Vietnam imported over 2 million tonnes of corn in 2013
In 2013, Vietnam imported 2,188,979 tonnes of corn from the foreign market, valued at USD 674,843,566, a 35.6% of volume increase compared with the same period last year.
Vietnam imported corn from 7 markets which are India, Brazil, Thailand, Argentina, Cambodia, Laos and America. The biggest supplier was India with 1,019,681 tonnes of corn import into Vietnam, value at USD 304,430,430, a 226.85% of volume increase from 2012. The second supplier in top 3 was Brazil with 779,836 tonnes of corn. These two markets and Thailand accounted for 86.3% of the total value of corn imports into Vietnam in 2013.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China feed industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://vinanet.com.vn/tin-thi-truong-hang-hoa-viet-nam.gplist.294.gpopen.223440.gpside.1.gpnewtitle.nam-2013-nhap-khau-ngo-tang-manh.asmx
Food security, rural environment top China’s policy agenda in 2014
China’s top policy priorities for 2014 will be improving the rural environment and maintaining food security, according to a a key policy document published by the official Xinhua news agency on Sunday.
The “number one document”, issued every January by the Central Committee of the Chinese Communist Party, sets the country’s policy priorities for the year, and has focused on rural matters every year since 2003. This year’s document also focused on the development of “modern agriculture” and laid out improvements to the way the countryside is governed. However, hopes that Beijing would explicitly relax a longstanding 95-percent food self-sufficiency target and open the floodgates for more imports appear to have been dashed. The document said China would continue to pursue “basic grain self-sufficiency” while increasing the use of overseas markets and allowing an “appropriate” amount of imports, but it stressed it “would not relax domestic food production at any time”.
Beijing has been preoccupied with cleaning up urban pollution following a spate of severe smog problems, but has also acknowledged that industrial contamination of water and soil, together with the overuse of pesticides and fertilizer, has caused severe environmental problems in the countryside. The fight against rural pollution is also part of China’s efforts to ensure it has enough farmland, water and rural labor to feed a growing urban population without having to turn to overseas markets. Xinhua, citing the policy document, said China would seek to resolve environmental constraints such as water shortages.
It would also work over the rest of the year to strengthen food security, set up mechanisms to ensure sustainable rural development and deepen reforms to allow the transfer of land. Around 3.33 million hectares of farmland is now too polluted to grow crops, China said at the end of last year. Rejuvenating contaminated land will help China ensure that at least 120 million hectares of land is reserved for farming, a policy known as the “red line”.
China’s rapid urbanization has cut surplus farm labor and boosted incomes, but the government worries a dwindling rural workforce will be incapable of producing enough food to meet growing demand. So it has sought ways to spur farmers to stay on their land, by providing subsidies and investing in rural infrastructure. China has to work to improve conditions in the countryside in order to stop an exodus of rural workers into the cities, Agriculture Minister Han Changfu told Xinhua last year.
“Chinese farmers want to move to the cities, but it is not possible for them all to do so, and it is even less possible for them all to move into the big cities, so we must plan urbanization and rural construction accordingly and build homes that allow rural people to live a happy life,” he said.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://shipin.people.com.cn/BIG5/n/2014/0120/c85914-24165486.html
More chances for Vietnam seafood in China
Vietnam seafood exporters to China are facilitated by preferential policy recently approved by authorities in Yunnan province, China. Domestic seafood importers will receive CNY0.02 from Yunnan province for USD 1 of seafood products imported by them. Seafood products imported into China by air will be supported CNY600 per MT (in net weight) in freight. Besides, the province will fund 70% of total investment capital into projects building wholesale markets and storage centers of seafood products in Chang Shui airport and neighboring region.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://www.seafood.vasep.com.vn/Daily-News/50_8921/More-chances-for-Vietnam-seafood-in-China.htm
Joint ventures make inroads into China’s infant formula market
The profitable baby formula market in China recently saw many new investors partnering up with foreign brands in the hope of grabbing a market share from domestic companies.
The Taiwanese food giant Tingyi operating on the mainland under the brand name Master Kong recently signed a strategic cooperation agreement with Japanese powdered milk manufacturer Wakodo to set up a joint venture in Shanghai that imports baby formula, Beijing Business Today reported.
Market sources said Wakodo will hold 55% of the shares of the new company, which will start operations in 2014, while Master Kong possesses 45%, according to the newspaper.
Meanwhile, the New Hope Group, a Chinese business juggernaut in the dairy, animal feed and meat products sectors, has revealed that it plans to invest in Synlait Milk in New Zealand, contracting the latter to develop and produce baby formula for the Chinese market.
“The Wakodo-Master Kong and Synlait-New Hope joint ventures were formed because Chinese consumers prefer foreign baby formula brands,” China Investment Consulting’s food sector researcher, Jian Aihua, told the business daily.
In China, foreign brands normally face a marketing challenge due to a lack of distribution channels. Working with domestic enterprises could resolve this problem, Jian noted.
The researcher also pointed out that China is growing into one of the world’s largest powdered milk consumers due to the huge demand for baby formula.
Official data shows that the total value of baby foods sold on the mainland in 2010 reached 42 billion yuan (US$6.9 billion), and 36.8 billion yuan (US$6 billion) was the turnover from baby formula.
It is predicted that the turnover of China’s baby formula will surge to nearly 80 billion yuan (US$13 billion) in 2015.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://www.wantchinatimes.com/news-subclass-cnt.aspx?id=20131123000030&cid=1102
China’s pork prices fall down before Chinese New Year
At below RMB14/kg (US$2.31/kg), prices of hogs, which constitute the cost of pork, have dropped to a breakeven point. Figures from National Bureau of Statistics show that in 24 provinces and provincial-level municipalities, hog prices slipped by 7.2% in the first 10 days of January, compared to the previous 10-day period.
On January 13, average hog prices in the country were recorded at RMB13.36/kg (US$2.21/kg), down 3.1% from the previous trading day. As a comparison, August hog prices across the nation had risen 13% since mid-May. The Economic Information Daily cited the analysis by Feng Yonghui, the chief analyst from a major hog and pork information aggregator in China, for the factors behind the usually low prices.
Feng says that in 2011 and 2012, China had an excess capacity after farmers jumped on the bandwagon of hog farming. The other reason was pork demand came late this year for the season. Demand in southern China recovered 20 days later than usual in late December, though winter is typically the peak season for pork consumption. The Chinese government’s pork reserve policy, which is meant to prevent price fluctuations, was also a cause.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
Restructuring animal feed industry in Vietnam
According to the MOA, the total value imports feed and raw material reached USD 3.0 billion in 2013, a 22.3% increase from 2012. Argentina is the biggest market with 34% of market share, followed by America with 12.7% and India with 10.8% of market share. Each year, Vietnam imported 5.84 million tonnes of raw materials, growth 16.38% per year from 2006.
According to the director of Vietnam livestock Husbandry, Mr. Nguyen Xuan Duong said, livestock sector will have land planning to produce raw material. This is long term plan to restructure plant materials towards increasing sustainable animal feed.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://heo.com.vn/?x/=newsdetail&n=4533&/c/=48&/g/=1&/13/1/2014/3-ty-usd-nhap-khau-thuc-an-gia-suc-va-nguyen-lieu–3-billion-usd-import-feed-and-raw-material.html
Competition between Vietnam livestock industry with imported meat
Currently, the total of cattle in Vietnam was 5.1 billion cows and 200,000 hectares land for beef cattle farming. The beef production does not meet the demand of domestic consumption. Each year, Vietnam import about 180,000 cows and 600,000 tonnes of meat, a value at USD 120 million from Thailand, Laos and Australia.
Although the meat products imported taxable quite high, but the price of import meat was still lower than the same products in domestic, such as the price of import chicken was VND 22,000-25,000 per kg while the cost of production in Vietnam was VND 28,000-30,000 per kilogram.
According to the president of Vietnam Livestock Husbandry, Mr. Nguyen Dang Vang said, Vietnam will participated Agreement Trans-Pacific Partnership in 2015, theretofore, the import duties will be 0%, Vietnam livestock industry will be faced with many challenges in competition with imported products.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China livestock industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email michael@boddingtonconsulting.com
http://thitruongtaichinh.vn/index.php?r=public/index&news_id=51455
China MOA revised Feed Materials Catalog
On Dec. 19th, MOA revised Feed Materials Catalog.
For details:
1. Adding “soy lecithin oil powder”, “palm fat powder”, “guar soybean”, “chili oil”, “humic acid sodium,””beet molasses yeast concentrate”, “food yeast powder,” and “yeast hydrolyate ” to the catalog.
2. Revising names of “bean cake”, “bean meal” and “bean dreg” and adding “soybean cake”, “soybean meal” and “soybean dreg” . Revising character description of “puffed soybean meal” and “cotton seed protein”,; revising names, character description and mandatory labeling requirements of “acidification bone meal [bone calcium hydrogen phosphate]”;
3. revising definition of “other natural plant for feed” and revising names and mandatory labeling requirements of “glucose amine (glucosamine) ” ;
4. Moving saccharomyces cerevisiae culture, saccharomyces cerevisiae extract and saccharomyces cerevisiae cell wall from Feed Additive Catalog to Feed Materials Catalog.
5. Adding humic acid sodium, beet molasses yeast concentrate, yeast powder for food, yeast hydrolyate, saccharomyces cerevisiae culture, saccharomyces cerevisiae extract and saccharomyces cerevisiae cell wall and glucose amine hydrochloride to Part 4 of the catalog.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email This email address is being protected from spambots. You need JavaScript enabled to view it.michael@boddingtonconsulting.comThis email address is being protected from spambots. You need JavaScript enabled to view it.
China Bright Food plans to acquire its 2nd Australian firm:
Bright Food Group plans to list its newly acquired assets in foreign countries, including Manassen Foods in Australia and cereal maker Weetabix in Britain.
Bright Food Group Co Ltd, China’s second-largest food producer, acquired a midsized Australian dairy company following the purchase of Manassen Foods in the same country. Manassen, in which Bright Food has a 75 percent stake, has signed a deal to buy Mundella Foods, a four-decade-old company in Western Australia, according to Bright Food spokesman Pan Jianjun. The deal will make Mundella a wholly owned subsidiary of Manassen, a supplier and distributor of local and international foods, Pan told China Daily on Monday. Financial details were not disclosed. Records filed with the Australian Securities and Investments Commission showed that significant management changes occurred at Mundella last month, including the appointment of directors from Manassen to the smaller dairy company. Pan confirmed that Manassen’s senior employees will take managerial roles in Mundella and oversee its operations.
Bright Food paid $516 million in 2011 for its majority stake in Manassen, which has a strong presence in West Australia through its ownership of Margaret River Dairy Co and gourmet olive group Don Vica. Mundella, which is also based in West Australia, was founded in 1972, when the Hector family usedsurplus milk to make dairy products and supply local shops. The company does not publish financial reports. The recently acquired company owns one of West Australia’s best-known dairy brands and has secured broad distribution of its products, such as yogurts and cheeses, through local supermarkets and specialty food stores, Pan added. The move will help enrich Manassen’s product line.
The State-backed Bright Food plans to expand its major business areas – dairy products, wines, sugar and branded food products – overseas. Prioritizing targets in Australia, New Zealand and Europe, Bright Food has taken bites of foreign assets to boost overseas sales.
Apart from Manassen, it bought French wine merchant Diva Bordeaux and British cereal maker Weetabix, and it’s also in talks with Tnuva Food Industries Ltd, Israel’s biggest food manufacturer and distributor. The Shanghai-based firm is contemplating listing some of its foreign assets. Bright Food said it’s also mapping out an aggressive plan to place its products in new channels. “We’re creating a genuine global network by allowing, for instance, British customers to access Mundella’s cheese, or Australian consumers to have a taste of French wine,” Pan said. Bright Food holds a 5.7 percent share of China’s CNY 174 billion ($28.54 billion) dairy market, ranking fourth in the domestic market, according to Euromonitor International. It has a market share of 1.4 percent in terms of packaged foods and 1.6 percent in the ice cream market, said the London-based firm. In 2013, Chinese companies launched overseas M&A deals worth about $56.2 billion, and overall M&A activity will likely stay buoyant in 2014, said a Deloitte Touche Tohmatsu report.
http://cn.reuters.com/article/chinaNews/idCNCNE84208Q20120503
http://cn.reuters.com/article/mergersNews/idCNnCN190776120110818
http://www.ce.cn/cysc/sp/info/201401/13/t20140113_2107330.shtml
Muyang Group sales increased by 20-30% attributing to its new plant latter of 2013
On 1st, May of 2013 Muyang Group opened its new factory which is stated to be the world’s largest feed machinery production and research base spending CNY 1.3 billion , located close to its current headquarters and production plant in Jiangsu, China. Muyang Group Senior Engineer, Group Vice President Wang, said that construction of the new factory was in strict accordance with world-class standards. And state of the art processing machinery was importing from countries such as Germany and Japan. Reporter said that latter half 2013, sales of feed machines increased by 20-30% attributing to the new plant and the group’s sales are expected to reach more than CNY 7 billion. The company estimates that production capacity will reach CNY 8-10 billion.
At present, China has 10,000 feed mills with the number increasing quickly. With the new research and production facilities Muyang Group hope to be better positioning to meet the needs of the feed industry with advanced production equipment, and enhance the overall level of equipment in the feed industry. Muyang hopes that the construction of the new plant is a major step in the globalization of the Muyang Group, and are a solid foundation in the company reaching its target of CNY 20 billion by 2015.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email This email address is being protected from spambots. You need JavaScript enabled to view it.michael@boddingtonconsulting.comThis email address is being protected from spambots. You need JavaScript enabled to view it.
