China is now accepting applications for duty free import licenses that will be used by state owned companies to buy U.S. agricultural products. USDA Under Secretary Bill Northey says this is a good sign that China wants to meet their first year obligations under the Phase One deal.

National Corn Growers Association President Kevin Ross says they’re encouraged by the move and hope China will not only issue certificates for corn, but DDGs and ethanol.

American Soybean Association President Bill Gordon says while they expect a few purchases duty free for old crop soybeans, he thinks its more likely the bulk of China’s buying will be backloaded when the new crop comes to the markets.

U.S. products like pork are also expected to be high on the shopping list for China, which has seen their herd decimated by African Swine Fever.