China – Alberta Agriculture Highlights
Agriculture in China
 Agriculture is a vital part of China’s economy,
comprising nearly 10% of the country’s GDP and
employing approximately 35% of its work force.
 China is the world’s leading producer and consumer
of a wide range of agricultural products. Primary
crops include rice, wheat, potatoes, peanuts, tea,
millet, barley, apples, cotton and oilseeds.
 China is one of the largest food importers in the
world, with a population of over 1.3 billion people
and a rapidly growing economy.
 In 2014, China imported $124 billion in agri-food and
seafood products.
 China’s primary governmental entities involved in
agriculture include the General Administration of
Quality Supervision, Inspection and Quarantine
(AQSIQ) and the Ministry of Agriculture (MOA).
These entities intersect with numerous provincial
animal husbandry bureaus, special commissions,
trade entities and research organizations to manage
the development of China’s agriculture and agri-food
sector.
o The AQSIQ is responsible for food safety
regulation and is the equivalent of the Canadian
Food Inspection Agency (CFIA).
o The MOA is responsible for a broad range of
issues related to primary agriculture, rural areas,
and rural economic development and is the
equivalent of Agriculture and Agri-Food Canada
(AAFC).
Alberta Agriculture and Forestry
Trade
 China is Alberta's second largest market for agrifood exports, valued at $1.3 billion in 2014 (a
decrease of 12.35 per cent from 2013).
 Top Alberta agri-food exports in 2014 included
canola seed ($782 million), raw hides & skins ($202
million), canola oil ($125 million), barley ($77 million)
and beef ($39 million).
Alberta Agriculture and Agri-Food Exports to
China (in value, 2010-2014)
Revenues ($000,000)
Alberta-China Relations
 China is currently Alberta's second largest trading
partner. Alberta's trade relationship with China has
more than tripled since 2003.
 Alberta has been at the forefront of Canadian
relations with China since the 1960s.
 Alberta developed a twinning relationship with the
northeastern Chinese province of Heilongjiang in
1981. Edmonton is twinned with Harbin, the capital
of Heilongjiang; Calgary is twinned with Daqing,
Heilongjiang.
 In 2010, the provinces of British Columbia, Alberta
and Saskatchewan opened the Western Canada
Trade and Investment Office in Shanghai to bolster
economic ties in China.
 Alberta has maintained an international office in
Beijing since 1999, and opened a Shanghai office in
2010.
2,000
1,500
1,000
500
2010 2011 2012 2013 2014
Year
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In 2014, Canada’s agri-food exports to China were
valued at approximately $4.8 billion. Alberta
accounted for nearly 30 percent of this total.
China is Alberta's top export market for canola seed,
canola oil, raw hides and skins and the second
largest for barley.
Alberta Agriculture and Agri-Food Exports to
China in 2014 (in value)
Beef (Fresh, Wheat
3%
Frozen,
Chilled, incl.
Offal)
Barley
3%
Canola/Musta 6%
rd Oil -Crude
9%
Processed Peas,
Potatoes Dried
1%
2%
Raw Hides
and Skins
15%
May 2015
Other
2%
Canola Seed
59%
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Activities and Engagement
 May 2014: Alberta’s Agriculture and Forestry (AF)
Minister led a mission to Asia, including Guangzhou
and Hong Kong.
 During this mission, the Minister profiled Alberta as a
preferred supplier of agri-food products, and a
destination of choice for outbound investment in the
agriculture sector.
 June 2014: AF’s Assistant Deputy Minister joined
Agriculture and Agri-Food Canada's Minister’s
mission to China, to brand Alberta and Canada's
agri-food advantages.
 November 2013: AF’s Assistant Deputy Minister led
a trade and government relations mission to China.
 During this mission, AF and China's MOA renewed a
five-year Memorandum of Understanding (MOU) to
strengthen and expand the scope of cooperation in
the agricultural sector.
 September 2012: Alberta's International and
Intergovernmental Relations Assistant Deputy
Minister joined the Deputy Ministers of Agriculture
from British Columbia and Saskatchewan on a joint
New West Partnership (NWP) Agriculture Mission to
Asia to enhance the profile of the NWP region and
promote trade and investment.
 November 2010: Alberta's former Agriculture and
Forestry Minister Jack Hayden and Steve Thomson,
former Minister of BC Agriculture and Lands, met
with the Chinese government and industry
representatives on behalf of the NWP.
 2005: the Heilongjiang Department of Science and
Technology and AF signed an MOU supporting the
establishment of the Agri-food Processing and
Development Centre in Daqing. The Daqing Centre
officially opened in 2008.
 The AAFC Market Access Secretariat (MAS)
continues to engage China on market access
issues. Alberta continues to support MAS in its
market access initiatives in China.
 Alberta industry and Alberta Agriculture and Forestry
continue to engage on opportunity identification,
matchmaking and promotional initiatives within the
Chinese market.
Canada-China Relations
 June 2014: During Agriculture and Agri-Food
Canada Minister’s mission to China two protocols
were signed with China. One protocol to secure
access for timothy hay and the other to modernize
the live swine export protocol. China also formally
agreed to work with Canadian officials towards
access for bone-in beef derived from animals less
than thirty months of age (UTM) as well as access
for live cattle.
 2013: Canada and China released the Economic
Complementarities Study, which highlights strong
momentum and expansion in bilateral trade and
investment relations and identifies important
synergies and prospects for growth.
 February 2012: China agreed to resume imports of
Canadian bovine tallow immediately.
Alberta Agriculture and Forestry
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Canada negotiated a new Canadian Dairy Export
Certificate in 2011 that allowed Canadian dairy
manufacturers that meet regulatory requirements to
export their products to China.
July 2011: China agreed to grant Canada continued
market access for canola seed. China had
previously imposed restrictions on canola seed
imports in 2009 due to blackleg fungus concerns. In
2012, a MOU was signed supporting research that is
expected to provide long-term stability for Canadian
canola products.
June 2011: Canada became the first Bovine
Spongiform Encephalopathy (BSE) affected country
to regain access to China’s market for beef.
Currently, entry of Canadian UTM deboned beef is
permitted.
March 2011: China agreed to a protocol to allow the
import of Canadian alfalfa hay. Exports resumed in
March 2012. In 2013, Alberta exports of alfalfa hay
to China were valued at $1.6 million.
March 2011: China removed its maximum limit for
selenium in imported food, which was a major
constraint to using Canadian pulses in products
such as pea flour and snack food.
Alberta Priorities in China
 Enhanced market access for Alberta agri-food
products, especially for beef, live cattle, pork,
timothy hay and elk velvet antler.
 Reduction of tariffs and non-tariff trade barriers,
especially for canola products.
 Enhanced relationships, including mutually
beneficial partnerships and trade agreements.
 Enhanced trade for Alberta agriculture and agri-food
goods and services.
 Best practices exchange and research collaboration.
 Attraction of foreign investment.
Opportunities
 China is a large and highly populated country with
finite agricultural land and growing food demands.
Although the country is highly self-sufficient, it relies
on extensive imports to feed its population.
 Beef, pork and grain product exports are expected to
increase in future years due to new federal bilateral
agreements and progress on market access issues.
 Increasing adoption of western eating habits in
China urbanization has led to increased demand for
beef, convenience and health food products.
 China is a major importer of oilseeds and edible oils
such as canola. Alberta has the capacity to provide
abundant supplies of these products to China.
 China's government set a goal to increase the
country's domestic availability of milk. Despite efforts
at production increases, demand is expected to
significantly outpace supply. This provides
opportunities for Alberta to provide continued
exports of dairy genetics, equipment and high quality
feed.
May 2015
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China's hog production model is moving away from
small individual farms to large-scale farms. In this
transition, opportunities exist for exports of swine
genetics, equipment, feed products and related
technologies.
China is fast becoming a source for leading research
and technology developments in biotechnology.
Opportunities exist for mutually beneficial linkages
and cooperation as China seeks to improve its
agricultural technologies.
Alberta's educational institutions can provide stateof-the-art training in agricultural fields to students
from China as well as personnel exchange with
China's institutions.
China’s e-commerce industry has dramatically
increased in recent years with the development of
fast distribution system to end users. This opens a
new channel to reach Chinese consumers in a more
efficient and cost-effective way.
Challenges
 Alberta must compete with many countries that are
geographically closer to China, which have the
advantage of lower transportation costs.
 Alberta canola exporters are at a disadvantage
when competing against soybean exporters due to
China's higher tariff rates on canola.
 China maintains market access restrictions on some
Alberta agri-food products, including:
o Beef: exports of boneless beef derived from UTM
cattle are allowed, but are limited due to
ractopamine restrictions.
o Live cattle are banned due to BSE concerns.
o Pork derived from livestock treated with
ractopamine is banned.
o Elk velvet antler is banned due to Chronic
Wasting Disease concerns.
For more information, contact:
Alberta Agriculture and Forestry
International Relations and Marketing Branch
Albert Eringfeld, Manager, East Asia
Tel: +1-780-415-4814
Email: albert.eringfeld@gov.ab.ca
Rachel Luo, Senior Trade and Relations Officer
Tel: +1-780-422-7102
Email: rachel.luo@gov.ab.ca
The information contained in this document is for general information
purposes only. Alberta Agriculture and Forestry makes reasonable
efforts to obtain reliable content from third parties, but does not
guarantee the accuracy or completeness of this overview.
Alberta Agriculture and Forestry
May 2015
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