
The company said the shipment was of packaged goods, with the likely customer base overseas Chinese who want a taste of home during the spring festival, or lunar New Year holiday, which is Jan. 28 this year.
COFCO opened an office in Winnipeg this year to trade in Canadian grown grain and oilseeds.
COFCO has been expanding its international footprint, investing more than $3 billion to buy Noble Group’s agribusiness in March, as well as a large stake in Dutch grain trader Nidera.