A record number of Australian companies participated and secured contracts at the seventh China International Import Expo, highlighting the growing Chinese consumer interest in high-quality products and new opportunities for Australian goods.
"The Australian delegation to this year's CIIE was the largest since the expo started seven years ago," stated Vaughn Barber, chair of the China-Australia Chamber of Commerce, with 253 Australian companies demonstrating strong confidence in the Chinese market and reinforcing bilateral business relationships.
"The CIIE is a great venue for Australian companies to come and engage with consumers and buyers. They will go back with a good story to tell, as people at home just don't understand the scale and the opportunities that are here. Seeing really is believing," Barber remarked.
Bilateral trade between China and Australia has surged, reaching USD327 billion, benefiting Australian jobs, tax revenues, and living standards.
Australian agricultural exporters, including avocado producers, signed significant trade agreements and memorandums of understanding at the CIIE in Shanghai. Avocados Australia announced a AUD300 million purchase agreement with Shanghai Markets and a memorandum of understanding with the Chinese Food Nutrition Association and JD Super, marking a step towards market access. Despite import restrictions, 800 kilograms of Australian avocados received special approval for display at the CIIE.
"We currently don't have market access to China., but we're ready to ramp up exports as soon as we get that access," said John Tyas, CEO of Avocados Australia.
"Chinese consumers love to eat high-quality fruit and they especially love Australian fruits," Jesse White, general manager of Asia at Berries Australia, noted, highlighting the Chinese market's preference for Australian produce.
Australian exporters are adapting to China's digital-first retail environment, incorporating e-commerce into their distribution strategies and benefiting from the rapid development of cold chain logistics in China's major cities.
"It's a nine-hour flight from Sydney to Shanghai, so the travel time is very, very quick and you have fantastic infrastructure," White emphasized on China's logistics capabilities.
Australian exporters are targeting China's premium market segments, with plans for gradual expansion into third-tier cities based on supply capabilities. Wine exporters are focusing on finding specific niches within the Chinese market.
In a collaborative approach, Australian producers are planning to work with Chinese farmers to develop the market. "We're working with the Chinese industry because we think this market is big enough for both Australian and Chinese growers," Tyas disclosed, detailing a five-year project with farmers in Yunnan province.
"I am optimistic about the future of trade collaboration between Australia and China. Particularly, I believe that the complementarities will only increase along with the potential to collaborate," Barber concluded.
Source: Yicai Global