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Overview of China’s Poultry Egg Industry

Date:03-12-2013

In the past few decades, the poultry egg industry in China has developed significantly. Prior to the economic reforms of 1978, the volume and production of poultry eggs in China was very less. In fact the volume was insufficient to meet the demands of the domestic population. After the economic reforms, there was a boom in the poultry egg industry in the nation and in 1984 China surpassed US in its volume output to become the largest producer of poultry eggs in the world. In 2012, the output volume of poultry eggs in China reached a value of 28.612 million tons, which represented a year-on-year increase of 1.77%. The output volume of poultry eggs in China reached 20 million tons in 1998, which accounted for 40% of world’s output volume of poultry eggs. This value was also four times that of US in the same year.

Market Overview
In terms of consumption channel, the egg production in China can be classified into three categories. These are industry consumption, household consumption and outdoor consumption. Industrial consumption consists of highly processed eggs that are used in the food industry whereas eggs that are consumed in restaurants and institutions are termed as outdoor consumption. In terms of volume sales, poultry eggs consumption in China is led by household consumption.

Henan, Hebei, Sichuan, Shandong, Jilin, Heilongjiang, Liaoning, Hubei, Jiangsu and Anhui are some of the primary egg producing regions in China. 80% of the total output volume of eggs in the country comes from these regions. As egg production is high in the North and Northeast region of China, therefore egg supply to the South China mainly comes from these regions. Shanghai, Guangdong, Beijing and Zhejiang have insufficient supply of eggs and egg supply is mainly distributed from regions of Hebei, Shandong, Henan and Liaoning.

China exports egg and egg products to different countries and regions of the world including Europe, Asia and North America. In 2012, the Chinese export of egg products to Asia was the highest with a value of 167 million USD which represented a year-on-year increase of 1.7 percent. China’s export to Asia accounted for nearly 94.4% of the total export value in 2012.

With increase in population and rise in living standard as well as increase in per capita income, the demand for poultry eggs is expected to increase. This will lead to an increase in the market for egg and egg products in the country.

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