December 6, 2006

China's Hainan exports Wenchang chicken to Singapore

China's Hainan Longquan Group Co. has signed a contract Dec 2 to supply Singapore with 2.19 million Wenchang chickens a year in a deal worth RMB 130 million (US$16.6 million). 

Longquan has been aggressively marketing its Wenchang chickens in south-east Asia this year and has achieved impressive results. The company received numerous enquires from south-east Asian delegates in the Hainan Tropical Agricultural Products Fair, where the deal was signed.

The deal, signed with Singapore's Han's Coffee and Bread Pte Ltd, would mark the first time Wenchang chicken is sold in south-east Asia.

Wenchang chicken is one of Hainan's more famous products. In 1998, Longquan invested millions to consolidate some of the local chicken farms into a centralised chicken-raising operation. Current estimates put slaughter estimates of Wenchang chicken in Hainan province at 4 million a year, in a market worth RMB 1.7 billion (US$217 million).

Wenchang chicken is also exported to Hong Kong, where it is rapidly gaining popularity, with import volumes of more than 1,000 chickens daily. However, part of the supply comes from Guangzhou instead of Hainan as no company in Hainan has qualified for live exports.