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China Agricultural Newsletter - January 2016

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's No.1 Central Document focuses on agriculture for 13th consecutive year

 Agriculture, rural community and farmer related issues are once again the topic of China’s "No. 1 Central Document" this year, the first policy document jointly released by the Central Committee of the Communist Party of China and the State Council on January 27, 2016.

Govt step up efforts to reduce overcapacity

Efforts will be strengthened by the central government this year to reduce overproduction andovercapacity, according to Premier Li Keqiang.

China launches trade probes against U.S. animal feed ingredients

 BEIJING, Jan. 12 (Xinhua) - China's Ministry of Commerce (MOC) on Tuesday launched anti-dumping and anti-subsidy investigations against certain animal feed ingredients produced in the United States.

China policy bank lends more to agriculture in 2015

 The Agricultural Development Bank of China, a major policy bank, provided more financial supports to China's agriculture in 2015.

China steps up crackdown on food and drug safety crimes

 Chinese authorities have recently unveiled measures to facilitate coordination between administrative and judicial organs in handling food and drug safety cases.

Industry and Business Watch

China expands cross-border e-commerce pilot zones to 12 cities

BEIJING - China will set up 12 more pilot zones for cross-border e-commerce, the State Councilsaid on Friday.

China's economic growth down but within 'reasonable' range

 China’s economic growth reached 6.9 percent in 2015, down from 7.3 percent in 2014, according to data released on Jan 19 by the National Bureau of Statistics.

China sets out plan for high-quality farmland

 China will create at least 53 million hectares of high-quality farmland by 2020, according to a key policy document released on Wednesday.

Supply-side reform key to China's agriculture upgrade

 China is set to roll out supply-side reform measures to modernize agriculture, as featured in the annual "Number One Central Document" released on Wednesday.

China to boost green agriculture

 China will encourage sustainability in agriculture through improved efficiency and environmental protection, according to a policy document released on Wednesday.

China wants better infrastructure, public services in rural areas: document

 A policy document released Wednesday demands better infrastructure and public services in rural areas become a focus of fiscal support and government work in China.

China works for more efficient water use in agriculture

 BEIJING, Jan. 30 (Xinhua) - China plans to make the water use in agriculture more efficient with measures such as tiered pricing, wider use of drought-tolerant crops and rewards for water conservation.

China top importer of GM crops, but no cultivation yet

 China remains the world’s top importer of biotech crops, but has yet to approve the cultivation of major biotech food crops, according to the recently released 2015 China Agricultural Biotechnology Annual prepared by the US Department of Agriculture.

China tops importers of Cambodian rice in 2015

 PHNOM PENH, Jan. 8 (Xinhua) - A surge in Chinese purchase orders helped boost the growth of Cambodia's rice export in 2015, according to a government's report released on Friday.

China must lower corn prices to clear stockpile: official

 China must lower corn prices to stop the imports of corn substitutes, including barley, sorghum and distillers' grain, a senior agricultural official said on Saturday, as the country is faced with a mounting stockpile of corn.

Hungary's beef shipment reaches China, a historic first

 China’s first Hungarian beef shipment – 12-tonne frozen beef valued at US$70,600 – had reached Shanghai’s Yangshan Port last week, Ecns.cn reported.

China's feed imports to fall by 30-50%, says Rabobank

 According to a recent report released by Rabobank in Shanghai, China plays a crucial role in the global feed grain trade, accounting for 80% of sorghum and 35% of feed barley global imports.

Alibaba to step up competition in globalization, rural areas and top-tier cities

 Alibaba Group Holding Ltd said it will step up efforts to compete for more market share overseas, in rural areas and first-tier cities as the e-commerce giant singled out its top priorities for growth.

Agricultural researchers eyeing global outreach

 The Chinese Academy of Agricultural Sciences will establish an overseas agriculture research center to facilitate the export of more agricultural technologies and to encourage more international cooperation, the academy’s president said on Jan 14.

New online platform to facilitate China-CEEC agricultural cooperation

 An online platform has been launched with the aim to facilitate and increase agricultural cooperation between China and Central and Eastern European Countries (CEEC), officials said here on Tuesday.

CK Life Sciences set to buy Australia's grain producer

 CK Life Sciences International (Holdings) Inc, a Hong Kong-based biotechnology company, is close to completing the acquisition of one of Western Australia's largest grain producers, continuing its expansion in the overseas agri-food industry.

McDonald's bets big on "digital" growth in China

 Global fast food chain McDonald's said on Wednesday that is setting up 250 new outlets mostly in lower tier cities and stepping up the pace of its digital expansion in China this year.

2015 Exporter Guide to China by Chengdu ATO

 This report is meant to provide practical tips to U.S. companies on how to conduct business in China, including local business practices and a general review of consumer preferences, food standards and regulations, and import and inspection procedures as well as best prospects, with a focus on high-value, consumer-oriented goods.

2015 China Agricultural Biotechnology Annual by USDA

 China is one of the largest producers of biotech cotton in the world. It is also the world's largest importer of biotech crops, but it has not yet approved any major biotech food crops for cultivation. The Chinese government is in the process of revising its biotechnology regulatory system and is reportedly preparing to push ahead with the commercialization of biotech corn.

Statistics

Average food prices in 50 cities January 11-20, 2015

 

Item

Specification/Unit

Current price

(RMB)

Percentage changes

as compared to last period

(%, January 1-10, 2016)

Rice

Japonica rice / kg

6.27

0.2

Flour

Strong flour / kg

6.08

-0.3

Flour

Standard wheat / kg

4.87

0.0

Soy products

Bean curd / kg

4.70

0.2

Peanut oil

5 Lin barrel bulk / litre

27.57

0.2

Soyabean oil

5 Lin barrel bulk / litre

9.91

-0.2

Rape seed oil

Grade 1 in bulk / liter

13.83

0.8

Pork

Rump / kg

28.99

1.9

Pork

Belly meat / kg

29.65

1.9

Beef

Leg / kg

67.20

0.3

Mutton

Leg / kg

59.56

-0.1

Chicken

Frozen fresh chicken / kg

21.32

-0.1

Chicken

Breast / kg

20.55

-0.1

Ducks

Frozen fresh duck / kg

18.15

0.3

Eggs

Fresh eggs in bulk / kg

10.13

2.5

Source: China National Bureau of Statistics

Major meat retail price January 2015

 Pork (Lean):

                                                                           RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

A.       01/11/16-
01/20/16

B.       01/01/16-
01/10/16

C.       12/11/15-
12/20/15

D.       01/11/15-
01/20/15

(A-B)/B

(A-C)/C

(A-D)/D

31.92

31.54

31.56

28.64

1.20%

1.14%

11.45%

 

Egg:

                                                         RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

E.        01/11/16-
01/20/16

F.        01/01/16-
01/10/16

G.       12/11/15-
12/20/15

H.       01/11/15-
01//20/15

(E-F)/F

(E-G)/G

(E-H)/H

9.90

9.76

9.80

10.98

1.43%

1.02%

-9.84%

 

Chicken:       

                                                                          RMB1.00 yuan/kg

Average Sales Price (Street markets & Supermarkets)

Var. Percent

I.         01/11/16-
01/20/16

J.         01/01/16-
01/10/16

K.       12/11/15-
12/20/15

L.        01/11/15-
01/20/15

(I-J)/J

(I-K)/K

(I-L)/L

19.70

19.68

19.66

19.44

0.10%

0.20%

1.34%

Source: China Animal Agriculture Association 

 
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