For U.S. exporters, China is a huge potential market with a population of 1.3 billion. The economy continues to grow rapidly, with GDP increasing by 9.5% in 2004. The middle class in China reached 19% and it is estimated that the figure will increase to 40% in 2020.

After entry into the World Trade Organization, import barriers have been eliminated and the quota system on agricultural products has been loosened. All these factors bring great opportunities for southern U.S. agricultural products.

Product Focus
The China Initiative is geared towards fruit, nuts, confectionery, bakery products, dressings and sauces, juice and canned food, etc. Horticultural products and pet foods are also included.

Country/Region Focus
The promotions will focus on the three major cities of Beijing, Shanghai, and Guangzhou, as well as the rest of mainland China. Coastal cities such as Qingdao, Dalian, Shenzhen and Xianmen, etc. are also target markets.

Timeline
The initiative is a multi-year program starting in 2005.

Trade Goals
In recent years, U.S. products have been gradually accepted by Chinese traders and have built an image of high quality. However, due to a lack of awareness, importers of U.S. products are still limited. Through the initiative, an in-market representative will provide market entrance services as well as promote southern U.S. products at a series of activities such as trade shows, trade missions and seminars to educate local traders and increase their awareness of U.S. products, and thus expand the market share of U.S. products.

Trade Promotions/Activities

• During the first stage of this initiative, U.S. suppliers will be provided with a package of market entrance services:
1. Key Importer Lists
2. Tariff, Labeling and Packaging Information
3. Market for Product
• Southern U.S. agricultural products will also be promoted through a newsletter, trade services, and at tradeshows throughout the year.
• Visit our Events Page

Consumer Goals
Chinese consumers have growing demands for high-quality U.S. products, but it is still in the developing stage. Therefore, SUSTA hopes to educate consumers through various activities such as in-store promotions, menu promotions, media campaigns and PR activities to increase awareness and motivate consumption.

Consumer Promotions/Activities

• Menu promotion
• Media exposure such as news releases, media coverage, and media tours, etc.
• PR activities
• Market research
• P.O.S. material delivery

How a U.S. supplier can participate
U.S. suppliers can send samples or obtain market entrance services listed above. For more information, please contact Bernadette Wiltz (bernadette@susta.org).