Voluntary Report - public distribution

**Date:** 3/6/2006

**GAIN Report Number:** HK6005

HK0000

**Hong Kong**

**Livestock and Products**

**China Suspends Live Chicken Exports to Hong Kong for 3 Weeks**

**2006**

**Approved by:**

![](media/image1.wmf)Lloyd Harbert

U.S. Consulate General, Hong Kong

**Prepared by:**

Caroline Yuen

**Report Highlights:**

Mainland China has suspended the supply of live chickens and pet birds
from Guangdong to Hong Kong for three weeks after confirmation of a
fatal human infection of bird flu in Guangzhou. (Guangzhou is a city
located in the Guangdong province, which is adjacent to Hong Kong.) The
infected person was believed to have contacted live chickens in the wet
market. However, there was no outbreak of avian influenza cases in
poultry reported in Guangdong province.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Hong Kong \[HK1\]

\[HK\]

The Hong Kong government announced on March 5 that the supply of live
poultry, day-old chicks and pet birds from the Guangdong Province will
be suspended with immediate effect for three weeks following the
confirmation of a human infection of H5N1 avian influenza virus in
Guangzhou. Guangzhou is a city in the Guangdong Province, which is
adjacent to Hong Kong. All live poultry supplies from China to Hong Kong
come from Guangdong. The trade suspension measures, therefore, will
virtually halt entire live chicken supplies from China to Hong Kong.
Chilled and frozen chicken supplies are not affected.

The Hong Kong government explained that the trade suspension decision
was reached after discussion with the State General Administration of
Quality Supervision, Inspection and Quarantine (AQSIQ). Although there
was no avian influenza outbreak in Guangdong, the trade suspension was
warranted so as to reduce public health risk by minimizing the contact
between humans and live poultry and by preventing the accumulation of
live poultry in the markets. Live poultry imports are suspended for
three weeks so as to allow time for investigation.

The Hong Kong government spokesman announced that if it is confirmed
that there are no additional human infection cases and that there is no
outbreak of avian influenza in live poultry farms in Guangdong, the
supply of live poultry and birds would be resumed.

According to a contingency plan in response to outbreaks of avian
influenza in Hong Kong, the Hong Kong government will terminate all
local live poultry trade on a compulsory basis in the event of two
confirmed H5N1 cases in local poultry farms or in retail markets. All
chickens will be culled. The Hong Kong government restated that the plan
remained unchanged.

The current production of chickens in Hong Kong has amounted to
approximately 60,000 head per day, with imports and local farms each
supplying 30,000 head. There are about 120 chicken farms in Hong Kong
with a chicken population of about 3 million. About 14 percent of
chicken products consumed in Hong Kong came from live chickens while
chilled and frozen chicken products constituted the rest.

Hong Kong imported about \$30 million worth of live chicken products (16
million head) from China in 2005. The 3-week suspension is estimated to
cause approximately \$1.7 million loss in China's export sales to Hong
Kong.

The import suspension is unlikely to have significant impact on local
meat market. Chilled and frozen chicken products and local supplies of
live chickens will be able to fulfill market needs, though prices of
live chicken supplies are expected to rise. However, consumer confidence
in live chicken consumption will probably be affected. The demand for
live chickens is estimated to be sluggish for a while, depending on
future development of AI.

Local supplies of live chickens are not affected in the meantime.
However, local poultry farming relies on day-old chicks supplied from
China. If the suspension continues over 3 weeks, local supplies of live
chickens will then be also affected due to the shortage of day-old
chicks.

# Appendix A

Currently Hong Kong has imposed restrictions on imports of live poultry
and poultry meat from the following countries where AI cases have been
reported.

+-------------------------------+----------------+---------------------+
| Country/Places                | Date of Ban    | Import Volume       |
|                               |                | (Poultry)           |
+-------------------------------+----------------+---------------------+
| Cambodia                      | January 23,    | Nil                 |
|                               | 2004           |                     |
+-------------------------------+----------------+---------------------+
| Canada                        | November 21,   | Negligible          |
|                               | 2005           |                     |
| British Columbia              |                |                     |
+-------------------------------+----------------+---------------------+
| Croatia                       | October 22,    | Nil                 |
|                               | 2005           |                     |
+-------------------------------+----------------+---------------------+
| Democratic People's Republic  | March 29, 2005 | Nil                 |
| of Korea                      |                |                     |
+-------------------------------+----------------+---------------------+
| Indonesia                     | January 27,    | Nil                 |
|                               | 2004           |                     |
+-------------------------------+----------------+---------------------+
| Japan                         | January 29,    | Nil                 |
|                               | 2005           |                     |
| Ibaraki Prefecture            |                | Nil                 |
|                               | September 1,   |                     |
| Saitama Prefecture            | 2005           |                     |
+-------------------------------+----------------+---------------------+
| Kazakhstan                    | August 17,     | Nil                 |
|                               | 2005           |                     |
+-------------------------------+----------------+---------------------+
| Laos                          | January 27,    | Nil                 |
|                               | 2004           |                     |
+-------------------------------+----------------+---------------------+
| People's Republic of China    | July 6, 2004   | All these provinces |
|                               |                | exported none or    |
| Anhui Province                | Jan 10, 2006   | negligible amount   |
|                               |                | of poultry meat to  |
| Guizhou Province              | Nov12, 2005    | Hong Kong except    |
|                               |                | Liaoning Province.  |
| Hubei Province                | Oct 25 2005    | Between January 1   |
|                               |                | to October 25,      |
| Hunan Province                | Nov 21, 2005   | 2005, Hong Kong     |
|                               |                | imported 13,000 MT  |
| Inner Mongolia Autonomous     | Dec 15, 2005   | of poultry meat     |
| Region                        |                | from Liaoning       |
|                               | Nov 4, 2005    | Province or about   |
| Jiangxi Province              |                | 14% of China's      |
|                               | Nov 22, 2005   | import to Hong      |
| Liaoning Province             |                | Kong. The estimated |
|                               | Nov 19, 2005   | value was about     |
| Ningxia Autonomous Region     |                | \$18 million. None  |
|                               | Jan 4, 2006    | of these provinces  |
| Shanzi Province               |                | exported live       |
|                               | Aug 11, 2005   | poultry to Hong     |
| Sichuan Province              |                | Kong.               |
|                               | Nov 22, 2005   |                     |
| Tibet Autonomous Region       |                |                     |
|                               | Jun 8, 2005    |                     |
| Yunnam Province               |                |                     |
|                               |                |                     |
| Xinjiang Autonomous Region    |                |                     |
+-------------------------------+----------------+---------------------+
| Romania                       | Oct 18, 2005   | Nil                 |
+-------------------------------+----------------+---------------------+
| Russian Federation            | July 30, 2005  | Nil                 |
+-------------------------------+----------------+---------------------+
| Thailand                      | January 23,    | \$30 million (2003) |
|                               | 2004           |                     |
+-------------------------------+----------------+---------------------+
| Turkey                        | Oct 15, 2005   | \$12 million (2004) |
+-------------------------------+----------------+---------------------+
| Vietnam                       | Jan 13, 2004   | Nil                 |
+-------------------------------+----------------+---------------------+
| France                        | February 24,   | \$20 million (2005) |
|                               | 2006           |                     |
+-------------------------------+----------------+---------------------+

Source: Hong Kong Census & Statistics Department

Hong Kong Food & Environmental Hygiene Department

Hong Kong allows the importation of cooked-processed poultry products
from AI infected countries. However, import consignments have to be
accompanied by health certificates stating that the products do not come
from AI infected zones.