Onresearch Of The Factors Influencing The Trade Of Xinjiang China And Kazakhstan

Global economic integration, which is being accelerated, has indeed promoted economic growth in all countries, but also caused a lot of worldwide problems such as food security. Particularly some developing countries cannot yet meet their peoples’ demand for enough food. With a growing population, China has an increasing demand for grain and has to utilize international market resources to make up for its domestic shortage.First, based on the background of food security, this paper expounds the necessity of wheat trade between China Xinjiang and Kazakhstan. By analyzing the current situation of wheat trade between China Xinjiang and Kazakhstan, it can be seen that despite great potential of wheat trade between China Xinjiang and Kazakhstan, many shortcomings still exist. Then, the situation of wheat production and trade of China and Kazakhstan in recent years is analyzed. Despite backward agricultural technology and low wheat yield per unit, Kazakhstan always maintains great export potential. Secondly, respectively from the geographical environment, the port situation, relevant policy analysis the China Xinjiang and Kazakhstan to wheat trade based, shows that the Chinese have the basic conditions and Kazakh wheat trade, and Kazakhstan have intention of cooperation in this field. And the wheat trade between China and Kazakhstan are analyzed, and the scale of wheat trade between China and Kazakhstan is expanding, but the trade development of the two countries is still at the primary stage, and there are many problems. Finally, it is concluded by constructing and applying the gravity model of trade that the increase in Kazakhstan’s wheat yield is positively correlated with Kazakhstan’s wheat export, while the increase in Kazakhstan’s wheat price and exchange rate is negatively correlated with China’s wheat import. Food security coefficient and wheat price are main factors for wheat trade between China and Kazakhstan. Then countermeasures and suggestions are proposed based on the above analysis, hoping to provide reference for decision making of relevant departments, e.g., improving the quality of Kazakhstan’s wheat, perfecting relevant trade policies of the two countries, strengthening technological cooperation between the two countries in the food industry, overcoming the shortage of infrastructure construction at ports of the two countries and enhancing the efficiency of customs clearance at ports, so as to promote and deepen wheat trade between the two countries. Moreover, the development of wheat trade between China and Kazakhstan shall be promoted with the help of the strategic concept of “One Belt and One Road”, where the rapid logistics and traffic environment and increasing ratio of direct exchange of RMB in other countries will provide great convenience for food trade especially wheat trade between China and Kazakhstan.