The deficit in trade of China's farm produce in the first three quarters was up 45 percent over last year to 2.29 billion U.S. dollars, according to statistics from the Ministry of Agriculture.

Imports rose 13.9 percent to 24.4 billion U.S. dollars while exports rose 11.4 percent to 22.1 billion U.S. dollars.

The total volume of farm produce in the period was up 12.7 percent.

The ministry attributed the rising deficit to export barriers and a lack of competitiveness among Chinese producers.

It said the deficit mainly concerned livestock products, soybean, and cotton.

The deficit in livestock products reached 630 million U.S. dollars in the January to September period, up 30.2 percent over 2005.

From January to September, Asia remained the largest market for China's farm produce exports, but China's market share tumbled.

Japan, the largest single overseas market for Chinese farm produce exports, implemented the Positive List System for Agricultural Chemical Residues on May 29 this year.

The new system, which imposes much stricter standards for agricultural product residues, directly affects Chinese exports.

China exported nearly 8 billion U.S. dollars worth of agricultural products to Japan in 2005.

Source: Xinhua