Food Industry’s Boom Index Dropped in May in China

By CnAgri2012-07-09 18:23:45 Print

The food industry’s indices of consumption, investment, production and profit went down in May, representing a moderate drop of boom index.

The catering industry scored a retail value of RMB184.4 billion in May, an increase of 12.9% on the year-on-year basis. The nation’s grain and vegoil food retail value was RMB88.9 billion, up 18.1% on the year-on-year basis. Food consumption value accounted for 16.35% of the nation’s total retail value in May, parallel to the same period of last year.

Adjusting for price, the catering industry’s retail value added 6.11% and grain and vegoil food retail value added 14.22%.

The nation’s top 1,000 commercial companies’ food sales increased 12.3% in May. Adjusting for price, its increase rate was 5.55%.

Due to growing cost of house rent, raw materials and labor, the catering industry’s gross profit has tumbled to 4.5% from last year’s 8%.

On the whole, the nation’s food industry’s consumption was estimated to increase 4.55% in May on the year-on-year basis.

The farm product-processing industry and the food-making industry realized an added value increase of 13.7% and 11.4% respectively in May on the year-on-year basis. Adjusting for price, their increase rates 11.69% and 9.43% respectively.

The farm product-processing industry received RMB66.753 billion investment, the food-making industry RMB31.048 billion and the hotel and catering industry RMB44.055 billion in May, up 37.35%, 39.2% and 9.96% respectively on the year-on-year basis. Adjusting for inflation, their increase rates were 38.75%, 40.60% and 11.4% respectively. The investment in these industries jointly accounted for 4% of the nation’s total.

The grain-processing industry attained a profit ratio of 10.7% in May, parallel to the month before. The production of flour, japonica, indica, starch and ethanol generated a profit of 9.73%, 13.44%, 11.27%, 7.16% and 3.54% respectively.

In the distribution link, flour suppliers saw a profit ratio of 16.87% and rice suppliers 11.39% in May, the former slightly up but the latter slightly down compared with the month before.

From "China Grains Market Weekly Report"