WERA_OLD101: Assessing the Chinese Market for U.S. Agricultural Products
(Multistate Research Coordinating Committee and Information Exchange Group)
Status: Inactive/Terminating
WERA_OLD101: Assessing the Chinese Market for U.S. Agricultural Products
Duration: 10/01/2000 to 09/30/2005
Administrative Advisor(s):
NIFA Reps:
Non-Technical Summary
Statement of Issues and Justification
The sheer size and rate of growth of the Chinese economy are sufficient reason for U.S. policy makers and businessmen to want to be informed about the market potential for U.S. exports to China. However, recent agricultural policy changes in China and the apparent imminence of Chin?s accession to the World trade Organization (WTO) have stimulated even greater interest in the potential for U.S. agricultural exports to China.
With over 1.2 billion people and an economy growing at over 7 percent per year, Chinas ability to produce enough food to feed itself remains an important concern for Chinese policy makers. Nevertheless, the prospective tariff rate reductions and increased market access in Chinas WTO bilateral accession offer to the United States indicates that the Chinese government recognizes the importance of trade in meeting its food security needs. Given the export dependence of much of U.S. agriculture, understanding a market that currently accounts for more than 5 percent of the value of U.S. agricultural exports is relevant to one of the top initiatives of the State Agricultural Experiment Stations strategic agenda; specifically, to enhance agricultural and rural economies. In that initiative, a major research objective is to enhance international market development.
There is great uncertainty regarding precisely how Chinese agricultural markets and agri-food institutions will respond to increasing international competition following its WTO accession. The increased presence of foreign companies and imported products is likely to spur the development of more modern, market-driven food marketing structures in China. Understanding the precise nature and sequencing of these developments will enhance the ability of U.S. agri-businesses in the Western Region to better position themselves to compete in the Chinese market.
Objectives
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Foster greater understanding of China's potential and likely ability to import and export food to and from markets in Asia and the Pacific Rim. The significance of developments in China's agricultural sector for U.S. producers and agri-businesses will be assessed through research targeted toward those products for which U.S. agriculture competes (or may compete) for the Chinese market and against China in third markets. This research will establish appropriate methodologies for assessments of China's agricultural markets.
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Dissemination of research on China's food and agricultural economy to a wide audience, including policy makers, agri-business interests, researchers, and students. The primary vehicles for circulating this information are the WCC-101 annual meetings and related conferences, meeting proceedings, and the WCC-101 website (china.wsu.edu).
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Continue to make steps towards developing a database of historic and current Chinese economic statistics and establishing criteria for generating reliable data series for the future.
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Enhance the existing bi-national network of U.S. and Chinese analysts. The network would facilitate joint research, outreach, exchange and funding activities among committee members (both U.S. and Chinese) and industry.
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Procedures and Activities
Expected Outcomes and Impacts
- Over the last three years WCC-101 has sponsored three highly successful symposiums. The topics of these symposiums included an in-depth look at food markets in China, Chin?s role in world markets, and Chin?s agriculture and the WTO. Proceedings from these symposiums have been published, each of which contains many original research papers. Participation has ranged from 40 to over 100. The current committee has been very successful in identifying critical research issues and in exchanging ideas and data. It is expected that the committee will continue to be successful in these areas. The committee will continue to sponsor symposiums on agricultural marketing and trade policy in China to identify key research areas, exchange ideas and data, and enlarge the network of researchers contributing to our understanding of Chinese agriculture. It is expected that the interaction of committee members will lead to joint research and publications. Moreover, the greater awareness of ongoing research efforts will foster a more coordinated prioritization and division of labor across research areas. The primary focus of the committee will be economic assessments, but relevant disciplines such as animal science, agronomy, sociology, finance, etc. will be included in areas of mutual interest.
Projected Participation
View Appendix E: ParticipationEducational Plan
In the past, the WCC-101 symposiums have provided a forum for graduate students to present their research to and receive feedback from experienced researchers interested in Chin?s food markets. This is a valuable educational experience for these students, which will continue to be available to students at future symposiums. Moreover, as attendees from the academic community recognize ideas that are germane to courses they teach, some of the research presented at the WCC-101 symposiums may be integrated into classrooms and graduate research programs.
The WCC-101 has sought to reach beyond the academic community by intentionally focusing some symposiums on issues of interest to researchers, commercial interests, and policy makers alike. Several researchers from Chinese government agencies have participated in WCC-101 symposiums, creating an opportunity for researchers and industry members to make connections in Chinese ministries and government offices. In addition to the meetings and the associated proceedings, the WCC-101 web site provides current information on committee-related research, as well as links to relevant data and information that is useful to researchers interested in Chinas food markets.
Organization/Governance
governance
WCC-101 has operated with a Chairman and a Secretary. Each year, the Secretary becomes Chair, and a new Secretary is elected. The IMPACT Center at Washington State University has performed the dual functions of treasurer and administrative support - establishing accounts to collect and disburse committee funds for meetings, assisting in meeting arrangements, and assisting in the compilation and preparation of proceedings and reports as well as other matters as they arise. An executive committee consisting of the Chairman, Secretary, a representative from IMPACT, and the administrative advisor has been established to ensure continuity and oversee the functions of the committee. A committee is generally established each year to plan and organize symposiums and meetings.
Literature Cited