d Processing Report.docVIP

Required Report - public distribution Date: 6/21/2004 GAIN Report Number: CH4606 CH4605 China, Peoples Republic of Food Processing Ingredients Sector Food Processing 2004 Approved by: Keith Schneller Prepared by: Julie Zhu (LiZhi) and Shalni Chandwani Report Highlights: The food processing industry is developing rapidly in China. Strong economic growth combined with higher disposable incomes means increased demand for high quality processed food by Chinese consumers. This report briefly discusses opportunities for US exporters of high-quality processed food products and ingredients. Includes PSD Changes: No Includes Trade Matrix: No Annual Report Guangzhou [CH3] [CH] Section I: Market Summary…………………………..……………………………Page 3 of 18 Section II: China’s Meat Industry…..…………………..……….……………….Page 7 of 18 Section III: China’s Cereal Industry………………………..……………………..Page 9 of 18 Section IV: Fruit and Nuts ………………………………………….…..…….….Page 11 of 18 Section V: Factors to Consider………….……………………………………….Page 14 of 18 Section VI: Roadmap for Market Entry…..…………………………………….Page 16 of 18 Section VII: Best Product Prospects…………..…………………………………………Page 18 Section VIII: Key Contacts and Further Information………………………………..Page 18 Section I: Market Summary Over the past half century, China has transformed into one of the world’s fastest growing economies. With a population of 1.3 billion, China is the most populated country in the world. China is also the world’s third largest country by area, covering 9.6 million square kilometers. The People’s Republic of China was founded in 1949. In 1979 China began its ‘open-door’ policy, which encouraged foreign investment and trade. In the past 25 years, China’s average GDP growth rate exceeded 8% and reached 9.1% in 2003. Together with rapid economic growth, the standard of living has improved as well. The urban per capita disposable income has been on the rise, with a grow