RESTRICTED WORLD TRADE ORGANIZATION
ORGANISATION MONDIALE DU COMMERCE
ORGANIZACIÓN MUNDIAL DEL COMERCIOWT/ACC/CHN/37
14 September 2000
(00-3576)
Working Party on the
Accession of ChinaOriginal:  English/
anglais/
inglés
COMMUNICATION FROM CHINA
In preparation for the Working Party meeting on 13-28 September 2000, the Chinese
delegation has submitted the following revised1 document on Information on State Trading, dated
8 September 2000.2
Groupe de travail del'accession de la Chine
COMMUNICATION DE LA CHINE
En vue de la réunion du Groupe de travail qui aura lieu du 13 au 28 septembre 2000, la
délégation chinoise a communiqué le document révisé
1  ci-après concernant les renseignements sur le
commerce d'État, daté du 8 septembre 2000.2
Grupo de Trabajo sobre la
Adhesión de China
COMUNICACIÓN DE CHINA
Para preparar la reunión del Grupo de Trabajo que se celebrará del 13 al 28 de septiembre
de 2000, la delegación china ha presentado el siguiente documento revisado1, relativo a la información
sobre comercio de Estado, de fecha 8 de septiembre de 2000.2
                                                     
1 Former version issued in document WT/ACC/CHN/28./L'ancienne version a été distribuée sous la
cote WT/ACC/CHN/28./La versión anterior se publicó en el documento WT/ACC/CHN/28.
2 In English only./En anglais seulement./En inglés solamente.WT/ACC/CHN/37
Page 2
INFORMATION ON STATE-TRADING
8 September 2000
China maintains enterprises covered by the provisions of Article XVII. The products listed in
the Annex 2a-1 and Annex 2a-2 in its Protocol are subject to state trading which is carried out by the
following corporations.
I. CHINA NATIONAL CHEMICAL IMPORT AND EXPORT CORPORATION
(SINOCHEM)
1. Reason and purpose
In order to ensure a stable supply of chemical fertilizer essential for domestic agricultural
production and prevent the commercial interests of the customers from being damaged by
price fluctuation, the Ministry of Foreign Trade and Economic Cooperation (MOFTEC)
authorized SINOCHEM to have the right to im port chemical fertilizer. For the same reason,
MOFTEC also authorized the company to have the right to import and export crude oil and
processed oil.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of fertilizer, crude oil and processed oil is conducted bynon-state trading enterprises. At present, th e foreign invested enterprises may import the
products for their own use. The enterprises in  the Special Economic Zones (SEZs) possessing
right to trade may also import the products for their own use. The enterprises engaged in
processing trade could also import raw materials used in their production. The Chinese
government has also committed to expand the percentage of imports by non-state tradingenterprises.
2. Description and functionAs mentioned above, SINOCHEM is authorized to import chemical fertilizer and import and
export crude oil and processed oil. As a specialized trading company with rich experience and
good fame in foreign trade, SINOCHEM acts as a pure agent for domestic users or suppliersof the above-mentioned products. The company negotiates import or export contracts with
foreign suppliers or buyers and charges an amount of commission for its services rendered as
agreed upon between the company and its domestic clients. No import mark-up is charged by
SINOCHEM. The export price is also decided by domestic suppliers. Either the import
quantity or export quantity is determined by domestic users or suppliers. The companyconducts its trading activities on the basis of on commercial considerations.
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Crude oil 1.88 3.97 1.97
Process oil 0.13 0.18 0.038
Chemical fertilizer 1.66 3.21 0.15
Export 1997 1998 1999
Crude oil 4.33 3.49 2.29
Process oil 0.46 0.20 0.12WT/ACC/CHN/37
Page 3
II. CHINA NATIONAL AGRICULTURAL MEANS OF PRODUCTION GROUP
CORPORATION (CNAMPGC)
1. Reason and purpose
In order to ensure a stable supply of chemical fertilizer essential for domestic agricultural
production and prevent the commercial interests of the customers from being damaged by
price fluctuation, MOFTEC authorized CNAM PGC to have the right to import chemical
fertilizer.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of fertilizer is conducted by non-state trading enterprises.At present, the foreign invested enterprises may import the products for their own use. The
enterprises the Special Economic Zones (SEZs) possessing right to trade may also import the
products for their own use. The enterprises engaged in processing trade could also import raw
materials used in their production. The Chinese government has also committed to expand the
percentage of imports by non-state trading enterprises.
2. Description and functionAs mentioned above, CNAMPGC is authorized to import chemical fertilizer. As a specialized
trading company with rich experience and g ood fame in foreign trade CNAMPGC acts as a
pure agent for domestic users of the products. The company negotiates import contracts with
foreign suppliers and charges an amount of commission for its services rendered as agreed
upon between the company and its domestic clients. No import mark-up is charged by
CNAMPGC. The import quantity is determined by domestic users. The company conducts its
trading activities on the basis of on commercial considerations.
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Chemical fertilizer * * 3.29
III. CHINA NATIONAL CEREALS, OILS  AND FOODSTUFF IMPORT & EXPORT
CORPORATION (COFCO)
1. Reason and purpose
In order to ensure a stable supply of grain (including wheat and corn), soybean, sugar and
vegetable oil and prevent the commercial interests of the customers from being damaged by
price fluctuation, MOFTEC authorized CO FCO to have the import wheat, sugar and
vegetable oil and export corn and soybeans.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of the above-mentioned products is conducted by non-state
trading enterprises. At present, the foreign invested enterprises may import the products for
their own use. The enterprises the Special Economic Zones (SEZs) possessing right to trade
may also import the products for their own use. The enterprises engaged in processing tradecould also import raw materials used in their production. The Chinese government has also
committed to expand the percentage of imports by non-state trading enterprises.WT/ACC/CHN/37
Page 4
2. Description and function
As mentioned above, COFCO is authorized to import wheat, sugar and vegetable oil and
export corn and soybeans. As a specialized tr ading company with rich experience and good
fame in foreign trade, COFCO acts as a pure agent for domestic users or suppliers of theabove-mentioned products. The company negotiates import or export contracts with foreign
suppliers or buyers and charges an amount of commission for its services rendered as agreed
upon between the company and its domestic clients. No import mark-up is charged by
COFCO. Export price is also fixed by domestic suppliers. Either the import quantity or export
quantity is fixed by domestic users or suppliers. The company conducts its trading activities
on the basis of on commercial considerations..
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Wheat 0.59 0.89 0.25
Sugar 0.11 0.092 0.0998
Vegetable oil 0.19 0.28 0.299
Export 1997 1998 1999
Corn 3.63 2.58 2.37
Soybeans 0.10 0.08 0.10
IV. CHINA NATIONAL TEXTILES IMPORT & EXPORT CORPORATION
(CHINATEX)
1. Reason and purpose
In order to ensure a stable supply of cotton and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized CHINATEX tohave the right to import and export cotton.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of cotton is conducted by non-state trading enterprises. At
present, the foreign invested enterprises ma y import the products for their own use. The
enterprises the Special Economic Zones (SEZs) possessing right to trade may also import the
products for their own use. The enterprises engaged in processing trade could also import raw
materials used in their production. The Chinese government has also committed to expand the
percentage of imports by non-state trading enterprises.
2.  Description and function
As mentioned above, CHINATEX is authorized to import and export cotton. As a specialized
trading company with rich experience and good fame in foreign trade CHINATEX acts as a
pure agent for domestic users or suppliers of the above-mentioned products. The company
negotiates import or export contracts with foreign suppliers or buyers and charges an amount
of commission for its services as agreed upon between the company and its domestic clients.No import mark-up is charged by CHINATEX. Export price is also fixed by domestic
suppliers. Either the import quantity or export quantity is fixed by domestic users or suppliers.
The company chooses foreign suppliers or buyers on the basis of commercial considerations.WT/ACC/CHN/37
Page 5
3. Statistical information
Import 1997 1998 1999
Cotton 947 tons 0 0
Export 1997 1998 1999
Cotton 413 tons 45,000 tons 238,000 tons
Raw cotton fabric 88,000 m282,000 m2104,000 m2
V. CHINA NATIONAL TOBACCO IMPORT & EXPORT CORPORATION (CTC)
1. Reason and purpose
In order to alleviate the adverse effect of tobacco and its products on the public health, the
State Administration on Tobacco Monopoly authorized CTC to be the sole importer of
tobacco and its products in accordance with the Law of the People's Republic of China on
Tobacco Monopoly.
2. Description and functionCTC may import the above-mentioned products on behalf of domestic users. In such cases it
negotiates import contracts with foreign suppliers and charges an amount of commission forits services rendered as agreed upon between the company and the domestic users. No import
mark-up is charged by the company and the import quantity is fixed by domestic users.
Foreign suppliers are chosen by the company on the basis of commercial considerations. The
company also imports these products on its own, in which case the domestic selling price of
the product concerned is determined by such factors as import price, customs duty and areasonable profit while the import quantity is determined by factors including marketability of
the product.
3. Statistical information
Import 1997 1998 1999
Tobacco 12000 tons 4000 tons 7000 tons
VI. CHINA NATIONAL METALS AND MINERALS IMPORT & EXPORT
CORPORATION (MINMETAL)
1. Reason and purpose
In order to ensure sustainable exploitation of mineral resources and to preserve environment,
MOFTEC authorized MINMETAL to have th e right to export tungsten ores, ammonium
paratungstate, tungsten products, an timony products and antimony oxides.
2. Description and functionAs mentioned above, the company is authorized to export the above-mentioned products. As a
specialized trading company with rich experience and good fame in foreign trade it acts as a
pure agent for domestic suppliers of these products. The company negotiates export contractswith foreign buyers and charges an amount of commission for its services as agreed upon
between the company and its domestic clients. Both export quantity and export prices areWT/ACC/CHN/37
Page 6
fixed by domestic suppliers. The company chooses foreign buyers on the basis of commercial
considerations.
3. Statistical information
Unit: tons
Export 1997 1998 1999
tungsten ores 413 105 44
ammonium paratungstate 8000 7000 6000
tungsten products 5000 7000 8000
antimony products 18,000 12,000 25,000
antimony oxides. 16,000 15,000 20,000
VII. CHINA NATIONAL SILK IMPORT & EXPORT CORPORATION
1. Reason and purpose
Because silk and greig are traditional commodities peculiar to China and have a  long-
standing good reputation in the world, MOFTEC authorized China National Silk Import &
Export Corporation to export silk and greig.
2. Description and function
As mentioned above, the company is authorized to export silk and greig. As a specialized
trading company with rich experience and good fa me in foreign trade it acts as a pure agent
for domestic suppliers of the above-mentioned products. The company negotiates export
contracts with foreign buyers and charges an amount of commission for its services as agreed
upon between the company and its domestic clients. Both export price and export quantity arefixed by domestic suppliers. The company chooses foreign buyers on the basis of commercial
considerations.
3. Statistical information
Export 1997 1998 1999
Greig 13,000 meters 45,000 meters 238,000 meters
Silk 22,000 tons 18,000 tons 24,000 tons
VIII. CHINA NATIONAL NON-FERROUS IMPORT & EXPORT CORPORATION
1. Reason and purpose
In order to ensure sustainable exploration of mineral resources and to preserve environment,
MOFTEC authorized China Na tional Non-ferrous Import & Export Corporation to export
tungsten ores, ammonium paratungstate, tung sten products, antimony products and antimony
oxides, along with Minmetal.
2. Description and functionAs mentioned above, the company is authorized export the above-mentioned products. As a
specialized trading company with rich experien ce and good fame in foreign trade it acts as a
pure agent for domestic suppliers of the above-mentioned products. The company negotiatesWT/ACC/CHN/37
Page 7
export contracts with foreign buyers and charges an amount of commission for its services
rendered as agreed upon between the company and its domestic clients.  Both export price
and export quantity are fixed by domestic users or suppliers. The company chooses foreign
buyers on the basis of commercial considerations.
3. Statistical information
Unit: tons
Export 1997 1998 1999
tungsten ores 388 86 36
ammonium paratungstate 7000 6000 5000
tungsten products 4000 6000 6000
antimony products 14,000 10,000 20,000
antimony oxides. 13,000 13,000 17,000
IX. CHINA NATIONAL UNITED OIL CORPORATION
1. Reason and purpose
In order to ensure a stable supply of crude oil and processed oil and prevent the commercial
interests of the customers from being damaged by price fluctuation, the Ministry of Foreign
Trade and Economic Cooperation (MOFTEC) authorized China National United Oil
Corporation to have the right to import crude oil and processed oil.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of crude oil and processed oil is conducted by non-state
trading enterprises. At present, the foreign invested enterprises may import the products for
their own use. The enterprises the Special Economic Zones (SEZs) possessing right to trademay also import the products for their own use. The enterprises engaged in processing trade
could also import raw materials used in their production. The Chinese government has also
committed to expand the percentage of imports by non-state trading enterprises.
2. Description and functionAs mentioned above, the company is authorized to import and export crude oil and processed
oil. As a specialized trading company with ri ch experience and good fame in foreign trade it
acts as pure agent for domestic users or suppliers of the above-mentioned products. The
company negotiates import or export contracts with foreign suppliers or buyers and charges
an amount of commission for its services as agreed upon between the company and its
domestic clients. No import mark-up is charged by the company. Export price is also fixed bydomestic suppliers. Either the import quantity or export quantity is fixed by domestic users or
suppliers. The company conducts its trading activities on the basis of on commercial
considerations.WT/ACC/CHN/37
Page 8
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Crude oil 0.23 0.47 1.69
Process oil 0.24 0.19 0.10
Export 1997 1998 1999
Crude oil 9.75 7.84 5.13
Process oil 1.03 0.44 0.27
X. CHINA INTERNATIONAL UNITED PETROLEUM & CHEMICALS
CORPORATION
1. Reason and purpose
In order to ensure a stable supply of crude oil and processed oil and prevent the commercial
interests of the customers from being dama ged by price fluctuation, MOFTEC authorized
China International United Petroleum & Chemicals Corporation to have the right to importand export crude oil and processed oil.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of crude oil and processed oil is conducted by non-state
trading enterprises. At present, the foreign invested enterprises may import the products for
their own use. The enterprises the Special Economic Zones (SEZs) possessing right to trade
may also import the products for their own use. The enterprises engaged in processing trade
could also import raw materials used in their production. The Chinese government has also
committed to expand the percentage of imports by non-state trading enterprises.
2. Description and function
As mentioned above, the company is authorized to import and export crude oil and processed
oil. As a specialized trading company with ri ch experience and good fame in foreign trade it
acts as a pure agent for domestic users or suppliers of the above-mentioned products. Thecompany negotiates import or export contracts with foreign suppliers or buyers and charges
an amount of commission for its services rendered as agreed upon between the company and
its domestic clients. No import mark-up is charged by the company. Export price is also fixed
by domestic suppliers. Either the import quantity or export quantity is fixed by domestic users
or suppliers. The company conducts its trading activities on the basis of on commercial
considerations.
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Crude oil 14.61 10.51 18.77
Process oil 1.53 0.34 0.14
Export 1997 1998 1999
Crude oil 7.58 6.10 3.40
Process oil 0.8 0.34 0.21WT/ACC/CHN/37
Page 9
XI. CHINA LIANGFENG CEREALS IMPORT AND EXPORT CORPORATION
1. Reason and purpose
In order to ensure a stable supply of vegetable oil, corn and soybeans and prevent the
commercial interests of the customers from being damaged by price fluctuation, MOFTEC
authorized China Liangfeng Cereals Import and Export Corporation to have the right to
import vegetable oil and export corn and soybeans.
With the further progress in reforming China's foreign trade regime, a considerable
percentage of China's importation of the above-mentioned products is conducted by non-state
trading enterprises. At present, the foreign invested enterprises may import the products for
their own use. The enterprises the Special Economic Zones (SEZs) possessing right to trade
may also import the products for their own use. The enterprises engaged in processing trade
could also import raw materials used in their production. The Chinese government has also
committed to expand the percentage of imports by non-state trading enterprises.
2. Description and function
As mentioned above, the company is authorized to import vegetable oil and export corn and
soybeans. As a specialized trading company with  rich experience and good fame in foreign
trade it acts as a pure agent for domestic users or suppliers of the above-mentioned products.The company negotiates import or export contracts with foreign suppliers or buyers and
charges an amount of commission for its services rendered as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. Export
price is also fixed by domestic suppliers. Either the import quantity or export quantity is fixed
by domestic users or suppliers. The company chooses foreign suppliers or buyers on the basisof commercial considerations.
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Vegetable oil 0.14 0.31 0.73
Export 1997 1998 1999
Corn 2.97 2.11 1.94
Soybeans 0.8 0.7 0.8
XII. CHINA NATIONAL COAL INDUSTRY IMPORT & EXPORT CORPORATION
1. Reasons and purpose
In order to ensure sustainable exploitation of mineral resources and to preserve environment,
MOFTEC authorized China National Coal Indus try Import & Export Corporation to have the
right to export coal.
2. Description and function
As mentioned above, the company is authorized export coal. As a specialized trading
company with rich experience and good fame in foreign trade it acts as a pure agent for
domestic suppliers of the above-mentioned product. The company negotiates export contracts
with foreign buyers and charges an amount of commission for its services as agreed uponWT/ACC/CHN/37
Page 10
between the company and its domestic clients. Both export price and export quantity are fixed
by domestic suppliers. The company chooses foreign suppliers or buyers on the basis of
commercial considerations.
3. Statistical information
Unit: million tons
Export 1997 1998 1999
Coal 264.3 280 374.1
XIII. CHINA NATIONAL NATIVE PRODUCTS AND ANIMAL BY-PRODUCT IMPORT
& EXPORT CORPORATION
1. Reason and purpose
In order to ensure a stable supply of vegetable oil and tea and prevent the commercial
interests of the customers from being dama ged by price fluctuation, MOFTEC authorized
China National Native Products and Animal By -product Import & Export Corporation to have
the right to import vegetable oil and export tea.
Since tea is a traditional Chinese commodity w ith long-standing good reputation in the world,
MOFTEC authorized China National Native Products and Animal By-product Import &Export Corporation to have the right to export tea
2. Description and functionAs mentioned above, the company is authorized to import vegetable oil and export tea. As a
specialized trading company with rich experience  and good fame in foreign trade it acts as a
pure agent for domestic users or suppliers of the above-mentioned products. The company
negotiates import or export contracts with foreign suppliers or buyers and charges an amount
of commission for its services as agreed upon between the company and its domestic clients.
No import mark-up is charged by the company. Export price is also fixed by domesticsuppliers. Either the import quantity or export quantity is fixed by domestic users or suppliers.
The company chooses foreign suppliers or buyers on the basis of commercial considerations.
3. Statistical information
Unit: tons
Import 1997 1998 1999
Vegetable oil 15,000 48,000 196,000
Export 1997 1998 1999
Tea 12,000 15,000 17,000
XIV. CHINA RESOURCES CORPORATION
1. Reason and purpose
In order to ensure a stable supply of vegetable oil and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Resources
Corporation to have the right to import vegetable oil.WT/ACC/CHN/37
Page 11
2. Description and function
As mentioned above, the company is authorized to import vegetable oil. As a specialized
trading company with rich experience and good fa me in foreign trade it acts as a pure agent
for domestic users or suppliers of vegetable oil. The company negotiates import contractswith foreign suppliers and charges an amount of commission for its services as agreed upon
between the company and its domestic clients. No import mark-up is charged by the
company. The import quantity is fixed by domestic users. The company chooses foreign
suppliers on the basis of commercial considerations.
3. Statistical information
Unit: tons
Import 1997 1998 1999
Vegetable oil 65,000 4,600 3,000
XV. CHINA NAM KWONG NATIONAL IMPORT & EXPORT CORPORATION
1. Reason and purpose
In order to ensure a stable supply of vegetable oil and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Nam KwongImport & Export Corporation to have the right to import vegetable oil.
2. Description and functionAs mentioned above, the company is authorized to import vegetable oil. As a specialized
trading company with rich experience and good fa me in foreign trade it acts as a pure agent
for domestic users of vegetable oil. The co mpany negotiates import contracts with foreign
suppliers and charges an amount of commission for its services as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. The import
quantity is fixed by domestic users. The company chooses foreign suppliers on the basis ofcommercial considerations.
3. Statistical information
Unit: tons
Import 1997 1998 1999
Vegetable oil 42,000 13,000 41,000
XVI. CHINA CEREALS, OIL & FOODSTUFF CORPORATION (GROUP)
1. Reason and purpose
In order to ensure a stable supply of vegetable oil and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Cereals, Oil
& Foodstuff Corporation to have the right to import vegetable oil.WT/ACC/CHN/37
Page 12
2. Description and function
As mentioned above, the company is authorized to import vegetable oil. As a specialized
trading company with rich experience and good fame in foreign trade it acts as a pure agent
for domestic users of vegetable oil. The co mpany negotiates import contracts with foreign
suppliers and charges an amount of commission for its services as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. The import
quantity is fixed by domestic users. The company chooses foreign suppliers on the basis of
commercial considerations.
3. Statistical information
Unit: tons
Import 1997 1998 1999
Vegetable oil 143,000 312,000 726,000
XVII. CHINA EXPORT COMMODITIES BASE CONSTRUCTION CORPORATION
1. Reason and purpose
In order to ensure a stable supply of sugar and prevent the commercial interests of the
customers from being damaged by price fluc tuation, MOFTEC authorized China Export
Commodities Base Construction Corporation to have the right to import sugar.
2. Description and functionAs mentioned above, the company is authorized  to import sugar. As a specialized trading
company with rich experience and good fame in  foreign trade, the company acts as a pure
agent for domestic users of sugar. The company negotiates import contracts with foreign
suppliers and charges an amount of commission for its services rendered as agreed upon
between the company and its domestic clients. No import mark-up is charged by the
company. The import quantity is fixed by domestic users. The company conducts its tradingactivities on the basis of on commercial considerations..
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Sugar 0 0 0
XVIII. CHINA OVERSEAS TRADE CORPORATION
1. Reason and purpose
In order to ensure a stable supply of sugar and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Overseas
Trade Corporation to have the right to import sugar.WT/ACC/CHN/37
Page 13
2. Description and function
As mentioned above, the company is authorized  to import sugar. As a specialized trading
company with rich experience and good fame in  foreign trade, the company as a pure agent
for domestic users of sugar. The company nego tiates import contracts with foreign suppliers
and charges an amount of commission for its services rendered as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. The import
quantity is fixed by domestic users. The company conducts its trading activities on the basis
of on commercial considerations..
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Sugar 0 0 0
XIX. CHINA SUGAR & WINE CORPORATION (GROUP)
1. Reason and purpose
In order to ensure a stable supply of sugar and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Sugar &Wine Corporation (Group) to have the right to import sugar.
2. Description and functionAs mentioned above, the company is authorized  to import sugar. As a specialized trading
company with rich experience and good fame in  foreign trade, the company as a pure agent
for domestic users of sugar. The company nego tiates import contracts with foreign suppliers
and charges an amount of commission for its services rendered as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. The import
quantity is fixed by domestic users. The company conducts its trading activities on the basisof on commercial considerations..
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Sugar 0 0 0
XX. CHINA COMMERCE FOREIGN TRADE CORPORATION
1. Reason and purpose
In order to ensure a stable supply of sugar and prevent the commercial interests of the
customers from being damaged by price fluctuation, MOFTEC authorized China Commerce
Foreign Trade Corporation to have the right to import sugar.WT/ACC/CHN/37
Page 14
2. Description and function
As mentioned above, the company is authorized  to import sugar. As a specialized trading
company with rich experience and good fame in  foreign trade, the company as a pure agent
for domestic users of sugar. The company nego tiates import contracts with foreign suppliers
and charges an amount of commission for its services rendered as agreed upon between the
company and its domestic clients. No import mark-up is charged by the company. The import
quantity is fixed by domestic users. The company conducts its trading activities on the basis
of on commercial considerations..
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Sugar 0 0 0
XXI. ZHUHAI ZHENRONG COMPANY
1. Reason and purpose
In order to ensure a stable supply of crude oil and processed oil and prevent the commercial
interests of the customers from being damaged by price fluctuation, the Ministry of Foreign
Trade and Economic Cooperation (MOFTEC) authorized Zhuhai Zhenrong Company to havethe right to import crude oil and processed oil.
2. Description and functionAs mentioned above, the company is authorized to import crude oil and processed oil. As a
specialized trading company with rich experien ce and good fame in foreign trade it acts as
pure agent for domestic users of the above-mentioned products. The company negotiates
import contracts with foreign suppliers and charges an amount of commission for its services
as agreed upon between the company and its domestic clients. No import mark-up is charged
by the company. The import quantity is fixed by domestic users. The company conducts itstrading activities on the basis of on commercial considerations.
3. Statistical information
Unit: million tons
Import 1997 1998 1999
Crude oil 3,150,000 3,720,000 3,840,000
Process oil 0 0 0
XXII. BEIJING JIUDA TEXTILES GROUP CORPORATION, TIANJIN TEXTILES
INDUSTRY SUPPLY AND MARKETING CORPORATION AND SHANGHAI
TEXTILES RAW MATERIALS CORPORATION
1. Reason and purpose
Beijing, Tianjin and Shanghai are major production bases of China's textiles industry and the
cotton textile enterprises are highly concentrated in these cities with a high consumption ofcotton. In order to encourage the development of local cotton textile enterprises and to importWT/ACC/CHN/37
Page 15
raw materials in a centralized and expeditious manner, MOFTEC authorized these three
companies to have the right to import cotton.
2. Description and function
As mentioned above, these companies are authorized to import and export cotton. As
specialized trading companies with rich experience and good fame in foreign trade, these
companies act as pure agents for domestic us ers of cotton. These companies negotiate import
contracts with foreign suppliers and charge an amount of commission for their services as
agreed upon between these companies and their domestic clients. No import mark-up is
charged by these companies. The import quantity is fixed by domestic users. These
companies choose foreign suppliers on the basis of commercial considerations.
3. Statistical information
Beijing Jiuda Textiles Group Corporation
Import 1997 1998 1999
Cotton 4,500 tons 200 0
Tianjin Textiles Industry Supply and Marketing Corporation
Import 1997 1998 1999
Cotton 2,400 tons 0 0
Shanghai Textiles Raw Materials Corporation
Import 1997 1998 1999
Cotton 8,800 tons 0 0
__________