Chinese
Home
site map
Contact us
Mail to us

China Agricultural Newsletter - February 2014

The China Agricultural Update is provided by the Iowa Economic Development Authority's (IEDA) office in China, which is operated by Phoenix Consulting LLC. Ms. Wendy Zhang, IEDA's trade specialist in the China office, can provide customized market research information for your company. For more information on how to utilize the services offered by IEDA's Beijing Office, please contact Mr. Joseph Rude at joseph.rude@iowa.gov.

Laws, Regulations and Policies

China reforms registration rules to benefit businesses

 BEIJING, Feb. 18 (Xinhua) - The State Council, China's Cabinet, announced on Tuesday it has approved a plan to reform business registration in an effort to ease market access.

China to unify rural, urban pension systems

 China plans to reform its pension scheme by unifying the two separate systems for urban and rural residents to allow people better access to social benefits, according to a statement issued after the meeting presided over by Premier Li Keqiang on Friday.

China to allow private investors to establish rural commercial banks

 BEIJING, Feb. 6 (Xinhua) - China will allow private investors to establish rural commercial banks to inject more funds into the countryside and boost rural development, according to the China Banking Regulatory Commission (CBRC).

Credit policy stresses rural finance, new industries

 BEIJING, Feb. 21 (Xinhua) - China's central bank has informed all branches and financial institutions of this year's credit policy, stressing better services for rural finance and emerging industries, the Shanghai Securities News reported on Friday.

China renews farm produce pricing mechanism

 China will sever the link between produce prices and government subsidies to build price mechanism that benefits both both customers and farmers, China's top economic planner said.

China to finance new farming practices

China will offer customized financial services to new farming practices to push agricultural modernization, China's central bank said on Friday.

China raises state purchasing prices for rice

 China's top economic planner said Tuesday it would raise the minimum state purchasing prices for rice in major farming areas by up to 3.3 percent this year.

China announces pork purchase scheme

 The Chinese government announced on Wednesday a pork purchase plan to stabilize depressed prices, as production of live pigs remain high.

China to compensate wholesalers US$4 for each chicken culled

 Due to bird flu, the Chinese government will compensate wholesalers HKD30 (US$3.90) for each chicken culled last month while breeders will get HKD30 (US$3.90) ex gratia for each chicken that could not be sold at a prime age because of suspension of the trade, the South China Morning Post reported.

Industry and Business Watch

Minister Han calls for effective on-farm management of 2014 spring crops

 MOA convened the national video-conference on on-farm management & crop farming preparation for spring 2014 on Feb. 8. The conference analyzed current situation of grain production, and outlined working priorities of spring crop farming this year.

Farm price targets 'will stabilize domestic market'

 China's move to set up a target price system for farm products will stabilize domestic grain prices and encourage imports of products such as corn, soybeans and cotton, said industry experts.

China's farmland goes to larger entities

 The use rights of 340 million mu (22.7 million hectares) of farmland had been transferred to larger farming entities as of the end of 2013, the Ministry of Agriculture said on Sunday.

Agricultural cooperatives can ensure food safety: experts

 China should focus on agricultural cooperatives to ensure better food safety and quality, industry experts said at a meeting on Wednesday.

Vice minister stresses commercial seed industry

 China's Vice Minister of Science and Technology Zhang Laiwu on Thursday stressed the need to reshape the country's seed industry through commercial and innovative elements.

China's soy production to decline 8% in 2013-14 season

 The official China National Grains and Oil Information Centre (CNGOIC) think tank said that in 2013-14, China's soy production will drop 8% to 12 million tonnes, Reuters reported.

China's soy demand continue to grow

 Over the next decade, Chinese demand for soy will continue to spiral higher, accounting for almost all the anticipated growth in world trade, the USDA said.

US and China discuss corn quality and biotechnology issues

 Chinese delegation of provincial State Administration of Grain (SAG) officials visited the US Grains Council (USGC) in Washington D.C. to tackle US corn quality and biotechnology issues. 

China rejected over 600,000 tonnes of US corn due to unapproved GMO

 Chinese importers have cancelled purchases of four cargoes of US corn in February 2014, citing unapproved genetically-modified strain, after one cargo was diverted to Vietnam, according US government data.

China's wheat imports surged 50% in 2013

 China's wheat imports increased by 50% in 2013. In fact, in December 2013, total imports amounted to 395,200 tonnes, an increase of 5,319% on-year, as compared to 7,290 tonnes in December 2012, according to Citigroup Inc.

H7N9 bird flu leaves chicken farmers struggling

 H7N9 bird flu outbreak became more severe over the Spring Festival or Chinese New Year holidays, dealing a blow to the poultry industry in the southern province of Guangdong, according to the provincial department of agriculture.

Tyson slowing down poultry house construction plans in China

 Tyson Foods isn't backing off of its plans to grow its operations in China, but slow market conditions there have prompted the company to slow down those plans until the demand for chicken in China improves. Donnie Smith, CEO of Tyson Foods, explained that the poultry industry in China has not recovered from tough times as quickly as the company thought they would.

China's 2013 live cattle imports down, meat imports up

 Although there has been a surge in cattle imports for beef breeding and finishing, China's imports of live cattle dropped to 102,245 cattle in 2013, a decrease of 26,004 from 2012, according to China Customs data. 

Australia's beef exports to China soar by 371% in 2013

 Australian beef and veal exports to China skyrocketed 371% on-year to 154,833 tonnes during 2013, accounting for 14% of the country's total annual shipments, reported Meat and Livestock Australia. 

Lamb imports soar as former favorite cuts get the chop from shoppers

 China's hunger for lamb and mutton has pushed the country to import more of it recently with trade partners that help the nation keep up with domestic demand for the high-protein, low-fat meat.

China's Yili sets up dairy R&D center in Europe

 Yili Group, ranked the 12th dairy producer in the world, will jointly establish a Netherlands-based and Europe-targeted R&D entity with top European life science institution –Wageningen University, marking its latest overseas investment following investments in New Zealand, USA and Italy. 

China invests in establishing new milk plants

 China is in negotiations to bankroll construction of several raw milk powder plants in New South Wales as the state's dairy industry looks at ways to supplement its supply contracts with the big supermarket chains. 

Foreign companies join the fray for China's dairy market

 Foreign companies are ramping up investments in the China's dairy industry, intensifying the consolidation of the country's hotly competed dairy sector. 

Statistics

Average food prices in 50 cities February 11-20, 2014

 

Item

Specification/Unit

Current price

(RMB)

Percentage changes

as compared to last period

(%, February 1-10, 2014)

Rice

Japonica rice / kg

5.93

0.0

Flour

Strong flour / kg

5.50

0.2

Flour

Standard wheat / kg

4.49

0.0

Soy products

Bean curd / kg

4.46

-0.5

Peanut oil

5 Lin barrel bulk / litre

27.28

0.3

Soyabean oil

5 Lin barrel bulk / litre

11.23

0.1

Rape seed oil

Grade 1 in bulk / kg

14.08

-0.1

Pork

Rump / kg

25.04

-3.5

Pork

Belly meat / kg

24.98

-3.9

Beef

Leg / kg

67.37

-0.7

Mutton

Leg / kg

67.59

-0.4

Chicken

Frozen fresh chicken / kg

18.79

-0.9

Chicken

Breast / kg

20.71

-0.2

Ducks

Frozen fresh duck / kg

16.80

-0.5

Eggs

Fresh eggs in bulk / kg

9.58

-3.0

Source: China National Bureau of Statistics

Major meat retail price February 2014

Pork (Lean):
                                                                      RMB1.00 yuan/kg
Average Sales Price (Street markets & Supermarkets)
Var. Percent
A.       02/01/14-
02/10/14
B.       01/21/14-
01/31/14
C.       01/01/14-
01/10/14
D.       02/01/13-
02/10/13
(A-B)/B
(A-C)/C
(A-D)/D
30.36
30.04
30.48
31.68
1.07%
-0.39%
-4.17%
 
Egg:
                                                                      RMB1.00 yuan/kg
Average Sales Price (Street markets & Supermarkets)
Var. Percent
E.        02/01/14-
02/10/14
F.        01/21/14-
01/31/14
G.       01/01/14-
01/10/14
H.       02/01/13-
02/10/13
(E-F)/F
(E-G)/G
(E-H)/H
9.94
9.98
10.02
10.72
-0.40%
-0.80%
-7.28%
 
Chicken:       
                                                                              RMB1.00 yuan/kg
Average Sales Price (Street markets & Supermarkets)
Var. Percent
I.         02/01/14-
02/10/14
J.         01/21/13-
01/31/13
K.       01/01/14-
01/10/14
L.        02/01/13-
02/10/13
(I-J)/J
(I-K)/K
(I-L)/L
18.34
18.20
18.08
18.82
0.77%
1.44%
-2.55%
Source: China Animal Agriculture Association
 
Copyright