Analysis Of Influences And Countermeasures Of Trade Financing On China's Agricultural Imports

Since China's accession to the WTO,import of agri-product is increasing because of the decrease of import tariff,lots of agri-product of good quality has entered into domestic market.Financing of foreign trade has been developed rapidly along with the increasing import of agri-product.Financing of international trade has got booming development.And the full application of trade financing in import of agri-product in these years has brought a new issue for us to deal with.With the method of case analysis,this paper takes typical import of palm oil among the national agri-product import as the example to carry out the study.Firstly,concepts relating to international trade and trade financing were compared.Secondly,current situation of China's palm oil import and exact application of trade financing were introduced.Thirdly,influence of trade financing to China's palm oil import was demonstrated through the data of trading data of these years.Lastly,we've got the proper attitude towards trade financing and the countermeasures.Financing of import trade decreased the cost of domestic enterprise.But it also lowered price of palm oil in domestic market while CFR price is still high abroad.The country's financial order is threatened by fake trade made up only for fund at low interest.Long-term development of those enterprises will be restricted if we deal with this problem in a one-solution-fits-all method,and therewith also our nation's economic construction.This paper tries to find the solution from three levels of enterprise,bank and government.Firstly,enterprise should deal with trade financing in a rational way.Secondly,scrutiny should be strengthened by bank on the truthfulness of business.Lastly,SAFE should examine the compliance of enterprise more fiercely with cooperation of customs and tax authorities.With the supervision of the above three institutions,trade financing will be developed healthily and persistently.After all,characteristic of China's trade financing is concluded.And the direction of its development has been indicated at the end of this paper.Limited to the accessibility of data,we cannot make the more general empirical analysis of the damage on import of palm oil brought by trade financing.If there is a chance that we can make further research on this issue,a more sufficient conclusion will be reached at that time.