VC, PE firms show appetite to build up food industry

BEIJING - As the Chinese become richer and pay more attention to the quality of food, venture-capital and private-equity companies have started to invest in the country's agricultural sector and cultivate food products' brands.

By the end of 2010, the average per capita consumption of pork by Chinese people came to 33.1 kg, an 85 percent increase from 1990. The figure for dairy products, meanwhile, was 11.27 kg, 6.7 times greater than 10 years ago, according to a report by Southwest Securities Co Ltd.

The report said Chinese people are placing a greater priority on their health, which has directly influenced agriculture production and investment activities in the country.