Studies On Vegetable Trade And Development In China

Since China joined the World Trade Organization (WTO), there has been a steady increase in theexport of Chinese vegetables. The increase of vegetable export was higher in 2005 than in 2004, theexport quantity was 6.8millon tons representing a 13 percent increase. The volume of export wasequivalent to 44,800 million US dollars, 16.2 percent of agricultural products, an increase of 18.1percent. The import quantity at the same period was 9.7 million tons, a 9.2 percent decrease, while thevolume of import was 820 million US dollars, equivalent to 10.6 percent decrease. The surplus of tradewas thus further enlarged. Among the export vegetables, fresh frozen vegetables accounted for 4.0839million tons with a 12.63 percent increase, which makes up 60.1 percent of the whole export quantity.Foreign exchange earnings from frozen export vegetables were 1.77 billion US dollars, 39.6 percent ofthe whole volume of vegetable export, which was a 22.9 percent increase; the export quantity ofprocessed vegetables was 2.379 million tons, contribute a 15.4 percent increase. Foreign exchangeearnings from it were 1.87 billion US dollars, 41.6 percent of the whole volume of vegetable export,which was a 15.2 percent increase; dry vegetables accounted for 33.7 million tons with a 1.5 percentincrease, which makes up 5 percent of the whole export quantity. Foreign exchange earnings from dryexport vegetables were 8.4 billion US dollars, 18.8 percent of the whole volume of vegetable export,which was a 14.9 percent increase. Most of the vegetable exports from eastern coastal parts of China(Shandong, Fujian, Zhejiang, Guangdong, Jiangsu, Liaoning, Hebei, Shanghai), approximately made up73.4 percent of the total vegetable export from the whole country. The trade of the mid-west areaapproximately accounted for 14.6 percent while the provinces along the border (Heilongjiang,Neimenggu, Yunnan) made up 5 percent. Asia is the major market for China's vegetable exports, whichaccounted for 66.9 percent of the whole export market in 2005. The export markets of Europe and NorthAmerica which accounted for 18.3 and 8.6 percent respectively are also important, exports to Africa andOceania was 6.1 percent which had a small increase in 2005.The vegetables for export were mainly types that are used on a large scale, low comparative benefit, special in China and those recognizedinternationally for their medicinal and health value.This paper was based on the present situation of vegetable exports from China and analyzed theinternational competitiveness of our Chinese vegetables by using dependent extent of trade, import andexport prices and world market shares. The results showed that China is superior in price and varietytypes. Fresh vegetables, ginger, garlic, mushroom, radish and carrot aremore competitive as comparedto other vegetables. The analysis of the primary factors which affect the competitiveness of China'svegetables showed that: the unsuitable resource use in vegetable production, oversupply due to simplequantity gauge model expansion, resource wastage, problems with security and sanitary quality ofvegetables and inaccessible market sale; poor post-harvest technology, few enterprises and organizationswhich have international competitive participation. And atthe same time, the lack of large-scale benefits,low managerial skills and the increase of market risk also influence our vegetable exports.In order to exert the resources superiority and the cost superiority of our vegetable production, andtransform it into market superiority and the export superiority, several policies were objectivelysuggested in this article. Firstly, we should reasonably display the layout of our vegetable productionarea, enlarge the support to superior regions and varieties, so as to benefit from advantages pattern oflarge scale economies; Secondly, we need to raise the technical levels of vegetable production,strengthen vegetable production system and improve quality assurance standards, and at he same timecombining improved incomes for peasants and increase benefits from agriculture, based on the situationof our country and world trends invegetable productiontechnology development; thirdly, we have toimprove the competitiveness by increased government subsidies to leading enterprises and organizations,raising the level of vegetable industrialization management and promoting the creation of vegetablesmarket chain; fourthly, highlighting the construction of vegetable produce systematic and theinformation service system, comprehensively improve the market development ability of the vegetableindustry. Finally, we should reform and implement the trade polices that promote the vegetable exports.