The Asian region is positioned to be a critical partner for agribusiness suppliers in the Southern Cone for many years. Asia will continue to drive world population growth over the next decades, and the Asian middle class is expected to reach 5 billion people by 2030 (Ferrando, 2013), with much of that growth led by China. The continued increase of the middle class in Asia will guarantee high demand rates for numerous agri-food products in the Southern Cone, including grains for human and animal consumption, meats and a range of high-end products such as dairy products, wine and fruits.
At the same time, the trade war between the US and China has given rise to a unique period of opportunities for the Latin American region, and especially for its main agricultural producers. As a result of the uncertainties and challenges caused by the growing tensions between the two countries and the tariffs applied by USD 735 billion in US and Chinese products, China is seeking to diversify its partnerships in strategic sectors, including energy and food. The Southern Cone can become an even more valuable region for China in this context, especially with regard to the supply of key agricultural goods.
This joint report by GPS and the Inter American Dialogue presents proposals so that the countries of the region can take advantage of the window of opportunity that opens with China. It is the result of a seminar of the same name jointly organized by both institutions plus the CAF at the Buenos Aires Cereal Exchange on June 25 and 26, 2019. The seminar was attended by a large group of experts who discussed the relationship strategies of the Southern Cone countries with China for two days, particularly in relation to the agri-food sectors.
