Voluntary Report - public distribution

**Date:** 7/6/2006

**GAIN Report Number:** CH6048

6048

**China, Peoples Republic of**

**Agricultural Situation**

**Newsflash I.7**

**2006**

**Approved by:**

![](media/image1.wmf)Kevin Latner

U.S. Embassy

**Prepared by:**

Zhang Jianping and Caleb O\'Kray

**Report Highlights:**

This report provides a news synopsis of trade policy and
agriculture/commodities in China. Trade policy news includes: updated
measures for recording and tracking livestock and poultry.
Agriculture/commodities news includes: AI a continued threat in Ningxia;
good quality feed in first half of 2006; Tianjin to launch livestock and
poultry breeding program; 2006 Shandong livestock production critical;
China marks 5^th^ anniversary of agricultural biotechnology development.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Beijing \[CH1\]

\[CH\]

### Trade Policy

## 

**Livestock, Poultry Identification, Culture File Management measure
effective July 1**

On June 26, 2006, the Ministry of Agriculture (MOA) announced the
Measure of Livestock and Poultry Identification and Culture File
Management, effective on July 1, 2006. MOA's old regulation of
"Management on Animal Quarantine Tags, Announcement #13 from May 24,
2002, will expire at the same time. The provincial government will cover
the necessary costs for animal identification. There will be 15 numbers
and a special bar on the animal tag indicating the type of animal (X),
the administrative area at a county level (XXXXXX), and the order number
(XXXXXXXX). 1,2 and 3 will represent swine, cattle and sheep/goat
respectively. New borne animal or poultry will be tagged or ringed
within 30 days of their birth. Imported animal or poultry from other
countries will be tagged or ringed within 10 days of arrival in China.
MOA is responsible for coordinating with other agencies to trace
imported animals or poultry if they have serious diseases once they
arrive in China. (Farmers' Daily, 7/05/2006, ZJP)

### 

### Agriculture/Commodities

## More avian influenza outbreaks in Ningxia

The Chinese Ministry of Agriculture (MOA) notified the FAS Beijing
Office that between June 26 and July 3, 2006, Weizhong City, Ningxia Hui
Autonomous Region culled 581,000 poultry, following the outbreak of
highly pathogenic avian influenza (HPAI) in this city on June 26. After
the HPAI outbreaks, MOA immediately dispatched a group of experts to the
infected areas to coordinate AI control and prevention work. The
Government of Ningxia Hui Autonomous Region started an urgent action
plan to immediately isolate the infected areas. Based on the
requirements of the "Standardized Technical Treatment for Highly
Pathogenic Avian Influenza", the local veterinary bureaus have taken a
series of measures for AI control and prevention, such as culling all
poultry in the infected areas, disinfection, sterilization, disease
monitoring and urgent inoculation. At the same time, they have been
making all knowledge for AI prevention and control public among the
people living around the infected area in order to prevent AI from
spreading to humans. (MOA Notification, 7/04/2006, ZJP)

## Feed quality relatively good in the first half of 2006

The Ministry of Agriculture (MOA) organized sample tests to monitor feed
quality among 4,046 lots of feed products manufactured by 2,518 feed
plants across the country in the first half of 2006. Test results show
that on average 91.69 percent of compound feed, 86.99 percent of
concentrated feed, 90.25 percent of premixed feed with additives, 91.26
percent of feed additives and 76 percent of animal derived feed products
are approved. Liaoning Province had the highest quality products. MOA
also organized label checking on 3,960 lots of feed products and found
84.1 percent approved. (Farmers' Daily, 7/05/2006, ZJP)

## Tianjin to start animal and poultry breeding program 

##  

Tianjin Municipality (directly under the Central Government) started an
animal and poultry breeding program as part of its 11^th^ Five-Year-Plan
(2006-2010). It will invest \~\$105 million altogether to improve
livestock and poultry genetics. By 2010, genetically improved animals
will make up a large portion of their herds: swine will account for 99
percent, beef cattle for 60 percent, dairy cow for 90 percent,
sheep/goat for meat for 70 percent, egg layers and broilers for 100
percent. (China Food Newspaper, 6/29/06, ZJP)

## Livestock production critical in Shandong Province this year

According to the Shandong Provincial Livestock Bureau, swine prices in
the province are still at the bottom of the cycle. Swine prices in
August may reach normal levels by the end of the year. The swine price
is \$0.68/kg, 34.4% lower from the same period last year. The conversion
of feed and pork currently is 7.3:1, lower than the 5.2:1 reported last
year. Total provincial swine inventory decreased 7-10 percent on
average. The price of live chicken is \$0.66/kg, a 29-percent decrease
due to outbreaks of highly pathogenic avian influenza. The price of
chicken eggs is \$0.53/kg, a 21-percent decrease from the same period
last year. The national price for chicken meat is \$626.57 per ton on
average, a 40-percent drop from that before the avian influenza
outbreaks. (China Food Newspaper, 6/29/2006, ZJP)

## China marks 5^th^ anniversary of agricultural biotechnology development

The Ministry of Agriculture (MOA) will update its policies on
agricultural science and technology and enhance the management skills
covering the safety of genetically modified organisms (GMO) so as to
facilitate the development of biotechnology, according to Vice Minister
Wei Chao'an at a round table discussion in honor of the 5^th^
anniversary of the implementation of agricultural biotech regulation.
MOA is responsible for drafting agricultural biotech related regulations
and reviewing and approving, through a national biosafety committee,
applications for GMO field trials and commercialization. It has so far
granted 424 safety certificates for field tests and commercialization as
well as 18 certificates for imported biotech events for processing
purposes. ([www.agri.gov.cn](http://www.agri.gov.cn/), 6/30/06, WBG)