Su Hua, the central marketing manager of the North China Pharmaceutical, Qinhuangdao Company, travelled from Beijing to Lima to find suppliers of a product that has begun to be very popular in the Chinese market - maca, a herbaceous plant that grows in the Peruvian Andes and that has many energy properties that increase the physical and mental capacities of people.
"I'm looking for gelatinized maca powder so I can place it in capsules and market them in China. The product is aimed at anyone who needs the extra dose of energy that this superfood can provide them," said Su Hua, who visited Lima to participate in the Expoalimentaria fair.
This product, he said, will be part of the nutritional supplement line that the company markets in China through its 40 branches.
He also stated that the company had decided to come to Peru to ensure the product's quality, as they know this crop is native to the Andean country. "Maca has been grown in south China for some years, but the quality does not compare to that produced in Peru," said Su Hua. Since last year, the Commercial Office of Peru in Beijing has been intensely promoting this product, which is one of the reason that this company, which is among the 500 largest Chinese companies, started to pay attention to this crop and its properties.
Fresh fruits
However, the Chinese market isn't only interested in maca, it also demands grapes, mangoes, citrus, avocados, and blueberries, among other fruits. Huiyan Gong, manager of Shenyang Qupai Trading, said he saw Peru as a competitive and high quality production center; in the past six years, five Peruvian companies have provided his company with red globe grapes, one of the most appreciated fruits by Chinese consumers, especially during the festivities for the New Year.
"Peru displaced the United States as our supplier of grapes," said the executive, who reported that they had acquired 300 containers of grapes from Peru between November and March. He also stated that this wasn't enough and that they needed to have more Peruvian providers. Currently the companies that supply grapes to the Chinese firm have fields in Piura, a region located 988 kilometers north of Lima, but they are looking for vineyards in Ica, 306 kilometers south of the capital of Peru.
Huiyan Gong said he preferred Peruvian fruits because their harvest took place in the northern hemisphere's counter-season, and because Peru's soil quality and diverse climates gave its products a very special flavour.
Therefore, the company has begun to evaluate the possibility of diversifying its purchases from Peru and to start buying fruits that are rich in antioxidants, such as mango, citrus, avocados and blueberries. The health protocol allowing the entry of Peruvian blueberries into the Chinese market will be signed in the coming weeks, during the celebration of the APEC Leaders Summit in Lima. The health protocol will be signed after the Peruvian President and the director of agricultural health services visited China and met with the head of the AQSIQ. Moreover, Chinese officials have been inspecting blueberry fields in Peru.
Diana Pita, commercial counselor of Peru in Beijing, said the imported fruit was highly valued in China, so much so that it is offered as a gift in the New Year celebrations. She also stated that approximately 70% of the consumers in northern China looked for healthy and imported foods, which gave the Peruvian fruit a double advantage.
The Peruvian official said that Peruvian foods had high nutritional and energizing properties, which is why they were considered super foods. That's why after achieving access for blueberries, Peru will seek access for quinoa, a grain that contains a high amount of protein and that, according to the FAO, could save many people in the world from starving.
Logistical issues
While there may be supply and demand, it is necessary to have everything so that both can come together. That is why the logistics company, Fruit Ease, was also present at the Expoalimentaria fair.
Kurt Huang, general manager of the firm, says his company, which is located in Shanghai, could be the logistical bridge that connects the Peruvian agricultural and fishery products with the Chinese consumers.
"The Peruvian fruits and fish products enter through Shanghai and my company can provide transportation services throughout China, especially to the north, which I understand is a market Peru has still to explore," he said.
The commercial counselor of Peru in Shanghai, Vladimir Kocerha, proposes e-commerce as an alternative to enter the Chinese market at a lower cost. "In China it is very common to purchase food online, so this could be a possibility for Peruvian companies to enter the Chinese market at a lower cost," he says.
To make the business more profitable, the entrepreneur said, Peru must focus on its sanitary protocols so that they can import a greater volumes and the business may become profitable. For the moment, the protocols for the access of Peruvian blueberries and shrimp into the Chinese markets are about to enter into force, and Peru expects to achieve many more.
Source: spanish.xinhuanet.com