CRO-CHINESE TRADE EXCHANGE BELOW POSSIBILITIES - ECONOMY MINISTER

ZAGREB, Oct 23 (Hina) - Commerce between Croatia and China is below real possibilities, as evidenced by the fact that since 1995 Croatian export to China has been decreasing and import rising. This was concluded by Croatian Economy Minister Nenad Porges during the talks he held in Zagreb on Friday with Chinese Deputy Foreign Trade and International Exchange Minister Zhang Xiang. According to the Croatian Ministry of Economy, Croatia's export to China in 1997 amounted to US$8.5 million, while import reached US$67.4 million, in 1996 export was US$30.4 million and import US$54 million. In the first eight months of this year, Croatia's export to China was a mere US$4 million, while import topped US$37 million. Recalling the successful cooperation between Croatia's oil giant INA and China's Sinochema, which accounts for the greater part of cooperation, Porges suggested the possible expansion of economic cooperation in the machine building and timber-processing industries. INA and Sinochema are currently negotiating on other aspects of business cooperation, such as a joint approach on Russian Federation territory. The two ministers pointed out that cooperation between Croatia's pharmaceutical giant Pliva and Chinese pharmaceutical companies was gaining in importance thanks to long-term joint ventures. Also important was cooperation in shipbuilding. Last year the Rijeka shipyard built three ships for China's "Chipol". Current negotiations include the drafting of scientific-economic projects. The Chinese business delegation, on a four-day visit to Croatia, was especially interested in Croatia's experience in negotiations for inclusion into the World Trade Organisation. (hina) ha