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China Agricultural Newsletter - December 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

Laws, Regulations and Policies

China vows to boost grain yield, farmers' income

China will strive to maintain steady grain yield and boost farmers' income in 2015 as part of the efforts to modernize agriculture, a minister has said.

China seeks new growth by modernizing agriculture

China will tap into its vast rural regions and large rural population next year in an effort to inject new vitality into a slowing economy.

China renews tax breaks to support farm sector

China is increasing its support for agriculture by renewing select tax breaks that have expired, the central government said on Wednesday, in another move to support the real economy.

China to tighten food safety in rural markets

China's food and drug watchdog says the country is going to improve food safety supervision in rural markets. Zhang Jing is a director of food safety with the China Food and Drug Administration.

China OKs modified corn imports

China's lifting of a ban on imports of a genetically modified strain of corn is welcome news in the agricultural community, but the effect on China's agricultural trade will still be muted by domestic surpluses, according to two analysts.

China officially approves imports of Bayer GMO soy variety

China has officially approved imports of a genetically modified Bayer CropScience variety after seven years of review, the company said on Friday.

Mandatory GM food labeling a step closer

Chinese lawmakers began to consider a proposed revision to the country's Food Safety Law on Monday, including mandatory labeling of all goods containing genetically modified organisms.

China to lower import taxes for some goods from January

(Reuters) - China will adjust its import and export taxes from Jan. 1 as part of a larger effort to re-order trade to foster economic growth, the Finance Ministry said on Tuesday.

China offers fresh support for outbound investment

(Reuters) - China will simplify currency rules and step up credit support for firms investing overseas, the cabinet said on Wednesday.

Industry and Business Watch

National Rural Work Conference opens in Beijing

The National Rural Work Conference was held in Beijing from Dec.22 to 23, 2014. In order to implement the decisions of the 18th CPC National Congress, the Third and Fourth Plenary Sessions of the 18th CPC Central Committee, the Central Economic Work Conference and the Central Rural Work Conference, the National Rural Work Conference reviewed the work in 2014, explored ways to accelerate the transformation of the mode of agricultural development, improve and adjust agricultural structure and push forward the development of modern agriculture, and mapped out working priorities of next year.

China,US vow more agri cooperation

Senior Chinese and US officials stressed on Wednesday the importance of bilateral agricultural cooperation to ensure food security in both countries and around the globe.

China's grain output rises 0.9 pct in 2014

China's grain output rose 0.9 percent from last year, reaching 607.1 million tonnes in 2014, according to data released on Thursday by the National Bureau of Statistics (NBS).

China farm produce prices up slightly

China's farm produce prices in 36 large and medium-sized cities edged up slightly in the week ending Dec 21 compared with the previous week, the Commerce Ministry said Thursday.

Modified crops'market impact not clear yet

China's recent approval of three genetically modified (GM) strains of crops should liven up the crop export market.

GM imports may reduce corn prices

The government's move to ease import restrictions on genetically modified corn may drive down domestic prices for the crop, which is already uncompetitive on the international markets, raising concerns among local farmers struggling with rising planting costs and low profits.

China aims to boost"super corn"yield

China aims to boost yields of a "super corn" through research on inbred corn lines, according to the research team.

China to import 900,000 tonnes of GE corn-derived DDGS

A Chinese state-owned agricultural firm is reportedly importing from the US as much as 900,000 tonnes of Distillers’ Dried Grains with Solubles (DDGS) derived from a previously banned genetically modified corn variety.

China 2014/15 soy imports seen up 4.5 pct at 73.5 mln T

Dec 4 (Reuters) - The world's top buyer of soy China is likely to import 73.5 million tonnes in 2014/15 (Oct/Sept), a rise of 4.5 percent from the previous year, as animal feed industry demand is expected to slow, according to an estimate by a Chinese chamber of commerce.

6 Chinese companies to purchase more than 1 million tones of soybeans from the United States

China’s Vice-Premier Wang Yang and his delegation of officials are in the United States this week for the annual US-China Joint Commission on Commerce and Trade (JCCT) which takes place in Chicago.

China's total pork production increases but drops in overall meat proportion

According to the data released by the China Animal Husbandry Association, a total of 715.57 million swine were slaughtered in 2013, an increase of 24.9% when compared with 2004. Besides that, pork production has increased steadily in recent years.

Unsafe pork enters into 7 provinces

An inspection team from the Ministry of Agriculture has been dispatched to East China's Jiangxi province to investigate the sales of unsafe pork from dead or sick pigs, which were suspected to have entered the market in at least seven provinces.

1000 Canadian swine arrive at Shanxi's Yuncheng

On December 2, Shanxi Zhangrong Tianzow Husbandry and Technology Co., Ltd had successfully introduced 1000 pure Canadian-bred swine to its own breeding farm at Shanxi. This is the first time where a Shanxi company has introduced foreign breeds into the city.

Smuggled beef scandal reveals supervision loophole

Hundreds of tonnes of beef from a mad cow disease-hit area of Brazil were found on the Chinese market before the country lifted its import ban in July.

Raw milk quality in China improved: report

Despite some problems in China's dairy farming industry such as outbreaks of dairy cattle diseases, the quality of raw milk produced by domestic farmers and enterprises has improved obviously in recent years, a research institute said in a white paper released on Tuesday.

Testing procedure curtails US hay exports to China

China's booming dairy industry has meant a surge in US hay exports, but the country's resistance to imports of some US genetically-modified crops (GMOs) is reducing US exports of hay modified with biotech alfalfa.

China's cotton yield declines in 2014

BEIJING-China's cotton yield in 2014 dropped 2.2 percent year on year to 6.16 million tons,the National Bureau of Statistics(NBS)said on Wednesday.

Despite sales slump, fast food moves ahead in China

US-based fast-food chain giants may have watched sales slow in China since a food safety scandal in July, but that hasn't slowed their expansion plans there.

Yurun Food sells two subsidiaries for $88m

Yurun Food Group, a Hong Kong-listed meat product manufacturer,sold two subsidiaries for 545million yuan($88 million)on Friday as it battles food security scandal.

Lianhua Trading Group acquires majority stake in Prime Range Meats

Lianhua Trading Group, a subsidiary of ShenzenLianHua Enterprise Development Co., Ltd, has been importing beef and mutton in to China from places like Brazil, Uruguay, Argentina, Australia and New Zealand since 1990s.

Dalian Wanda adds pig-farming to array of businesses

Dalian Wanda Group, the Chinese retail conglomerate aiming for a listing in Hong Kong later this month, has added pig farming to an already expansive list of business units, which includes everything from Chinese property to movie popcorn in its chain of US cinemas.

China and US aim to finalize BIT in Obama's term

China and the United States are finalizing text checks on a bilateral investment treaty and will formally exchange negative lists at the beginning of next year, Chinese Vice Finance Minister Zhu Guangyao said yesterday in Beijing.


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



Current price


Percentage changes

as compared to last period

(%, December 1-10, 2014)


Japonica rice / kg




Strong flour / kg




Standard wheat / kg



Soy products

Bean curd / kg



Peanut oil

5 Lin barrel bulk / litre



Soyabean oil

5 Lin barrel bulk / litre



Rape seed oil

Grade 1 in bulk / kg




Rump / kg




Belly meat / kg




Leg / kg




Leg / kg




Frozen fresh chicken / kg




Breast / kg




Frozen fresh duck / kg




Fresh eggs in bulk / kg



Source: China National Bureau of Statistics

Major meat retail price December 2014

             Pork (Lean):

                                                                           RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

A.       12/11/14-

B.       12/01/14-

C.       11/11/14-

D.       12/11/13-













                                                         RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

E.        12/11/14-

F.        12/01/14-

G.       11/11/14-

H.       12/11/13-













                                                                          RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

I.         12/11/14-

J.         12/01/14-

K.       11/11/14-

L.        12/11/13-











Source: China Animal Agriculture Association