(In MARCH 4 story New Hope corrects to say daily crushing
capacity 5,000 tonnes, not 50,000 tonnes, paragraph 2)
BEIJING, March 4 Chinese agribusiness group New
Hope plans to build its first soybean crushing plant
in China's Hebei province in a joint venture with Cargill
, its chairman Liu Yonghao said on Saturday.
New Hope and provincial state companies will own 51 percent
of the project, which will have a daily capacity of 5,000
tonnes, while U.S. commodity merchant Cargill will hold the
remaining 49 percent, he said at a briefing.
The soy crushing industry in China, the world's top soybean
buyer, has expanded rapidly in recent years due to rising demand
from breeders of livestock from hogs to poultry, although there
is significant overcapacity in the sector.
The U.S. government reckons crushing volume of around 76
million tonnes last year was far below the country's capacity.
Liu has built New Hope from a small chicken farm into the
country's top animal feed producer, with businesses extending to
banking and property and annual sales topping 90 billion yuan
His plans come as New Hope also aims to expand abroad.
In about ten years, international farm products will account
for 40 percent of total revenue, up from 10 percent currently,
the company is setting up a European headquarters in the
Netherlands and will open a U.S. office, he said. The company
already has overseas offices in Australia and Singapore.
For its international strategy, Liu said New Hope will
mainly build factories in under-developed countries while
focusing on acquisitions and partnerships in developed
New Hope is building chicken and pig farms in Vietnam and
plans to expand investment in countries with large populations
like Indonesia, Liu said. For example, the company is
considering sending its beef products in Australia to markets in
southeast Asia, Liu told reporters at the briefing.
(Reporting by Hallie Gu; Writing by Josephine Mason; Editing by