September 3, 2010

China meat consumption set to surge 20% annually

Per capita meat consumption in China is poised to grow annually at 20% after 20 years, which will stimulate demands for feed ingredients in the Chinese livestock breeding industry, according to executives from Rabobank.

Although China has become the world's second biggest feed producer, the gap between feed ingredient demands and supplies are doomed to broaden on fast growing meet consumption.

Analysts forecast the Chinese annual per capita meat consumption will rise by 70% after 20 years as rural residents are getting into the meat consumption habits like urban residents.

In addition, rising per capita income will drive Chinese per capital meat consumption quantity to go close to that in developed countries.

These will surely trigger more demands for feed in the livestock breeding industry, so Chinese livestock breeding enterprises need secure smooth raw materials procurement channels and promote breeding level.

New Hope Group, a leading Sichuan-based agribusiness operator, has set up feed production bases in Cambodia, Bengal and the Philippines to count on local cheap raw materials.

COFCO, a leading grain, oils and foodstuffs import and export group in China and one of largest food manufacturers, has set up joint venture companies with global leading agricultural processor ADM. ADM supplies plenty of soy as feed ingredient.