The dispute over the export of fruit to China between the ruling and opposition parties was not set to rest as Typhoon Haitang hit the country on July 18. Instead, that day marked the grand opening of a sales exhibition of Taiwanese agricultural produce in Shanghai.
The director of China's Taiwan Affairs Office (TAO), Chen Yunlin (陳雲林), presided over the opening ceremony of the exhibition, which was organized by the TAO, China's commerce and agriculture ministries, and the General Administration of Quality Supervision and Quarantine. The exhibition was divided into two main parts: one promoting Taiwanese produce, especially fruit, and one for cross-strait agricultural cooperation.
It was indeed an exceptionally grand occasion with close to 300 agricultural businesses and organizations, including 10 agricultural associations from Taiwan. But if we take a good hard look, the prospects for Taiwanese farmers don't look too bright.
At the opening ceremony, the vice minister of China's General Administration of Customs announced the removal of import tariffs on Taiwanese fruit, probably as a reward for Chinese Nationalist Party (KMT) Chairman Lien Chan's (
Shanghai residents at the exhibition made their views plain by questioning the high prices of Taiwanese fruit despite the removal of import tariffs. So how expensive are they? Comparing the price of China's world-renowned premium honey peaches with that of a Taiwanese mango, the mangoes are at least 10 times more expensive than the peaches. The price difference is due to production costs. Simply looking at labor costs, there is a difference of 2,000 percent between the two sides.
Other crucial factors detrimental to Taiwanese fruit exports to China include the following:
First, China is the largest fruit exporting nation in the world, with an annual production value of US$14 billion. It is the world's major exporter of pears and chestnuts, with a total annual export value of US$600 million.
Encouraging Taiwanese farmers to sell their fruit to China is like encouraging somebody to sell plastic products to Formosa Plastics chairman Wang Yung-ching (
Second, China imports a lot of fruit, almost US$220 million worth from ASEAN nations. That is 10 times more than Taiwan's total fruit exports, and 650 times more than Taiwan's fruit exports to China. But China's US$220 million of imports include durian, rambutan,and other fruit, which cannot be replaced by Taiwan. On the other had, given Taiwan's similar latitude to that of China's Fujian, Guangdong and Hainan provinces, everything grown in Taiwan can also be grown in China.
Third, given the above-mentioned conditions, the success of Taiwanese exports cannot rely on quantity. Instead, Taiwanese fruit can only be positioned as high-quality gifts. But the gift market sits at the top of the pyramid and is much smaller than the regular market.
Fourth, China's low wages not only mean that production costs are low, they also indicate weak spending power. This all makes China a less than ideal market for high-priced fruit. Furthermore, there is a shortage of high-priced fruit in Taiwan, and Taiwanese fruit can be sold at high prices in the US and Japan. So it is unrealistic to think of the Chinese market as the savior of the Taiwanese farmer.
Agricultural associations from central and southern Taiwan who set up booths to promote their fruit at the Shanghai exhibition must have felt frustrated when they heard the complaints from city residents, whose purchasing power is the strongest in China. If they were alert, they would have been shocked by the large number of agricultural businesses from Taiwan that were participating in the other part of the exhibition, the one dealing with cooperation.
The pan-blue camp regarded this as an achievement for cooperation and said that it was good for the future of Taiwanese farmers. This is completely muddleheaded, because so-called agricultural joint ventures are all about companies using cheap labor and land to attract Taiwanese-developed agricultural technologies, seedlings and capital to China.
The more successful they are, the smaller the chance of exporting Taiwanese fruit to China. Worst of all, China may one day want to export its fruit to Taiwan.
The great difference between the number of participants from farmers' associations and agricultural businesses clearly reveals China's true intentions: to use fruit imports and cooperation strategies as a pretext to attract agricultural resources from Taiwan. It also explains the future prospects of fruit exports to China.
The unprecedented exhibition has already implied what the end result of Taiwanese fruit exports to China will be. Taiwan should have understood this and laid down a cross-strait agricultural policy that included the issue of fruit exports.
If, for example, the Chinese market is insignificant, China's "united front" will not have any effect, so just let Beijing remove its tariffs. There is no need to say that there must be talks and create misunderstandings among the public. It is not worth it.
The opposition cannot see that nothing good will come out of fruit exports, and they insist that the Taiwan Provincial Farmers' Association replace the Taiwan External Trade Development Council to show Beijing that they accept it as the central government, belittling Taiwan -- which is even more unbelievable.
As a result, China's "united front," which brings no benefits and is difficult to implement, is confusing everyone, making China the only winner.
It is clearly time for both the government and the opposition to wake up.
Lin Cho-shui is a Democratic Progressive Party legislator.
Translated by Lin Ya-ti
Recently, China launched another diplomatic offensive against Taiwan, improperly linking its “one China principle” with UN General Assembly Resolution 2758 to constrain Taiwan’s diplomatic space. After Taiwan’s presidential election on Jan. 13, China persuaded Nauru to sever diplomatic ties with Taiwan. Nauru cited Resolution 2758 in its declaration of the diplomatic break. Subsequently, during the WHO Executive Board meeting that month, Beijing rallied countries including Venezuela, Zimbabwe, Belarus, Egypt, Nicaragua, Sri Lanka, Laos, Russia, Syria and Pakistan to reiterate the “one China principle” in their statements, and assert that “Resolution 2758 has settled the status of Taiwan” to hinder Taiwan’s
Singaporean Prime Minister Lee Hsien Loong’s (李顯龍) decision to step down after 19 years and hand power to his deputy, Lawrence Wong (黃循財), on May 15 was expected — though, perhaps, not so soon. Most political analysts had been eyeing an end-of-year handover, to ensure more time for Wong to study and shadow the role, ahead of general elections that must be called by November next year. Wong — who is currently both deputy prime minister and minister of finance — would need a combination of fresh ideas, wisdom and experience as he writes the nation’s next chapter. The world that
The past few months have seen tremendous strides in India’s journey to develop a vibrant semiconductor and electronics ecosystem. The nation’s established prowess in information technology (IT) has earned it much-needed revenue and prestige across the globe. Now, through the convergence of engineering talent, supportive government policies, an expanding market and technologically adaptive entrepreneurship, India is striving to become part of global electronics and semiconductor supply chains. Indian Prime Minister Narendra Modi’s Vision of “Make in India” and “Design in India” has been the guiding force behind the government’s incentive schemes that span skilling, design, fabrication, assembly, testing and packaging, and
Can US dialogue and cooperation with the communist dictatorship in Beijing help avert a Taiwan Strait crisis? Or is US President Joe Biden playing into Chinese President Xi Jinping’s (習近平) hands? With America preoccupied with the wars in Europe and the Middle East, Biden is seeking better relations with Xi’s regime. The goal is to responsibly manage US-China competition and prevent unintended conflict, thereby hoping to create greater space for the two countries to work together in areas where their interests align. The existing wars have already stretched US military resources thin, and the last thing Biden wants is yet another war.