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Canadian Wheat Board and China Cereals Oilseeds and Foodstuffs Corporation announce new technical centre in Beijing
Beijing, China
December 9, 2005

The Canadian Wheat Board (CWB) and the China Cereals Oilseeds and Foodstuffs Corporation (COFCO) are pleased to announce their joint plans for a training and technical centre in Beijing. The centre, slated to open in April 2007, will support China's milling and food-processing industry.

"Due to strong economic growth and increased demand for premium-quality, wheat- based foods, China is poised to become an even more important market for western Canadian wheat," said Adrian Measner, CWB president and CEO, in Beijing to attend celebrations marking the CWB's 70th anniversary. "This technical centre will provide Chinese wheat processors with the information they need to make the most of this high-quality product. It will pay dividends for western Canadian farmers by strengthening China's demand for Prairie wheat."

COFCO president Liu Fuchun said the CWB China Technical Centre is a natural extension of a long relationship between COFCO and the CWB.

"We have enjoyed doing business with the CWB for many years," he said. "The CWB China Technical Centre grows naturally out of a long and positive relationship."

The facility will provide training, educational seminars, technical exchanges and technical support to CWB customers and will promote the use of western Canadian-grown grain in a range of bread and noodle products. The Canadian International Grains Institute (CIGI), funded 40 per cent by farmers, will be involved in developing technical programs and training activities. CIGI is a non-profit market development organization which promotes Canada's field crop industries in international and domestic markets through educational programming and technical activities.

The CWB will provide capital funding of $1 million to establish the centre, with operating costs being shared between the CWB and COFCO. The CWB's contribution will be funded through the CWB's special account, comprised of farmer cheques which have remained uncashed for six years or more. Decisions regarding location of the centre, equipment and staffing will be made throughout 2006.

The relationship between the CWB and COFCO has spanned more than four decades. Since the 1960s, COFCO has purchased more than 115 million tonnes of western Canadian wheat. For the past two crop years, it has been the CWB's biggest customer.

Controlled by western Canadian farmers, the CWB is the largest wheat and barley marketer in the world. As one of Canada's biggest exporters, the Winnipeg-based organization sells to over 70 countries and returns all sales revenue, less marketing costs, to Prairie farmers.

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