Money

Technological boost to harvest less-expensive veggies, fruit

By Wang Wei (China Daily)
Updated: 2010-06-09 07:43

Beijingers might soon be able to buy half-price imported fruits and vegetables after the first international logistics site opens at the city's biggest outdoor market.

AgraForUm AG from Germany, Pomina from Taiwan and another eight large-scale distributors worldwide will sell directly to Xinfadi agricultural products wholesale market, in Fangshan district, from the end of the month.

"The products will then be sold on to grocery stores and farmers markets across Beijing," said Zhang Pengyi, vice-president of the market.

He said Shanghai and Guangzhou are the two main entry points for imported farm products into China, stopping there before being transported to Beijing.

"With our own logistics site, transportation and storage expenses can be greatly reduced," he said.

"On average, retail prices might be cut by between 20 and 50 percent."

Xinfadi wholesale market will also sign agreements with 10 major supermarket chains to allow them to sell foreign farm products purchased directly from Xinfadi, from the middle of this month, he said. The supermarkets include Wal-Mart, Chaoshifa and Carrefour.

"If everything goes smoothly, Beijingers can soon enjoy cheaper imported vegetables and fruit," Zhang said.

And while the distribution channel is expected to bring cheaper imported products to local households, it should also introduce Chinese agricultural products to the world.

"When the logistic site is working at full speed, apples, peaches and oranges grown in China will be sent in greater numbers around the world," Zhang said.

At present, only 6 percent of China's exported farm products pass through wholesale markets due to a lack of relevant technology and regulations. With the new logistics site, this figure is expected to leap to 20 percent, Modern Logistics News reported.

Belhadj Imen, a PhD student from Tunisia, told METRO she is looking forward to the price cut.

The student with Peking University School of International Studies said lemons are main ingredients in authentic Tunisian food, but they are priced too high in Beijing.

"A single lemon can cost as much as 8 yuan in a supermarket, so I usually won't buy it unless it is essential for a dish," she said.

"But if the price can be cut in half, I will definitely buy them more often."

As the city's largest outdoor wholesale market, Xinfadi exports approximately one million tons of agricultural products every year. Its imported products come mainly from Mongolia, Thailand and Vietnam.