Yerkebulan Akhmetov, Director of the Animal Production and Processing Department of the Ministry of Agriculture of Kazakhstan (abbreviated as Kazakhstan), revealed that the country plans to export about 10,000 tons of wool to China in 2021, accounting for about 30% of the country’s annual output. The Ministry of Chemical Industry also announced that the government is planning to reduce export tax rates to help export wool. The relevant draft laws have been published on the portal website.

　　 5,000 tons of "test water" failed? Harbin wool won the "admission ticket" for the Chinese market!

　　Because my country is an important wool importer in the world, Kazakhstan has always hoped to enter the Chinese wool market. Previously, it had exported 5,000 tons of wool to my country to "test the water", but it was later suspended due to lack of inspection and quarantine certificates. It was not until September 2019 that China and Kazakhstan formally signed the protocol on the inspection and quarantine requirements for wool exports to China, that Kazakh wool was officially awarded the "entry ticket" to the Chinese market.

　　 With the increase in exports of Kazakhstan’s agricultural products to China, the trade relations between China and Kazakhstan have become closer. According to data released by relevant departments, the bilateral trade volume between China and Kazakhstan reached 21.43 billion U.S. dollars (approximately RMB 139.3 billion) in 2020, and China continued to maintain its status as Kazakhstan’s second largest trading partner; on February 5, representatives of the two countries officially Exchange opinions on issues such as "expanding China-Kazakhstan trade and investment cooperation" in order to reach a consensus.

　　75% wool is exported to China! Australia's "profitable business" will be robbed?

Returning to the increase in exports of Kazakh wool to China, due to the huge amount of wool imported by China each year, major wool producing countries in the world such as Australia, New Zealand, Uruguay, etc. regard this market as a “contested place”, and Australian wool takes up the largest share. The market share is the highest.

　　 Public information shows that Australia’s wool exports account for up to 40% of the world’s total. More than 98% of the wool produced in this country is exported, and 75% of them are sold to the Chinese market. It can be said that Australian wool is extremely dependent on the Chinese market. If the Chinese market is lost, the country will face huge economic losses.

　　 Although Australia’s wool export quota to China will increase by 5% in 2021, as Chinese buyers are less and less interested in various products in Australia, Australian wool traders are also beginning to worry whether Chinese buyers will “abandon” wool?

　　 What worries Australian businessmen even more is that if Chinese buyers no longer choose Australian wool, wool from New Zealand and other countries will quickly seize the lost market in Australia. It is reported that in January this year, China and Singapore re-signed an agreement to upgrade the China-Singapore Free Trade Agreement. For Kazakhstan, this is also a good opportunity to expand wool exports to China.