Chinese AFIA Mission March 2002 - Summary Report

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16 Apr 2002
By Frank McRae

Fundamental differences exist in the definition of fodder between China and Australia. In China fodder refers to formulated feed, grain by-products and straws. In Australia fodder refers mainly to roughage fed as hay and silage to livestock.

Pictured is AFIA Chariman, Bob McCormack inspecting Chinese pasture plots.

AFIA delegates on the mission were Chairman, Bob McCormack, Export Committee Chair Michael Mackie and members Frank Mc Rae and Roger Tripathi.

The fodder industry in China has undergone considerable reform and development over the past two decades and has become an important agricultural industry. Government policy and the provision of Scientific and Technical support assisted this reform and development.

The dairy industry is considered the new growth industry for agriculture in China. There is still a shortage of dairy products in China and the development of this industry will provide significant nutritional benefits to the population. A School Milk policy to be introduced in 2002 will drive further industry development.

The rapid development of the dairy industry and the entry of China into the World Trade Organisation will provide business opportunities for overseas companies, including those from Australia.

With increased private investment joint venture opportunities exist in the development of large-scale modern dairies to meet the rapidly expanding demand for dairy products. Beef cattle breed improvement and the development of beef feedlots is also occurring.

Improvements in dairy cow nutrition are needed to lift production and meet new industry benchmarks. Rapid dairy industry expansion and improved nutritional requirements will increase demand for high quality fodder. This increase in demand will be gradual. Some of this high quality fodder will need to be imported. Australia has the expertise to produce and supply quality assured fodder to meet this increased demand.

The quality of locally supplied pasture fodder also needs to be improved. The introduction of pasture and crop legumes suited to the differing environments would improve the quality of locally supplied fodder, as well as providing significant environmental benefits.

Integrated projects need to be introduced to improve the understanding of cattle feeding, animal nutritional requirements and improved breeding technologies if the demands of the expanding dairy and beef industries and production targets are to achieved.

Protection of the bio-environment is also an integral component of Government policy.

Rehabilitation of pasture and cropping land under the Pasture Land Management and Construction Policy will provide opportunities to supply pasture and crop seeds. Zero import duties apply to fodder seed used for the protection of the environment.

International cooperation and exchange is important in the implementation of this policy which involves two components

1. Improvement of natural pastureland

2. Improved seed for cropping and seed for the rehabilitation of pasture and crop land

The AFIA delegation visit to China was extremely successful and enabled delegates to gain a greater understanding of Chinese agriculture and the fodder industry.

Continued cooperation and the provision of technical expertise in the areas of fodder and pasture production, animal nutrition, feeding and management are needed for the continued development of the dairy, beef and fodder industries in China.

The provision of expertise and the contacts made by the AFIA delegation could lead to the development of significant markets in China for Australian fodder.

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