Moscow, 8 May 2015 – The Russian Direct Investment Fund (RDIF), the Russia-China Investment Fund (RCIF) and the People’s Government of Heilongjiang province, have agreed to increase cooperation in agriculture, including farming, land management, customs procedures, food logistics and sales. The signing ceremony was held as part of Chinese President Xi Jinping’s visit to Russia.
The parties, attracting leading international investors, will launch a specialist $2bln fund targeting investment in agricultural projects in Russia and China.
Under the agreement they will also consider creating an experimental agricultural free trade zone between the Heilongjiang province and the Amur Region. This free trade zone will use the direct exchange rate between the rouble and the yuan, and will support the implementation of incentives for Russian and Chinese high-tech agricultural businesses.
Kirill Dmitriev, CEO of RDIF and Co-CEO of RCIF, said:
“Russia and China’s investment in agriculture will enable the development of large areas of uncropped arable land on the borders between our countries. We are very pleased to partner with the Government of Heilongjiang province, the largest grain producer in China. Its experience and expertise in this sector will significantly increase the efficiency of our joint projects and expand potential opportunities for Russian producers in the Far East.”
Hanqing Kang, Director of Heilongjiang Provincial Government Office, said:
“The specialist $2bln fund will motivate Sino-Russia cooperation in agriculture, and accelerate forming new competitive advantages.”
Russia-China Investment Fund (RCIF) is a private equity fund established to invest in unique opportunities which have appeared as a result of rapid development of economic cooperation, fast growing trade, and increasing purchasing power of the middle class in Russia, China and CIS countries. The Fund was created by the Russian Direct Investment Fund (RDIF) and China Investment Corporation (CIC). RCIF are most focused on cross-border transactions, as well as investment opportunities within the economic region across a broad range of sectors to facilitate both countries’ the structural reforms and economic efficiency. Further information at www.rcif.com
Russian Direct Investment Fund (RDIF) was established in 2011 to make equity co-investments, primarily in Russia alongside reputable international financial and strategic investors. RDIF acts as a catalyst for direct investment in the Russian economy. Based in Moscow, RDIF’s management company is a 100% subsidiary of Vnesheconombank. Further information at www.rdif.ru
Heilongjiang Province is China’s largest commodity grain production base, and has outstanding advantages with rich agricultural foundation and advanced agricultural production technology. Heilongjiang Province has been the leading province in terms of the China’s and Russia’s economic and trade cooperation, and also regarded as the “bridgehead” for enhancing China-Russia strategic cooperation partnership.
Russian Direct Investment Fund
Director, Media Relations Department
Tel: +7 495 644 34 14, ext. 2141
Mobile: +7 964 726 17 73
Andrew Hayes / Maria Ignatova / Elena Garside
Tel: +44 (0) 20 7796 4133