More market vegetables from China could be on their way to Australia but the Asian nation's 700 million farmers do not threaten the Aussie agricultural sector, the State's primary industries minister says.
China plans to loosen restrictions to encourage Australian banks to finance its farmers.
NSW Primary Industries Minister Ian Macdonald said the increased amount of Chinese food would be eaten domestically.
"Their internal demands for food product is massive and is forcing very rapid price hikes into food products right across China," said Mr Macdonald following a visit in May to talk about mining.
"Although over some time I see they would potentially export some product but I can't see that being a threat to our agriculture."