China is the largest non-EU recipient of Polish dairy products

– The potential is huge, but it requires constant, consistent and well-organized promotion – says Ireneusz Ozga, president of the Vici Group, specializing in food exports. The more so as the competition is huge and very effective, and we have already had at least a few examples of unused opportunities in recent years.

– China is a country where it is currently probably the largest middle class in the world, which is well versed in global consumer trends. In the case of food, Poland has a very good chance due to the fact that the Chinese like European food very much and value it for its quality – says Ireneusz Ozga, the news agency Newseria Biznes. – In recent years, we have managed to develop the perception and knowledge of Polish dairy products. Polish milk is already a recognizable product, but it certainly has great potential in the remaining dairy products.

According to the Polish-Chinese Business Council, China is among the top three largest milk producers in the world, but domestic production is not able to meet the growing demand for dairy products. In addition, consumers there have limited confidence in the local dairy industry, where safety incidents have been reported frequently in the last decade. European products are treated as premium class products and Poland benefits from it.

In the last five years, Asia has been one of the fastest growing directions of Polish exports of dairy products. In 2016-2020, foreign sales in this product group almost doubled. According to the Polish Federation of Cattle Breeders and Milk Producers, on the basis of preliminary data from the Ministry of Finance, from January to August 2021, the value of Polish dairy product exports amounted to approximately EUR 1.76 billion, or PLN 8 billion, and was 8 percent higher. higher compared to the same period last year. The European Union countries have the largest share in the collection of Polish dairy products, and China is the non-EU country (5% of the value, approx. EUR 92 million). However, this is still not much compared to the scale of the Chinese market, which has been transforming from an export model to a consumption model for several years.

– Polish food exports to China account for less than 1 percent. food imported there. Countries such as New Zealand, Japan, the United States and Germany export volumes of food to China in total greater than the value of the entire Polish market. The potential is huge, traditional retail chains are thriving in China and the online trading market is phenomenally developed – says the CEO of Vici Group.

To be successful in the Chinese market, two elements are needed – the first is careful selection of products. It is necessary to select categories in which Polish producers would be able to produce adequate amounts of food in a quality and form corresponding to the Chinese consumer, meeting local phytosanitary standards and suitable for transport, which takes about two weeks in the case of railways, and one and a half months in the case of sea.

– You missed a chance with apples. We conducted a campaign of admitting Polish apples to the Chinese market, but on the supply side, there were no apples with appropriate parameters in Poland. Our product was not ready for such a long transport – emphasizes Ireneusz Ozga.

A coherent, well-organized and continuous campaign to promote Polish food as a brand is also necessary. Individual examples from the past show that the potential is very large, but the lack of consistency or events such as bird flu or ASF in the case of meat, for which the demand from China, itself affected by ASF, was very high, led to a bold failure. cooperation.

– China has quite restrictive epidemiological and phytosanitary regulations. This can be seen in the case of pork. Fighting ASF, there is no chance that we will export meat to this market, which unfortunately was taken over by other countries. It was similar with poultry and bird flu – reminds the president of Vici Group. – For example, Poland is a great producer of cookies that are exported all over the world, beer and many others, but today nothing but milk from Polish food is recognizable to the Chinese consumer, even though it sells a bit.

An additional opportunity for exporters is provided by rail transport as part of the New Silk Road, which reduces transport times three times, and this is of great importance in the case of perishable products such as food. According to Chinese railways, in 2019 8.2 thousand people traveled from China to Europe. freight trains; they took European goods on the way back, incl. Polish liquid and powdered milk. In 2020, despite the pandemic, it was already 12.4 thousand. cruises, i.e. by almost 50 percent more, and from the beginning of 2021 to mid-October, 11.3 thousand were performed. transportation. At this rate, by the end of the year there is a chance for approximately 14.3 thousand. shipments.

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– You have to remember that we operate in a competitive environment. In the case of Poland, our trade in China is supported by individuals, representatives of PAIH or other institutions. In Shanghai alone, Germany has 150 people who build PR and relations there – explains Ireneusz Ozga. – They are a great example to follow, and the export of their food to China is several times greater than Polish. Building the Poland brand there requires years, consistency and continuity.

About Eric Wilson

The variety offered by video games never ceases to amaze him. He loves OutRun's drifting as well as the contemplative walks of Dear Esther. Immersing himself in other worlds is an incomparable feeling for him: he understood it by playing for the first time in Shenmue.

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