US agriculture secretary Mike Johanns and minister Li Changjiang of China's General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) signed a memorandum of understanding to exchange information on food regulations and standards, inspection and quarantine procedures, and other issues such harmful residues and food certification.

"China is an increasingly important market for US food and agricultural products," said Johanns in the statement.

He said the agreement would create a structure "to enable us to address sanitary, phytosanitary and food safety issues before they become barriers to the thriving agricultural trade between our two countries".

US farmers sold more than US$6 billion in agricultural products to China during 2005, making it the country's fifth largest export market.

The United States is also a major export market for China - the fourth biggest for its agricultural and food exporters.

China also agreed conditionally to lift its ban on US beef imports, valued at US$100 million in 2003.

"This decision comes after lengthy technical discussions and is based on evidence that our safeguards work and that science supports the safety of US beef," said Johanns.

The agreement was signed during a Chinese trade delegation visit to Washington DC.