The Study On China's Feed Industry

The feed industry has its comprehensive implications. Generally speaking, feed companies are the core of the industry. Cropping, animal husbandry, processing and marketing of animal products, etc. are all inalienable parts of the chain of the feed industry. With the development of the feed industry, it will inevitably face the challenge of strong competition. More and more farmers will switch to the industry and benefit from the fast development of it. China's animal husbandry products will be marketed and consumed home and abroad. Experts said that China's feed market would become the largest one of the world and the coming competition of it would be the most intensive, compared with the markets of the other countries. At present, the question is how to increase its efficiency and avoid the misfortune of falling into a blind development trap of the industry.Scientifically speaking, feed industry, which includes cropping, feed production, and animal raising, processing and marketing of the animal products, has a profound influence on the economy and the society. Furthermore, the development of China's feed industry plays an increasingly important role in accelerating the adjustment process of the agricultural production structure and the rural economy. Animal husbandry will be benefited greatly in processing and other value-adding activities due to the sound development of the feed industry. On the other hand, it is possible to enhance the level of the feed industry by the fast development of animal husbandry and agriculture. Feed production always plays an important role in the feed industry, of which the upper reach is cropping, and the lower reach is animal raising. It is crystally clear that the raw materials of the feed production come from cropping, and feeds serve animal raising. The above-mentioned shows the close link between the feed industry and agriculture, thus the feed industry is also called an agriculture-oriented industry.In 2003, China's feed industry faced a series of difficulties, such as the epidemic SARS, the increasing price of raw materials and the limitation of the international trade barriers, all of which negatively effected China's export of animal products. The increase of feed raw material price is 10% on average, compared with 2002. And in the fourth quarter, it even reached 20% or more. In this year, both feed production and animal raising were seriously hurt. But the developing tendency of the feed industry is still very strong in 2004. The output and the quality were all improved. Feed production became more profitable, even on a unfavorable background and quotation basis of 2003. The ultimate...