Voluntary Report - public distribution

**Date:** 12/9/2005

**GAIN Report Number:** CH5624

CH5624

**China, Peoples Republic of**

**Promotion Opportunities**

**ATO Guangzhou Promotion Opportunities Report**

**FY2006**

**Approved by:**

![](media/image1.wmf)Keith Schneller

US ATO Consulate Guangzhou

**Prepared by:**

Kristen Durham

**Report Highlights:**

This report provides information on upcoming market development
activities planned by ATO Guangzhou from October 2005 to September 2006.
These events include trade shows, in-store promotions, menu promotions,
trade seminars and trade missions to the United States. Interested U.S.
exporters and food organizations are encouraged to contact either the
respective organizers or ATO Guangzhou for further information.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Guangzhou \[CH3\]

\[CH\]

**Table of Contents**

I.  FAS/USDA Endorsed Trade
    Shows............................................Page 3 of 13

II. Other Trade
    Shows........................................................................Page
    3 of 13

III. Upcoming Promotional
     Activities...............................................Page 8 of
     13\
     A. In-Store
     Promotions........................................................Page
     8 of 13

> B. Menu
> Promotions..........................................................\...Page
> 9 of 13\
> C. Trade
> Missions...................................................................Page
> 11 of 13

D.  Trade
    Seminars.................................................................Page
    12 of 13

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IV. ATO Guangzhou
    Reports..............................................................Page
    12 of 13

V.  Post Contact and Further
    Information......................................Page 13 of 13

**Disclaimer:**

The promotional activities listed are provided for informational
purposes only. No endorsement should be implied unless specifically
stated. Terms and conditions of participation are the responsibility of
the activity organizer.

**I. FAS/USDA Endorsed Trade Shows\
**

FAS will not endorse any trade shows in South China in 2006. The Food
and Hotel China show that was previously scheduled to take place in
Guangzhou in May 2006 has been moved to Beijing instead. The show
organizers decided to focus their efforts on the HOFEX trade show in
Hong Kong, which attracts a greater number of international visitors.
ATO Guangzhou (ATO/GZ) will recommend that FAS endorse Interbake China
and China Fisheries & Seafood Expo in the future. Interbake China is one
of the most important food ingredient shows in China, and China
Fisheries & Seafood Expo, which alternates locations on an annual basis,
is the largest show of its kind in Asia and a key trade show for U.S.
seafood exporters.

**II. Other Trade Shows (Recent and Upcoming)**

If any U.S. exporters and/or agricultural organizations are interested
in participating in the trade shows listed below, please contact either
the respective organizers listed beneath each individual event or
communicate with ATO Guangzhou for additional information.

**A. Chinese Export Commodities Fair (Canton Fair)**

Date: October 15-20, 2005; October 25-30, 2005

April 15-20, 2006; April 25-30, 2006

Venues: Chinese Export Commodities Fair Pazhou & Liuhua Complexes

The Chinese Export Commodities Fair, also called Canton Fair, has been
held twice a year in the spring and autumn since it was inaugurated in
Spring 1957. It is China's largest export trade fair with the more
product variety, larger attendance and better business turnover than any
other show. Approximately 400,000 visitors attended the fair this past
year, representing 210 regions throughout the world. The fair is now
broken down into two phases, with each phase about one week long. The
first phase features industrial products, textiles and garments,
foodstuffs, and medicines and health products. Just five days later, the
second phase brings attention to consumer goods and gifts. Many traders,
both foreign and domestic, attend or exhibit their best products at this
fair. The fair provides numerous opportunities for US food companies to
meet major Chinese food manufacturers that export product all over the
world, manufactures who may have interest in sourcing high quality US
ingredients.

Contact: China Foreign Trade Center; Address: No. 117 Liu Hua Road,
Guangzhou, China 510014; Tel: (8620) 26089999; Fax: (8620) 83335880;
Email: <info@icecf.com> Website:
[www.cantonfair.org.cn](http://www.cantonfair.org.cn/)

B. SFT China (Shenzhen) International Fruit, Vegetable & Technology
Trade Show

## Date: November 10-12, 2005

Venue: China Hi-Tech Fair Center, Shenzhen

This show is being advertised as one of the largest international fruit
expos aimed at accelerating the trade of fresh fruits and expediting
promotion of new technology in the fruit industry. Co-organized by
Agropress of Switzerland, the China Council for the Promotion of
International Trade, and many other groups, SFT contains three
concurrent events: exhibition of fresh fruits, vegetables and new
technology, conferences and a fruit carnival. The show provides an
excellent trading platform for produce growers, processors, and traders
and investors from over 35 countries. It also offers a good opportunity
for foreign companies to exchange information with Chinese fruit
professionals, learn the most advanced techniques of the industry and
build up business relationships with Chinese companies.

Contact: Ms. Vicky Dong; Address: 9/F Block East Wenhua Bldg, No.1031
Shennan East Road, Luohu District, Shenzhen, China 518002; Tel: (86-755)
25126650; Fax: (86-755) 25125239; E-mail: <info@sftexpo.com>; Website:
[www.sftexpo.com](http://www.sftexpo.com/) or
[www.worldfruit.org](http://www.worldfruit.org/)

C. CITYSCAPE Expo 2006

Date: September 13-15, 2006

Venue: JinHan Exhibition Center, Guangzhou

CITYSCAPE Expo 2006, hosted by the Guangzhou Real Estate Industry
Association and organized by Real Estate Biweekly, is a trade show
focusing on urban design and landscape construction based on creative
architecture and the natural environment. It provides a communication
platform and trading channel among design companies, engineering firms,
and material suppliers.

Contact: Mr. Frank Huang, CITI Expositions Ltd.; Address: Rm 904, West
Tower, Yangcheng International Commercial Center, No. 122 Tiyu Rd. E.,
Guangzhou, China 510620; Tel: (86-20) 38871271; Fax: (86-20) 38870947;
E-mail: <info@clexpo.com>; Website:
[http://www.clexpo.com](http://www.clexpo.com/)

**D.** **The 4^th^ Session China (Shenzhen) Consumer Goods Procurement
Fair (CCGPF)**

Date: November 8-11, 2005

Venue: Shenzhen Convention & Exhibition Center

CCGPF strives to create an ideal place for domestic and foreign
retailers and manufacturers to negotiate, trade, and transact face to
face. It intends to play a positive role in establishing long-term,
stable cooperative relationships between buyers and sellers and to
reduce transaction costs of doing business internationally. USA Poultry
& Egg Export Council participated in the 2003 show as an exhibitor. The
show and affiliated meetings attracted about 93,000 visitors in 2004 and
generated positive responses from both exhibitors and visitors. ATO
staff attended this show in 2005 and were extremely impressed with the
quality of the show, which is really a consumer oriented fair.

The 2006 fair is expected to occupy 60,000 square meters, with 2,600
booths. Exhibition areas are divided based on products offered, such as
garments, headgear and footwear; electronic appliances; food and
beverage; commercial equipment; and high quality imported goods. It will
offer not only a stage to showcase products in the retail world but also
an opportunity for exhibitors to gain access into global a merchandising
network.

Contact: Organizing Committee of CCGPF; Address: 4/F Ludeng Building,
Caitian South Road, Futian District, Shenzhen, China 518026; Tel:
(86-755) 82948450, 82959051; Fax: (86-755) 82945223, 82945078; E-mail:
<postmaster@ccgpf.com>; Website: [www.ccgpf.com](http://www.ccgpf.com/)

**E. China Wood Markets Export & Import Conference**

Date: October 30-November 2, 2005

Venue: Dongguan Exhibition Center

Organized annually by China Wood International, Inc., the China Wood
Markets Export & Import Conference is the premier conference for the
wood processing industry in China. The conference features a two-day
exhibition of wood products from around the world, designed to allow
buyers and sellers to share product information and develop business
relationships. Additionally, attendees can participate in seminars on
the global and Chinese markets for lumber and tour local processing
facilities through conference-organized field trips.

Contact: Moli Wang, China Wood International, Inc.; Address: C-2003
Jinqiuzhichun, No. 6 Zhichun Rd, Haidian Dist, Beijing, China 100088;
Tel: (86-10) 82357166, 82358779 ext 811; Fax: (86-10) 82358546; E-mail:
<trade@chinawood.org>; Website:
[www.chinawood.org/english/index.asp](http://www.chinawood.org/english/index.asp)

**F. China Fisheries & Seafood Expo**

Date: November 10-12, 2005

Venue: Chinese Export Commodities Fair Pazhou Complex, Guangzhou

Touted as Asia's largest seafood show and the only show of its kind to
be held in China, the China Fisheries & Seafood Expo has grown
dramatically over its ten years of existence. While traditionally held
in Qingdao (or another northern city) and expected to return there in
2006, the expo will be held in Guangzhou this year to celebrate its
10^th^ anniversary and to recognize the rapid development of aquaculture
in South China. With participation expected to reach 1,000 booths and
more than 15,000 visitors in 2005, the expo will continue to attract
importers, exporters, processors, and suppliers of seafood, services and
equipment from across the globe for the opportunities provided to forge
new business relationships. In addition to ATO Guangzhou, American
groups such as Alaskan Seafood Marketing Institute (ASMI), Western
United States Agriculture Trade Association (WUSATA) and National
Oceanic and Atmospheric Administration (NOAA) and a variety of private
companies will exhibit at the expo. While some of the American companies
exhibiting in the show are interested in exporting their finished
products to China and other markets, opportunity exists for many U.S.
fisheries to export seafood to China for processing and re-export.

Contact: Sea Fare China Ltd; Address: 16 F/A No. 58 Freetown Center,
Dongsanhuan South Rd, Beijing, China 100022; Tel: (86-10) 58672620; Fax:
(86-10) 58672600; E-mail: <info@seafarechina.com>; Website:
[www.chinaseafoodexpo.com](http://www.chinaseafoodexpo.com/)

**G. Natural Products Expo Asia**

Date: November 30-December 2, 2005

Venue: Hong Kong Convention & Exposition Centre

Natural Products Expo Asia is the only show of its kind in Greater China
to provide both an exhibition for natural products from throughout the
world and a conference with seminars focusing on topics such as health,
marketing, and government regulation. Products that will be on display
range from natural and organic foods to nutritional supplements, and
from organic raw materials to natural pet products. As incomes in China
continue to rise and consumption patterns change accordingly, it is
believed that this show will only grow in prominence and its ability to
connect natural products buyers and sellers from across the globe.
ATO/GZ staff will accompany South China buyers that have interests in
purchasing US products to the 2005 show and make introductions with
appropriate American suppliers.

Contact: Penton Media Asia Ltd.; Address: 20/F, Yu Fung Commercial
Centre, 289 Hennessy Road, Wanchai, Hong Kong; Tel: (852) 2975-9051;
Fax: (852) 2857-6144; E-mail: <info@pentonasia.com>; Website:
[www.naturalproductsasia.com](http://www.naturalproductsasia.com/)

**H.** **China International Foodstuffs Trade Fair**

Date: December 16-18, 2005

Venue: R & D Center, Zhongshan

This will be the inaugural edition of the China International Foodstuffs
Trade Fair, sponsored by the China Foodstuff Industry Association. The
show intends to offer a platform for domestic and foreign buyers to meet
with food manufacturers, exchange product information and establish
business relationships. The will have five exhibition areas---wines and
brews, dairy and beverage, tobacco, food ingredients, and food
technology---and showcase processing equipment utilized in all of these
sectors.

Contact: Mr. B. S. Goh, F.A.S.T. Syst & Mgmt Services; Address: No 13
Xingpu Road, Huangpu District, Zhongshan, Guangdong, China; Tel:
(86-760) 3300111, 3226179, 3228333; Fax: (86-760) 3300222; E-mail:
<fastsyst@singnet.com.sg>; Website:
[www.hpfood.cn](http://www.hpfood.cn/)

**I.** **Interbake China 2006 (10^th^ China Bakery Exhibition)**

Date: May 12-14, 2006

Venue: Guangzhou International Convention & Exhibition Center

[]{.mark}

This is one of the largest baking industry trade shows in China,
anticipating 110,000 visitors for the 2006 session. Hosted by All-China
Bakery Association, the show features all areas of the baking
sector---products & ingredients, equipment & fittings, food services and
technology. Several US food organizations have participated in this show
in the past, including the American Soybean Association, CA Raisin
Administrative Committee, Almond Board of CA, and US Potato Board.
ATO/GZ office also secured a booth to support these US organizations.
This show provides a good opportunity for US companies to introduce
their ingredient products to Chinese food processors and local baking
companies. The 2005 show occupied over 32,000 sq. meters and hosted more
than 530 exhibitors. ATO/GZ plans to participate in this show again and
will provide services to US participants and visitors. Many Chinese food
manufacturers attend this show to place orders for moon cake ingredients
for the Mid-Autumn Festival, which usually takes place in September or
October. This market is forecasted to reach an annual volume of nine
billion US dollars.

Contact: Ms. Rita Jia, Deputy General Manager, Canton Universal Fair
Group Ltd; Address: Rm 2501 North Tower, New World Times Center, 2193
Guang Yuandong Rd, Guangzhou, China 510550; Tel: (86-20) 87639852,
87746095; Fax: (86-20) 87746096, 87639807; E-mail:
<interfair@faircanton.com>; Website:
[http://www.faircanton.com/interbake2006/](http://www.interbake-china.com/)

# J. SIAL China 

Date: May 29-31, 2006

Venue: Shanghai New International Expo Centre

SIAL China, the country's leading international tradeshow for the food
and beverage industry, has been a consistent performer in attracting
large crowds from across the globe. Organizers estimate that 2006 show
will draw 900 exhibitors and over 20,000 guests to visit the exhibition
and attend additional SIAL events such as seminars, demonstrations and
competitions. ATO/GZ, while not directly involved in this show, will
accompany a buyers delegation from South China to attend the show and
meet with US exhibitors.

Contact: Ms. Natacha Gislard, Exposium Shanghai Office; Address: Dongyi
Building, Room 301, 88 Changshu Road, Shanghai, China 200040; Tel:
(86-21) 62492028; Fax: (86-21) 62493414; E-mail:
<natacha_gislard@exposium-shanghai.com>; Website:
[www.sialchina.com](http://www.sialchina.com/)

# K. FHC Beijing 2006

Date: June 7-9, 2006

Venue: China World Trade Center (CWTC)

As one of the leading international food and hospitality shows in China,
FHC (Food and Hotel China) Beijing will offer countless opportunities
for US suppliers to prepare and introduce products for export to China.
With an exhibition area of 5,500 square meters and anticipated
attendance of 7,000 industry professionals, many American companies and
organizations will again include this show on their list of key trade
events. Participants can develop a better understanding of doing
business in China and be better prepared for bilateral trade in the
future.

While Guangzhou was previously scheduled to host FHC South China, the
city's geographical closeness to Hong Kong, and thus HOFEX, led show
organizers to change locations to Beijing for June 2006. ATO/GZ will
organize a small buyers mission from South China to visit US exhibitors
at this show.

[]{.mark}

Contact: Ms. Lily Zhu, China International Exhibitions Ltd; Address:
Room 2402, Singular Mansion No. 318-322 Xian Xia Road, Shanghai, China
200336; Tel: (86-21) 62095209; Fax: (86-21) 62095210; E-mail:
<fhc@chinaallworld.com>; Website:
[www.fhcbeijing.com.cn](http://www.hpfood.cn/)

# L. HOFEX 2007

Date: May 13-16, 2007

Venue: Hong Kong Convention & Exhibition Centre

Hosted biennially by Hong Kong Exhibition Services Ltd., HOFEX 2007 will
connect US suppliers with a broad range of food and beverage industry
representatives. The show is committed to drawing a large group of
purchasers from hotels/resorts, restaurant chains, supermarkets,
caterers, bakeries and many other business sectors, and it has
successfully delivered on that promise in the past. In 2005 there were
over 28,000 visitors in attendance. In cooperation with staff at
ATO/Hong Kong, ATO/GZ will organize meetings during this show for South
China buyers and US exhibitors with relevant products for export.

Contact: Ms. Heidi Au or Ms. Vivian Lui, Hong Kong Exhibition Services
Ltd.; Address: Unit 2010, 20/F, China Resources Building, 26 Harbour
Road, Wanchai, Hong Kong; Tel: (852) 28041500; Fax: (852) 25283103;
E-mail: <exhibit@hkesallworld.com>; Website:
[www.hofex.com](http://www.hofex.com/)

**III. Upcoming Promotional Activities**

ATO Guangzhou is responsible for promoting US food and agricultural
products in South China, a region that includes the provinces of
Guangdong, Fujian, Hainan, Guangxi, Hunan and Guizhou. To fulfill its
mission of market development, ATO Guangzhou plans to provide more
services to represented areas, assist US exporters wanting to enter the
South China market, and help local traders source more high quality US
agricultural products.

Over the last year, ATO/GZ organized major in-store promotions with C.R.
Vanguard and Jusco and participated in countrywide initiatives with
Carrefour. Of the two promotions wholly sponsored by ATO/GZ, American
products were featured in 21 hypermarkets and supermarkets covering
seven cities. Several US producer associations also participated in the
American food promotions. The events increased sales of U.S. products by
approximately \$205,000 over a period of five weeks and saw the
introduction of 177 new SKUs to South China stores. About 50 new
products introduced with the promotions were reordered to become
regularly offered items. Beyond in-store promotions, ATO/GZ has been
involved in activities such as chef seminars and menu promotions with
participation by numerous US producer associations. ATO/GZ coordinated a
series of baking seminars and promotions last year, lasting for six
months and introducing several new US bakery ingredients to bakeries in
South China. Recipes using US products are now included in the
Sino-American Bakery School's regular teaching curriculum, and ATO/GZ
plans to cooperate with this leading institution based in South China in
the future.

For fiscal year 2006, ATO Guangzhou intends to undertake a series of
promotional activities to help U.S. exporters penetrate the South China
market. These events include in-store promotions, menu promotions, trade
seminars and trade missions to the United States. If any U.S. exporters
and/or agricultural organizations are interested in participating in or
learning more about any of the events listed below, please contact ATO
Guangzhou for additional information.

**A. In‑Store Promotions\
**

Hypermarket chains are developing at a very rapid pace in South China.
Facing fierce competition, stores are trying to differentiate themselves
in order to attract more customers. Through sponsorship of American food
festival promotions, they are able to do just that.

ATO Guangzhou plans to work with additional retail chain stores to
promote American food products in fiscal year 2006. These in-store
promotions will help US exporters evaluate the marketability of their
products. By introducing US suppliers directly to Chinese importers and
retailers, promotions will provide the incentive for US companies to
follow up with long-term product registration and labeling on new
products for the China market. Tentatively, ATO/GZ intends to launch a
"U.S. Food Products Festival---Christmas Edition" promotion with China
Resources Vanguard Co. in its Shenzhen Olé store for the 2005 Christmas
holiday season and similar promotions with other hypermarket retailers
later in 2006. Post will also launch a regional in-store promotion with
the 7-Eleven convenience store chain in Spring 2006.

**1. Hypermarket Promotions**

*C.R. Vanguard Co.*

ATO/GZ plans to cooperate with several US producer associations in
sponsoring a "U.S. Food Products Festival---Christmas Edition" promotion
with China Resources Vanguard Co., a major retailer in South China. The
proposed promotion will be launched in mid-December 2005 at the
company's new concept store in Shenzhen and last for approximately three
weeks. C. R. Vanguard's Olé store represents the future of supermarket
design in Mainland China, adopting many elements from neighboring Hong
Kong gourmet stores and featuring a wide assortment of imported products
and fine foods.

###### Multi-store retail chain

In addition to the holiday promotion with C.R. Vanguard, ATO/GZ also
intends to cooperate with at least one other large hypermarket chain for
an in-store promotion featuring high quality American foods. Unlike the
holiday promotion, however, this American food festival will be
conducted throughout several stores held by the same parent company in
order to improve visibility and impact with consumers. Most multi-store
promotions include anywhere from 6-14 stores and are held in numerous
large cities in South China. Besides just increasing sales for US foods,
these events are also very effective in assisting importers and
distributors to develop long-term relationships for supplying American
products to large chains.

**2. Convenience Store Promotion**

*7-Eleven*

While more and more retail giants keep expanding their existence in
China, the prevalence of convenience stores is also increasing rapidly.
Many convenience stores already carry US snack foods such as almonds,
pistachios, raisins, prunes and assorted confectionaries. For products
often consumed on the go or in small serving sizes, this would be
another area where US food suppliers could develop market share.

Following the 2006 Spring Festival, 7-Eleven and ATO Guangzhou will
launch a convenience store promotion highlighting U.S. snack foods.
Plans for the promotion include introducing 10-15 new products to the
shelves of the more than 230 7-Eleven stores in South China, which could
include jerky snacks, U.S. wine and fresh produce, among other items.
Products will be prominently placed in end-cap displays or emphasized by
shelf-talkers, all specially designed for the promotion. A lucky draw
and grand opening ceremony will also be included in the overall efforts.

**B. Menu Promotions**

In view of the limited exposure to the breadth of American cuisine in
South China and a persistent desire to export food ingredients to China,
ATO/GZ has organized several menu promotions in the past to introduce
new dishes that utilize high-quality U.S. ingredients. Those promotions
were widely successful and featured a variety of American-style foods
and ingredients including U.S. pork, WA State wine, CA almonds, and
Alaskan seafood. ATO/GZ will continue working with various leading
Western hotels and restaurants to introduce more high quality US
ingredients in their menus through joint menu promotions.

**1. Annual Appreciation/Holiday Dinner**

ATO/GZ will organize an annual appreciation dinner for key trade
contacts in South China in January 2006. HRI, retail, media, and
government officials will be invited to attend this event to sample
traditional American foods. This event will provide an opportunity for
professionals in the local food service sector to get together and learn
more about traditional American holiday foods, while also offering them
a chance to network with US cooperators. ATO/GZ will recruit sponsorship
from various US cooperators to participate in this annual event. More
than 300 people joined last year's festivities that featured a wide
array of American products.

2\. WUSATA Cooking Competition and Menu Promotion

ATO/GZ and the Western U.S. Agricultural Trade Association will launch a
series of cooking competitions featuring US ingredients used in both
international and Chinese dishes in Spring 2006. Each session of the
competition will feature ingredients that have been designated by WUSATA
and require chefs prepare foods from only those ingredients in an "Iron
Chef"-style setting. During this promotion, ATO/GZ will work with host
sights, most likely five-star hotels, to have some special dishes
incorporated into their menus that reflect the on-going competition and
the wide range and versatility of high quality US food products.
Regional winners from across China will then be taken to the U.S. to
visit chefs and learn more about the variations in regional cuisine that
exist in America.

**3. American Wine and Cheese Tasting**

In view of the growing incomes in South China and changing tastes of
consumers, it is becoming increasingly important to provide education
about new, high-end products entering the market. Two products that
demand such education, wine and cheese, will be paired in an event
hosted by ATO/GZ in February 2006. Post will recruit the help of such
cooperator groups as the California Wine Institute and the U.S. Dairy
Export Council to provide local media and HRI professionals with
information about the variety and quality of products produced in
America.

4\. American-style Barbeque Media Promotion

Western foods continue to increase in popularity throughout China, and
ATO/GZ's emphasis on increasing the breadth of exposure for U.S.
regional cuisines will be highlighted through an American-style barbeque
media promotion. Through partnership with the U.S. Meat Export
Federation, the USA Poultry and Egg Export Council, or one of the SRTGs,
ATO/GZ hopes to host an American chef to work with locals on food
preparation techniques in addition to partnering with a local restaurant
chain to showcase a wide variety of U.S. barbeque styles and products.
Based on current consumer preferences for foods such as Cantonese-style
barbequed meat, it is believed that this promotion will receive support
throughout the HRI sector and local media.

5\. "Yan Can Cook" Television Series

Celebrity chef Martin Yan, star of the TV cooking show "Yan Can Cook",
is planning to produce a series of TV programs targeted to the Mainland
China market. The series will consist of 52 episodes featuring cooking
demonstrations, field visits, useful tips, Q&A sessions and games.
Martin is currently seeking sponsors for this program, with one
potential source being U.S. producer associations. Opportunities for
cooperators could exist in feature segments with Chef Yan for particular
American products, as well as other joint promotional efforts. ATO/GZ
intends to take the lead in coordinating with "Yan Can Cook" to include
as many U.S. food ingredients as possible in the new series.

# 

# C. Trade Missions

Many Chinese importers are not aware of what products are available in
the United States. For fiscal year 2006, ATO/GZ will organize several
self-financed buyer missions to visit various trade shows in the United
States to source more US food products. Teams will be recruited from the
retail, import, distribution and food service sectors for attendance at
the PMA Fresh Summit, FMI show, NRA show, IFT, World Dairy Expo, Boston
Seafood Show and World Ag Expo, which have generated the most interest
from South China buyers. ATO/GZ will continue to work with SRTGs in
organizing mini, table-top shows to introduce US food suppliers to
Chinese buyers and arranging company tours, processing demonstrations,
and educational programs for these teams at different cities so they can
gain a better understanding of US food products. In addition, Post hopes
to take two Cochran-funded teams to the US---one of dairy specialists to
major milking areas in the United States and another of media
representatives to create print and video documentary series on regional
US agriculture and cuisine.

ATO Guangzhou welcomes US exporters to visit and explore the South China
market. The office will help them plan their itinerary, match them up
with Chinese importers who might be interested in their products and, if
necessary, accompany them for their visits in South China. US exhibitors
of other trade shows in Asia area, including but not limited to FHC
Shanghai, SIAL Shanghai, HOFEX Hong Kong, Natural Products Expo in Hong
Kong and FHC Singapore, are also encouraged to contact our office for a
post-show visit to South China. Depending on visitors' preferences,
ATO/GZ will make arrangements for them to meet with local importers,
distributors, retailers and food service providers.

###### **1. South China Dairy Specialists Team**

Given increasing demand for dairy products in China, now is a critical
time for dairy producers in South China to improve their operations
through the incorporation of sound management practices, better inputs
and new technologies. Tentatively scheduled for March 2006, this
Cochran-funded trade mission will take dairy operators to key milking
areas of the US to educate them on American dairy facility design and
management. Additionally, this team will have the opportunity to learn
about numerous, high-quality American products, such as semen and feed,
which could be used to improve dairy herd performance in South China.

###### 

###### **2. Regional Cuisines Media Team**

In view of limited exposure to American cuisine in South China, ATO/GZ
proposes to take a local television and print teams to visit the US and
create documentary series on regional US agriculture and cuisine using
Cochran funds. These participants will be recruited from well-known
South China television and print outlets, and SUSTA or another SRTG will
be asked to help sponsor these participants' international travel that
is not covered by the Cochran funding. This team would incorporate
material filmed from their visits to American farms, restaurants and
kitchens into a series of television programs and feature articles.
ATO/GZ will also seek support in developing an itinerary and arranging
restaurant tours and cooking demonstrations for this team in different
cities to properly reflect the regional differences in US cuisine. It is
expected that through these feature series, the food service industry in
South China will become better informed about American cuisine and
increase the inclusion of American food products on menus in South
China.

# D. Trade Seminars

Many Chinese firms are not well informed with proper product handling
methods. Whether addressing importers, distributors or end-users,
education is necessary to insure that U.S. products are stored and used
in the ways intended. ATO/GZ, in cooperation with US producer
associations and other organizations, plans to offer several seminars
throughout the year to increase local awareness of a variety of products
and technologies. Through these seminars, post hopes that local traders
could gain more knowledge about the proper handling of high quality US
products and ultimately increase usage of these products in daily
operations.

# 1. Cosponsor Dairy Seminars with US Partners

The Chinese government is encouraging increased consumption of milk and
other dairy products. The increasing demand for fresh milk has made it
difficult for local dairies to rapidly increase their supplies, creating
opportunities for US companies to assist dairies in boosting yields
through improved genetics, forage consumption and general management.
Thanks to funding received through the USDA/FAS Quick Market Response
Fund, ATO/GZ will be hosting a series of seminars and consultations in
conjunction with the South China Dairy Improvement Project. While the
alfalfa feed trials will serve as the basis of the dairy activities, a
team of US dairy experts will travel to China in January and May of 2006
to present seminars on herd nutrition, disease, system design and
breeding and educate local dairies about technologies available from the
US. Through these seminars, ATO/GZ hopes to introduce high quality US
dairy genetics and forage products to Chinese companies, resulting in
large sales of such products from America.

**2. "Green Food" Seminars**

With increasing emphasis on food safety and nutrition issues, Chinese
consumers are becoming increasingly health conscious and are willing to
pay premiums for organic foods. China currently has three categories of
organic food standards, namely, non-harm foods, green foods and organic
foods. Depending on the availability of US speakers, ATO/GZ intends to
organize one or two seminars to introduce US government standards set
for the organic market and provide information regarding current and
future markets for such products. Following the seminars, ATO/GZ will
organize some field visits to organic vegetable and fruit farms in the
region. These seminars will be conducted with ATO Hong Kong based on
that market's increasing demand for organic products.

**3. Supplier Credit Guarantee Program Seminar**

Traders in South China depend heavily on the financial institutes in
Hong Kong to process their business transactions. At the same time,
USDA's Supplier Credit Guarantee Program (SCGP) is not being utilized in
China. If Chinese buyers were more familiar with the SCGP and had more
relationships with US suppliers, they might be more aggressive in using
the program, thus resulting in larger purchases. ATO/GZ plans to hold a
series of seminars in to educate local importers on how to utilize the
program.

**IV. ATO Guangzhou Reports**

ATO/GZ will periodically undertake market research and compose market
briefs on the latest developments in agriculture and related sectors in
the South China market. Those reports will be submitted to the Foreign
Agricultural Service in Washington, DC as GAIN reports and made
available to the public on the following website:
[www.usdachina.org](http://www.usdachina.org/).

# V. Post Contact and Further Information

**\
**ATO GUANGZHOU

Keith Schneller

Agricultural Trade Officer

United States Consulate of Guangzhou

China Hotel Office Tower 14/F

Guangzhou, Guangdong 510015, China

Tel: (86-20) 8667-7553

Fax: (86-20) 8666-0703

E-mail: [atoguangzhou@usda.gov](mailto:info@atoguangzhou.org)

Website: [www.usdachina.org](http://www.atoguangzhou.org/)

If you find the above information in this report to be of value, we
would greatly appreciate your feedback. Please fax or e-mail your
comments to the above number/address.