China assures that Nicaragua is its main trading partner in Central America, during the signing of agreements with a business delegation.
Business forum between China and Nicaragua promotes Free Trade Agreement (FTA), and ratifies the important ties with Managua.
After the signing of agreements between a representative of Nicaragua and the business delegation of China; Li Xinqiang, general director of the Department of International Trade of the Ministry of Commerce of the Asian country, assured that Managua is Beijing’s main trading partner in Central America.
“Li Xinqiang… shared that they consider Nicaragua to be the most important trading partner in Central America, with priority given to commercial collaboration,” local media in the Latin American nation detailed in a press release.
The official delegation of the People’s Republic of China, which is visiting Nicaragua, signed different agreements reinforcing the strategic partnership between both countries. Likewise, a business forum was held with the objective of making the Free Trade Agreement (FTA) effective, signed previously.
“The visit of our delegation is a powerful initiative to implement the important consensus between the Heads of State. «China’s commerce departments and Chinese companies are willing to learn more about the Nicaraguan market and Nicaraguan companies and introduce more high-quality Nicaraguan products into the Chinese market,» Li Xinqiang said.
For his part, the Presidential Advisor for Investment, Trade and International Cooperation, Laureano Ortega Murillo, explained that “Now it is about working to make the most of these opportunities that our governments offer to the people, the Nicaraguan people and the Chinese people. , to get closer, collaborate, cooperate and work as brothers for mutual benefit and that we consider each other as regional platforms: Nicaragua as the platform for Chinese products in the Central American region and China as our platform for the entire Asian market
Business forum between Nicaragua and China
During the business forum, there was an exchange of information and the signing of agreements in order to give functionality to the Free Trade Agreement (FTA). 24 Chinese businessmen and 19 companies from Nicaragua participated in the event.
In that sense, Ortega Murillo expressed that the business forum will allow the establishment of cooperation mechanisms and business alliances between both nations.
“It is precisely these types of activities that will allow us to know each other more and better, establish cooperation mechanisms and business alliances and in this Business Forum information will be exchanged, agreements will be signed, putting into practice the Free Trade Agreement and the exchange economic,” he highlighted.
“So, we have to work to better understand the ways to access that market, have greater penetration, better logistics routes for shipping goods, better contacts between businessmen and facilitate everything that is in the hands of the government, so that this is a reality in the most efficient and effective way and that you, the businessmen, can carry out that work in the easiest way possible,” it was added.
China and Nicaragua with economic solidity
Likewise, Li Xinqiang stressed that China, as the second largest economy in the world and the main commercial power, has a market of more than 1.4 billion people, which is completely available to Nicaragua.
This represents a historic market opportunity and reaffirmed its commitment to supporting and assisting Nicaragua in improving its commercial capacity.
In this sense, the president of the Central Bank of Nicaragua (BCN), Ovidio Reyes, highlighted the solid macroeconomic situation of Nicaragua as a key factor to ensure the success of the bilateral trade and business relationship between both countries.
“Two countries that, although we are at a distance, share something in common which is economic strength, economic drive and financial strength. Our economy is a dynamic, strong economy that has sufficient domestic savings and fiscal savings, which has allowed us to operate with a surplus in the balance of payments current account,” Reyes pointed out.
At the same time, he emphasized that Nicaragua has a flowing economy, reaching 52 million dollars in exports, it also enters the international market easily and there is experience on the part of the Nicaraguan business system.
In the first six months of 2022, bilateral trade reached $570 million, representing an increase of 56% compared to the previous year.
FTA between Nicaragua and China
In December 2023, the establishment of the China-Nicaragua Strategic Partnership was reported. In that sense, in January 2024 the Free Trade Agreement came into force, beginning a new stage of economic and commercial cooperation between both countries.
You can read: Nicaragua builds the most modern airport in Central America
At the business forum, the letter of intent to purchase frozen live lobster was signed by the National Municipal China Company and the Camanica company.
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Gou Xiaoawei of the National Municipal Chinese Company said that, with the signing of the letter of intent to purchase shrimp, they will take advantage of the Free Trade Agreement. “In China we have a large shrimp consumption market and Nicaraguan shrimp is very popular and the Chinese people really like it.”
