By 2050, 60 per cent of the world’s demand for agrifood will come from Asia, with China responsible for 43 per cent of the global growth in food consumption. Asia’s demand for quality Australian food and beverages is at an all-time high and will continue to boom for decades to come.
China is the world’s largest food importer, with 300 million middle-class citizens and a larger urban than rural population. China’s urban population is not only getting larger; its income levels are also rising – making imported products more affordable for more consumers.
Australia’s reputation for clean, green produce is our greatest advantage
The ‘new’ Chinese consumer has lost confidence in local food and is now seeking high quality clean, green, healthy and safe food and beverage products, and they are willing to pay a premium for these quality goods.
Australia’s food and beverage industries are already highly regarded by Chinese consumers. As the ‘food bowl’ of Australia, Victoria is perfectly placed to take advantage of this booming market.
China’s ecommerce market – the world’s largest in 2015
China’s ecommerce market is growing at a rapid rate – it bypassed the US in 2013 and is more than double by 2015 and by 2020 worth more than e-commerce in the U.S., the UK, Japan, Germany and France combined. China’s internet users also reached 700 million in 2015, equating to half its total population and almost twice the number of internet users as the US and Japan.
The Chinese government has a target to connect 1.2 billion people (85 per cent of the population) to 3G or 4G mobile Internet by 2020.
While there are plenty of physical shopping options in China’s larger cities, lower-tier cities cater less to international brands. In light of this demand, the internet has allowed many retailers to offer goods to consumers in lower-tier cities and further afield without the need and cost of setting up a physical outlet.
With the introduction of the China Australia Free Trade Agreement (ChAFTA) in December 2015, there has never been a better time for your business to tap into the Chinese online market. The FTA will make our exports more competitive in the growing Chinese market through reducing or removing tariffs on our high-quality goods.
The explosive ecommerce market growth and increased reliance on imported goods to China affords food and beverage manufacturers and exporters an opportunity to reach a lucrative market and increase competitiveness on a global scale.
To find out about how VECCI Export Services’ China eCommerce Platform can connect your non-perishable food and beverage products with 300 million Chinese consumers, download the China eCommerce Program brochure or contact Shirley Ng on 03 8662 5172 or sng@victorianchamber.com.au