IOC China 2010

Study on the Promotion of Consumption of Olive Oil and Table Olives in China
Study on the Promotion of

Consumption of Olive Oil and Table
Olives in China
Final Deliverable
Consejo Olecola Internacional (International Olive Council)

Prncipe de Vergara, 154
28002 Madrid
(Espana)
Tel: +34-91 590 36 38, Fax: +34-91 563 12 63
Issued through
AFC Management Consulting AG
Far Eastern Limited
Dottendorfer Str. 82
Fernost Beratungs- und Handels GmbH
D-53129 Bonn, Germany
Lagerhausstr ae 26
Telefon: +49-228-98579-0
D-67061 Ludwigshafen, Germany
Fax: +49-228-98579-79
email: info@far-eastern.de
email: info@afc.net
http: www.far-eastern.de
http://www.afc.net
March 2010
Index of contents
1.
Executive Summary ................................................................................... 12
2.
Introduction ................................................................................................ 15
3.
Research purpose and objectives of the study ....................................... 16
3.1.
3.2.
3.3.
Editorial deadline....................................................................................... 16
Sources ..................................................................................................... 16
Currency, exchange rate ........................................................................... 17
4.
Organisation and Methodology ................................................................ 18
5.
Overview of the Availability of Information about the Consumption of

Olive Oil and Table Olives in China .......................................................... 22
6.
Facts and figures about China .................................................................. 25
7.
Relevance of sales regions ....................................................................... 28
8.
Olive Oil....................................................................................................... 29
8.1.
Introduction ............................................................................................... 29
8.1.1.
Definitions & classifications................................................................. 29
8.1.2.
Current status of olive oil in China ...................................................... 31
8.2.
Supply ....................................................................................................... 32
8.2.1.
Production of Olive Oil in China .......................................................... 32
8.2.1.1. Cultivated area in China, description and comparison of countries of origin .
............................................................................................................ 32
8.2.1.2.
Production volume/supply situation and structure of the offered range...
............................................................................................................ 34
8.2.2.
Imports ................................................................................................ 36
8.2.3.
Exports................................................................................................ 38
8.2.4.
Conclusion: Supply Situation of Olive Oil in China.............................. 41
8.3.
Demand .................................................................................................... 42
8.3.1.
Consumer Habits ................................................................................ 42
8.3.2.
Consumption of olive oil in private households ................................... 43
8.3.3.
Consumption of olive oil in gastronomy and hotels ............................. 45
8.4.
Developments and acceptance of olive oil ................................................ 45
8.5.
Concentration trends, competitive environment ........................................ 49
8.6.
Necessary licences, quality certificates, sales permission ........................ 49
8.6.1.
Hygienic standards for manufacturers in China .................................. 49
8.6.2.
Quality requirements ........................................................................... 50
8.6.3.
Food Safety ........................................................................................ 56
8.6.4.
Sales Permissions .............................................................................. 57
8.7.
Custom duties ........................................................................................... 57
9.
Table Olives ................................................................................................ 59
9.1.
Introduction ............................................................................................... 59
9.1.1.
Definitions ........................................................................................... 59
2
9.1.2.
Current status of olives in China ......................................................... 61
9.2.
Supply ....................................................................................................... 61
9.2.1. Production of Table Olives in China: Cultivated area in China, description
and comparison of countries of origin ....................................................... 61
9.2.2.
Production volume/supply situation and structure of the offered range...
............................................................................................................ 63
9.2.3.
Imports ................................................................................................ 65
9.2.3.1.
Import Volume and Value .................................................................... 65
9.2.3.2.
Source of import ................................................................................. 71
9.2.4.
Exports................................................................................................ 73
9.2.4.1.
Export volume and value .................................................................... 73
9.2.4.2.
Export countries .................................................................................. 79
9.2.5.
Conclusion: Total Supply of Olives in China ........................................ 80
9.3.
Demand: Trends and Development .......................................................... 83
9.3.1.
Development and acceptance of olives .............................................. 83
9.3.2.
Packing and offering trends ................................................................ 84
9.3.3.
Consumption of olives in private households ...................................... 84
9.3.4.
Consumption of olives in gastronomy and hotels................................ 86
9.3.5.
Sales of olives to processing factories ................................................ 88
9.3.6.
Commodity Flow 2008 ........................................................................ 88
9.4.
Concentration trends, competitive environment ........................................ 90
9.5.
Necessary licences, quality certificates, sales permission ........................ 90
9.6.
Custom duties ........................................................................................... 92
10.
10.1
10.2
10.3.
10.4.
10.5.
11.
Description of Consumer Groups ............................................................. 93

Evaluation of Purchasing Power ......................................................... 93
Evaluation of Consumption Expenditures ........................................... 95
Consumer segmentation and description of target groups ................ 101
Purchase behaviour .......................................................................... 104
Consumer Preferences ..................................................................... 106
Marketing Findings .................................................................................. 109
11.1. General Communication Aspects ............................................................ 109

11.2. Brand translation and brand meaning ..................................................... 115
11.3. Product presentation and display material .............................................. 118
11.3.1.
Table Olives ...................................................................................... 118
11.3.2.
Olive Oil ............................................................................................ 127
12.
Marketing Campaign for China ............................................................... 139
12.1. General Objective and Target Groups to be addressed .......................... 139

12.2. Themes and messages to be conveyed.................................................. 141
12.3. Programme of Actitivities ........................................................................ 144
12.3.1.
Trade Events..................................................................................... 144
12.3.2.
Gastronomy ...................................................................................... 146
12.3.3.
Media ................................................................................................ 147
12.3.4.
Consumers ....................................................................................... 154
12.3.5.
Promotion Material ............................................................................ 155
12.3.6.
Website and Newsletter .................................................................... 155
3
12.3.7.
12.3.8.
12.4.
12.5.
12.6.
12.7.
13.
Other Activities .................................................................................. 156

Marketing Controlling ........................................................................ 156
Calculation of a budget for planned activities .......................................... 157
Timetable of Activities ............................................................................. 163
Importers Profiles .................................................................................... 165
Marketing/PR Agencies located in China ................................................ 169
Source Index............................................................................................. 172
ANNEXES ........................................................................................................... 175

ANNEX I: Brand Names of Olive Oil and Table Olives, distributed in China 176
ANNEX II: Packaging and packing sizes ......................................................... 184
ANNEX III: Price Ranges of Table Olives and Olive Oil distributed in China 191
ANNEX IV: Distribution Structures ................................................................... 212
ANNEX V: Food related associations & federations in China........................ 220
ANNEX VI: Interview Partners .......................................................................... 222
Table of Charts
Chart 1: Markets Competitive Environment .......................................................... 20
Chart 2: Preface .................................................................................................... 25
Chart 3: Economic situation ................................................................................... 26
Chart 4: Foreign trade ........................................................................................... 26
Chart 5: Trade balance between EU (EU27) and China ........................................ 27
Chart 6: Foreign trade balance .............................................................................. 27
Chart 7: World production of olive oil compared to Chinas production.................. 35
Chart 8: Olive Oil Import Data in tons (2001 2009) ............................................. 36
Chart 9: Imported olive oil, divided into Extra Virgin Olive Oil, Pure Olive Oil and
Olive Pomace Oil, between 2001 and 2008 from Chinas customs ................. 37
Chart 10: Virgin Olive Oil ....................................................................................... 39
Chart 11: Refined Olive Oil .................................................................................... 39
Chart 12: Other Olive Oil products ......................................................................... 40
Chart 13: Total export volume of Olive Oil ............................................................. 40
Chart 14: Net Import of Olive Oil to China 2001 2008 (in tons)........................... 41
Chart 15: Edible Oil Consumption (in 1,000 tons).................................................. 43
Chart 16: Consumers cognition situation to the use of olive oil (number of
interviewed persons) ....................................................................................... 44
Chart 17: Consumption of olive oil in China (in 1,000 tons) ................................... 46
Chart 18: Consumption Forecasts (in 1,000 tons) ................................................. 47
Chart 19: Olive Oil Consumption in China (in tons, 2001 - 2009) .......................... 47
Chart 20: World consumption of olive oil ............................................................... 48
Chart 21: Import Trends ......................................................................................... 48
Chart 22: Hygiene index ........................................................................................ 50
Chart 23: Composition of fatty acids in olive oil and olive pomace oil.................... 51
Chart 24: Content of trans fatty acids (%) .............................................................. 51
Chart 25: Unsaponifiable matter content in olive oil and olive pomace oil ............. 51
Chart 26: Sterol content in olive oil and olive pomace oil....................................... 52
Chart 27: Erythrodiol and Uvaol content in olive oil and olive-pomace oil ............. 52
Chart 27: Wax content in olive oil and olive pomace oil ......................................... 52
5
Chart 27: the maximum difference in actual and theoretical ECN 42 triglycerides
content ............................................................................................................ 53
Chart 27: Triglycerides -2 bit saturated fatty acid content ...................................... 53
Chart 28: Quality indices of olive oil....................................................................... 54
Chart 29: Quality indices of olive oil....................................................................... 55
Chart 30: Customs................................................................................................. 58
Chart 31: Comparison of domestic and foreign olives ........................................... 59
Chart 32: World production of table olives ............................................................. 63
Chart 33: Regions suitable for producing olives .................................................... 64
Chart 34: Import quantity and value of Chinese Olives .......................................... 65
Chart 35: Import average price for olives (HS Code 07112000) in USD/kg ........... 66
Chart 36: Import quantity and value of Chinese Pickled Olives ............................. 67
Chart 37: Import average price for Pickled Olives (HS Code 20060020) in USD/kg
........................................................................................................................ 68
Chart 38: Import data of Olives, not preserved by vinegar or acetic acid, not frozen
(HS Code 20057000) ...................................................................................... 69
........................................................................................................................ 70
Chart 40: Main source of import of olives (not preserved by vinegar or acetic acid,
not frozen) from 2006 to July 2009 .................................................................. 71
Chart 41: Main source of import of olives provisionally preserved from 2006 to July
2009 ................................................................................................................ 72
Chart 42: Export quantity and value of Chinese olives .......................................... 73
Chart 43: Export average price for olives (HS code 07112000) in USD/kg ............ 74
Chart 44: Export quantity and value of Chinese Pickled Olives ............................. 75
Chart 45: Export average price for pickled olives (HS Code 20060020) in USD/kg
........................................................................................................................ 76
Chart 46: Export data of Olives, not preserved by vinegar or acetic acid, not frozen
(HS Code 20057000) ...................................................................................... 77
Chart 47: Export average price for not preserved Olives (HS Code 20057000) .... 78
Chart 48: Main export countries and regions of olives (not preserved by vinegar or
6
acetic acid, not frozen) from 2006 to July 2009 ............................................... 79

Chart 49: Main export countries and regions of olives provisionally preserved from
2006 to July 2009 ............................................................................................ 79
Chart 50: Net Foreign Trade of Olives in China (in kg, 2000 2008) .................... 81
Abbildung 51: Import and Export Trends of Olives 2000-2008 in China ................ 82
Chart 52: Total Supply of Olives in China 2008 ..................................................... 83
Chart 53: Prediction for consumption of olives in private households from 2008 to
2011 ................................................................................................................ 86
Chart 54: Prediction for Consumption of olives in gastronomy and hotels from 2008
to 2011............................................................................................................. 87
Chart 55: Prediction for consumption of olives in factories from 2008 to 2011 ...... 88
Chart 56: Comparison of Supply and Demand for Olives in China 2008 ............... 89
Chart 57: ZBB Standard......................................................................................... 91
Chart 58: Grading indexes of fresh fruits for olive oil ............................................. 91
Chart 59: Grading indexes of fresh fruits for eating ............................................... 92
Chart 60: Customs schedule of related olive products .......................................... 92
Chart 61: Yearly per capita income of coastal cities in China in 2008 .................... 93
Chart 62: Per capita income of Chinese residents and Engel's coefficient from 1978
to 2007 ............................................................................................................ 94
Chart 63: Cost of living (in RMB) ........................................................................... 95
Chart 64: Price Index China................................................................................... 96
Chart 65: Segmentation of consumption expenditures of the rural population of
China ............................................................................................................... 97
Chart 66: Expenditures for food in Beijing, Tianjin, Shanghai and Chongqing 2008
........................................................................................................................ 98
Chart 67: Urban per capita consumption expenditure for food in 2007 .................. 99
Chart 68: Consumption of main foods consumed by per person in rural areas from
1990 to 2007 ................................................................................................. 100
Chart 69: Segmentation of Chinese Consumer Groups....................................... 102
Chart 70: Per capita consumption expenditure of urban residents in 2007.......... 103
Chart 71: Grade distribution situation of Olive Oil ................................................ 104
7
Chart 72: Purchase behaviour concerning olives and influences of customer

preferences ................................................................................................... 105
Chart 73: Edible Oil Consumption (in 1,000 tons)................................................ 107
Chart 74: Must have information before purchasing a new product (Percent*)..... 111
Chart 75: The impact of advertising ..................................................................... 112
Chart 76: Advertisement at China Eastern Flight Magazine from famous Italian Olive
oil brand ........................................................................................................ 113
Chart 77: Logo Olive oil competition in China ...................................................... 113
Chart 78: Intense Category.................................................................................. 114
Chart 79: Medium Category................................................................................. 114
Chart 80: Light Category...................................................................................... 114
Chart 81: Quality Mention .................................................................................... 115
Chart 82: Olives of Longnan Shibolin Olive Growing Co., Ltd. ............................ 118
Chart 83: Product propaganda of Sichuan Hua Ou Olive Development Co., Ltd. 119
Chart 84: Olive store-check in Beijing .................................................................. 121
Chart 85: Olive store-check in Shanghai ............................................................. 123
Chart 86: Olive store-check in Guangzhou .......................................................... 124
Chart 87: Olive presentation in Beijing supermarkets .......................................... 125
Chart 88: Olive presentation in Shanghai supermarkets...................................... 125
Chart 89: Olive presentation in Guangzhou supermarkets .................................. 126
Chart 90: Olive Oil presentation and display material in Beijing .......................... 127
Chart 91: Olive oil store-check in Beijing ............................................................. 129
Chart 92: Olive Oil presentation and display material in Shanghai ...................... 130
Chart 93: Carapelli display shelf / Jin Long Yu display shelf ................................ 131
Chart 94: Olive oil store-check in Shanghai ......................................................... 132
Chart 95: Olive Oil presentation and display material in Guangzhou ................... 133
Chart 96: Presentation of Olivoila in Guangzhou ................................................. 134
Chart 97: Olive oil store-check in Guangzhou ..................................................... 135
Chart 98: Olive oil presentation in Beijing ............................................................ 136
Chart 99: Olive oil presentation in Shanghai........................................................ 137
Chart 100: Olive oil presentation in Guangzhou .................................................. 138
8
Chart 101: Two Step Flow of Communication ...................................................... 140

Chart 102: Hypothetical Consumers Semantic Network concerning Olive Oil .... 143
Chart 103: Exhibitions in China in 2010 ............................................................... 145
Chart 104: Food related magazines in China ...................................................... 151
Chart 105: Most famous olive brands .................................................................. 178
Chart 106: Most famous Olive Oil brands ............................................................ 183
Chart 107: Olive Oil packing sizes in Beijing ....................................................... 184
Chart 108: Olive Oil packing sizes in Shanghai ................................................... 185
Chart 109: Olive Oil packing sizes in Guangzhou................................................ 186
Chart 110: Maximum duration of storage ............................................................. 186
Chart 111: Packing sizes in Beijing ...................................................................... 188
Chart 112: Packing sizes in Shanghai ................................................................. 189
Chart 113: Packing sizes in Guangzhou .............................................................. 189
Chart 114: Stores presenting olive products in Beijing ......................................... 191
Chart 115: Prices for some olive products in Beijing ............................................ 192
Chart 116: Stores presenting olive products in Shanghai .................................... 194
Chart 117: Prices for some olive products in Shanghai ....................................... 195
Chart 118: Stores presenting olive products in Guangzhou ................................. 197
Chart 119: Prices for some olive products in Guangzhou .................................... 198
Chart 120: Stores for olive oil products in Beijing ................................................ 200
Chart 121: Price for some olives products in Beijing ........................................... 201
Chart 122: Stores for olive oil products in Shanghai ............................................ 203
Chart 123: Price for some olives products in Shanghai ....................................... 204
Chart 124: Stores for olive oil products in Guangzhou ......................................... 208
Chart 125: Price for some olives products in Guangzhou .................................... 208
Chart 126: Detailed presentation of distribution structures .................................. 214
Chart 127: Function of import agencies ............................................................... 215
Chart 128: Advantages working without import agency ....................................... 215
Chart 129: Steps to import food to China ............................................................. 217
Chart 130: Food related associations & federations in China .............................. 220
Table of abbreviations
AOC
Appellation dOrigine Contrle
APEC
Asia-Pacific Economic Cooperation
AQSIQ
General Administration of Quality Supervision, Inspection and Quarantine

of the PR of China
BBIC
Beijing Business & Intelligence Consulting Co. ,Ltd.
bn.
billion
Co., Ltd.
Company, Limited
CPI
Consumer Price Index
DIN
Deutsches Institut fr Normung (German norm Institute)
D.O.P.
Denominazione d'Origine Protetta
DSM
Design Standard Manual
ESCAP
Economic and Social Commission for Asia and the Pacific
etc.
et cetera
EUR /
Euro (official currency in European Union)
FAO
Food and Agriculture Organization
f.e.
for example
FSL
Food Safety Law
GB
Guo Biao (National Standard)
GDP
Gross Domestic Product
gram
hours
HACCP
Hazard Analysis Critical Control Point
HS Code
Harmonized System Code
HDL
High Density Lipoprotein
IOC
International Olive Council
ISO
International Organisation for Standardization
kg
kilogram
km
kilometer
liter
LDL
Low Density Lipoprotein
Max.
maximum
mg
miligram
mio.
million
ml
milliliter
n.s.
not specified
OFDC
Organisation Food Development Center
PDO
Protected Designation of Origin
PGI
Protected Geographical Indication
PR
Peoples Republic
PRC
Peoples Republic of China
QS
Quality Safety
Rep.
Republic
10
RMB
Renminbi (official currency in China)
RPI
Retail Price Index
S.A.
French : Socit anonyme (public limited company)
SFDA
The State Food and Drug Administration
S.L.
Spanish: Sociedad Limitada (limited company)
S.N.C.
French: Socit en nom collectif (ordinary partnership)
sqm
square meter
S.R.L.
Italian: Societ a Responsabilit Limitata (Limited company)
USD
US-Dollar
VAT
Value Added Tax
ZBB
ZB = Guo Nei Tui Jian Xing Biao Zhun, B = Nong Ye

(Mandatory Standard Agriculture)
Pinyin Transcription
The official pinyin transcription will be used for interpretation of the Chinese
characters. Therefore in the survey the following cities will be called:
Beijing (Peking)
Shanghai (Schanghai)
Guangzhou (Kanton)
Qingdao (Tsingtao)
Instead of the definition PR of China it will be used the definition China, which will
be described as mainland China, without special administrative regions of Hong
Kong and Macao.
11
1. Executive Summary
A general objectives of IOC promotional policy is to promote the consumption of
olive oil and table olives, both in traditional consumer markets and in new,
high-potential ones. In the first case, the aim is to consolidate and expand
consumption in order to counter the recent slowdown caused, amongst other things,
by price increases in the long run; in the second case, to exploit the great
opportunities offered by fast-growing, new markets.
Since China gains a growing importance as a market place, the study at hand was
conducted in order to assess the current market situation for olive consumption in
China and, based on those findings, to propose a marketing campaign for
consumption promotion. A growing Chinese appetite for foreign foods has prompted
the growth in popularity of olives as quintessential Middle Eastern ingredient.
Initially served in bars, olive consumption currently gains a growing importance in
China. Thus, market research of the study especially tackles these following
themes:
Analysis of types of consumers
The Development of demand
The Development of supply
Supply distribution by importers and countries
Customs duties and technical barriers to entry
Types of consumers
The consumption of olive products can be seen in line with general food
consumption trends in China. Especially households and people who live a fairly
comfortable life or who can be described as wealthy according to Engels coefficient
are groups who already consume olive products or who are potential consumers.
Their consumption behaviour can generally be characterized by a desire for healthy
and high quality food. As income increases, people also show a willingness to adapt
a more western lifestyle and consumption pattern and thus, interest in new products
grows. Furthermore, these consumers look for well-known and exclusive brands as
they suggest credibility and high quality. However, there still is a substantial lack of
knowledge about olive products. For example, many Chinese are yet to understand
that olive oil can be consumed directly as the many oils currently common in China
cannot.
Development of demand
The main regions of demand in China are Greater Beijing, Greater Shanghai,
Greater Guangzhou. Quick rises in demand in recent years and the ability of olive
products to comply with the main consumption trends give a positive outlook on
future demand development. However, the differences between the two main
products olive oil and olives must be pointed out.
12
Olive oil:
The consumption of edible oils in general is on the rise and expected to
achieve the world-wide average per capita consumption level. Since 2003,
olive oil in particular has shown a strong increase in demand with an
estimated 16,400 tons in 2009. However, this is still well behind key markets
such as Italy (750,000 tons). Predictions for Chinese demand in 2012
suggest a volume at approx. 63,000 tons.
Olives:
Generally speaking, olives are seen as a side dish in China. The ratio of
private consumption vs. consumption in restaurants and hotels can be
estimated to be 5:1 with a total consumption within both distribution channels
of 293.2 tons in 2008. The consumption is expected to rise to 488.6 tons in
private households and to 97.72 tons in gastronomy until 2011. The demand
of factories for olives is 1,172.6 tons in 2008 and is expected to rise to
2,345.28 tons until 2011. Most of the olives demanded by factories are used
to produce olive oil. Based on these numbers, total demand for olives in 2008
is estimated at 1,465.8 tons and is expected to rise to 2833,88 tons in 2011.
Development of supply
Domestic production of olives mainly takes place in 3 regions: The low mountain
valley of Bailongjiang River with the most potent production area: the Wudu District.
The other two regions are the dry-hot valley of Jinsha River and the low mountain
valley of Yangtse Gorges.
The domestic olive output was estimated to be 1,621 tons in 2008 with 1,420 tons
coming from the Wudu district. In addition the net import was 166.71 tons making a
total supply of approximately 1787.71 tons in 2008.
The output of domestic olive oil is only 20 tons per year. In 2008, China imported
10,179 tons and the import predictions for 2009 are at 16,044 tons. The main
countries where the imports come from are Spain, Italy and Greece, collectively
occupying 61% of total Chinese olive oil imports.
Recommendations for the proposed marketing campaign
The marketing campaign is to be directed at promoting comsumption of olive
products in China. In order to achieve this, the following steps are proposed:
1. Appeal to the relevant target groups, which are final consumers and opinion
leaders.
a. Final customers: wealthy households, with a growing purchasing power,
usually 30-45 years of age, higher professional education, trying to adapt a
Western lifestyle.
In order to appeal to this group, the general food consumption trends have
to be translated into messages about olives. These messages have to be
adequately adapted to Chinese culture. The communication strategy should
13
be composed of communicating the high quality and the health benefits of

the product and of some kind of storytelling combining origin and history
with communication of production and use of olive products in order to
create emotional attributes and to make consumers become more curious
about the product
b. Opinion leaders: restaurants and locally reputed chefs, journalists,
celebrities.
This group can foster communication efficiency through a multiplying effect
and cost-efficiency caused by the two-step flow of communication.
2. Marketing activities
a. Trade events to ensure distribution and establish a network of contacts with
the trade sector.
b. Appealing to the gastronomy by special PR measures directed at this group
and conducting olive weeks in selected restaurants and hotels. These
activities are aimed at promoting consumption in gastronomy and
establishing the gastronomy as an opinion leader.
c. Media: several media activities are to be undertaken. Aside from the
generic advertisement in TV, radio and print media, a tour organization for
journalists to IOC member states, TV cooking shows, a Chinese cookery
book and TV editorials concerning olives are proposed.
d. Consumers: measures are to be met to ensure image development and
image cultivation. This could be achieved through cooperation with seminar
providers as there already is a broad offer of seminars directed at food.
e. Promotion Material: flyers, image brochures
f. Website and newsletter
g. Steps aiming at political support and gaining politics as an opinion leader for
olive products.
h. General PR activities
In addition to these campaign activities, the consultants stress the importance of
brand name and brand strength. Brand names should be adequately translated into
Chinese in order to achieve the intended interpretation. Also there is a significant
potential for increasing brand strength especially with edible olives as there are
virtually no well-known brands for this kind of product. A strong brand along with a
unique demonstration / display of its products is deemed very important as in-store
decisions become more and more important and China to a great extend is a
brand-driven society.
14
2. Introduction
A growing Chinese appetite for foreign foods has prompted the growth in popularity
of the quintessential Middle Eastern ingredient the olive. Initially served in bars on
the end of a toothpick as just an amusing accessory to a famous cocktail, the olive
is slowly moving out of Chinas posh watering holes and onto the countrys dinner
plates. Deemed too bitter by many first time tasters, import and consumption figures
suggest middle class China cannot get enough of the Mediterranean fruit and it
healthy olive oil.1
The Chinese olive oil market, is becoming the focus of attention all over the world
and Chinas market is fully open to the world. Though there are some adaptable
regions of olive growing in western China, but olive in China cannot be planted
widely for lack of the planting technology, olive seeds, fund, technicians and many
other reasons. At present the olive planting area accounts for 20,000 hectare and
those olives trees are young and little olives are fructiferous and in autumn, so at
present more than 200-brand olive oil appear in Chinese olive oil market, which
nearly 100% will be imported from Spain, Greece, Italy, Turkey, Tunis, Portugal,
Jordan, Australia and so on. The main consumption cities of olive oil are Beijing,
Shanghai, Shenzhen, Guangzhou, Tianjin and other large and middle cities.2
www.olives101.com, Report: Chinas first olive harvest strikes oil, 2009
www.oliveoil.com, Report: Chinese edible oil market, 2009
15
3. Research purpose and objectives of the study

The general objectives of IOC promotional policy are to promote the consumption of
olive oil and table olives, both in traditional consumer markets and in new,
high-potential ones. In the first case, the aim is to consolidate and expand
consumption in order to counter the recent slowdown caused, amongst other things,
by price increases in the long run; in the second case, to exploit the great
opportunities offered by fast-growing, new markets.
The Objective of the planned study on the promotion of consumption of olive oil and
table olives in China is to conduct market research on olive oil and table olives
concerning in particular the following themes:
The demand for each product over the last ten years.
The type of consumers - household, hotel, restaurant, etc. - and the distribution
of the consumption by each type of consumer and the potential for higher
consumption in each country.
Market supply over the last ten years for the two products.
Supply distribution by importers and country
Customs duties and technical barriers to the two products
This study will focus on the target market of China.

Based on this market research a proposal should be put forward by the contractor
for promotion activities for implementation by the IOC to increase the demand for
the two products in China, together with a budget for each activity and an analysis
of the agencies which would be able to carry out the promotion activities in the
future.
3.1. Editorial deadline

Editorial deadline of this market survey is September/October 2009. Facts and
figures from public Chinese sources have been available till mid of 2009. The
information has been researched by primary data collection through expert
interviews and store checks and through secondary research.
3.2. Sources
Facts and figures of this market survey have been evaluated through primary data
collection via expert interviews. Furthermore secondary research has been made
through custom statistics and information from trade & custom department as well
as through Chinese internet. All the necessary information coming from Chinese
and English sources and has been included in the market study.
16
Statistic
Embassys and
agencies
consulates
Primary
research
Customs
office
Import
Public
Secondary
International
agencies
research
publications
agencies
Government
Food
departments
associations
Expert
Store-
interviews
checks
Source: Own illustration
3.3. Currency, exchange rate

The Chinese currency is called Renminbi (currency of the nation) and will be
officially abbreviated with the letters CNY. In the market survey the abbreviation
RMB will be used according the common use in China. The Chinese RMB is partly
convertible and is connected to the US-Dollar through a determined exchange rate.
The exchange rate between RMB and EUR is subjected to the same fluctuations
like USD and EUR. Due to the strong EUR currency in compare to the USD the
exchange rate is 1 : 10 (1 EUR = 10 RMB). This easy reminding exchange rate has
been considered at all price declarations in the survey.
17
4. Organisation and Methodology

The general objective of the contract is to provide a market study about the table
olives and olive oil market in China and promotion of consumption thereof. In order
to plan promotion activities that fit the relevant market best it will be crucial to learn
about the main market forces. Thus the study aims at presenting a market analysis
focusing on the following aspects:
Demand: The study will indicate the demand for each product over the
last ten years. The desired data will be researched for a few important
cities. Due to the size of PR China the following 3 main regions will be
suggested to research related figures:
o Greater area Beijing/Tianjin
o Greater area Shanghai (Yangtze delta)
o Greater area Guangzhou (Pearl river delta)
The preferences of different consumers and consumer types f.e. final
consumers, restaurants etc. will be described through a presentation of
segmented consumer groups. The consumer segmentation is focussed
on consumers living in urban centres.
For both products the following data will be researched:
o Tabularly presentation of purchasing power, cost of living,
consumption expenditures for food and other consumer goods, per
capita expenditures for olive oil and olives in greater areas of
Beijing/Tianjin, Shanghai (Yantze delta) and Guangzhou (pearl river
delta).
o Consumer segmentation and precise description of the target groups
for olive and olive oil. Different consumer types will be subject to the
research analysis, f.e. final consumers, hotels, restaurants etc.
o Purchase behaviour and customer preferences (motives, locations,
quantitiy, price sensitivity)
o Consumer habits (brand supply, brand loyalty, domestic versus
foreign olives/olive oils, consumer protection and trust of consumers)
Supply: The market study shows the supply of different table olives and
olive oils in China in quantitative and qualitative way. It will introduce the
important and biggest producers with international background or
international cooperation. Furthermore the im- and export presentation
will include most important import and export countries.
o Important domestic and foreign producers of table olives & olive oil in
China; Cultivated area in China, description and comparison of
countries of origin.
18
o Production volume/supply situation and structure of the offered range

(Definition of product types, own production, import products)
o Concentration
environment
trends
(Mergers
&
Acquisitions),
competitive
o Necessary licences, quality certificates, sales permit

o Import of foreign olive oil and table olives, including import structures
o Price ranges from different representative products in RMB
Distribution: Importers and the whole distribution in China is gaining

great importance. In the study will be shown in detail the challenge within
the commodity logistics and the cooperation with importers. The controls
for fresh products have been intensified, therefore the consequences for
distribution will be shown as well.
o From importer to retail (licensing fee, logistics, public authority
management, networking, critical additives)
o Detailed presentation of distribution structures
o Presentation of the relevance of Chinese importing agencies
o Restrictions at food import, intensified import controls at fresh
products
o Labelling
o Public authority management
Importer profiles: At least 10 importer profiles will be presented:

distribution, retail trade, food service/catering. Presentation of the profiles
will include company name, contact person, website, email, product
portfolio, primary markets and already existing supply relationships to
international producers.
Marketing: The sale of olives and olive oil is getting more and more
popular. Chinese coming from urban cities are used to test new foreign
products, thats why domestic suppliers provide similar products in retail
markets already. Therefore in the study will be submitted suggestions
about marketing and sales promotion of olives and olive oils in China.
Trends and Development: Trends and development will show supply

and demand of table olives and olive oils.
o Development and acceptance of new, until now less requested and
less common table olives and olive oil.
o Packing and offering trends
19
o Consumption of table olives and olive oils in private households

o Consumption of table olives and olive oil in gastronomy and hotels
o Sales of table olives and olive oils to processing factories
The information provided should be adequate to characterize the market by its main
market forces. Based on this information recommendations for marketing activities
will be developed which seem appropriate to promote the consumption of olive oil
and table olives in China.
Chart 1: Markets Competitive Environment

Threat
Threatofofnew
newentrants
entrants
Competitive
Competitive
Bargaining
Bargainingpower
powerofofsuppliers
suppliers
Bargaining
Bargainingpower
powerofofcustomers
customers
Rivalry
Rivalrywithin
within
Industry
Industry
Threat
Threatofofsubstitute
substituteproducts
products
(Source: M. Porter)
Based on the information of the competitive environment of the market, as well as

the development of the market demand and supply situation a marketing concept
will be developed giving recommendations for an adequate strategy for market
entry.
The data collection includes the adoption of secondary research as well as primary
research.
Secondary Research describes the collection of already existing data from
different sources. It involves the summary, collation and/or synthesis of existing
research rather than primary research, where data is directly collected from, for
example, research subjects or experiments. With regard to the market study on the
promotion of consumption of olive oil and table olives in China it is recommendable
to begin with the collection of already existing information available from the internet
ministry, market research bureaus, custom office, professional database etc. An
overview of the availability of information through secondary research sources is
provided in chapter 3 of this interim deliverable.
In contrast to secondary research, primary research or field research involves the
collection of data that does not already exist. Numerous methods can be applied for
this purpose, f.e. the implementation of questionnaires and telephone interviews,
but also observation as a method for gathering of information. For the market study
20
on the promotion of consumption of olive oil and table olives in China several
interviews with experts will be accomplished. Because of their deep knowlegde and
expertise these interview partners are able to judge interrelations within the existing
markets and to anticipate further market developments.
The requirements the chosen experts have to meet are as follows:
o Current management position
o At least 10 years of job experience in food industry, gastronomy or catering in
China
o Experiences with imported products and international food producers
An overview of experts seen as relevant interview partners for the study is given in
ANNEX V of this report as well. The information gathered in expert interviews will be
completed through retail store checks in Beijing, Shanghai, Guangzhou and
Chengdu.
21
5. Overview of the Availability of Information about the

Consumption of Olive Oil and Table Olives in China
In order to give an impression of the availability of information about the
consumption of olive oil and table olives in China, an overview of the sources for the
research concerning the different aspects mentioned in chapter 2 and 3 will be
shown.
The secondary research will be based on numerous sources. Far Eastern Limited
and AFC have an extensive and well-organised network to its disposal and will
perform the secondary research at different institutions and organisations. The
related topics can be researched in the following sectors:
Chinese internet
English internet
International publications about the food market in China
Chinese statistics agency
Euromonitor
Ostasiatischer Verein (East Asian Association)
Different European embassies (e.g. Spanish embassy) in China
Chinese embassy in Madrid
Publications of chambers of commerce
Institutions of consumer research in Hongkong (IMI)
Chinese technical literature
Food associations in China
Ministry of Commerce (VR China)
Ministry of Health (VR China)
Institutions in China in reference to consumer protection
In order to give an impression of information that will be applicable for the study,
main sources for secondary research relating to the different topics shown in
chapter 2 are the following:
1. Supply
www.oliveoil.com
www.oliveoillife.com
www.eoliveoil.com
www.regalland.com
http://en.westfood.com.cn
http://english.peopledaily.com.cn
22
www.olives101.com
National Standard of PRC 2009, AQSIQ
www.pressemeldungen.at
www.chinacsr.com.cn
www.customs.gov.cn
http://german.mofcom.gov.cn
Chinese National Food Industry Association
Chinese Food Association
China National Vegetable Oil Association
2. Demand
www.citymayors.com
China Statistical Yearbook 2009
State Food and Drug Administration (http://eng.sfda.gov.cn/eng/)
www.eoliveoil.com
www.oliveoillife.com
www.aboutorganics.co.uk
www.greenfood.org.cn
www.regalland.com
China Cuisine Association
China Health Care and Nutrition Council
3. Trends & development
www.olifeoillife.com
www.regalland.com
www.21food.com
www.sfda.gov.cn
4. Marketing
This will be mainly achieved through own primary research and expertise.
5. Distribution
www.customs.gov.cn
Food and agriculture alert, Hogan & Hartson LLP

23
www.chinadaily.com.cn
New Food Safety Law 2009
National Standard of PRC 2009, AQSIQ
www.auma.de
www.olifeoillife.com
6. Importer profiles
Own primary research (store checks), completed with secondary research of the
following sources.
www.21food.com
www.eoliveoilcom
Exhibitor lists from Oil China 2008 & 2009
Information of the annual Oil World statistics will complete the information provided
through the sources listed above, f.e. concerning import and export figures.
For the purpose of primary research several experts were interviewed. ANNEX V
shows a selection of relevant experts in the regions Beijing, Shanghai and
Guangzhou. These include the sectors of domestic operating producers,
federations and trade magazines, supermarkets/restaurants/catering and food
import & export companies.
24
6. Facts and figures about China

Illustration 1: Overview about all the provinces in China
N
Source: www.map-of-china.org
Chart 2: Preface
Area
9,6 Mio. qkm
Population
1,33 bn. (2008)
Population density
138 Residents/km
Population growth
0,5% (2008)
Rate of illiteracy
9,3% (2006)
Languages
Chinese, English
Capital
Beijing (about 16,3 Mio. inhabitants)
Membership in regional
ESCAP, APEC
economic federations
Currency
Renminbi Yuan 1 RMB = 10 Jiao = 100 Fen

(RMB)
www.gtai.com, Wirtschaftsdaten China, May 2009
25
Chart 3: Economic situation
Year
2006
GDP, nominal in bn. RMB
21,192
25,731
30,067
GDP, nominal in bn. USD
2,658
3,381
4,329
GDP, per capita in RMB
16,165
19,500
22,800
GDP, per capita in USD
2,028
2,560
3,280
20,856
24,721
-0.8
+0.6
-0.4
Average salary (RMB/year)

Budget balance (% of GDP)
2007
2008
GDP appearance (2008)
Primary sector/agriculture
Secondary sector
Tertiary sector/services
11.3%
48.6%
40.1%
GDP usage (2007)
Private consumption
Public consumption
Gross facility investments
35.4%
13.3%
40.0%
Economic growth (2008)
Primary sector/agriculture
Secondary sector
Tertiary sector/services
+5.5%
+9.3%
+9.5%
Unemployment rate (2008) 4,2 % (officially), in real: ca. 10% (min. 150 mio.
jobless persons)
Inflation rate (%)
Chart 4: Foreign trade

Year
2006: 1.5; 2007: 4.8; 2008: 5.9, 2009 (forecast): 1.9

5
2006
2007
2008
Import cif, in bn. USD
791.5
+19.9
955.8
+20.8 1,133.1
+18.5
Export fob, in bn. USD
968.9
+27.2
1,217.9
+25.7 1,428.5
+17.2
+262.1
+295.4
Balance in bn. USD
+177.4
Import commodities (2007, %)

Electronics 23.7, Raw materials 12.3, Chemicals 11.3, Fuels and technical oils 11.0,
Machines 9.1, Electro technology 6.8, Measuring and control technology 6.2, Iron
and steel 2.5, Vehicles and parts thereof 2.3
Export commodities (2007, %)
Electronics 28.5, Textiles and clothing 14.0, Electrotechnology 7.6, Machines 6.8,
Chemicals 4.9, Non-ferrous metals 3.9, Metall commodity 3.8.
26
Supplying countries (2008, %)

Japan: 13.3, Korea (Rep.): 9.9, Taiwan: 9.1, USA: 7.2, Germany: 4.9, Australia: 3.3,
Malaysia: 2.8, Saudi Arabia: 2.7, Others: 46.8
Buying countries (2008, %)
USA: 17.7, Hong Kong: 13.3, Japan: 8.1, Korea (Rep.): 5.2,
Netherlands: 3.2, Great Britain: 2.5, Russia: 2.3, Others: 43.6
Germany: 4.1,
Chart 5: Trade balance between EU (EU27) and China

Year
2006
2007
2008
Import from EU(bn. USD)
194.8
+21.5
232.6
+19.4
247.6
+6,5
Exports to EU (bn. USD)
63.8
+23.1
71.9
+12.7
78.4
+9.1
Balance in USD
Chart 6: Foreign trade balance
-131.0
-160.7
-169.2
Year
2006
2007
2008
Foreign currency reserves (bn. US$)
1,066
1,528
1,946
9.5
11.0
10.1
Foreign direct investment (bn. US$)
63.0
74.8
92.4
Foreign indebtedness (bn. US$)
325
374
375
Trade balance (in % of GDP)
27
7. Relevance of sales regions8

The main sales regions for foreign food are the coastal provinces, in the eastern
part of China, where most of the foreigners are living and most of mid- and
high-income Chinese families are located. The average per capita income of the
rural population in China in 2008 is 11,198.59 RMB per year. In following three cities
the yearly per capita income is more than 25.000 RMB:
Beijing:
25,898,65 RMB
Shanghai:
26,101.54 RMB
Guangzhou:
26,670.99 RMB
The graphic shows three interesting main sales regions for foreign food in China:
Greater Beijing
Greater Shanghai
Greater Guangzhou
In China 36% of the consumption expenditures are spent for food (compared to
Germany: only 12,7% will be spent for food).9
China Urban Life and Price Information 2008
28
8. Olive Oil
8.1. Introduction
8.1.1. Definitions & classifications
Trade Standards applying to Olive Oils and Olive-pomaceOils
The International Standard of IOC under resolution COI/T.15/NC no 3-25 (revised
June 2003) lists nine grades of olive oil in two primary categories, as defined by the
International Olive Council:10
Olive oil is the oil obtained solely from the fruit of the olive tree (Olea
europaea L.), to the exclusion of oils obtained using solvents or
re-esterification processes and of any mixture with oils of other kinds. It is
marketed in accordance with the following designations and definitions:
Virgin olive oils are the oils obtained from the fruit of the olive tree solely by
mechanical or other physical means under conditions, particularly thermal
conditions, that do not lead to alterations in the oil, and which have not
undergone any treatment other than washing, decantation, centrifugation and
filtration.
Virgin olive oils fit for consumption as they are include:

(i) Extra virgin olive oil: virgin olive oil which has a free acidity,
expressed as oleic acid, of not more than 0.8 grams per 100 grams,
and the other characteristics of which correspond to those fixed for this
category in this standard.
(ii) Virgin olive oil: virgin olive oil which has a free acidity, expressed
asoleic acid, of not more than 2 grams per 100 grams and the other
characteristics of which correspond to those fixed for this category in
this standard.
(iii) Ordinary virgin olive oil: virgin olive oil which has a free acidity,
expressed as oleic acid, of not more than 3.3 grams per 100 grams
and the other characteristics of which correspond to those fixed for this
category in this standard.11
Virgin olive oil not fit for consumption as it is, designated lampante virgin olive
oil, is virgin olive oil which has a free acidity, expressed as oleic acid, of more
than 3.3 grams per 100 grams and/or the organoleptic characteristics and
other characteristics of which correspond to those fixed for this category in
this standard. It is intended for refining or for technical use.
Refined olive oil is the olive oil obtained from virgin olive oils by refining
methods which do not lead to alterations in the initial glyceridic structure. It
10
www.internationaloliveoil.org, International Olive Council; Trade Standards
11
This designation may only be sold direct to the consumer if permitted in the country of retail sale. If not
permitted, the designation of this product shall comply with the legal provisions of the country concerned.
29
has a free acidity, expressed as oleic acid, of not more than 0.3 grams per
100 grams and its other characteristics correspond to those fixed for this
category in this standard.12
Olive oil is the oil consisting of a blend of refined olive oil and virgin olive oils fit
for consumption as they are. It has a free acidity, expressed as oleic acid, of
not more than 1 gram per 100 grams and its other characteristics correspond
to those fixed for this category in this standard.13
Olive-pomace oil is the oil obtained by treating olive pomace with solvents or
other physical treatments, to the exclusion of oils obtained by re-esterification
processes and of any mixture with oils of other kinds. It is marketed in
accordance with the following designations and definitions:
Crude olive-pomace oil is olive-pomace oil whose characteristics correspond

to those fixed for this category in this standard. It is intended for refining for
use for human consumption, or it is intended for technical use.
Refined olive-pomace oil is the oil obtained from crude olive-pomace oil by
refining methods which do not lead to alterations in the initial glyceridic
structure. It has a free acidity, expressed as oleic acid, of not more than 0.3
grams per 100 grams and its other characteristics correspond to those fixed
for this category in this standard.14
Olive-pomace oil is the oil comprising the blend of refined olive-pomace oil
and virgin olive oils fit for consumption as they are. It has a free acidity of not
more than 1 gram per 100 grams and its other characteristics correspond to
those fixed for this category in this standard.2/ In no case shall this blend be
called "olive oil".15
12
This designation may only be sold direct to the consumer if permitted in the country of retail sale.
13
The country of retail sale may require a more specific designation.
14
This product may only be sold direct to the consumer if permitted in the country of retail sale.
15
http://www.internationaloliveoil.org
30
8.1.2. Current status of olive oil in China

Currently, in the Chinese oil market, besides soybean oil, corn oil, colza oil, peanut
oil, sunflower oil and salad oil, some special types and health functional edible oil
flood in China market, especially olive oil and camellia oil become more and more
popular. The statistics show, that olive oil currently accounts for barely 4% to the
total edible vegetable oils production. Referring to the nutrition and health aspects,
olive oil is better than other functional edible oil. Thus, more consumers pay
attention to olive oil, becoming more quality-conscious and beginning to purchase it.
At present, compared to the 20 million tons consumption of vegetable oil, the
consumption of olive oil is marginal in China.
The main reasons for this situation are as follows:
The output of domestic olive oil is very small and only nearly 20 tons and
almost domestic olive oil were consumed in local regions, so the domestic
olive oil did not really enter into the consumption market. The small output of
domestic olive oil causes higher cost than the import of olive oil;
Currently, olive oil mainly relies on import. Costs are very high and the retail
price is 10 times higher than costs of other vegetable oil.
Chinese consumers are not familiar with olive oil and there is a lack of
awareness and knowledge of olive oil among consumers at the moment;
Most consumers begin to pay more attention to the health and nutrition of
food but are not able to distinguish the quality of different olive oil.
Although the above mentioned factors affect the consumption of olive oil, currently
information from Chinese olive oil wholesalers indicates, that 90% of olive oil was
sold in large & medium-scale cities, for example, Beijing, Shanghai, Guangzhou
and Tianjin.16
16
www.eoliveoil.com, Report: Chinese edible oil market, 2009
31
8.2. Supply
8.2.1. Production of Olive Oil in China
8.2.1.1.
Cultivated area in China, description and comparison of countries of

origin
China belongs to the semi-tropical climate and has found some adaptable regions
of olive growing. There is over 40 years history of planting olives in China, but
Chinas geographical environment is unsuitable for mass production and serious
lack olive planting technology, professional and fund, all which restrict the
development of mass olive planting in China.17
Late Chinese Premier Zhou Enlai introduced this plant to China in 1964. Afterwards
the region began to plant olive trees in early 1970s and experts approved that the
region is the most ideal habitat for olive in the country through 30 years research
and experiment. Planted in sub tropical Yunnan province in Chinas southwest, the
trees failed to bear fruit in the humid climate.
The more recent replanting of trees in the Wu Du valley of Gansu, however, has
been an inspired choice. After seeing how fast the olive trees grew, local farmers
initially began planting them as a means of soil conservation.18 The southern region
of west China's Gansu Province is the largest olive cultivation base in the country.
Sheltered from the sub zero Siberian winds and sandstorms that sweep northern
China every winter and spring by a series of 2 km high mountain ranges, Wudu
enjoys an ideal olive growing average annual temperature of 15 degree Celsius.
Since the local farmers will be shown how to trim the trees, annual harvest shot up
from 1kg or 2kg per tree to almost 20kg. But it is still no comparison to the Middle
East, where the trees can bear fruit as much as 150 kg.19
17
18
http://www.regalland.com/eoliveoil/oliveoilinfoinchina.htm
http://english.peopledaily.com.cn/.../eng20011210_86295.shtml, Report: Largest olive cultivation base
th
formed in West China, 9 of July, 2009

19
http://www.olives101.com/2006/05/24/chinas-first-olive-harvest-strikes-oil/, Report: Chinas first olive harvest

th
strikes oil, 24 of May, 2008
32
1.
3.
2.
The region plans to expand olive cultivation area up to 6,700 hectares, according to
sources. As a poverty-relief effort, the State Development Planning Commission
has earmarked 9 million RMB (1.08 million U.S. dollars) to help local farmers to
plant olives.20
Comparison of country of origin
Over 750 million olive trees are cultivated worldwide, about 90% of those in the
Mediterranean region. Most of global production comes from Southern Europe,
North Africa and Middle East. In olive oil-producing countries, the local production is
generally considered the finest. In North America, Italian and Spanish olive oils are
the best-known, and top-quality extra-virgin oils from Italy, Spain and Greece are
sold at high prices, often in "prestige" packaging. Spain is well-known as the biggest
olive groves in the world.21
1) Spain with over 320 million olive trees is the number one producer of olive oil and
received in season 2008/09 a production volume of 1,027,200 t, which is 37% of
world production, with 75% of that coming from Andalusia. The types of olives
grown in Spain are the Arbequina and Verdial varieties of Catalonia, and the
Hojiblanca, Piqual, Cornicabra, and Lechin varieties of the south. The Piqual variety
20
http://english.peopledaily.com.cn/.../eng20011210_86295.shtml, Report: Largest olive cultivation base

th
formed in West China, 9 of July, 2009

21
www.greek-cretan-oliveoil.com, Report: Greek Olive Oil
33
of the south accounts for 40% of all olive trees in Spain.

2) The second largest producer with 22% of worldwide production is Italy. The
production volume in season 2008/09 is about 612,800 t. The type of olives grown
in Italy are the Coratina in Puglia (Bari), Ogliarola Barese in Puglia and Basilicata,
Carolea in Calabria, Leccino in Toscana and Umbria, Frantoio and Moraiolo in the
centre of Italy, Taggiasca in Liguria. Italians who consume 10 quarts of olive oil per
person per year do not produce enough oil for their domestic consumption, yet they
are one of the largest exporters of olive oil in the world. Much of their oil is imported,
bottled and exported as an Italian product.
3) Greece is the third largest producer with 11% of the world production, with more
than 132 million trees, which produce approximately 305,000 tons of olive oil
annually, of which 82% is extra-virgin (see below for an explanation of terms). About
half of the annual Greek olive oil production is exported, but only some 5% of this
quantity reflects the origin of the bottled product. Greek exports primarily target
European Union (EU) countries, the main recipient being Italy, which receives about
three-quarters of total exports. Olives are grown for oil in mainland Greece, with
Peloponnese being the source of 65% of Greek production, as well as in Crete, the
Aegean Islands and Ionian Islands.
And Tunisia the fourth producer with 6% of the world production. The types of olives
grown in Tunisia are essentially represented (95%) by two types: Chemlali and
Chitoui. Other countries that produce significant amounts of olive oil are Turkey
(5%) , Syria (4%) and Morocco (3%). These seven countries alone account for
nearly 90% of world production.22
8.2.1.2.
Production volume/supply situation and structure of the offered

range
China has imported Olive oil since 1960, and most of it is distributed in Sichuan,
Gansu, Shanxi, Yunnan provinces and in other provinces. But at present, domestic
production of olive oil in China is at an exploratory stage, the market is basically
depending on importation. A survey by Beijing International Oil Exposition
Association in 2009 shows, that Chinese supermarkets have begun selling olive oil
five years ago, although the price is higher than other edible oil (500ml of olive oil
generally costs 40 RMB at average, while 5 l of peanut oil costs 60 RMB, 5 l of salad
oil only costs 40 RMB). The sales volume is elevated at a rate of 30% annually.23
The output of domestic olive oil is very small, only nearly 20 tons per year, and most
of domestic olive oil were consumed in local regions, so the domestic olive oil did
not really enter into the mass consumption market. The small output of domestic
22
International Olive Council, Olive Products Market Report Summary, No. 33, July - September 2008
23
http://cy.mofcom.gov.cn/aarticle/ztdy/200906/20090606366582.html
34
olive oil causes higher cost than the import olive oil.24
In comparison to above mentioned figures, the world production of olive oil is as
follows (in 1,000 tons) compared to Spain, the major production country of olive oil:
Chart 7: World production of olive oil compared to Chinas production

1999/00
2000/01
2001/02
2002/03
2003/04
2004/05
2005/06
2006/07
2007/08
Forecast
2008/09
World
2,374.5
2.565.5
2,825.5
2,495.5
3,174.0
3,913.0
2,572.5
2,767.0
2,633.0
2,746.0
669.1
973.7
1,411.4
861.1
1,412.0
989.8
826.9
1,111.4
1,221.8
1,150.0
0,02
0,02
0,02
0,02
0,02
0,02
0,02
0,02
0,02
0,02
Production
Production
of Spain
Production
of China
(approx.)
Source: International Olive Council, World olive oil figures, Table No. 1 Production, 2009
It will be expected, that the world production will increase gradually over the coming
years, because of the maturing olive trees in several countries planted in the last
decade, mainly in Argentina, Peru and Australia. As forecasts stand at present for
2009/10 is expected to be better than in 2008/09, provided climatic conditions are
favourable and rainfall is adequate.25
24
www.eoliveoil.com, Report: Current status of Chinese olive oil, 2009
25
35
8.2.2. Imports
Statistics show a tremendous increase in the imported volume of olive oil to China
for the last years. Forecasts for the year 2009 differ. While forecasts of ISTA Mielke
assess the same level of import volume as in 2008, China Olive Oil Information
Network predicts an import volume of approx. 16.000 tons in 2009, which implies a
strong increase of import of 60% between 2008 and 2009.
Chart 8: Olive Oil Import Data in tons (2001 2009)
20.000
16,044
15.000
10,179
10.000
7,124
4,518
4,491
5.000
2,769
991
605
392
09
08
Fo
re
ca
st
20
20
07
20
06
20
05
20
04
20
03
20
02
20
20
01
Source: www.eoliveoil.com, 2009
According to these statistics, since 2004 the average proportion of imported olive oil
has been increasing a lot. China is the booming market for olive oil and according
the scale might become larger.
Customs statistics show, that in recent years an average annual growth rate of
importation of olive oil is close to 60%. The China Olive Oil Information Network
predicts, olive oil imports volume will be close to about 16.000 tons in 2009. The
main importing countries are Spain and Italy. In 2008 Spain exported 454.99 tons
(21,931.5 million dollars ) and Italy 3,727.18 tons (17,187.6 million dollars ) to China,
the imports occupy nearly 41% in the total amount of importation. Greece occupies
nearly 20% of total import volume.26
26
36
Chart 9: Imported olive oil, divided into Extra Virgin Olive Oil, Pure Olive Oil and Olive Pomace
Oil, between 2001 and 2008 from Chinas customs
11.000
10,179 t
10.000
9.000
7,124 t
8.000
7.000
6.000
5.000
4.000
4,491 t
4,518 t
2005
2006
2,769 t
3.000
2.000
1.000
392 t
605 t
991 t
2002
2003
0
2001
Extra Virgin Olive Oil
2004
Pure Olive Oil
2007
2008
Olive Pomace Oil

The statistics show, that in 2004 the first abrupt increase of olive oil imports was
discovered. Since 2005 the share of extra virgin olive oil imports exceeded pure
olive oil imports for the first time. Since then the share of extra virgin olive oil imports
rose higher every year. Extra Virgin Olive oil outbalances with a rate of 50-60% at
imported olive oil during the last three years, much more than Pure Olive Oil.
The import volume of olive oil increased at over 60-70% annually on average.
The store checks in Beijing, Shanghai and Guangzhou show a huge variety and
selection of all kinds of olive oil grades. Most of the olive oils are supplied from
Spain, Italy, Greece, Turkey, Tunis, France and a few from Taiwan and China. The
Chinese suppliers offering only olive blended oils (f.e. with sunflower oil etc.). Solely
foreign suppliers are offering high qualified Extra Virgin, Virgin and Pure Olive oil.
Organic olive oil will be offered only in Shanghai (from Amarilla de Ronda LA, Spain).
Very exclusive and expensive olive oils will be offered from Betis (Spain) and Monini
(Italy).
The price ranges in all the three cities are nearly the same, based on grades and
packing sizes. The foreign brands differs mainly in all 3 cities. Only a few brands are
offering the same olive oil in all 3 cities:
37
a) Olivoila (Italy)
b) Mighty (Italy)
c) Carbonell (Spain)
d) Hojiblanca (Spain)
The most promoted olive oil brand is Olivoila from Italy. Only a few brands are using
only one distributor for all three Chinese cities. The majority of olive oil brands will
be distributed by different regional food distributors in Beijing, Shanghai and
Guangzhou.
All three cities are very much qualified to sell olive oils in related supermarkets.
8.2.3. Exports
Following export figures from 2000 till 2008 will be demonstrated:

1) Virgin olive oil (HS Code 15091000),
2) Refined olive oil (HS Code 15099000) and
3) Other olive oil products (HS Code 15100000)
According to the Chinese Customs since 2000 export data for olive oil has been
gathered. Previous figures are not available.
38
Chart 10: Virgin Olive Oil

Year
Quantity (kg)
Value (USD)
2008
83,196
553,823
2007
55,726
363,874
2006
3,840
8,448
2005
1,419
4,462
2004
2003
2002
2001
2000
Source: China Custom Online Database, www.customs.gov.cn/publish/portal10/
The main export countries of Virgin Olive oil are USA and Hong Kong.
Chart 11: Refined Olive Oil

Year
Quantity (kg)
Value (USD)
2008
29,522
57,348
2007
103,977
397,996
2006
10
20
2005
118,316
556,336
2004
13,579
76,042
2003
29,360
150,834
2002
29,574
47,006
2001
7,715
11,573
2000
51,071
65,983
The main export countries of Refined Olive Oil are Great Britain and Hong Kong.
Due to own investigations and interviews with Chinese Customs the higher prices in
2003, despite the same export quantities between 2002 and 2003, result from the
heavy drought in Europe in 2003. Olive harvest in Europe was very little, so the
Chinese export prices increased tripled. Furthermore the olive prices in Europe
39
grew up to 40%. The low export quantity in 2006 has been declared through high
olive harvests in Europe (especially in Italy and Spain), therefore export quantity
from China was declining.
Chart 12: Other Olive Oil products

Year
Quantity (kg)
Value (USD)
2008
19,772
139,542
2007
57,609
257,371
2006
54,862
228,599
2005
14,128
51,684
2004
64,361
147,683
2003
8,684
16,620
2002
3,231
3,600
2001
2000
The main export countries of Other Olive Oil products are Germany and France.
In conclusion, the total amount of export volume for the three HS Codes is as
follows:
Chart 13: Total export volume of Olive Oil
Year
2008
2007
2006
2005
2004
2003
2002
2001
2000
Quantity (kg)
132,49
217,312
68,702
133,863
77,94
38,044
32,805
7,715
51,071
The total export volume is rather low. Therefore some statistics even do not refer to
any important export quantities. For example, the publication Oil World Annual
40
mentions no data showing export figures of olive oil from China to other countries.
According to information of ISTA Mielke and to figures of the publication Oil World
Annual 2009 it can be assumed that the export of olive oil from China is in a very
low dimension and can be seen as too marginal to be included in official statistics.
Furthermore it can be estimated that the import of olive oil to China nearly equals
the consumption.27
8.2.4. Conclusion: Supply Situation of Olive Oil in China

Given the statistics showing the development of export and import of olive oil in
China, the resulting net import for the years 2001 to 2008 is as follows:
Chart 14: Net Import of Olive Oil to China 2001 2008 (in tons)
12.000
10,047
10.000
8.000
6,907
6.000
4,357
4,449
4.000
2,691
2.000
384
572
953
2001
2002
2003
0
2004
2005
2006
2007
2008
(Source: Approximation, based on www.eoliveoil.com, 2009)
As already stated above, it can be assumed that the supply situation of olive oil in
China nearly equals the net import figures. 28 The precise development of the
demand will be shown in chapter 8.4 of this report.
27
Source: Oil World Annual 2009, published by ISTA Mielke 2009; Expert Interview with Mr. Falk, Co-editor at
st
ISTA Mielke GmbH OIL WORLD, on 21 October 2009.

28
st
Expert Interview with Mr. S. Falk, Analyst and Co-Editor at ISTA Mielke, 21 October 2009.
41
8.3. Demand
8.3.1. Consumer Habits
People's living standards are improving constantly which has made the demand for
top-grade edible oil, such as olive oil, rise by a large margin.
Five years ago, it was very difficult for Chinese people to understand olive oil would
be directly eaten or drunk. Usually in China edible oil can not directly be eaten, so it
will need the cognitive process for Chinese people to learn more about olive oil. In
fact along with the fact that Chinese people earn more money, they wish to buy more
health, nutritional food, and will especially step by step accept imported food.29
There is still a lack of information about olive oil among the potential consumers and
following questions arise30:
Cant distinguish olive oil of different countries, different colors, different flavor
and different grades;
Cant identify the good or bad olive oil with the label of olive oil
Cant compare olive oil with other cooking oil;
Cant fully learn about the history and culture of olive oil;
Cant get the detailed information through the label attached in the bottle of
olive oil;
Since 2005 China has been the largest country of edible oil consumption and the
average consumption is about 15 kg per person (in 2008) that is close to 20 kg of the
worlds average consumption of edible oil per person. From 2002 to 2006, Chinese
edible oil consumption keeps the raise of average 10%, and according to this
percentage, it is forecasted that in 2015 the consumption of edible oil in China will
reach approximately 30,000,000 ton. According to the data of custom, the proportion
of import edible oil is rising rapidly and is about 20%-50%, especially, bean oil, palm
oil, olive oil, grape seed oil, colza oil, avocado oil and other edible oil.31
29
www.eoliveoil.com, Report: Olive oil consumption in China, 2009
30
www.oliveoillife.com, Report: Questions from olive oil consumers, 2009
31
www.eoliveoil.com, Report: Chinese Edible Oil Market, 2009
42
The following graph shows the edible oil consumption till 2010:
Chart 15: Edible Oil Consumption (in 1,000 tons)
29,280
3000
27,050
24,180 25,000
2500
21,860
2000
1500
16,530
17,500
18,400
14,540
1000
500
0
2002 2003
2004 2005
2006
2007 2008
2009 2010
According to the above data analysis, Chinese Market will be a larger and noticeable
market for edible oil companies in the future.
8.3.2. Consumption of olive oil in private households

As described in chapter 8.3.1 Consumer habits there is still a huge lack of knowledge
about using olive oil in private households. Because usually in China edible oil is not
used for direct consumption, like for salads, but only for cooking. So it will have the
cognitive process for Chinese people to learn more about the potential use of olive
oil. Many consumers wish to buy some healthy, nutritional food and especially step
by step accept imported food.32
By now consumers have more understanding about the use of olive oil compared to
the last years. Especially European and Chinese middle class families in Beijing,
Shanghai and Guangzhou prefer to consume dishes prepared with olive oil.
According to some recent investigations, 77% of the persons think the main use of
olive oil is for the preparation of salad. 57% think the main use of olive oil is for
cooking/stir-frying of food and persons, who do not know the use of olive oil are the
fewest, with only 0.2 %.33
32
33
China Food Industry Association, 2009
43
Chart 16: Consumers cognition situation to the use of olive oil (number of interviewed
persons)
450
400
350
300
250
200
150
100
50
0
Sa
l
C
ad
oo
k
C
in
g/
Fr
y
os
in
g
He
a
et
ic
H
l th
ai
rc
dr
in
ks
O
ar
th
e
N
rs
St
at
em
en
Source: China Food Industry Association, 2009
Chinese peoples consumption concept of edible oil has undergone a great change,
from emphasizing hygienic and security standards to paying more attention to the
nutrition value and health value of edible oil. Along with the stable development of
Chinas economy, a large-scaled middle class with sound purchasing power is
emerging. They account for 22% of Chinese population and intensively need some
health kinds of food as well as some top grade and health functional edible oil.
40% of olive oil is purchased as gifts & presents and 60% of olive oil is for own use.34
Reasons for purchasing different grades of olive oil
Olive oil has different grades according to their refine procedure. The best olive oil is
extra virgin olive oil, second best is pure olive oil, third pomace olive oil and the worst
is residual oil. Investigation results indicate the majority of people are buying extra
virgin olive oil in Chinese supermarkets due to health benefits and most famous
grade. These consumers prefer to prepare their own food at home or if they decide to
go out for food, they pay attention to selected restaurants offering high-quality food.35
Reason for purchasing brands and olive oils with protected designation of
origin
The reason why consumers are buying various brands of olive oil and olive oils with
protected designation of origin implies that when buyers making a decision, good
quality and popularity are very important factors. Moreover good quality is connected
34
http://www.regalland.com/eoliveoil/index1.html, Report: The Wide Prospect of Chinas Market, 2009
35
http://www.ganlanwang.com/, China Olive Web, 2009
44
with brand popularity. The manufacturers should adhere to the road of the
importance of brand marketing. This is why major olive oil manufacturers are
gradually concerned about their own brand marketing strategy.36
Reasons for not purchasing olive oil
Due to our investigations the price for olive oil is relatively high,37 which is the main
reason, that consumers know the product advantages, but hesitate to buy. The
second reason is, that consumers do not know product details about olive oil and
sometimes are not interested in new products.
8.3.3. Consumption of olive oil in gastronomy and hotels

The chefs of Mediterranean restaurants in Beijing, Shanghai and Guangzhou insist
on using Extra Virgin Olive Oil, mainly from Spain and Italy, for preparing salads,
combinations with bread, cold dishes, pizza and other Western food. The quality
from these countries are the best and the advantages for health are seen as
self-explanatory. They are purchasing 1-2 times a month 20-30 bottles of olive oil
from agents or METRO supermarket. There is still a lack of using Chinese olive oil
due to relatively backward productions and processing equipment.
At Five Star hotels in Shanghai, like the New World Mayfair Hotel, The
Intercontinental, Marriott Hotel Extra Virgin and Pure Olive oil will be used mainly for
preparing salads, cold & warm dishes (with noodles) and combinations with bread
with around 40 - 50 bottles of olive oil per hotel per month, coming from Spain, Italy
and Greece.
Finally, gastronomy specialised on Western food and 5 star hotels in first tier cities
are very important sales platforms for olive oil in China. In Chinese restaurants
mainly other vegetable oils are used for preparing food due to higher heat possibility.
Snack bars in China (f.e. placed nearby shopping streets) are offering Chinese hot
food prepared with Chinese vegetable oil, which is cheaper and more suitable for
Chinese food than olive oil.38
8.4. Developments and acceptance of olive oil

Concerning nutrition and health aspects, olive oil is better than other functional
edible oil. Therefore, more consumer pay attention to olive oil and begin to purchase
it. Thanks to the change of Chinese people health consciousness and the
improvement of Chinese people standard level of living, more and more people start
to learn about olive oil and buy it. Thus, more consumers are aware that it is
generally healthier than most other cooking oils.
36
http://www.emkt.com.cn/article/162/16254.html
37
ANNEX III gives an impression of price ranges of olive oil and table olives sold in China.
38
Source: Expert Interviews
45
The greatest exponent of monounsaturated fat is olive oil, and it is a prime

component of the Mediterranean Diet. Olive oil is a natural juice which preserves the
taste, aroma, vitamins and properties of the olive fruit. Olive oil is the only vegetable
oil that can be consumed as it is - freshly pressed from the fruit. The beneficial
health effects of olive oil are due to both its high content of monounsaturated fatty
acids and its high content of ant oxidative substances. Studies have shown that olive
oil offers protection against heart disease by controlling LDL ("bad") cholesterol
levels while raising HDL (the "good" cholesterol) levels. (1-3) No other naturally
produced oil has as large an amount of monounsaturated as olive oil -mainly oleic
acid.
Olive oil is very well tolerated by the stomach. In fact, olive oil's protective function
has a beneficial effect on ulcers and gastritis. Olive oil activates the secretion of bile
and pancreatic hormones much more naturally than prescribed drugs.
Consequently, it lowers the incidence of gallstone formation.39
China will become the last and largest consumption country
International Olive Council forecasts, that China will be the last and largest
consumption country in the world and the yearly potential consumption population in
China will reach over 30 millions people. According to the persons consumption of 1
kg olive oil per person, 30 millions people demands are also about 30,000 tons.
Some international and domestic experts made the most conservative guess at
Chinas consumption of olive oil, which will reach over 100,000 tons in 2010.
According to the above-mentioned info to calculate, in China the planting area of
olive oil will at least need 2 billion sqm, but currently China has only the planting area
of 0,2 billion sqm. So the visible and largest market is in China.40
The Chinese consumption will be covered through 98% of the imported olive oil in
addition to 2% of Chinese production output.41 Based on our own forecasts and
general assumptions the Chinese consumption of olive oil will reach approximately
65,000 tons in 2012 (in 1,000 tons):
Chart 17: Consumption of olive oil in China (in 1,000 tons)
2001
2002
2003
2004
2005
2006
2007
2008
0.4
0.62
1.01
3.0
4.6
4.7
7.3
10.4
Consumption
in China
39
www.oliveoillife.com/en, Olive oils health benefits, 6 of April, 2008
th
40
http://www.regalland.com/eoliveoil/index1.html, Report: China will become the last and largest consumption
country, 2009
41
www.oilcn.com/article/2007/0209/article_2864.html
46
Chart 18: Consumption Forecasts (in 1,000 tons)
2009
2010
2011
2012
16.4
26.0
41.0
65.0
Consumption
in China
The consumption in China is expected to continue rising within the next three years
due to health advantages and strong demand.
Chart 19: Olive Oil Consumption in China (in tons, 2001 - 2009)
18.000
16,400
16.000
14.000
12.000
10,400
10.000
7,300
8.000
4,700
6.000
4,600
3,000
4.000
2.000
1,010
400
620
0
2001 2002 2003 2004 2005 2006 2007 2008 2009
The data show a strong growth in the demand, especially between 2003 and 2008.
The growth in demand in this period of times fluctuates between 30% to over 60%
between two years. This confirms a strong trend of increase in the demand of olive
oil in China, encouraging optimistic forecasts of consumption of 16,400 tons in
2009.
In comparison to the above mentioned figures, the world consumption of olive oil is
as follows (in 1,000 tons) compared to Italy, the major consumption country of olive
oil:
47
Chart 20: World consumption of olive oil

1999/00
2000/01
2001/02
2002/03
2003/04
2004/05
2005/06
2006/07
2007/08
Forecast
2008/09
World
2,442.5
2,590.5
2,606.5
2,677.5
2,882.5
2,923.5
2,690.5
2,798.5
2,778.0
2,875.5
714.0
729.0
735.0
770.0
785.0
840.0
848.2
730.0
740.0
750.0
Consumption
Consumption
in Italy
Source: International Olive Council, World olive oil figures, Table No. 4 Consumption, 2009; Oil World Annual
2009; www.eoliveoil.com, 2009
The world consumption is expected to continue rising the next three years due to
the health advantages and strong demand.42
Import trends
The imports of olive oil for the next three years (2010 2012) is forecasted with high
potential (in tons) due to higher popularity of olive oil, higher wages and more
promotion activities:
Chart 21: Import Trends
70000
62,819
60000
50000
40000
39,856
30000
25,287
20000
2010
2011
2012
Source: www.eoliveoil.com, Report: Current status of Chinese olive oil, 2009
Consumption trends
It will be expected, that in 2015 the consumption of edible oil will reach 30 m. tons
and the average per person consumption will also reach 20 kg (in 2008 15 kg). Over
60% of the mentioned consumption will completely rely on the import of edible oil,
because of the decrease of planting area and the limited yield of oil crops. The
Chinese market is opened to expand olive oil business in China.43
42
43
Interview with Beijing Regalland Convention & Exhibition Co., Ltd., Sept. 2009
48
8.5. Concentration trends, competitive environment

At present, the Chinese olive oil market is still in the starting stage. Its market scale
is bigger than table olives market scale, but still low. The development of the regions
still depends on marketing and promotion activities. The brands of olive oil in
Chinese market are on the whole imported from European countries, such as Spain
and Italy, even some self-proclaimed as domestic production of olive oil also mostly
import foreign olive oil in bulk and sale them after the split charging. There are some
brands well-known in China: Hojiblanca, Arbolon, Olivoila, Amarilla de Ronda LA,
Costa d'or, Muel and YBARRA. Because brands of olive oil in China are still far from
forming a monopoly, these companies investments in China have a value and
growth potential.44
8.6. Necessary licences, quality certificates, sales permission

Domestic olive oil producers must possess following licenses for producing or
processing olive oil:
Food production licence (for more information: Beijing Bureau of Quality and
Technical Supervision, www.bjtsb.gov.cn)
Food hygiene licence (produce according hygienic standards, which will
described below) (for more information: Shanghai Food and Drug
Administration, http://www.shfda.gov.cn/gb/node2/node3/index.html)
HACCP (Hazard Analysis Critical Control Point) Attestation Certificate:
Necessary for export producers for the international market.
Above mentioned preconditions are demonstrating one of the necessary steps in
being successful on the Chinese market. These licenses have to be similarly
applied from the Chinese and foreign side, so these points do not reflect barriers in
entering the Chinese market.
8.6.1. Hygienic standards for manufacturers in China
The following terms and definitions apply to this standard.
Olive oil includes following classifications:
Virgin olive oil, which is divided into:
Extra virgin olive oil
Medium-grade virgin olive oil
Lampante virgin olive oil
Refined olive oil
Blended olive oil
44
http://ccn.mofcom.gov.cn/spbg/show.php?id=8327&ids
49
Olive-pomace oil
Olive-pomace oil includes:
Crude olive-pomace oil
Refined olive-pomace oil
Blended olive-pomace oil
Hygiene Index:
The hygiene index is implemented according to GB 2716 and related national
standards and requirements.45
Chart 22: Hygiene index

Comments
Name of Standards
Standard No.
GB stands for Guo Biao , and is the
Hygiene Standard for
GB 2716
edible vegetable oil
national Standard in China and will be used Standard for food

similar to DIN or ISO. It exists for all kind of additives
GB 14880
branches, as well as for transit ways,
GB/T 17374
hygiene regulations and all kinds of

industrial products. The detailed documents
(like for DIN norms) are mainly in Chinese
Standard for packaging
General Standard for the GB 7718

labeling of pre-packaged
foods
language and has to be bought at AQSIQ

(General Administration of Quality
Supervision, Inspection and Quarantine of
the PRC).
8.6.2. Quality requirements46
Authenticity requirements: No other edible oil or non-edible oil should be found

in the olive oil and olive-pomace oil, and no essence or flavouring should be
added to them.
Food additives: No additives shall be added to the oils. The addition of nutrition
enhancers should meet the requirements set out in GB 14880.
45
National Standard of PRC, issued by AQSIQ, 05/2009, implemented 10/2009
46
National Standard of PRC, issued by AQSIQ, 05/2009, implemented 10/2009
50
Chart 23: Composition of fatty acids in olive oil and olive pomace oil
Name
Content (%)
Myristic acid (C14: 0)
0.05
Palmitic acid (C16: 0)
7.5 ~ 20.0
Palmitoleic acid (C16: 0)
0.3 ~ 3.5
Heptadecanoic acid (C17: 0)
0.3
Heptadecene acid (C17: 1)
0.3
Stearic acid (C18: 0)
0.5 ~ 5.0
Oleic acid (C18: 1)
55.0 ~ 83.0
Linoleic acid (C18: 2)
3.5 ~ 21.0
Linolenic acid (C18: 3)
1.0
Arachidic acid (C20: 0)
0.6
Eicosenoic acid (C20: 1)
0.4
Behenic acid (C22: 0)
0.2a
Tetracosanoic acid (C24: 0)

a:
0.2
Olive-pomace oil
0.3
Source: National Standard of PRC, issued by AQSIQ, 05/2007
Chart 24: Content of trans fatty acids (%)

Type of trans fatty acid
Virgin olive oil
Refined olive oil
Olive-pomace oil
C18:1 T
0.05
0.20
0.40
C18:2 T + C18:3 T
0.05
0.30
0.35
Chart 25: Unsaponifiable matter content in olive oil and olive pomace oil
Type of product
Unsaponifiable matter content (g/kg)
Olive oil
15
Olive-pomace oil
30
51
Chart 26: Sterol content in olive oil and olive pomace oil
Type of product
Sterol content (mg/kg)
1,000
Refined olive oil
Blended olive oil
2,500
1,800
1,600
Percentage of several major sterols in the total volume of sterol (%)

Cholesterol
0.5
Brassicastero
Campesterol
4.0
Stigmasterol
0.5
93.0
0.2 (for olive pomace)

0.1 (for other levels)
The total contents of -sitosterol +

-5-avenasterol + -5-stigmasterol
dienol + Sitosterol + Clerosterol
Chart 27: Erythrodiol and Uvaol content in olive oil and olive-pomace oil
Sterol content (mg/kg)
Type of product

Refined olive oil
Blended olive oil
4.5
Chart 28: Wax content in olive oil and olive pomace oil
Type of product
Wax content (mg/kg)
300
Refined olive oil
350
Blended olive oil
>
Refinde olive-pomace oil
>
>
250
350
52
Chart 29: the maximum difference in actual and theoretical ECN 42 triglycerides content
Refined olive oil
the maximum difference in actual and

theoretical ECN 42 triglycerides
content
0.2
0.3
Blended olive oil
0.3
Olive-pomace oil
0.5
Type of product
Chart 30: Triglycerides -2 bit saturated fatty acid content
Triglycerides -2 bit saturated fatty acid

content / %
Type of product
Refined olive oil
Blended olive oil
1.5
1.8
2.2
Stigmastadienol content
Extra virgin olive oil 0.15 mg/kg
53
Chart 31: Quality indices of olive oil

Quality indices
Items
Premium
Medium-grade
Lampante
virgin
virgin olive oil
virgin
olive oil
Odour
and
olive oil
Refined
Blended
olive oil
olive oil
With fixed odour and taste

Sensory
judgment
of olive oil, no peculiar
taste
No
peculiar
odour
No peculiar
odor
odor
Median of defect (Me)
Median of fruit taste characteristic b

(Me)
0 < Me 2.5
Me > 0
Me > 0
Me > 2.5
__
__
__
Light
Colour
__
yellow to
beige
Transparenc
y
(20oC, 24h)
Acid value (KOH)

Peroxide
value
Transparent
(mg/g)
(mmol/kg)
270 nm
absorbency
1% (E 1cm)
K
232 nmd
Moisture & volatile matter/(%)

Insoluble impurities/
Metal content /
(mg/kg)
(%)
> 4.0
0.6
2.0
10
10
2.5
7.5
0.22
0.25
0.01
0.01
2.5
2.6
Copper
Cannot be detected
1.10
0.90
0.16
0.15
0.2
0.3
0.1
0.1
0.1
0.2
0.05
0.05
Iron
Transparent
4.0
/ light green
1.6
Residual solvent content in oil / (mg/kg)
Ultraviolet
Light yellow
3.0
0.1
Note:
1. The blank marked with indicates that no test has been carried out. When, after testing, the
residual solvent content in oil is less than 10mg/kg, it is regarded as unable to be detected.
2. The indices in bold font are mandatory.
a. Index for evaluation of taste defect in olive oil preset by International Olive Council.
b. Index for evaluation of taste characteristic in olive oil preset by International Olive Council.
c. When g/ 100g, 5.0 mmol/kg = 5.0/39.4~0.13g/100g.
c. This test only serves as the dosage restriction implemented by commercial partners on voluntary
foundation.
54
Chart 32: Quality indices of olive oil

Quality indices
Items
Crude
Refined
Blended
olive-pomace
olive-pomace
olive-pomace
oil
oil
Odour and taste
Colour
Transparency
Acid value
(20oC, 24h)
(KOH)
Peroxide value
oil
No peculiar
odour
(mmol/kg)
Residual solvent content in oil /
(mg/kg)
Light yellow
to beige
or light green
Ultraviolet absorbency 1%
nm
(E1cm)
Transparent
0.6
2.0
2.5
7.5
100
270
odour
Light yellow
(mg/g)
No peculiar
Cannot be detected
2.00
1.70
0.20
0.18
Moisture and volatile matter / (%)
1.5
0.1
Insoluble impurities/
0.05
3.0
Metal content /
Iron
(mg/kg)
Remarks:
(%)
Copper
1.
0.1
The blank marked with indicates that no test has been carried out.
When, after testing, the residual solvent content in oil is less than
10mg/kg, it is regarded as unable to be detected.
2.
The indices in bold font are mandatory.

Packaging
Should meet the requirements of GB/T 17374 and related national stipulations
and requirements.
Storage
Products should be stored in a hygienic, cool, dry place, out of direct light. They
should not be placed with harmful or poisonous substances and should particularly
avoid being placed near to any products with a peculiar odour. If the validity of the
product relies on certain special conditions, they should be specified on the label.
Transportation
When transporting the products, attention should be paid to safety, and the labels
should be kept away from sunlight, rainfall, leakage, and pollution or from peeling
away. With regard to transportation in bulk, a particular vehicle should be allocated
for the transportation of the products; the vehicle should be kept clean and hygienic.
55
8.6.3. Food Safety

The Food Safety Law of the People's Republic of China formally went into effect on
June 1.
Finding an appropriate balance between regulation and industry self-regulation on
food safety is one of the keys to the success of Chinas new food safety law, a policy
adviser has said. There have been a series of food safety scandals in recent years
in China (f.e. melamine scandal in 2008), that have seriously undermined
consumers confidence. The new law aims to restore confidence from domestic
consumers and international trade partners on the safety of the food products made
in China. The development of the law is a significant step, and improving food
safety issues in China will be a long-term process.47
Contents of the new law
According to the new law, any food addictives that are not in the approved
government catalogue is not allowed to be used. No food products can be sold
inspection-free and consumers can claim for ten times of the value of the food they
buy once their rights are infringed via poor quality products.
The new law stipulates that food manufacturers shall immediately stop the
production of food that is not up to the food safety standards and recall all this food
that has already been put into market. They shall pay consumers ten times the
value of the products they buy in addition to compensating them for their economic
losses. In addition, the law states that healthcare food is not allowed to contain such
information as "disease prevention" and "treatment functions" in their tags and
specifications. Instead, they must provide information such as which group of
people can use the product and which can not in addition to indicating the product's
main ingredients.
The new law also states that the food safety inspection department must not
exempt food manufacturers from inspection. It states that the food department
needs to conduct audits on food samples and do so without charging any fees from
the food manufacturers.
The law is said to have integrated all existing food safety standards in China to
make the supervision easier. With the implementation of the new law, China will
also start adopting a new food license from June 1. However, food suppliers who
obtained a food sanitation license before the date can continue using the license
until the validity date expires.48
The new law has been issued at The State Food and Drug Administration (SFDA),
which is directly under the State Council of the PRC, which is in charge of
comprehensive supervision on the safety management of food, health food and
cosmetics as well as is the competent authority of drug regulation in mainland
47
st
www.pressemeldungen.at, report: Industry self-regulation is key to China food safety success, 1 of July,
2009
48
www.chinacsr.com/en, report: Chinas food safety law begins now, 1st of June, 2009
56
China.
8.6.4. Sales Permissions
1) Manufacturer
To be able to sell olive oil in China, olive oil manufacturer need to possess following
licenses:
a) Business Licence
The business license indicates, if the manufacturer is able to accomplish domestic
and international trading business (like import/export). (own research)
b) Quality Safety Certificate49
Without a valid Quality Safety certificate food manufacturers are not able to sell their
products in China. The QS Standard determines the general quality safety
regulations in China. Products without QS certification will be imposed with a fine
between 50.000 till 200.000 RMB.
c) Food Trading License (for sales and marketing)50
The food trading licence will be applied at the local Administration for Industry and
Commerce and are required
for retail and whole sale and
for manufacturer selling their food to retail and whole sale.
2) Chinese Import/Export agencies
Chinese Import/Export agencies are always possessing trading licenses to be able
to distribute the products on the Chinese market and to carry out international
trading transactions. (own research)
8.7. Custom duties

Costs during import process in China
a) The hygiene control will be carried out through General Administration of Quality
Supervision, Inspection and Quarantine of PRC. Approximately costs: 500 RMB
per shipment.
b) Label control (mainly for gastronomy and food retail) through General
Administration of Quality Supervision, Inspection and Quarantine of PRC.
Approximately costs: 50 RMB per label.
c) Custom duties according custom tariffs: The Harmonized Commodity
Description and Coding System (HS) of tariff nomenclature is an internationally
49
National Standard of PRC, issued by AQSIQ, 05/2007
50
http://www.gov.cn/fwxx/sh/2009-08/31/content_1405460.htm and www.hd315.gov.cn, Beijing Administration
for Industry and Commerce
57
standardized system of names and numbers for classifying traded products

developed and maintained by the World Customs Organization (WCO) based in
Brussels, Belgium. The HS is a six-digit nomenclature. The custom duties for
olive oil has been reduced from 10% to 5% in 2008:
Chart 33: Customs

Product group
HS Code No.
150910
Custom duty
5%
Virgin (Olive Oil)

5%
150990
Olive oil and
olives
Olive Oil and its fractions (other

than virgin)
1510
5%
Other oils and their fractions,

obtained solely from olives
Source: www.china-customs.com, August 2009
d) Fee for customs inspection: duty free products 1,5%, others 0,4% of value of
goods (costs, insurance, freightage). Furthermore VAT (in general 17%) will be
added and for special commodities there will arise consumption tax (between
3%-45%), but not for olives and olive oil, according the finance department
Shanghai.
e) Logistics: Storage costs during examination (for public or private storage) in duty
free areas as well as transport costs, dependent on commodities and harbours.
f) In general the importer is taking over the process and related costs. In case of
direct export (custom duties will be taken over from the agent), the agent asks
for a fee of about 1.000 2.000 RMB plus 1% of value of goods in addition to
other arising costs.51
51
www.customs.gov.cn, China customs
58
9. Table Olives
9.1.
Introduction
9.1.1. Definitions
Olea europaea, olea, belongs to olea casuarinas of Oleaceae. This cultivated
variety has higher edible value and contains excellent edible vegetable oil - olive oil.
It is a kind of famous subtropical fruit tree and major economic forest.
Chart 34: Comparison of domestic and foreign olives

Chinese variety
Foreign variety
Scientific name in Latin
Canavium album Raeuseh
Olea europaea
English name
Chinese olive
Olive
Chinese name
Scientific name in Chinese
Olive
Olea europaea
There are 500 types of olives. Among those, 140 types are extensively planted.
They can be divided into 5 main classes which are
1. olives for olive oil
2. olives for edible olive
3. olives for olive oil and edible olive
4. olives for pollination
5. olives for parental stock.
Usually, three years after fix planting, the two-year-old tree can try to blossom and
bear fruit. And six years after fix planting, the tree starts to enter the full bearing
period. Under normal management, the full bearing period of the olive tree can last
more than 100 years.
TRADE STANDARD APPLYING TO TABLE OLIVES
In the following the trade standard applying to table olives is presented as defined
by the International Olive Council according to Resolution No. RES-2/91-IV/04.
SCOPE
This standard applies to the fruit of the cultivated olive tree (Olea europaea L.)
which has been suitably treated or processed and which is offered for trade and for
final consumption as table olives.
DESCRIPTION
Product definition
59
Table olives means the product:

(a) prepared from the sound fruits of varieties of the cultivated olive tree (Olea
europaea L.) that are chosen for their production of olives whose volume, shape,
flesh-to-stone ratio, fine flesh, taste, firmness and ease of detachment from the
stone make them particularly suitable for processing;
(b) treated to remove its bitterness and preserved by natural fermentation, or by
heat treatment, with or without the addition of preservatives;
(c) packed with or without covering liquid.
Types of olives
Table olives are classified in one of the following types according to the degree of
ripeness of the fresh fruits:
(a) Green olives: Fruits harvested during the ripening period, prior to colouring and
when they have reached normal size.
(b) Olives turning colour: Fruits harvested before the stage of complete ripeness is
attained, at colour change.
(c) Black olives: Fruits harvested when fully ripe or slightly before full ripeness is
reached.
Trade preparations
The bitterness of the olives may be removed by alkaline treatment, by immersion in
a liquid to dilute the bitter compound, or by biological processes. The product so
obtained may be preserved in brine according to its specific characteristics, in dry
salt, in a modified atmosphere, by heat treatment, by preservatives, or by acidifying
agents. The colour of green olives may vary from green to straw yellow, that of
olives turning colour may vary from rose to wine rose or brown, and the colour of
black olives may range from reddish black to violet black, deep violet, greenish
black and deep chestnut.
Olives shall undergo the following trade preparations:
(a) Treated olives: Green olives, olives turning colour or black olives that have
undergone alkaline treatment, the n packed in brine in which they undergo complete
or partial fermentation, and preserved or not by the addition of acidifying agents:
(a-1) Treated green olives in brine;
(a-2) Treated olives turning colour in brine;
(a-3) Treated black olives.
(b) Natural olives: Green olives, olives turning colour or black olives placed directly
in brine in which they undergo complete or partial fermentation, preserved or not by
the addition of acidifying agents:
(b-1) Natural green olives;
(b-2) Natural olives turning colour;
60
(b-3) Natural black olives.

(c) Dehydrated and/or shrivelled olives: Green olives, olives turning colour or
black olives that have undergone or not mild alkaline treatment, preserved in
brine or partially dehydrated in dry salt and/or by heating or by any other
technological process:
(c-1) Dehydrated and/or shrivelled green olives;
(c-2) Dehydrated and/or shrivelled olives turning colour;
(c-3) Dehydrated and/or shrivelled black olives.
(d) Olives darkened by oxidation: Green olives or olives turning colour preserved
in brine, fermented or not, darkened by oxidation in an alkaline medium and
preserved in hermetically sealed containers subjected to heat sterilisation; they
shall be a uniform black colour.
(d-1) Black olives.
(e) Specialities: Olives may be prepared by means distinct from, or additional to,
those set forth above. Such specialities retain the name olive as long as the fruit
used complies with the general definitions laid down in this standard. The names
used for these specialities shall be sufficiently explicit to prevent any confusion, in
purchasers' or consumers' minds, as to the origin and nature of the products and, in
particular, with respect to the designations laid down in this standard.
9.1.2. Current status of olives in China

Since this century, China has started to introduce and cultivate olives. Before 1950,
olives were only planted in Fujian, Taiwan, Mengzi (Yunnan), Gansu, Sichuan and
Chongqing. From 1956 to 1962, olives have been put on the list of introduction plan.
And China introduced 1,800 tree stocks belonging to 12 types and some seeds. In
1964, China introduced 10,000 olive trees and carried out the cultivated experiment.
Since 1973, the olives have been cultivated in the areas where the introduction had
succeeded.52
9.2. Supply
9.2.1. Production of Table Olives in China: Cultivated area in China,
description and comparison of countries of origin
Since 1964, China has started to cultivate olive trees. After visiting 14 countries in
Asia, Africa and Europe, Premier Zhou went to the Haikou Forest Farm with
Albanian experts on March 3rd, 1964 to plant the first olive tree. Afterwards Albania
gave 10,000 olive tree seedlings to China. Until now, there are more than 16 million
olive trees in China. Wudu District, Longnan City, Gansu Province is the largest
52
http://www.china001.com/show_hdr.php?xname=PPDDMV0&dname=UG8N641&xpos=13
61
olive base protected by the Provisions on the Protection of Geographical Indication

Products of the General Administration of Quality Supervision, Inspection and
Quarantine of the Peoples Republic of China. Its output is added up to 9.2 million
olives which belong to various types of olives, including Frantoio, Leccio, Picholine,
Jiufeng 6, Gordal, Picuai, Ascolano, Ezhi 8, Pendollino, Coratina, Zhongshan 24
and Chenggu 32. The planting area exceeds 19,334 hectare and the young plant
accounts for 65%. At present, 32% of the plants are in the fruiting period. The
planting area of olives in Wudu has reached 11,907 hectare and the output here
exceeded 500 tons in 2008. The other olives are planted in Sichuan, Chonqing and
Shaanxi around Jialingjiang River.53
There are more than 300 recorded types of olives. The famous types include
Frantoio, Ascolano and Leccino and etc.. Most of the olives planted in China are
Frantoio, Leccino and Kalinjoti. In the full harvest period, the yield per plant is over
50 kg. The major olive types in China are:
a) Frantoio: This type is extensively planted after introduced to China. Its ecological
suitability is high. It has the features of early fruition, high output and full harvest.
The highest output of single plant (11-year) in Sichuan can reach 169.6 kg. The
output of this type is the highest in Kaijiang. The output of single 8-year plant
(1979 fix planting) is more than 10-20 kg. Its oil content reaches 22% and oil
quality is fine. Its fruit is green. And it is delicious. Meanwhile, this type is also
self-fertile and pollinated type.
b) Rosciola: The tree body is not lush. The harvest time of the fruit is early. Its pit is
small. It has high yield. In Guangyuan, it bears fruit earlier. Three years after top
grafting, this type starts to bear fruit and the output is steady. The output of single
4-year plant is 5 kg. It has low requirements for the conditions and soil. But its oil
content is high. It is self sterile.
c) Pendolino: This type is the pollinated tree of Frantoio and Leccio. The tree body
is small and the fruit branch is long. Its fruit is smaller. The weight of single fruit is
1.5-2 g and the oil content is 22%. It has good cold resistance and freeze
resistance. This type has high yield. But it is self sterile.
d) Leccio: The output of this type is the highest in Kaijiang. Meanwhile, it has strong
ability to resist diseases, insects and cold. Its oil content is 20%. And the oil quality
is excellent. Although the type alternates year bearing and is self sterile, it is still
an excellent type.
Information of Chinese forestry indicate that Chinese government plans to increase
the cultivation of olives in the provinces of Hunan, Jiangxi, Sichuan and Yunnan
within the next years.54 According to China Vegetable Oil Association the Chinese
53
General Plan on Developing Olive Industry in Wudu District, www.gsjb.com/Get/ly/20081013093800.htm
54
http://www.forestry.gov.cn/distribution/2009/11/06/jhyzj-2009-11-06-2494.html
62
government will encourage olive and olive oil consumption specifically due to health
advantages of consumption.55
9.2.2. Production volume/supply situation and structure of the offered range

In China, the development of olives does not go well. And the development of the
major producing regions is also volatile. For example, there were nearly 10 million
olive trees in Sichuan. However, there are only hundreds of thousands of olive trees
here at present. Thereby, Gansu has replaced Sichuan to become the most
important producing region of olives. According to Far Easterns and AFCs
investigation, the domestic olive output is 1,621 tons in 2008. Among that, the
output of Wudu District has reached 1,420 tons.56
In comparison to these figures, the world production of table olives is as follows (in
1,000 tons) compared to Spain, the main production country of table olives:
Chart 35: World production of table olives
1999/00
2000/01
2001/02
2002/03
2003/04
2004/05
2005/06
2006/07
2007/08
Forecast
2008/09
World
1,351.0
1,343.0
1,473.5
1,773.5
1,602.0
1,852.5
1,762.0
2,088.5
2,153.5
2,060.0
431.0
415.8
575.4
448.3
579.4
537.5
420.3
499.7
556.1
475.0
Production
Production
of Spain
Source: International Olive Council, World table olive figures, Table No. 1 Production, 2009
The world production output in 2008/09 for table olives is a little lower than previous
year level (but higher than initially expected) due to adverse weather conditions with
heavy rains and strong winds causing considerable fruit drop of Spain, the top world
producer of olive oil. Due to the strong heat in Greece this year huge fire sources
were devastating lots of hectares of olive trees, too.57
With years of practice, there are three regions which are suitable for producing
olives in China (the mentioned hectare size is not similar to the definition of output).
1. Low Mountain Valley of Bailongjiang River
It takes Wudu as its center covering Kang County, Wen County and Cheng County
in Gansu province. There are about 40,000 hectare olive planting area.
2. Dry-hot Valley of Jinsha River (cold zone in winter)
It takes Xichang as its center covering Dechang, Mianning and Miyi of Sichuan
province and Yongsheng, Binchuan and Zhongdian of Yunnan. There are 100,000
55
http://www.regalland.com/eoliveoil/oliveoilinfoinchina-2.htm
56
http://www.ganlanwang.com/news/zixun/200910/2623.html, China Olive Web
57
International Olive Council, Olive Products Market Report Summary, No. 29, 30, 31, 33, 2008 & 2009
63
hectare olive planting area.

3. Low Mountain Valley of Yangtse Gorges
It covers Wan County, Wushan and Fengjie of Sichuan province and Badong, Zigui
and Yichang of Hubei province. There are 150,000 hectare olive planting area.58
Chart 36: Regions suitable for producing olives
According to the investigation, among the three regions, only Wudu District has
developed in recent years. Its olive output accounts for 83% of the national olive
output. As of late 2008, in Wudu, there were 5 state-owned olive demonstration
gardens, 145 private olive gardens whose planting area was more than 3.3 hectare
and 192 farmers olive gardens. The planting area of the whole district was 9,907
hectare. Among that, 3,000 hectare was in the fruiting period and 1,333 hectare was
in the full bearing period. In 2008, the olive output of the district was more than 500
tons. It is expected to manufacture 75 tons olive oil. The output value is expected to
be more than 67.5 million RMB.59
58
59
64
9.2.3. Imports
9.2.3.1.
Import Volume and Value
Import quantity and value of Chinese Olives (provisionally preserved)
Chart 37: Quantity and value of table olive imports into China (HS Code 07112000)
Quantity and value of table olive imports into China (HS Code 07112000)
344,813
325,267
278,262
286,576
238,470
212,958
157,459
143,827
148,305
136,188
103,792
102,475
100,491
37,645
4,305 10,808
2000
16,752
7,065
2001
2002
2003
2004
2005
2006
2007
2008
Import Accumulate value (USD)
Import Quantity (kg)
Source: China customs Internal Database, 2009
The main import country for olives is Spain.
65
Chart 38: Import average price for olives (HS Code 07112000) in USD/kg
Import average price for olives (HS Code 07112000) in USD/kg

3,00
2.77
2.76
2.51
2.37
2,50
2.26
2.19
2.10
2.08
2,00
1.61
1,50
1,00
0,50
0,00
2000
2001
2002
2004
2003
2005
2006
2007
2008
Since 2002 the export quantity of provisionally preserved olives was rising
continiously, except the drop of 48,000 kg in 2007. The import value in 2004 and
2005 was 30% higher than in 2006, despite the same import quantities.
The average price reached his highest peak in 2002 and 2007 with 2.76 and 2.77
USD, since 2008 with a price decrease of 0.67 USD.
66
Import quantity and value of Chinese Pickled Olives

Chart 39: Quantity and value of Pickled Olives imports into China (HS Code 20060020)
Quantity and value of Pickled Olives imports into China (HS Code 20060020)
58,308
50,669
43,658
31,092
27,424
23,477
27,075
23,832
22,865
16,303
11,215
11,375
11,171
8,949
8,099
2,196
243
2000
2001
1,195
2002
Import Quantity
2003
(kg)
2004
2005
2006
2007
2008
The main import countries of pickled olives are Greece, Australia and Great Britain.
From 2001 till 2006 the export quantity was rising adequate to the value. Since
2007 the export quantity is declining in the opposite to a rising prices. Finally the
average prices are showing an upcoming trend since 2004.
67
Import average price for Pickled Olives

(HS Code 20060020) in USD/kg
10,00
9.04
9,00
8,00
6.78
7,00
6,00
5,00
4,00
2.55
3,00
2.10
1.87
1.59
2,00
1.30
0.79
0.69
1,00
0,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
68
Import quantity and value of Chinese Olives (not preserved by vinegar or

acetic acid, not frozen
Chart 41: Quantity and value of imports of Olives, not preserved by vinegar or acetic acid, not
frozen (HS Code 20057000) into China
Quantity and value of imports of Olives, not preserved by vinegar or acetic acid, not frozen (HS Code 20057000) into China
783,217
708,639
528,959
306,536
290,907
284,224
288,950
226,696
129,517
81,695
20,604
21,981
8,821
10,763
2000
2001
51,997
2002
134,080
77,958
52,320
2003
Import Quantity (kg)
2004
2005
2006
2007
2008
The main import countries are Spain, Italy, Australia and South Africa.
69
Import average price for not preserved Olives (HS Code 20057000)
3,00
2.56
2.45
2,50
2.34
2.33
2.25
2.12
2.04
2,00
1.57
1.49
1,50
1,00
0,50
0,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
The import quantity of olives (not preserved by vinegar or acetic acid, not frozen)
was rising since 2000. In 2007, the import volume has reached 306.54 tons which
has exceeded 300 tons. However, this figure declined to 288.95 tons in 2008. From
the aspect of price, the import price has maintained the same fluctuation with the
import volume.
In recent years, the import value of olives provisionally preserved has had obvious
growth trends. In 2008, the import value has increased to 286,600 USD. Recently,
the import volume has had certain fluctuation. In 2007, the import volume declined
to a certain extent. However, the average price reached 2.56 USD/kg which hit a
record high.
70
9.2.3.2.
Source of import
Chart 43: Main source of import of olives (not preserved by vinegar or acetic acid, not frozen)
from 2006 to July 2009
Spain
2006
2007
2008
Quantity (kg)
195,982
278,738
213,976
201,749
Value (USD)
421,074
657,315
502,108
345,334
2006
2007
2008
Italy
Jan.-July. 2009
Quantity (kg)
2,539
6,242
38,600
5,669
Value (USD)
10,248
32,881
89,903
19,172
Britain
2006
2007
Quantity (kg)
7,993
1,768
Value (USD)
6,415
1,389
2006
2007
USA
2008
Jan.-July. 2009
2008
Jan.-July. 2009
Quantity (kg)
2,012
1,829
1,450
1,520
Value (USD)
7,096
8,211
7,865
10,547
Australia
2006
2007
2008
Jan.-July. 2009
Quantity (kg)
3,473
5905
3,892
1,454
Value (USD)
22,404
49,901
39,928
8,341
Greece
2006
2007
2008
Jan.-July. 2009
Quantity (kg)
22,120
600
7,333
1,006
Value (USD)
65,079
1,932
35,248
4,667
Argentina
2006
2007
Quantity (kg)
308
526
Value (USD)
660
1,410
2006
2007
Turkey
2008
Jan.-July. 2009
2008
Jan.-July. 2009
Quantity (kg)
11,338
15,368
84
Value (USD)
25,912
26,358
686
Mexico
2006
2007
Quantity (kg)
30
Value (USD)
154
2006
2007
Hong Kong
2008
Jan.-July. 2009
2008
Jan.-July. 2009
Quantity (kg)
349
Value (USD)
634
2008
Jan.-July. 2009
South Africa
2006
2007
Quantity (kg)
152
96
Value (USD)
670
167
2008
Jan.-July. 2009
Singapore
France
Jan.-July. 2009
2006
2007
Quantity (kg)
Value (USD)
31
2008
Jan.-July. 2009
2006
2007
71
Quantity (kg)
418
1,431
Value (USD)
2,388
6,233
Total Quantity (kg)
226,696
306,536
288,950
213,776
Total Value (USD)
528,959
783,217
708,639
391,546
Source: General Administration of Customs of the Peoples Republic of China and BBIC
Chart 44: Main source of import of olives provisionally preserved from 2006 to July 2009
Spain
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
148,305
98,417
118,765
138,980
Import value (USD)
238,470
267,874
254,734
204,851
Italy
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
23
Import value (USD)
41
422
Holland
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
11,160
10,440
Import value (USD)
19,541
15,740
Germany
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
6,240
Import value (USD)
11,879
Greece
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
2,000
Import value (USD)
10,029
Australia
2006
2007
2008
Jan.-July. 2009
Import volume (kg)
65
Import value (USD)
318
From the aspect of the source of import, the import volume from Spain ranked on 1st
position. The import volumes from Italy, Greece and Turkey are large too. These
countries together are the main olive producers in the world. Overall, China will only
import more than 100 tons of olives from Spain every year. The annual import
volume of those two products exceeds 300 tons. The import volume from the other
countries has not reached 100 tons.
72
9.2.4. Exports
9.2.4.1.
Export volume and value
There are two HS Codes for olive products:

a) 07112000: olives provisionally preserved and
b) 20057000: olives (not preserved by vinegar or acetic acid, not frozen).
Because China is not the main production area of these products, its export
volume is smaller.
c) 20060020: Pickled Olives
Export quantity and value of Chinese olives (provisionally preserved)
Chart 45: Export quantity and value of Chinese olives (HS Code 07112000)
Export quantity and value of Chinese olives (HS Code 07112000)
24,885
10,560
10,560
7,895
5,220
5,220
1,961
2,112
1.508
1,350 1,904
400 103
2000
2001
2002
2003
(n./a.)
(n./a.)
0
2004
Export Quantity (kg)
2005
2006
2,068
2007
2008
Export Accumulate value (USD)
73
The main export countries for olives are Australia and Great Britain.
Chart 46: Export average price for olives (HS code 07112000) in USD/kg
Export average price for olives (HS Code 07112000) in USD/kg

2,50
2.02
2.02
2,00
1.41
1,50
0.98
1,00
0.77
0,50
0.32
0.26
(n./a.)
(n./a.)
0.00
0.00
0,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
In 2000 the export of provisionally preserved olives was the highest figure which
could be reached since data availability from China Customs. Since 2001 the export
quantity declined to 400 kg with little increases in the next years, including zero
exports in 2004 and 2007. In 2005 and 2006 the 2nd highest export quantity arised
with 5.220 kg.
Due to not available price quotations in 2004 and 2007 the average price of
provisionally preserved olives was reached their maximum in 2005 and 2006 with
2.02 USD. In 2008 the price declined more than 50%.
74
Export quantity and value of Chinese Pickled olives

Chart 47: Export quantity and value of Chinese Pickled Olives (HS Code 20060020)
Export quantity and value of Chinese Pickled Olives (HS Code 20060020)
1,182,663
1,068,362
1,017,184
916,912
965,659
928,200
944,043
853,122
792,389
770,040
799,424
797,532
753,789
700,312
571,216
437,372
217,016
130,118
2000
2001
2002
2003
Export Quantity
(kg)
2004
2005
2006
2007
2008
The main export countries for pickled olives are Hong Kong, Taiwan, Singapore.
75
Chart 48: Export average price for pickled olives (HS Code 20060020) in USD/kg
Export average price for pickled olives (HS Code 20060020) in USD/kg
2,00
1.72
1.67
1.49
1,50
1.18
1.05
1.10
1.14
1.03
1,00
0.90
0,50
0,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
Since 2000 the export quantity of pickled olives is very high, since 2006 with a slight
declining tendence. The export focus is mainly on South East Asian regions due to
the sweet taste, which will be preferred by the Asians.
The average price is fluctuating since 2001, with an outlier in 2004 of 1.49 USD and
a peak of 1.72 USD in 2007. Since 2008 the average price declined with 1.67 USD.
76
Export quantity and value of Chinese Olives (not preserved by vinegar or

acetic acid, not frozen)
Chart 49: Export quantity and value of Olives, not preserved by vinegar or acetic acid, not
frozen (HS Code 20057000)
Export quantity and value of Olives, not preserved by vinegar or acetic acid, not
frozen (HS Code 20057000)
339,822
124,013
127,393
113,908
101,788
67,528
49,772
48,350
23,666
7,612
2000
2001
699 427
750 269
2002
2003
575 237
300 81
2004
2005
2006
2007
2008
Export Quantity (kg)

The main export countries are Great Britain and Australia.
77
Chart 50: Export average price for not preserved Olives (HS Code 20057000)
Export average price for not preserved Olives (HS Code 20057000)
3,00
2.67
2,50
2.05
2,00
1.84
1,50
1,00
0.61
0,50
0.42
0.41
0.36
0.32
0.27
0,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
Between 2001 and 2005, the export of the olives (not preserved by vinegar or acetic
acid, not frozen) was very low obviously. In 2006, the export quantity jumped to 49.7
tons and the export value has reached 101,788 USD due to higher demand.
Comparatively speaking, the olive export has begun to take shape since 2006.
From the aspect of price, the average price has reached 2.67 USD/kg in 2008,
which has been the highest level in recent years. Compared with 2007, the price
increased sharply.
78
9.2.4.2.
Export countries
Chart 51: Main export countries and regions of olives (not preserved by vinegar or acetic acid,
not frozen) from 2006 to July 2009
Time
Jan.-July. 2009
2008
2007
2006
Country
303
Quantity (kg)
Britain
304 Germany
Value (USD)
4,743
3,083
10
107,897
257,934
303
Britain
601
Australia
17,407
73,485
330
Sweden
1,525
4,354
244
South Africa
414
3,960
121
Macao
150
89
303
Britain
67,018
12,3763
121
Macao
510
250
601
Australia
25,723
48,874
303
Britain
19,799
40,452
502
USA
2,550
8,430
501
Canada
1,040
3,684
121
Macao
660
348
Chart 52: Main export countries and regions of olives provisionally preserved from 2006 to
July 2009
Time
Country
Jan.-July. 2009
2008
303
2007
2006
601
Quantity (kg)
Britain
Australia
Value (USD)
2,112
2,068
5,220
10,560
Regarding the aspect of the export countries, olives in China are mainly exported to
Australia and Britain. Only marginal volume is exported to other countries and
regions.
79
9.2.5. Conclusion: Total Supply of Olives in China

The total supply of olives in China can be calculated by comparison of the available
figures characterizing the foreign trade and the available figures characterizing the
domestic olives production in China. For the latter, valid figures can only be
researched for the year 2008, which was 1,621 tons. Given the assumption that the
production of olives was on a level comparable to this production output of 2008, a
volume of approximately 1,500 tons p.a. could be estimated for the period of 2000
to 2008.
The data of import and export figures show a very marginal dimension. From the
consultants point of view the sources for these figures can however be regarded as
reliable. They were delivered from official Chinese sources, namely China Customs
Internal database and the General Administration of Customs. These are official
and reliable sources, and furthermore the figures were also confirmed through
Chinese Business and Intelligence Consulting firm BBIC. Further deepening of
research did not lead to any other data of foreign trade which would be in
contradiction to the already researched figures. Thus, the presented data is deemed
as being valid.
The total net foreign trade is shown in the following table. While the export volume
was quite volatile during this period, the import volume nearly constantly increases.
Thus, in 2008 a net import can be observed for the first time.
80
Chart 53: Net Foreign Trade of Olives in China (in kg, 2000 2008)
Imports of Olives
HS Code 07112000
2000
4,305
2001
7,065
2002
37,645
2003
102,475
2004
143,827
2005
157,459
2006
148,305
2007
100,491
2008
136,188
2000
11,375
2001
243
2002
16,202
2003
11,171
2004
23,832
2005
27,424
2006
27,075
2007
22,865
2008
1,195
2000
8,821
2001
10,763
2002
51,997
2003
52,320
2004
129,517
2005
134,080
2006
226,696
2007
306,536
2008
288,950
2000
24,501
2001
18,071
2002
105,844
2003
165,966
2004
297,176
2005
318,963
2006
402,076
2007
429,892
2008
426,333
2000
24,885
2001
400
2002
1,961
2003
1,350
2004
2005
5,220
2006
5,220
2007
2008
2,112
2000
916,912
2001
770,040
2002
1,182,663
2003
799,424
2004
571,216
2005
928,200
2006
700,312
2007
437,372
2008
130,118
2000
113,908
2001
23,666
2002
699
2003
750
2004
300
2005
575
2006
49,772
2007
67,528
2008
127,393
2000
1055,705
2001
794,106
2002
1,185,323
2003
801,524
2004
571,516
2005
933,995
2006
755,304
2007
504,900
2008
259,623
Volume (kg)
HS Code 20060020
Volume (kg)
HS Code 20057000
Volume (kg)
Total Import
Volume (kg)
Exports of Olives
HS Code 07112000
Volume (kg)
n/a
n/a
HS Code 20060020
Volume (kg)
HS Code 20057000
Volume (kg)
Total Export
Volume (kg)
Net Foreign Trade

Volume (kg)
2000
2001
2002
2003
2004
2005
2006
2007
2008
-1,031,204
-776,035
-1,079,479
-635,558
-274,340
-615,032
-353,228
-75,008
166,710
Net Export Net Export Net Export Net Export Net Export Net Export Net Export Net Export Net Import
81
Regarding the years 2004 and 2007 it must be taken into account that no valid data
was available for the export figures of HS Code 07112000. Given this fact, the
resulting graph for the import and export trends for the years 2000 to 2008 are
shown below.
Abbildung 54: Import and Export Trends of Olives 2000-2008 in China
1400
1200
1000
800
Import Volume (kg)
Export Volume (kg)
600
400
200
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
The slowdown in the export of olives might be seen as an indicator for moderate
growing domestic consumption. This impression is further confirmed by the growing
rate of import of olives to China.
A presentation of total supply of olives in China needs to incorporate the domestic
production in China. Based on the available figures for the year 2008 the total
supply situation can be characterized as follows:
82
Chart 55: Total Supply of Olives in China 2008
In order to compare the supply situation to the demand for olives in China, the next
chapter informs about the trends and development concerning the demand side.
9.3.
Demand: Trends and Development
9.3.1. Development and acceptance of olives

The majority of experts, resulting from the interviews, is looking confidently at the
development of the olive market in China. On the one hand, the confidence comes
from the quick development of this product in recent years. On the other hand, it
comes from the excellent features of this product. All parts of the olive can be used.
Its fruit can be eaten directly (can be made into can and glace fruit) or converted into
excellent oil. Its leaves contain rich biological activity.
Edible olives
Specific type of olives is cultivated. When they are suitable for processing, the fruits
will be picked and processed into edible olives. The edible olives can be divided into
green olive, color changing olive and black olive.
The olive product is a kind of high quality food which is very popular in the world.
Ordinarily, it is regarded as appetizer. Generally speaking, it is a side dish in China.
It has high nutritional value and conserves complete natural nutrient content. It is
also a kind of lactic acid product which has the nutrient functions of promoting
digestion and producing anti-cancer active substance. Its processing technique is
not very complex but required quality is high. As edible olives, the fruits should be
fresh, without defects, big, flesh thickness, and show beautiful color.
Generally speaking, with the development of olives, the understanding of olives is
83
improving gradually. In addition, due to the taste and quality of olives, the demand is
expected to develop quickly in China after the introduction period.
9.3.2. Packing and offering trends

The principle of packing, transportation and storage is to assure olives freshness
and good quality.
1. Packing: First all of, pick up the impurity mixing in the fresh fruit. And then put the
fruits in the ventilate containers like large woven baskets and plastic boxes where
the fruits wont be damaged.
2. Transportation: The fruits should be transported in time in order to keep them
from mildew and rot.
3. Storage: The places used to store the fresh fruits should be clean and far away
from the goods with unusual odor in order to prevent them from mildew and rot.
a) The fresh olives can be spread on the land and cement floor or bamboo curtain
and reed curtain which are ventilate, shady and dry. The advisable thickness of the
fruit is 10 cm. The fruits should be regularly flipped in order to prevent the fruits from
going bad.
b) The fresh olives for olive oil can be dipped in the solution containing 3% salt and
0.03% citric acid. And the preservation period is less than 1 month.
c)The fresh olives for olive oil can be put in the cool water pool with the circulating
water equipment. The water temperature should maintain at 20 degree Celsius and
the storage time should be less than 1 month.
The following three chapters show forecasts of olive oil consumption in the three
sectors of private households, gastronomy and processing factories. These
forecasts are provided by Chinese Business and Intelligence Consulting firm BBIC.
They are based on the aforementioned trends of supply of olives in China, as well
as on a trend exploration of olive consumption of the past. Assumptions of experts
regarding the development of consumption in the future are taken into account as
well.
The consumption of olives is a rather new theme in China. Experts predict a
continuing, but moderate growth of olive consumption within the next years.
9.3.3. Consumption of olives in private households

In 2008, the domestic olive production was 1,621 tons, the olive import volume was
0.426 tons, and the olive export volume was 0.260 tons in China. According to that,
84
the apparent consumption was approx. 1,500 tons. Because most of the olives are
used for extracting olive oil, the olives for edible olives will meet intensive
competition of the other types of lives. It is estimated that 1/5 of this type of product
is used to produce edible olives. Based on this assumption, the consumption of this
type would be 293.2 tons in 2008 and it can be estimeated that among the apparent
consumption of 1,465.3 tons, 1,172.6 tons will be sent to factories to produce olive
oil and 293.2 tons will be converted into edible products. According to the
experience of the other foods, the proportion of the consumption of private
households to consumption of olives in gastronomy and hotels is 5:1.60 Private
households consumed about 244.3 tons edible olives and the hotels consumed
about 48.9 tons.61
According to the General Plan on Developing Olive Industry in Wudu District, the
main domestic olive producing region, the total planting area of olive is expected to
increase from 10,334 hectare to 20,000 hectare in 2010. And all of the suitable
regions will be covered basically.
In 2007, the general office of Sichuan Municipal Government printed the General
Plan on Developing Olive Industry in Sichuan. It plans that Sichuan will develop
53,334 hectare from 2007 to 2008. It plans to plant 53,334 hectare olives in four
cities (Liangshan, Dazhou, Guangyuan and Mianyang) and 21 counties. Among
those, the new planting area is 39,334 hectare and the reform planting area is
14,000 hectare. The total investment for construction is 857.25 million RMB.62
Because the cycle of olives from planting to harvest is five years, the olive output in
Sichuan wont change a lot in the next five years. The output will still increase in
Gansu. The change of the import and export volume clarifies, that the olive market
is also affected by the financial crisis. In particular according to the data of the first
seven months of 2009, the import price of the olive reduced sharply. It largely
affected the domestic market. Therefore, it will be predicted that the Wudus plan
may implement 2-3 years later. The olive consumption is still in a low dimension and
the estimated output and apparent consumption can only double in China in the
next three years. However, if the Chinese olive industry develops well in 5 years and
the olive trees planted in this period are entering the full harvest period, the olive
output will change a lot and the annual output of fresh olives can reach 300,000
tons. According to the above estimation, the consumption of olives in private
households in the next three years is as follows:
60
Approximation provided by BBIC, based on market figures and research.
61
http://www.gsjb.com/Get/ly/20081013093800.htm
http://www.ganlanwang.com/news/zixun/200907/1212.html
General Administration of Customs of the Peoples Republic of China and BBIC
62
General Plan on Developing Olive Industry in Sichuan, http://news.sohu.com/20070905/n251970511.html
85
Chart 56: Prediction for consumption of olives in private households from 2008 to 2011
Prediction for consumption of olives in private households from 2008

to 2011 (thousand kg)
600.00
488.60
500.00
387.85
400.00
300.00
307.82
244.30
200.00
100.00
0.00
2008
2009
2010
2011
Source: BBIC
In 2011, the consumption of olives in private households is expected to increase to

488.60 tons in China. The main influencing factor of the edible olive consumption is
the development of the other olive products and the development of the olive oil
market. If the price of olive oil declines sharply, most of the olives originally used for
extracting olive oil will be used to produce edible olives.
9.3.4. Consumption of olives in gastronomy and hotels

Illustration: Dish made of edible olives
At present, olives are not often used in hotels. In famous international hotels or
restaurants on the one hand green and black pickled olives are served, when
enjoying an aperitif or for preparing cocktails. On the other hand in related
Mediterranean restaurants there are some specific dishes made of olives. Overall,
the olive consumption in this field is still at a starting stage.
86
Chart 57: Prediction for Consumption of olives in gastronomy and hotels from 2008 to 2011
Prediction for Consumption of olives in gastronomy and hotels from

2008 to 2011 (tons)
120.00
97.72
100.00
77.57
80.00
60.00
61.56
48.90
40.00
20.00
0.00
2008
2009
2010
2011
Source: BBIC
In the next three years, it is still hard for the consumption of olives in hotels to break
through 100 tons. There are only two reasons which may cause a larger
breakthrough. The first one is that a larger demand for dishes made of olives is
expected by experts. The second one is that small-sized olive oil extractors will
become more popular for hotels and gastronomy.
It might be surprising that the consumption of olives is in a very low dimension in
gastronomy especially compared to private households consumption, which is
considerably higher. One major reason is, that on the one hand Chinese consumers
like to consume olives especially in the form of snacks and show a growing
preference for olive consumption. On the other hand, for gastronomy no major trend
towards a massive growth of olive consumption can be observed. The majority of
gastronomy still depends on Chinese restaurants, which do not regularly use olives
for the preparation of dishes. Western restaurants in contrast still only gain a
marginal market share. In Shanghai f.e. this share is only approx. 5,6% of the
market, although the proportion of people coming from Western countries like
Europe or USA living in Shanghai is considerably high. Higher prices for Western
food in restaurants may inhibit a trend of faster growth as well.
87
9.3.5. Sales of olives to processing factories

Chart 58: Prediction for consumption of olives in factories from 2008 to 2011
Prediction for consumption of olives in factories from 2008 to 2011

(tons)
2,345.28
2,500.00
1,861.68
2,000.00
1,477.53
1,500.00
1,172.60
1,000.00
500.00
0.00
2008
2009
2010
2011
Source: BBIC
Most of olives are sent to factories to make olive oil in China. It is still the main
consumption direction of olives in China. Since 2000, olive oil has started to
become popular in China and developed sharply. The recovery of the olive planting
is just because local governments have found the wide perspective of the related
product market. In 2011, in factories 2,345.3 tons of fresh olives are expected to be
converted into olive products in China. These olives can be used to produce
approximately 4,200 tons of olive oil. However, there is still a large gap between the
total consumption and the factory consumption. It means the domestic olive market
still has large development space.
9.3.6. Commodity Flow 2008

In chapter 9.2.5 the total supply of olives in China was shown for the year 2008,
including domestic production and foreign trade. According to the consumption data
of this chapter mentioning the distribution channels of processing factories, private
households and gastronomy, the commodity flow can be described as follows.
88
Chart 59: Comparison of Supply and Demand for Olives in China 2008
According to the comparison of figures of supply and demand for the year 2008 a
resulting number of approx. 294 tons remains, which accounts for other
consumption.
89
9.4. Concentration trends, competitive environment

At present, the Chinese olive market is still in the starting stage. Its market scale is
marginal, and the market has not yet formed the advantages of scale. The
development of the regions still needs the policy support and policy subsidy. And
some larger projects need the government to promote their construction. At present,
there are fewer main olive processing enterprises in China. Only several enterprises
in Gansu and Sichuan develop well. Compared with the import volume of olives,
their output is very small. At present they are not able to compete to major
European companies.
At present, the olive planting and processing mainly adopts the mode of Factory +
base + farmer in China. It establishes olive production bases in order to supply
olives for the processing enterprises to produce olive oil and edible olive.
Meanwhile, with the enlargement of the factorys scale, more farmers start to plant
olives and the supply of the raw materials increases.
9.5. Necessary licences, quality certificates, sales permission

There are no licenses for olive planting. Generally speaking, the olive can be
planted in the places with suitable climate. There are also no production standards
or national standards. There are only some local standards, such as Technical
Regulations for Olive Cultivating, Technical Regulations for Extermination of
Disease and Insect Pest of Olive, Technical Regulations for Making a Summerwood
Cuttage of Olive, and Grading Standards for Fruit Collection of Olive etc.
The series standards of olive products was announced in 2004. It mainly includes
four standards:
1) ZBB6603-90 Standards for Fresh Fruit of Olive,
2) ZBB66004-90 Standards for Edible Olive,
3) ZBB660055.1-90 Standards for Olive and Olive-residue Oil and
4) ZBB66005.2005.19 Acceptance Standards for Olive and Olive-residue Oil.
90
Chart 60: ZBB Standard
Name
of
standards
Standards
for
Fresh
Fruit of Olive
ZBB6603-90
Content of the standard
It was firstly worked out in the world. It fixes

quality grading indexes, inspection methods and
basic packing, transportation and storage
requirements of fresh fruits for olive oil and
eating. It applies to the olive fruits which are
purchased, sold and processed by the nation,
collective and private enterprises.
ZBB66004-90
Standards
They are not only adaptive to the Chinese
for
Edible conditions, but also equivalent to the worlds
standards. They fix product classification,
Olive
ZBB660055.1-90
technical requirements, inspection regulations
Standards
and marks, and all clauses of packing,
for Olive and transportation and storage. They apply to the
Olive-residue series products of edible olive oil
Oil
Acceptance
It was firstly worked out in the world. It is
ZBB66005.2
Standards
specialized in the inspection methods of olive oil
005.19
for Olive and features. It fixes the inspection methods for
Olive-residue purity, quality, additive and pollutant.
Oil
Chart 61: Grading indexes of fresh fruits for olive oil

class
Oil content Proportion
Grade
of
different Proportion
fruit %
different
>40
fruit %
Full-ripe Ripe
Crude Full-ripe Ripe
Crude
fruit
fruit
fruit
fruit
Above
90
101
fruit
Decay
fruit % fruit
Impurity %
101
110 8950 1040 110
110
30
3537 4940
3034
<30
30
30
50
Cull
3840 8950 1040 101

About
fruit
Substandard
of
dried ripening degree of fresh ripening degree of fresh
fruit %
of
II class
Above
90
4940
30
30
About 5
0
30
Source: Industry Standard Library of the Peoples Republic of China and BBIC,
http://www.lrn.cn/criterion/AgriculturalCriterion/200708/t20070807_136864.htm
91
Chart 62: Grading indexes of fresh fruits for eating

Average
Grading of fruits
single
Average
fruit
pulp
weight
content
Cull fruit
Impurity
Grade
Name
Super fruit
85
Big fruit
57
82
34
80
75
3
4
Medium
fruit
Small fruit
Decay fruit
Source: Industry Standard Library of the Peoples Republic of China and BBIC
9.6. Custom duties
Chart 63: Customs schedule of related olive products
HS Code
Mea-
Chinese
suring
name
unit
Export
rebate
General
Prefer-
tariff
ential
rate
Rate
VAT
rate
Consumption tax
rate
Export
tax rate
Supervision
condition
Olives provisionally
071120
preserved,
00
not for im-
Kg
5%
70%
13%
13%
0%
0%
AB
Kg
0%
90%
30%
17%
0%
0%
AB
Kg
0%
70%
10%
17%
0%
0%
AB
mediate
consumption
Olives, pick-
200600
led (preser-
20
ved by
sugar)
Olives, not
preserved
200570
by vinegar
00
or acetic
acid, not
frozen
92
10. Description of Consumer Groups

10.1
Evaluation of Purchasing Power
Chart 64: Yearly per capita income of coastal cities in China in 2008
Source: China Urban Life and Price Information 2008
93
Chart 65: Per capita income of Chinese residents and Engel's coefficient from 1978 to 2007
Year
Urban per capita
Rural per capita net
Urban
Rural
disposable income
income
household
household
Absolute
Index
Absolute
Index
Engel's
Engel's
number
number
number
number
coefficient
coefficient
(RMB)
(1978=100)
(RMB)
(1978=100)
(%)
(%)
1978
343.4
100.0
133.6
100.0
57.5
67.7
1980
477.6
127.0
191.3
139.0
56.9
61.8
1985
739.1
160.4
397.6
268.9
53.3
57.8
1990
1,510.2
198.1
686.3
311.2
54.2
58.8
1991
1,700.6
212.4
708.6
317.4
53.8
57.6
1992
2,026.6
232.9
784.0
336.2
53.0
57.6
1993
2,577.4
255.1
921.6
346.9
50.3
58.1
1994
3,496.2
276.8
1,221.0
364.3
50.0
58.9
1995
4,283.0
290.3
1,577.7
383.6
50.1
58.6
1996
4,838.9
301.6
1,926.1
418.1
48.8
56.3
1997
5,160.3
311.9
2,090.1
437.3
46.6
55.1
1998
5,425.1
329.9
2,162.0
456.1
44.7
53.4
1999
5,854.0
360.6
2,210.3
473.5
42.1
52.6
2000
6,280.0
383.7
2,253.4
483.4
39.4
49.1
2001
6,859.6
416.3
2,366.4
503.7
38.2
47.7
2002
7,702.8
472.1
2,475.6
527.9
37.7
46.2
2003
8,472.2
514.6
2,622.2
550.6
37.1
45.6
2004
9,421.6
554.2
2,936.4
588.0
37.7
47.2
2005
10,493.0
607.4
3,254.9
624.5
36.7
45.5
2006
11,759.5
670.7
3,587.0
670.7
35.8
43.0
2007
13,785.8
752.3
4,140.4
734.4
36.3
43.1
Source: National Bureau of Statistics of China and BBIC
With the quick growth of the Chinese economy, the purchasing power of the urban
and rural residents is growing sharply. In 2007, the urban per capita disposable
income has reached 13,785.8 RMB and the rural per capita net income has also
reached 4,140.4 RMB. Although there is large gap between China and the
developed countries, the urban and rural per capita income has increased more
than 7 times in the past 30 years and the purchasing power has improved sharply.
From the aspect of Engel's coefficient, the Engel's coefficient of the Chinese urban
and rural households has declined obviously in the past 30 years. The standards
issued by the FAO fix that: if the Engel's coefficient is more than 59%, the
household is poor; if the Engel's coefficient is 50%-59%, the household only has
94
enough to eat and wear; if the Engel's coefficient is 40%-50%, the household enjoys
a fairly comfortable life; if the Engel's coefficient is 30%-40%, the household is rich;
and if the Engel's coefficient is less than 30%, the household is the richest. In China,
the urban households have entered the rich stage and the rural households have
enjoyed the fairly comfortable life.
10.2
Evaluation of Consumption Expenditures
According to the yearly updated index of The worlds most expensive big cities
from Mercer Consulting Beijing is the most expensive Chinese city in 2009 (moved
from 20th to the 9th position). To come in the second most expensive Chinese city,
Shanghai is on the 12th position, moving from 24th position in 2008. On 22nd
position has been placed Shenzhen and Guangzhou on 23rd position (sharing this
position with Los Angeles, USA). Hong Kong is on 5th position in 2009, nearly like in
2008 on 6th position.63
Chart 66: Cost of living (in RMB)
Source: Dezan Shira & Associates, Survey: Cost of Living and Mandatory Welfare Payment, Chart for 2009, 03/2009
According to price indexes, except for several years, the CPI is more than 100 and
the prices of main consumer goods maintain to increase. Between 1978 and 2007,
the price index tripled. It means the cost of living increased tripled.
63
www.citymayors.com, Report: Currency movements main factor in deciding ranking of most expensive cities
in the world, 07.07.2009
95
The price indicatores of the baskets of goods and services in above mentioned
Chinese cities are set in minimun and maximum amounts. The survey showed
Shanghai as being the most expensive city to live in, followed by Guangzhou at a
close second. The city that pays the lowest minimum net salary for Chinese
residents is Beijing at 580 RMB.64
Chart 67: Price Index China
Price Index China

(2000 = price index 100)
115
110
105
100
95
2006
2007
general
2008
food
Source: China Statistical Yearbook 2008
The growing prices of raw materials, fuel and power lead to an increase of costs of
farm produce, industrial goods, and lead to higher prices of consumer goods and a
rising inflation rate in 2008. In the first quarter of 2009 China's consumer price index
(CPI), a major gauge of inflation, rose by 1 percent in January over the same month
last year, the National Bureau of Statistics announced. The food prices, which
account for around a third of the Consumer Price Index, went up 4.2 percent, while
non-food prices were down 0.6 percent.65
64
China Briefing Magazine, March edition 2009, Report: Cost of Living
65
China View, http://news.xinhuanet.com/english/2008-06/11/content_8345423.htm and
http://news.xinhuanet.com/english/2009-02/10/content_10793345.htm
96
Chart 68: Segmentation of consumption expenditures of the rural population of China
Segmentation of consumption expenditures of the rural

population of China 2008
(Average per capita and year : 11,198.59RMB)
Housing
9.83%
Household
6.02%
Clothing
10.42%
Health
6.99%
Food
36.29%
Transport&Com
munication
13.58%
Education
13.29%
Others
3.58%
The chart shows, that approximately 11,200 RMB have been spent per capita and
year in 2008. Food with about 36% has been the biggest share on the consumption
expenditures, followed by transport & communication and education. This result has
been influenced by higher food prices (due to inflation) but also shows, that higher
amounts will be spent for food in China than for other possible consumption.
97
Chart 69: Expenditures for food in Beijing, Tianjin, Shanghai and Chongqing 2008
Expenditures for food in Beijing, Tianjin, Shanghai and Chongqing (2008)

Beijing
Tianjin
Shanghai
Chongqing
2,000
1,800
1,600
1,400
1,200
1,000
800
600
400
200
or
fo
od
tf
O
th
er
ou
pr
ai
ry
G
o
od
uc
ts
ak
e
C
fru
its
ol
rie
D
al
co
h
ve
ra
ge
s
&
To
b
ac
co
ga
r
Be
Su
ice
s
Sp
le
ge
ta
b
Ve
gs
af
oo
d
Se
Eg
ul
t ry
Po
ea
t&
M
er
e
al
s
&
O
ils
The chart shows, that in residents of Shanghai, followed by Beijing, consumers

spend higher amounts, f.e. in cereals & oils, meat & poultry or enjoying food in
restaurants than in other cities, like Chongqing and Tianjin.
98
Chart 70: Urban per capita consumption expenditure for food in 2007
Family
Less
Lowest
with
Low
than
Middle
Item
Overall
income
financial
income
average
income
(RMB)
average
family
difficulti
family
income
family
es
family
Above
average
income
family
High
Highest
income
income
family
family
(10%)
(5%)
(10%)
(20%)
(20%)
(20%)
(10%)
(10%)
9,997.5
4,036.3
3,447.7
5,634.2
7,123.7
9,097.4
11,570.4
15,297.7
23,337.3
Food
3,628
1,904.1
1,672.4
2,451.2
2,942.8
3,538.3
4,229.8
5,062.1
6,439.5
Grain
278.3
223.7
214.7
246.9
263.1
280.5
302.8
319.4
325.9
703.3
437.7
387.2
552.7
637.5
717.3
806.8
883
958.3
83.8
58.5
53.2
70.2
78.67
88.2
94.8
97.8
98.9
243.8
97.7
81.2
137.6
179.9
229.6
302.7
376.5
491
160.7
75.9
62.3
108.9
130.7
165.2
192.2
225.8
263.9
Consumption
expen-d
itures
Poultry
and
poultry
product
Egg
Marine
product
Milk
and
milk
product
In 2007, the urban per capita consumption expenditure for food was 3,628.03 RMB
and the rural per capita consumption expenditure for food was 1,388.9 RMB. The
relative value declined obviously, which reflected in the decline of the Engel's
coefficient. But the absolute value still maintained to grow. From the aspect of the
consumption of different income groups, as the income increased, not only the
proportion of food in the consumption expenditures declined, but also the proportion
of grain and poultry in the food declined quickly. However, the consumption
proportion of high quality products (like marine products) was increasing. It seems
likely that high-income families would spend more money in improving the quality of
life.
99
Chart 71: Consumption of main foods consumed by per person in rural areas from 1990 to
2007
Product name
1990
1995
2000
2005
2006
2007
Grain (raw grain) (kg)
262.08
256.07
250.23
208.85
205.62
199.48
Wheat
80.03
81.11
80.27
68.44
66.11
64.41
Paddy
134.99
129.19
126.82
113.36
111.93
109.35
2.28
2.53
1.91
2.09
1.74
Soy bean
Vegetable (kg)
134.00
104.62
106.74
102.28
100.53
98.99
Edible oil (kg)
5.17
5.80
7.06
6.01
5.84
5.96
Vegetable oil
3.54
4.25
5.45
4.90
4.72
5.06
Poultry and poultry product (kg)
12.59
13.42
18.30
22.42
22.31
20.54
Pork
10.54
10.58
13.28
15.62
15.46
13.37
Beef
0.40
0.36
0.52
0.64
0.67
0.68
Mutton
0.40
0.35
0.61
0.83
0.90
0.83
Poultry
1.25
1.83
2.81
3.67
3.51
3.86
Egg and egg product (kg)
2.41
3.22
4.77
4.71
5.00
4.72
Milk and milk product (kg)
1.10
0.60
1.06
2.86
3.15
3.52
Marine product (kg)
2.13
3.36
3.92
4.94
5.01
5.36
Sugar (kg)
1.50
1.28
1.28
1.13
1.09
1.07
Wine(kg)
6.14
6.53
7.02
9.59
9.97
10.18
Melon and melon product(kg)
5.89
13.01
18.31
17.18
19.09
19.43
0.13
0.74
0.81
0.89
1.04
Nut and nut product (kg)
From the aspect of the per capita food consumption of the rural and urban residents,
the grain consumption declined obviously; the consumption of the other products
still maintained stable; and the consumption of edible vegetable oil, marine product,
and melon and fruit maintained to grow.
100
10.3
Consumer segmentation and description of target groups
There are 3 consumption classes in China at present:

a) The first class refers to the consumption of self-enjoyment and
individualization life and are supported by high income, accounting for 15%
of urban residents of target cities investigated. People of this class often go
to bars, cafes, clubs, restaurants, cinemas and buy up to date digital and
electronic products. They enjoy elite and digital daily life. This is the group
with the biggest purchasing power. They take concept of consumerism, but
not inhibit their consumption desires. They have high taste for fashions and
brands; more than 70% of them once bought vogue magazines, clothes,
fancy food, watches, perfumes etc. There is not a large number, but they
master the most of consumptive resources, dominating the orientation of
consumption society.
b) The second class (middle class): Those people struggling white collars and
white collars youth belong to the second class. Though they are free of
worrying about food and clothing, which is still far from their self-gratification.
People of the second class are relatively reasonable and realistic, living as
most like other people. Housing, education, health and travelling are their
four consumption desires. However, in China, the consumption life of people
in this class really reflects the living actuality of Chinese people right now and
accounts for 22% of the Chinese population.
c) The third class refers to poor type consumption level. People of this class
are facing big problems of desiring to buy but there is not enough money.66
66
Living Report of China, China National Conditions Research Association and www.eoliveoil.com, Report:
Chinese people consumption habit, 2009
101
Chart 72: Segmentation of Chinese Consumer Groups
Quantity
First Class
Second Class / Middle Class
Third Class
100 m.
360 m.
840 m.
Urban areas and

Living area
Rural areas and
huge cities on the
Mainly in cities
smaller cities
East coast (first tier
(first & second tier cities)
(second & third
cities)
Income
per
month
Age
Education
Typical
Occupation
Attitude
Brand
consciousness
Consumption
tier cities)
above 35,000 RMB
7,000 RMB 34,000 RMB
30-65
20-60
Different
All age classes
Secondary school level with graduation
Business manager
Optimistic
Lower secondary
modern school
level
Technician, Manager
Craftsmen,
Teacher,
construction
Administrative officer
worker, etc.
Hesitating,
Reasonable, realistic
Modern fashioned
premium conscious
RMB
University-entrance diploma &
Entrepreneur,
and very brand &
below 7,000
doubtful
Interested in brands,
but consider best value for money
No possibility
Self-enjoyment &
Housing, education, health and travelling are
Consumption for
individualization
their four consumption desires
daily use
high
average
low
Openness for
foreign
products
Dine & Wine in
exklusive
restaurants
Lifestyle
Going out in bars,

cafes, clubs,
Enjoying external food very often

with event character,
average willingness to buy
"To live from

hand to mouth"
restaurants,
cinemas
The major consumers of olive oil are some well-educated people and middle-class
people. 80% of consumers of olive oil own college diploma and higher diploma and
60% of consumers of olive oil are middle-aged and senior citizens.67
In a report of Goldman Sachs (international famous investment bank), China has
67
www.oliveoillife.com/en, Report: The colony of olive oil consumption, 2009
102
become the fourth biggest country in consumption of luxurious products and is

therefore a very attractive market for exclusive brands. China is a brand-driven
society. The market for premium products is developing as household wealth rises
and choices increase. The actual number of Chinese potential consumption groups
for exclusive and very expensive products is only 1% of its population, about 13
million People.
In recent years, consumption of premium products in China (like f.e. olive oil) has
actually developed rapidly. There are two stages for consumption of those products:
The first is conspicuous consumption and the second is self-gratification
consumption. Due to some historical factors, people that have the capacity to buy
premium products in China are relatively young mostly, about in their thirties or
forties.68
According to the income, the target groups for olives mainly concentrate in the
average income families, high-income families and the highest-income families. The
per capita consumption expenditure of these families exceeded 10,000 RMB in
2007. Among that, the per capita consumption of the highest-income families
reached 23,337.33 RMB. These families prefer expensive and western products.
Therefore, they will become a main consumer group of these products due to our
investigations.
Most of olives are used for extracting oil. After processing, the edible olive is also a
kind of high quality product. It purely belongs to a kind of high-end snack which can
improve the quality of life.69
Chart 73: Per capita consumption expenditure of urban residents in 2007
Per capita consumption expenditure of urban residents in 2007

23,337.33
25000
20000
15,297.73
15000
10000
9,097.35
9,997.47
Middle
income family
Overall
average
11,570.39
5000
0
Above average High-income
Highestincome family
family
income family
68
Annual Chinese Consumer Survey 2008, McKinsey&Company and www.eoliveoil.com, Report: Chinese
people consumption habit, 2009

69
National Bureau of Statistics of China
103
10.4
Purchase behaviour
a) Purchase Behaviour concerning Olive Oil

Chinese peoples consumption concept of edible oil has undergone a great change,
from emphasizing hygienic and security standards to paying more attention to the
nutrition value and health value of edible oil. Along with the stable development of
Chinas economy, a large-scaled middle class with sound purchasing power is
emerging. They account for 22% of Chinese population and intensively need some
health kinds of food as well as some top grade and health functional edible oil.
40% of olive oil is purchased as gifts & presents and 60% of olive oil is for own use.70
Reasons for purchasing different grades of olive oil
Olive oil has different grades according to their refine procedure. The best olive oil is
extra virgin olive oil, secondly is pure olive oil, third pomace olive oil and the worst is
residual oil. Investigation results indicate the majority of people are buying extra
virgin olive oil in Chinese supermarkets due to health benefits and most famous
grade. These consumers prefer to prepare their own food at home or if they decide to
go out for food, they pay attention to selected restaurants offering premium-quality
food.71
Chart 74: Grade distribution situation of Olive Oil
80%
67%
60%
40%
27%
20%
5%
1%
0%
il
O
al
du
si
Re
e
liv
O
il
O
e
liv
O
il
O
in
rg
Vi
liv
O
e
ac
m
Po
re
Pu
a
tr
Ex
il
O
Source: China Food Industry Association, 2009
70
http://www.regalland.com/eoliveoil/index1.html, Report: The Wide Prospect of Chinas Market, 2009
71
http://www.ganlanwang.com/, China Olive Web, 2009
104
Reason for purchasing brands and olive oils with protected designation of
origin
The reason why consumers are buying various brands of olive oil and olive oils with
protected designation of origin implies that when buyers making a decision about
good quality and popularity are very important factors. Moreover good quality is
connected with brand popularity. The manufacturers should adhere to the road of the
importance of brand marketing. This is why major olive oil manufacturers are
gradually concerned to their own brand marketing strategy.72
Reasons for not purchasing olive oil
Due to our investigations the price for olive oil is relatively high, which is the main
reason, that consumers know the product advantages, but hesitate to buy. The
second reason is, that consumers do not know product details about olive oil and
sometimes are not interested in new products. This aspect stresses the need for the
planned campaign.
b) Purchase Behaviour concerning Olives
Chart 75: Purchase behaviour concerning olives and influences of customer preferences
Process of
purchase
behavior
Specific
purchase
behavior
mode
Marketing
Various
stimulation
kinds of
stimulations
Olive performance
Due to the low output of the domestic olives, there is no marketing

propaganda for olives. But the marketing propaganda for the
domestic olive oil is larger.
With the improving of the economic level, the residents are richer and
Other
have higher requirements for the food. Furthermore a western and
stimulations
healthy lifestyle is becoming more and more important for those

residents.
Consumer
black box
Economic
The olive produces will mainly focus on the families that have enjoyed
factor
a fairly comfortable life.
Social factor
It is popular for people to purchase high quality and healthy life.
Psychological
factor
Product
selection
Consumer
Brand
reflection
selection
Seller
selection
72
With the social development, people gradually purchase to meet the

safe demand instead of the physiological demand. During this period,
the demand for health foods is increasing gradually.
Fresh, good, no defect, big fruit, flesh thickness, and beautiful color
High-end brand
Non-mainstream channels and prefer specific high-end channels
105
10.5
Consumer Preferences
a) Preferences concerning Olive Oil

People's living standards are improving constantly which has made the demand for
top-grade edible oil, such as olive oil, to rise by a large margin.
Five years ago, it was very difficult for Chinese people to understand olive oil would
be directly eaten or drunk. Usually in China edible oil can not directly be eaten, so it
will have the cognitive process for Chinese people to learn more about the
knowledge and information of olive oil. In fact along with Chinese people earn more
money, they wish to buy some health, nutritional food, especially step by step accept
imported food.73
There is still a lack of information about olive oil among the potential consumers and
following questions arise74:
Cant distinguish olive oil of different countries, different colors, different flavor
and different grades;
Cant identify the good or bad olive oil with the label of olive oil;
Cant compare olive oil with other cooking oil;
Cant fully learn about the history and culture of olive oil;
Cant get the detailed information through the label attached in the bottle of
olive oil;
Since 2005 China has been the largest country of edible oil consumption and the
average consumption is about 15 kg per person (in 2008) that is close to 20 kg of the
worlds average consumption of edible oil per person. From 2002 to 2006, Chinese
edible oil consumption keeps the raise of average 10%, and according to this
percentage, it is forecasting that in 2015 the consumption of edible oil in China will
reach approximately 30,000,000 ton. According to the data of custom, the proportion
of import edible oil is rising rapidly and is about 20%-50%, especially, bean oil, palm
oil, olive oil, grape seed oil, colza oil, avocado oil and other edible oil.75
73
74
75
106
The following graph shows the edible oil consumption till 2010:
Chart 76: Edible Oil Consumption (in 1,000 tons)
According to the above data analysis, Chinese Market will be a larger and noticeable
market for edible oil companies in the future.
b) Preferences concerning Table Olives

Consumer habit refers to a kind of long-term consumer demand for some
commodities or brands maintained by consumers and a kind of stable process used
to meet their consumer demand. The theoretical basis comes from the purchase
decision process of the consumers. Like the other commodities, the consumer
habits of the olives are still depending on product quality, price, packing, brand and
the other aspects.
1. Quality, taste, is the most important factor for the consumers to select the edible
olives. For these commodities, it is possible for domestic foods and foreign foods
with unique taste and high quality to occupy the market. Edible olives are made of
the olives that are picked in a certain time. If they are made of good olives and taste
well, the edible olives may have some loyal customers. (own research)
2. Price is one of the important factors influencing customer purchase. Therefore,
domestic olives will have exceptional advantages. But the price is not the vital factor
for olives in view of higher price acceptance for high quality products. (own
research)
3. Packing: Nowadays, more young persons request perfect products. Except for
107
good taste, high quality and moderate price, they also request more beautiful
packing. Generally speaking, the consumers usually judge the quality of the product
from the package. The better package the product has, the better quality it is.
Meanwhile, the packing also reflects the grade of the commodity.
4. The brand recognition is also a factor influencing the purchase trend of
consumers. The brand recognition is closely related to advertising. For olives, the
product recognition needs to be improved. The improving of the product recognition
and the formation of brand awareness will supplement each other. At present, there
is hardly any famous brand of olive products in the Chinese market.
Except for the above factors influencing the consumer habits, there are some
factors changing the consumer habits, for example curiosity. If the price can be
accepted, consumers may choose the new product. The market for olives starts to
develop late in China. Moreover, the fruits are mainly used for extracting oil. The
new released products may be consumed by some consumers with curiosity.
108
11 Marketing Findings
11.1
General Communication Aspects
Leading brands of olive oil are making use of possible spread routes such as
newspaper, TV, in-store promotions, magazines and network etc. to propagate and
influence consumers possibly, in order to improve brand awareness, strengthen
ones own competitive power.76
Connecting with consumers
a) Television
TV still dominates the advertising market: A television advertising is a prerequisite
for any company serious about succeeding the mass market. Almost half of
shoppers say, they will not even consider buying a new product unless they have
seen it advertised on TV. Interestingly, the impact of TV ads varies regionally, which
could affect the distribution of marketing resources across the country. TV is far
more important in the north and central south regions and least important in the
southwest and northwest of China.77
b) In-store promotions: Stand out from the crowd
The shoppers are confronted by an increasing array of options on the shelves.
Influencing customers in-store decisions is becoming vital and consumer goods
companies should ensure they make sufficient investments to improve their in-store
presence. The survey reveals, that in-store information is the most important factor
be it the display itself, promotions or salespeople for consumers to consider new
products, even ahead of TV advertising. The promotions can be created through
large-scale displays and/or special stands within stores that form mini-rooms.
With more and more buying decisions being made in-store, and signs of consumer
loyalty to retailers rising, manufacturers and retailers should speed up brand
building and differentiation. Differentiation for manufacturers may come from
effectively using more creative forms of indirect advertising such as viral marketing
and user-generated media such as blogs and online forums.
76
77
Annual Chinese Consumer Survey 2008, McKinsey&Company
109
c) Sponsorship
One form of indirect advertising sponsorship delivers a surprisingly high impact
in China. Its success may be based on the same rationale that keeps TV at the
forefront of advertising: the investment required for a large sponsorship deal often
confers credibility on the brand. Combining the credibility of sponsorship with the
reach of TV could be a powerful combination. Sponsorship has a significant and
measurable impact on brand awareness too.
d) Blog and online forums: Understanding new media
The internet is an increasingly important marketing tool. All the online media
vehicles, including
1) online advertisements
2) product articles
3) blogs and forums
have significantly increased their impact. Consumers even rate the credibility of
blogs and online forums higher than traditional TV ads.
While overall penetration still hovers at just 19%, the number of Chinese internet
users is rising 56% a year, and stood at 253 m. in July 2008. Chinese consumers
are increasingly turning to the internet as a key source of product information. Today,
only 9% of consumers would check a blog or online forum before purchasing a
consumer electronics item, compared to 25% in the US. However, if internet
penetration approaches the levels of developed economies, blogs and online
forums will become the second most important media channel by 2020.78
78
110
Chart 77: Must have information before purchasing a new product (Percent*)
Direct mail
Magazine advertisement
Newspaper advertisement
Outdoor advertisement
Free product samples
17
TV advertisement
In-store information**
41
24
20
12
Weighted average of 23 food and beverage, consumer electronics, personal care and healthcare
categories
**
Store display
Store promotions
In-store promotions
Source: Insights China by McKinsey 2008 Consumer Survey
111
Chart 78: The impact of advertising
112
Chart 79: Advertisement at China Eastern Flight Magazine from famous Italian Olive oil brand
Olivoila
Olive oil competition in China

In 2009 the 4th China International Olive Oil Competition has been held together
with the exhibition 5th Oil China 2009 in Beijing. This year the samples came from
Australia, Spain, Italy, Peru, Chile, Greece, Portugal, Saudi Arabia and China. This
competition will achieve the following purposes:
To display the best extra virginal olive oil

in China & Asia;
To divulge the best olive oil to consumers, importers,

wholesalers, agents;
To present to the public and media;
To promote transparency on Chinas olive oil market;
Chart 80: Logo Olive oil competition in China
On the occasion of this competition, the first publication of the evaluation results will
be announced and prizes awarded on the opening day of Oil China 2010 as well as
the official award of the Golden Olives, the Sliver Olives, the "Copper Olive" the
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"Big Mention". The second results of the consumer ranking and the winners of this
competition will be published in China Oil & Fat, in the daily papers as well as in
the internet (www.eoliveoil.com). The results of the olive oil competition are as
follows:
Chart 81: Intense Category
No.
Company Name
Country
Prize
Brand Name
1.
Frantoio Franci S.N.C.
Italy
Golden Olive Intense
Villa Magra
2.
Frantoi Celletti & Cultivar

S.R.L.
Italy
Silver Olive Intense
Frantoi Celletti
Tonda Iblea
3.
Almazaras De La Subbetica
Spain
Copper Olive Intense
Rincon De La
Subbetica
4.
Frantoi Celletti & Cultivar

Italy
S.R.L.
Grand Mention Intense
Frantoi Celletti
Moraiolo
Chart 82: Medium Category
No.
Company Name
Country
Prize
Brand Name
1.
OLIVOS DEL EBRO S.L.
Spain
Golden Olive Medium
HACIENDA
Iber Arbequina
2.
La Poderina Toscana
Italy
Silver Olive Medium
Argento
3.
Agroindustrias Gonzales Eirl
Peru
Copper Olive Medium
Vallesur
4.
Spain
Grand Mention
Medium
HACIENDA
IBER Unico
Chart 83: Light Category
No.
Company Name
Country
Prize
Brand Name
1.
Olivaylle Pty. Ltd.
Australia
Golden Olive Light
Olivaylle Olive
Nectar
2.
Spain
Silver Olive Light
HACIENDA
IBER Arbosana
3.
Kalis Organic Olive

Groves Limited
Australia
Copper Olive Light
Kailis Organic
4.
Victor Guedes S.A.
Portugal
Grand Mention Light
Gallo Grande
Escolha
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Quality Mention
Chart 84: Quality Mention
No.
Company Name
Country
Prize
Brand Name
1.
Fratelli Ferrara Societa

Agricola Semplice
Italy
Quality Mention
Posta Locone
2.
Mediplan International
S.A.
Greece
Quality Mention
Authentikon
3.
Monte Los Olivos S.A.
Chile
Quality Mention
Monteolivo
4.
The National Agricultural

Development company
Kingdom of
Saudi Arabia
Quality Mention
Nadec
5.
Atlas Olives Oils sarl
Morocco
Quality Mention
Les Terroirs
de Marrakech
6.
Terra Creta S.A.
Greece
Quality Mention
Terra Creta
7.
NAYVE S.L.
Spain
Quality Mention
Monton Alto
8.
Synergatiki S.A.
Greece
Quality Mention
Cretan Mythos
Source: The Committee of China International Olive Oil Competition, 2009 Olive Oil Competition results
11.2
Brand translation and brand meaning
At present, the domestic olive market is still in the starting stage. The foreign brands
are warming into the Chinese market. Facing this situation, the local olive products
can have wider market space and win the competition through enlarging the R & D
of the new products and accelerating the improvement of the processing technique.
Nowadays, the domestic olive brands mainly concentrate in Gansu and Sichuan.
On one hand, the brand construction is the place of origin. On the other hand, it is
the establishment of the specific commodity brand.
1. Construction of producing region brand: In October 2006, the local olive product
of Longnan represented Gansu to participate in the Third China-ASEAN Expo and
got good reputation. In the same month, olives of Longnan was rewarded Salability
Award in the fourth China Agricultural Trade Fair in Beijing.
2. Construction of commodity brand: In 2007, the Xiangyu edible olive oil, Mingui
soft capsule and olive cosmetic coming from Longnan won the Houji Award in the
16th China Yangling Agricultural Hi-Tech Fair. At present, the Longnan olive industry
which takes Xiangyu as the representative has initially formed the industry
development chain of Enterprise (association) + base + farmer. The olive planting
farmers subscribe shares by olive garden. The enterprises unify processing, brand,
packing and sales of the fresh olives. The farmers will get the profits and achieve a
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win-win situation with the enterprises.

The cognition degree of olive oil brands in China is relatively high and the Chinese
customer prefer to buy high quality famous brands. Actually still no brand has
already formed the relative leading position that monopolizes. Therefore adequate
brand translation is very important for foreign olive oil supplier.
Brand names have the following four functions: distinguishing products, providing
information, ensuring guarantee and stimulating consumption. Some companies
argue that their original foreign brand names perfectly embody their brand identity,
and as they want to communicate their foreignness to Chinese consumers, they do
not want a Chinese name, f.e. the olive suppliers Tramier (France) and Natura
Verdo (Italy) or the olive oil brand names San Guiliano Alghero (Italy) and Natura
VErdo (Italy). Yet, this kind of thinking ignores cultural differences as well as the
benefits that might be realized from adapting to local consumer preferences.
Furthermore, a Chinese brand name can become the local embodiment of your
brand's culture, values, personality and vision, making it a consideration that should
not be taken lightly.
An inappropriate or inadequate Chinese name can result in big problems for the
European brands. There are many risks involved: The name may not communicate
the original brand value; The emotional associations may be completely lost or even
goes against the original connections.79
Criteria for an ideal translated brand name

a) Phonetic relevance
The new translated brand name should sound similar, if not exactly the same, to its
original name. Transliteration can well reach this criterion. In China, we can find that
a large number of foreign brand names for olives are phonetically similar to their
translated Chinese brand names. Examples include: YBARRA (YI BA LI), Rioba
(LI AO Ba), Eureka (YOU LI KA), YBARRA (YI BA LI), Olivoila (OU LI WEI LAN),
Carbonell (KA BO NA TE), Betis (BEI TI SI), Iminos (MI NUO SI TE), Carapelli (KA
LA PEI LI), Agric (A GE LI SI) just to name a few.
b) Semantic relevance
By semantic relevance, we do not necessarily mean literal equivalence; rather we
mean the new translated brand name should be semantically meaningful. If the
original brand name has a similar positive meaning or cultural connotation in the
target language, then literal translation may be a choice. If it is not the case, the new
brand name should also be meaningful. Such meaning is not the inherent meaning
of the original name, but intentionally is given to the new name by choosing suitable
79
www.labbrand.com, Reports: Why does your company need a Chinese Brand name, 01/09/2009 & Brand
Translation: Packaging Design Differences between China and the West, 20/04/2009
116
morphemes, roots or words by the translator. Examples include: Shuang Xiong

Olives = Magnificent and powerful, De Sheng Olives = development with real quality
and morality, Bai Wei Lin = natural products with hundreds of tastes, Spartacold
(JIN SI BA DA = Jin = Gold, SI BA DA = Sparta, the ancient city of southern Greece),
Hojiblanca (BAI YE = White Leaf), Mighty (DUO Li = More Power), Muel (PIN LI =
Quality, benefits to people, health), Pietro Coricelli (JIN CHENG BAO = Golden
Castle), just to name a few.
c) Graphic relevance
Languages are semiotic, the brand name and its typeface constitute the visual part
of brand image. Sometimes, the typeface can suggest or symbolize the features of
a product. In translating brand names from one language into another, it is highly
recommended to make a similar visual look by adopting the same typeface or font
of letters. For example, if the original brand name looks heavy, strong, powerful,
then its translated name shall also have similar visual perception. Most foreign
brand names are translated into Chinese for both phonetic likeness and effective
employment of the meanings of the Chinese characters, as well as graphic
conformity.80
All the researched brand names of olives and olive oil and their meanings can be
found in ANNEX 1 of this report.
Chinese translations
Appropriate translations can be part of the successful market entry in China and
positive and logical translations can be easier remembered from the consumer
when purchasing in stores. Translation examples with very good meaning and
phonetics:
1) Olivoila sounds beautiful due to the phonetic translation: stands for Europa,
, und = are Chinese characters refers to a pleasant and noticeable
smell.
2) Mighty means powerful and mighty, boosted through the character , which
means double.
3) Arbolon means big tree and provides reliable emotions to the Chinese customer.
4) YBARRA has a very positive phonetic translations and can be easily kept in
mind.
5) Muel is translated with pin li, which means pin = quality, li = advantage / benefits,
which is a ideal translation for food product.
80
www.echeat.com, A Study of Brand name translation in China, November 2006
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11.3
Product presentation and display material
11.3.1 Table Olives

Because the domestic olive market does not develop well, the marketing investment
of the related enterprises is not high. According to the propaganda of some
enterprises, we can see that most of the propagandas focus on the place of origin
and emphasize the grade and scale of their base construction.
Chart 85: Olives of Longnan Shibolin Olive Growing Co., Ltd.
Publicity material: Our company is the largest olive planting base and the national
olive demonstration base in China. Our company is located in the Olive County of
China - Wudu, Gansu. We supply excellent quality olive seedling and planting
technological supporting services. We have advantages of various types of olive
trees (nearly 30 types), high oil extraction rate, wide planting area, high survival rate
and consummating planting technologies. Welcome to contact and negotiate with
us by telephone and network.
118
Chart 86: Product propaganda of Sichuan Hua Ou Olive Development Co., Ltd.
119
a) Beijing
In 4 supermarkets of Beijing we could research following kinds of olives:
a) Green pickled olives
b) Black pickled olives
The country of origin is mainly China. Simply one Spanish supplier YBARRA is
offering green pickled olives at WFJ Yokado supermarket.
Following brands of olives could be found in following supermarkets:
1) Carrefour
China
Shuang Xiong Olives (black pickled)
De Sheng Olives (Black pickled)
Baiweilin Yanjin Olives (green pickled)
Baiweilin Baked Olives (black pickled)
Hangzhou Yuhan Yimin Liquorice Olives (green pickled)
2) Marrymart
China
Peng Sheng Olives (black pickled)
San Jing Olives (black pickled)
3) WFJ Yokado
China
Pu Xiang Olives (black pickled)
Chaoshan Olives (black pickled)
Fuhua Savory Olives (green pickled)
Jiamei Olives (black pickled)
Spain
YBARRA Olives (green pickled)
4) Lotus
China
De Sheng Olives (black pickled)
Peng Sheng Olives (black pickled)
Baiweilin Savory Olives (green pickled)
Baiweilin Baked Olives (black pickled)
Olives are in general positioned in the corner of cereals, oil area and dairy products
at Carrefour and Marrymart. At WFJ Yokado the snacks are placed at non-stable
food area and imported food area, which can easily draw customers attention. At
Lotus the olive snacks are placed near snack and beverage area. In all
120
supermarkets the olives could be found very easily. The olives are already
processed and not raw. There are ready for consumption.
There are no special presentations to promote the olives. In general only billboards
or price labels will be used to catch the eye of the customer. Solely at Carrefour
supermarket it was a price promotion for De Sheng Olives in case of buying 2
packages, getting 2 RMB of discount.
Chart 87: Olive store-check in Beijing
b) Shanghai
In 3 supermarkets of Shanghai we could research for green and black olives in
different kinds:
a) Green Olives
b) Green Olives Non-Stone
c) Green Liquorice Olives
d) Green Non-Stone Olives
e) Green olives with filling
f) Green acid olives
g) Green Plain Manzanilla Olives with Stones
h) Green Plain Manzanilla Olives Non-Stone
i) Green Olives with anchovy
j) Green Olives with pepper
k) Black Olives
l) Black Non-Stone Olives
m) Black Sliced Olives
n) Black Yanjin Olive (savory taste)
The country of origin is mainly Spain, China and just a few are from France and
Italy.
121
Following brands of olives could be researched in following supermarkets:

1) Cityshop
China
A Ji Ichiban (Green Liquorice Olives)
2) Metro
Spain
YBARRA (Green Olives Non-Stone, Green Olives with fillings, Black
Non-Stone Olives)
Eureka (Black Sliced Olives)
Fragata (Green Acid Olives, Black Non-Stone Olives)
Italy
Natura Verdo (Black Non-Stone Olives)
Rioba (Green Non-Stone Olives)
France
Tramier (Green Olives)
China
Bai Wei Lin (Black Yanjin Olives = savory)
Tian Wo (Black Yanjin Olives = savory, Black Olives)
Metro (Green Olives)
3) Carrefour
Spain
YBARRA (Green Plain Manzanilla Olives with and without Stone, Green
Olives with pepper, Green Olives with anchovy)
Fragata (Black Non-Stone Olives)
China
Bai Wei Lin (Black Olives, Black Yanjin Olives = savory)
Tian Wo (Black Olives)
Some European olive oil suppliers offering olives in Chinese supermarkets too, like:
YBARRA and Fragata from Spain and Natura Verdo from Italy.
The olives are positioned in the corner of glazed fruits. At Carrefour supermarket the
olives are presented at the shelf next to the olive oil. In all supermarkets the olives
could be found very easily (except at the Metro supermarket). The olives are
already processed and not raw. There are ready for consumption.
There are no special presentations to promote for the olives. In general only
billboards or price labels will be used to catch the eye of the customer.
122
Chart 88: Olive store-check in Shanghai
c) Guangzhou
In 3 supermarkets of Guangzhou only green dried olives (some of them are refined
with salt and sugar etc.) could be found, which are all manufactured and processed
in China.
The ingredients of the processed olives are: Olive, Sugar, Salt, Liquorice, Food
additives (Molasses pigment, Saccharin Sodium, Stivia sugar, citric acid, Sodium
benzene, Potassium sorbate, Lemon yellow)
Following brands of green dried olives could be researched in following
supermarkets:
1) Parknshop
Jiabao Jiuzhi Olive (Canton Fruits)
New Too Salty Olive
Yimin Liquorice Olive
Yimin Healthy Olive
Meiyuan Liquorice Olive
Guo Wei Ping Sheng Olive
2) Carrefour
Jiuzhi Olive (Canton Fruits)
Huaweiheng Healthy Olive
Huaweiheng Salty Olive
3) Vanguard
Jiabao Jiuzhi Olive (Canton Fruits)
Zhenqiwei Jiuzhi Olive (Canton Fruits)
123
The olives are positioned in the corner of dry fruits. In all supermarkets the olives
could be found not very easily, because there are often placed in an unclear edge or
in the back of the supermarket. The olives are already processed and not raw.
There are ready to consume.
There are no special presentations or billboards to promote for the olives.
Chart 89: Olive store-check in Guangzhou
Presentation of olives in shelves

Most of the fresh olives are supplied for the processing factories to produce olive oil
(1,172.60 tons in 2008). So there are detailed requirements for their packing.
Generally speaking, in order to keep them from rot, the olives need to be packed
with bamboo baskets or plastic baskets to make sure the ventilation property.
Therefore, they are packed with 1.5 kg bamboo baskets or plastic baskets so as to
carry them conveniently.
If they are sent to factories to keep for a long time, the olives need the specific
containers. The fresh olives can be put in the cool water pool with the circulating
water equipment according to the purchase quantity. The water temperature should
maintain at 20 degree Celsius and the storage time should be less than 1 month.
They can be dipped in the solution containing 3% salt and 0.03% citric acid too. All
of these need larger specific water pool. The detailed packing sizes are designed
according to the scale of the factories.
If the olives are processed into edible olives as the residents snack, the advisable
packing size is generally 250 g. On one hand, the price is advisable. And on the
other hand, the edible olives in this packing can be eaten at a time. If the olives
belong to the high-end products, each olive should be packed in a packing. At
present, this kind of product market is more popular.
124
Beijing
Chart 90: Olive presentation in Beijing supermarkets
Shanghai
Chart 91: Olive presentation in Shanghai supermarkets
125
Guangzhou
Chart 92: Olive presentation in Guangzhou supermarkets
126
11.3.2 Olive Oil

1) Beijing
In the researched supermarkets in Beijing the olive oils country of origin are mainly
from:
a)
b)
c)
d)
Spain
Italy
Greece
China
The following brands of olive oil could be found:

Chart 93: Olive Oil presentation and display material in Beijing
Spain
Carrefour
Hojiblanca
Lu Hua
YBARRA
Betis
Carbonell
Muel
Italy
Olivoila
Mighty
Argosy
Carapelli
Greece
Iminios
Minawa
China
Hua Yuan
Life
Marrymart
Cordoliva
Betis
Fragata
WFJ Yokado
Echioliva
YBARRA
Muel
Hojiblanca
Sitia
Olivoila
Mighty
Agric
Lotus
Betis
Opinion
Musa
Cordoliva
Lu Hua
Olivoila
Carbonelli
Pietro
Coricelli
Grifo
Olivoila
Mighty
Luglio
Spartacold
Agric
Reflecting above brands in different supermarkets, mainly Italian and Spanish olive
oil will be sold in all 4 supermarkets. Solely foreign suppliers offering extra virgin and
pure olive oil. The only Chinese Olive blended oil will be presented at Carrefour.
Greek olive oils has much higher influence in Beijing supermarkets than in Shanghai
and Guangzhou. The olive oil has been sorted by grade and price in the shelves, not
according country of origin.
Product presentation Carrefour
The olive oils have been positioned in the corner of non-staple food and imported
food areas, which could be easily found. Strong variety of brands, moderate
capacities and prices were discovered. The oils are unfortunately not presented at
eye level. There no price promotions or any other activities, just the price labels on
127
the shelves.
Product presentation Marrymart
The olive oils have been positioned in the corner of special sales and imported food
areas, which could be easily found. The selection of brands and capacities are
moderate. The prices are midlevel. The olive oils are mainly presented at eye level.
Some price activities has been offered at the Olivoila shelf:
Buy one 750 ml Extra Virgin Olive oil, get one 250 ml olive oil for
complimentary.
Buy one 750ml pure olive oil, one 900ml Jinlong Olive oil blended oil for
complimentary.
Mighty olive oil:
Buy one 750ml extra virgin olive oil, one 250ml extra virgin olive oil for free.
Furthermore with special kinds of price labels, should focus the attention of the
customer.
Product presentation WFJ Yokado
The olive oils have been positioned in the corner of non-staple food area, which
could be easily found. Strong variety of brands, moderate capacities and prices were
discovered. The oils are unfortunately not presented at eye level. There no price
promotions or any other activities, just the price labels on the shelves.
Product presentation Lotus
The olive oils have been positioned in the corner of non-staple food area, which
could be easily found. Strong variety of brands, moderate capacities and prices were
discovered. The oils are unfortunately not presented at eye level. There is a price
promotions for Mighty olive oil:
Buy one 750 ml pure olive oil, one sunflower seed oil with the same brand for
complimentary.
For Olivoila the olive oils are presented on a special kind of desk, where the
customer can see the presented products.
The packaging of foreign bottles are modern and not Chinese styled. Through the
foreign letters and the description of the labels the foreign basics can be discovered
at once. There are conspicuous differences to the Chinese oils. According the
packaging the price level can be estimated as well.
128
Chart 94: Olive oil store-check in Beijing
2) Shanghai
In the researched supermarkets in Shanghai the olive oils country of origin is mainly
from:
a) Spain
b) Italy
c) Tunis
d) Turkey
e) Greece
f) China
g) France
129
Following brands of olive oil could be researched:
Chart 95: Olive Oil presentation and display material in Shanghai
Spain
Italy
Tunis
Turkey
Greece
Cityshop
Borges
DUC
Oillio
Muel
Amarilla de
Ronda, LA
Carbonell
Oleaurum
Jin Hai Shi
Monini
Costa dor
Terra
Delyssa
Taris
-
China
TESCO
Carbonell
YBARRA
Arbolon
Lu Hua
Monini
Olivoila
Villa Antica
Carapelli
Mighty
Taris
Agric
Jin Hai Shi
Zhu ZhuLe
Metro
La
Espanola
Carbonell
YBARRA
Muel
Berio
Natura
verdo
Carapelli
Olivoila
Basso
Pietro
Coricelli
Villa Antica
Carapelli
Mighty
Zhu Zhule
France
Carrefour
Muel
YBARRA
Betis (
La
Espanola
Carbonell
Fragata
Huang Pin
Jin Long
Yu
Agir Bio
Reflecting above brands in different supermarkets, mainly Italian and Spanish olive
oil will be sold in all 4 supermarkets. Chinese Olive oil will only not be presented at
City shop. Metro and Carrefour are specialised in Italian and Spanish olive oil,
meanwhile at TESCO and Cityshop are presenting olive oils from Turkey, Tunis and
Greece too. The olive oil has been sorted by grade and price in the shelves, not
according country of origin. At TESCO and Carrefour the special oil Extra light olive
oil from Carapelli for the calory conscious consumers will be offered.
Product presentation Cityshop
The olive oils have been positioned in the corner of other edible oils and it could be
easily found. Strong variety of brands, moderate capacities and prices are higher
than in other supermarkets. The oils are presented very professional and are in good
order. There no price promotions or any other activities, just the price labels on the
130
shelves.
Product presentation TESCO
The olive oils have been positioned in the corner of other edible oils and it could be
easily found. Strong variety of brands, with small, moderate and large capacities at
the same time. The displays are not tidy and there are some price promotions and
activities, like:
a) Villa Antica presents1 l *2 bottles for a cheaper price
b) Jin Hai Shi presents 500 ml Seeds Oil as a gift, when buying Extra Virgin Oil
c) Jin Long Yu presents 900 ml Extra Virgin Oil, when buying 5 l of olive blended
edible oil
Product presentation Metro
The olive oils have been positioned in the corner of imported products, which can be
found very easily. Chinese brands are put in another food area (Chinese edible oils).
Strong variety of brands, with moderate and very large capacities. The displays are
not tiday too. But there are offering only a few price promotions and activities, like f.e.
YBARRA presents 500 g Pasta as a gift, when buying Extra Virgin Oil (1 l)
Product presentation Carrefour
The olive oils have been positioned in the corner of imported products, which can be
found very easily. Chinese brands are put in another food area (Chinese edible oils).
Strong variety of brands, with small, moderate and large capacities at the same time.
There are presented very professional and are in good order. Carapelli and Jin Long
Yu have their own display shelf for promotion. There are some price promotions and
activities, like f.e. Mighty presents 150 ml * 2 Extra virgin olive oil as a gift, when
buying Sunflower-Olive + Extra virgin oil (5 l).
Chart 96: Carapelli display shelf / Jin Long Yu display shelf
packaging you can see the price level as well.
131
Chart 97: Olive oil store-check in Shanghai
132
3) Guangzhou
In the researched supermarkets of Guangzhou the olives country of origin oil is
mainly from:
d) Spain
e) Italy
f) Portugal
g) Taiwan
h) Greece
Following brands of olive oil could be researched:
Chart 98: Olive Oil presentation and display material in Guangzhou
Parknshop
Spain
Italy
Olivoila
Mighty
San
Guiliano
Alghero
Carrefour
Knife Brand
Hojiblanca
Lu Hua
Mighty
Olivoila
Greece
Taiwan,
ROC
Trust Mart
Knife Brand
Lu Hua
Hojiblanca
Mighty
Olivoila
Olive Cooking
Olive Oil
Uni-President
Golden Age
Vanguard
Knife Brand
Changqingshu
Arbolon
Olivoila
Mighty
San Guiliano
Alghero
Jipuyuan
Reflecting above brands in different supermarkets, Trust Mart and Vanguard are
offering most of the Spanish and Italian olive oils, which will be sold in Guangzhou.
The olive oil has been sorted by grade, brand and price in the shelves, not according
country of origin.
The product olive oil has been positioned in the corner of cereals and oils. Only at
Parknshop it was not easy to find. In all other supermarkets the olive oil could be
discovered very easily.
133
Especially in Guangzhou the Italian trademark Olivoila has an own shelf only for
presenting its products. An extra billboard on the shelf is showing all the information
about this olive oil to the customer.
Chart 99: Presentation of Olivoila in Guangzhou
134
packaging you can see the price level.
Chart 100: Olive oil store-check in Guangzhou
135
Chart 101: Olive oil presentation in Beijing
136
Chart 102: Olive oil presentation in Shanghai
137
Chart 103: Olive oil presentation in Guangzhou
138
12 Marketing Campaign for China

12.1
General Objective and Target Groups to be addressed
China is among the most populous and fastest growing economies of the world.
According to the main objectives of IOC to promote the consumption of olives and
olive oil in new, high-potential markets, the campaign aims at the further stimulation
of olive oil and table olive consumption, which is at a low level recently, but shows a
strong predicted increase for the forthcoming years.
In order to achieve this aim, different target groups need to be addressed. Based on
the findings of chapter 10 of this report, suggestions for the definition of relevant
target groups will be delivered. There are two main target groups that can be taken
into consideration:
a) Final Consumers
b) Opinion Leaders
Ad a): The implemementation of segmentation concepts in order to analyze the final
consumers of olives and olive oil often lack a consistent description of target groups
by age, sex, disposable income etc. However, it is possible to select information of
different marketing analysis resources, that draw quite a clear impression of the
target groups in question. First of all, a general trend towards consumption of
products of western and specifically European origin can be observed.81 Among
those consumers who posses a growing buying power, especially the group of
urban professionals, aged 30 to 45 years and having achieved a higher professional
education try to adapt the Western lifestyle and show a greater willingness to pay
for these products.82 According to the segmentation of Chinese concumer groups
(see chapter 7 of this report) this target group would belong to the first class, with
highest income and highest professional education and the most advanced
openness for foreign products. From further research concerning segmentation of
target groups it is clear, that these segements of high income classes, high
education and open-mindedness generally function as opinion leaders fostering
the diffusion of new products and consumption trends. 83 Furthermore, the
consumption of table olives and olive oil seem likely to fit the premium consumption
of this target group well. Thus, it is recommended to concentrate on this target
group and to adjust marketing activities to their needs and consumption patterns.
Ad b): Besides private/final consumers the segment of professional
consumers/buyers should be an interesting focus for marketing activities. Based on
the concept of opinion leadership it is often reasonable to address those institutions
81
Theis, B. : Im Osten viel Neues Vom Wandel des Konsumverhaltens, Cologne 2009, p. 1
82
Theis, B. : Im Osten viel Neues Vom Wandel des Konsumverhaltens, Cologne 2009, p. 4
83
Groeger, L. : Soziale Epidemien, Cologne 2008
139
and persons who have a great influence on the preferences and consumption
patterns of many other consumers. This strategy of addressing opinion leaders is
often useful in order to open a new market and to develop and stimulate
consumption. Persons and institutions that belong to the group of opinion leaders
are f.e. the following:
Restaurants and reputed local chefs

Journalists
Celebrities
Especially Journalists and Celebrities can have a multiplying effect for the
achievement of the aspired marketing targets, since they are able to reach a
multitude of potential consumers. Besides it can be fruitful to address restaurants
and well-known local chefs as multipliers.
Chart 104: Two Step Flow of Communication
: Opinion Leader
Communicator
: Individuals in
social contact with
opinion leaders
To address opinion leaders can foster communication efficiency through a

multiplying effect. By addressing opinion leaders, many individuals in contact with
them can be reached as well. Forthermore, the efficiency can be advanced through
the greater credibility many of the individuals to be addressed see in opinion
leaders.
For the planned marketing campaign it can be assessed that it would be fruitful to
concentrate on the segment of opinion leaders and multipliers (b) in the first place.
Besides the aforementioned possibility of addressing a multitude of potential final
consumers, addressing this segment shows the following advantages, as well:
Higher Impact of influence through opinion leaders, compared to

conventional advertising due to higher credibility of opinion leaders and
experts
Cost effectiveness of the two step flow compared to conventional advertising

140
However the selection of groups that need to be addressed in this segment shall be
adjusted to preferences of the most important final consumers (a) anyway.
12.2
Themes and messages to be conveyed
Regarding the aforementioned consumer groups, the following messages and

themes should be stressed, in order to address to the consumers central
preferences and needs:
Culinary Aspects of olive oil and olives consumption
Health Benefits of Olives and Olive Oil
Origin of the two commodities and history of consumption
Premium Quality of Olives and Olive Oil
Variation and different qualities available
As it was mentioned before, the target groups in question appreciate the benefits of
foreign products and according to their growing disposable income are willing to
participate in benefits of the western world. A strong trend in Cina towards the
consumption of foreign premium quality products can be observed and it seems
likely that this will apply to olives and olive oil consumption as well. The predicted
strong growth in demand shown in this report can be seen as an indicator for this
development.84
According to the development of adaption of western consumption in China, it
seems recommendable to include information about the origin of olives and olive oil
consumption in the campaign as well. Information about the countries of origin may
be applicable as well as historical aspects like f.e. the sacredness of olive oil in
ancient Greece, being used as the eternal flame of the original Olympic Games,
just to mention an example. Reserch concerning consumption habits show, that
many Chinese consumers appreciate new consumption patterns but simultaneously
are eager for knowledge.85
While Chinese people show the mentioned orientation towards western
consumption patterns, an adequate adaption to the Chinese culture must be taken
into account. While many modern Chinese consumers adapt western consumption
patterns, the reflection of Chinese culture and origin is generally also kept in mind.86
Thus, it seems recommendable to present the opportunities of traditional Chinese
cuisine becoming even more sophisticated through the application of olive oil and
table olives in the preparation of dishes. Different actions of the marketing campaign
may account for this aspect, f.e. cooking events.
84
Theis, B. : Im Osten viel Neues Vom Wandel des Konsumverhaltens, Cologne 2009, p. 1ff.
85
Karle, R. : Zwischen Tradition und Konsum, in: HORIZONT - Ztg. fr Marketing, Werbung und Medien, H. 26,
2007
86
Karle, R. : Zwischen Tradition und Konsum, in: HORIZONT - Ztg. fr Marketing, Werbung und Medien, H. 26,
2007
141
One central unique feature of olive oil compared to different other oils is its
health benefit, f.e. preventing cardiovascular diseases or diabetes. Stressing of this
aspect may be seen as helpful to create a strong unique selling proposition for olive
oil in China, compared to the use of other oils. Research data show, that many
Chinese consumers appeal to health aspects of consumption. The strong growth in
development of green food technology can be seen as a hint for this development
as well as the trend for increasing consumer sophistication in China. While
consumers around the world seek pleasure in many food products, Chinese
consumers amongst others start to seek for special health benefits in food f.e.
chocolate with added calcium.87 This consumption trend accounts for consumers
aged between 25 years and 44 years as well as for consumers aged between 45
years and 65 years.
The communication of health benefits of olives and olive oil can go hand in hand
with emphasis of the general premium quality of the products. It seems likely that
the aforementioned consumer target group appreciates the premium quality of the
products and shows a higher willingness to pay for it. The preference for
consumption of high premium products by relatively young Chinese consumers in
their thirties or fourties was already stressed in chapter 10.3 of this report. 88
Besides, it may be applicable to communicate the variation and different qualities
available, too.
In summary the messages to be communicated through the campaigns activities

shall focus on quality aspects of the products, showing a diversity of arguments.
The stressing of quality aspects may be helpful to justify higher prices for olives and
olive oil as well. Thus, the quality of promotional messages may be highly
informational in the first place in order to increase consumption. On the other hand,
especially the communication of origin and history of the products combined with
the production and use of olives and olive oil may be helpful to add emotional
aspects to the communication and make the products become even more
interesting. It can be argued that especially more sophisticated target groups will
find a product more interesting, the more associations are combined with it. 89
Furthermore a communication strategy including some kind of storytelling might be
fruitful in order to draw consumers attention towards the products and thus to foster
communication efficiency. The following chart shows a potential, hypothetical
semantic network that a sophisticated consumer might have in mind, when thinking
about olive oil.
87
Ding, J. et al. : 2009 Annual Chinese Consumer Study, published by McKInesy Asia and Consumer Retail,
July 2009, p. 12
88
Annual Chinese Consumer Survey 2008, McKinsey&Company and www.eoliveoil.com, Report: Chinese
people consumption habit, 2009

89
Winston, A. S. / Cupchick, G. C.: The Evaluation of High Art and Popular Art by Naive and Experienced
Viewers, in: Visual Arts Research, Nr. 18, 1992, S. 1-14; Mandler, G.: The Structure of Value: Accounting for
Taste, in: Affect and cognition, hrsg. v. S. M. Clark / S. T. Fiske, Hillsdale 1982, S. 3-36
142
Chart 105: Hypothetical Consumers Semantic Network concerning Olive Oil
Spain
Mediterranean Diet
Chinese Cuisine
Italy
Countries of Origin
Other Oils
Greece
Cooking
Origin
Oil
ancient
Olive Oil
History
healthy
Crowning of
victors of
Olympic Games
Prevention
of diabetes
Prevention
of cardiovascular
diseases
Eternal flame" of the

original Olympic
Games
The created hypothetical part of a semantic network shows a multitude of

associations. Moreover, the associations are highly consistent to each other and
could garantuee a good integration in the allover communication policy, stressing
the quality aspects of the products.
According to the general messages the campaign should be generic and not
targeted at specific producers or countries of origin.
143
12.3
Programme of Actitivities
Concentrating on the target groups of final consumers as well as on the target group
of opinion leaders, the following activities will be recommended.
12.3.1 Trade Events

Trader expert seminars and information events may be recommendable in order
to care for the contact to traders and trading agencies. The main objective is to
ensure distribution of the products as well as to gain influence in traders as being
opinion leaders and multipliers for the campaigns messages. The establishment of
a network of contacts with the trade sector f.e. importers, exporters, retailers
seems crucial in order to ensure support for the expansion of distribution in China.
A selection of importer profiles can be found in chapter 12.6 of this report. In order
to first choose traders which could be adequate partners, at least the following
criteria may be applied for prioritization:
Size, Turnover and Market share of Traders
Distribution Regions of Traders
Supplying countries, in order to get a balance of IOC member states
More information that can be used for the final assessment of the importers/traders
f.e. detailed assortment, activity of the traders etc. could be collected during the
planned trade events as well.
The Trade Events would include the following activities in detail:
Regular Luncheons and Expert Seminars
Monthly luncheon invitations of traders / trading agencies and experts of local

chefs, bar managers, restaurant managers and F&B managers who are
responsible for the purchase of olives for their organisations
4 x meetings in Beijing, 4 x in Shanghai and 4 x in Guangzhou
Planning of 12 luncheons with max. 12 participants of each seminar
Selection of related traders and/or representatives (see above criteria for

selection)
Layout, print and distribution/mailing of luncheon invitations
Follow-up by phone and clarification with participants
Presentation of selected olive and olive oil products
Duration approx. 2 h
144
Splitting up the participants in English and Chinese speaking target groups
Trainings about European olives and olive oil products
Participation in major trade exhibitions in China featuring olives and olive oil
sections
For the development of a network within the trade sector it seems essential to
participate in different trade exhibitions. The following chart shows a selection of
major exhibitions for the food sector.
Chart 106: Exhibitions in China in 2010
Name
Location
6 International
Shanghai Exhibition
Exhibition of Olive Oil
Center, Shanghai
th
Date
24-26/04/2010 Olive oils and other

specific types of
edible oils
& Edible Oil

BioFach China 2010
Focus
INTEX Shanghai,
27-29/05/2010
Shanghai
Organic food
products and
beverages, natural
cosmetics and
organic cotton,
textile products
th
11 SIAL China
Shanghai New
19-21/05/2010 All kinds of food &
International Expo Center,
beverages
Shanghai
FHC China
Shanghai New
11-13/11/2010
Food, drink,
International Expo Center,
hospitality,
Shanghai
foodservice, bakery
and retail IT
exhibition
Oiltech China 2010
Shanghai Exhibition
24-26/04/2010 For equipment and
Center, Shanghai
technology of edible
oil in China
EXPO China 2010
Shanghai
May 1 to
World Exhibition
October 31,
2010
China International Exhibition of Olive Oil & Edible Oil was founded in 2005. Since
then, it has been successfully hosted for four times. Its scale is enlarging, the
number of the professional audience is increasing gradually and the number of the
exhibitors is increasing year by year. The domestic and foreign edible enterprises
145
are always paying attention to this exhibition. And it has become the largest
international edible oil exhibition. The fourth exhibition held in Shanghai attracted
5,800 persons from 32 countries and regions to visit. Among those, 90% of them
are the Chinese people from 30 provinces and cities. The purpose of 50% of the
audience is to look for the cooperation and agent. And the purpose of 40% of
audience is to understand the market and get the information.
Besides, there are some local exhibitions, like China Yangling Agricultural
Hi-TechFair and Longnan Olive Products Exhibition as well the China Agricultural
Trade Fair approved by the State Council of the Peoples Republic of China every
year.
Participation in at least two of the aforementioned exhibitions.
Complete preparation, realisation and follow-up of above mentioned

exhibitions
Clarification and coordination with exhibition corporation
Preparation and distribution of advertising material in Chinese
12.3.2 Gastronomy
Care of contacts and regular newsletters about olive and olive oil producers
from IOC member states to gastronomy
Based on information for journalists a regular email newsletter will be sent

about olive and olive oil producers from IOC member countries to related
gastronomy representatives
Expansion of already existing network with F&B-Manager and gastronomy

representatives
Planning and organization of regular F&B Meetings (offering lunch invitations)
Regular information about olive and olive oil producers from IOC member
states
Suggestions of and coordination about marketing activities (Table olives and

olive oil contests, promoting special kind of olive dishes through cooking
courses, seminars with popular chefs from IOC member countries etc.)
Olive and olive oil weeks
Organisation and realization of olive weeks in selected restaurants and hotels

in China
Regular luncheon meetings with gastronomy representatives in Beijing,

Shanghai and Guangzhou
Planning of 9 luncheons with 9 representatives of each selected gastronomy
Selection of F&B managers

146
Layout, print and distribution of invitations to luncheon meetings
Follow-ups by phone and clarification of participants
Duration max. 1.5 h
Starting with Shanghai first
Splitting up the participants in Chinese and English speaking target groups
Regular luncheon meetings with gastronomy representatives in Beijing,

Shanghai and Guangzhou
Planning of 9 luncheons with 9 representatives of each selected gastronomy
Selection of F&B managers
Layout, print and distribution of invitations to luncheon meetings
Follow-ups by phone and clarification of participants
Duration max. 1.5 h
Starting with Shanghai first
Splitting up the participants in Chinese and English speaking target groups
12.3.3 Media
According to the model of two-step-flow communication, media relations will be a
predominant part of the activities to be accomplished. Journalists may function as
opinion leaders as well and can guarantee a wide spread diffusion of
communication. Besides regular contacts to journalists and media, the following mix
of communication activities seems recommendable. Herein especially health and
nutrition issues regarding olives and olive oil consumption could be stressed.
147
Tour organization of Chinese journalists to IOC member countries

A tour with selected journalists to IOC member countries could help to communicate
the themes concerning origin and history associated with the use of olives and olive
oil. This would result in effective storytelling related to olives and olive oil.
Identification and suggestion of suitable participating journalists and opinion

leaders
Coordination with participating journalists to publish editorial reports
Accompanied tour for journalists, including travel organisation and set up of

itinerary. The tour shall at least cover three main producing countries of olives
and olive oil f.e. Spain, Italy, Greece
Intensive post-processing after the tour and matching further contacts to other
journalists, including regular contacts, sending of newsletters etc.
Television: Promotion at cooking shows at the Chinese television

TV cookery shows can be a good suggestion in order to reach consumers of the
aspired target groups and to create a greater awareness for the benefits of use of
table olives and olive oil to enrich traditional Chinese food. In preparation of these
TV programmes, famous Chinese local chefs should be identified who are willing to
communicate the benefits in TV shows by cooking Chinese meals with olives and
olive oil. Besides the culinary aspect, it seems recommendable to stress the health
aspect of olive oil as a better alternative compared to other edible oils.
A selection of TV cookery programmes including region and airing time is as
follows:
Beijing
1) Perfect Kitchen () at BTV, at 6:12 p.m. and One click to a happy life
() 19:59 p.m., Monday Saturday
Shanghai
2) You are the Chef () from star chef Alex Fu from Le Royal Meridien
Shanghai, ICS Channel at 6.30 p.m. from Monday to Frieday
3) Favorite & delicious food ()at SMG Channel Young at 6:00 a.m., 7.00
p.m., 0.00 a.m., Monday - Friday
4) New food () at SMG Channel Young at 5:00 p.m., 5:45 a.m., 1:15 p.m.,
Monday Friday
148
Nationwide
5) Daily Food () at CCTV1, at 9:07 a.m., 8:55 p.m., Monday - Friday
6) Happy Housewife () at CCTV2, at 5:25 p.m. Sunday, 6:00 a.m.
Monday, 5:00 p.m., Wednesday
7) Become acquainted with Chinese Food () at CCTV Spain, at 7.15
a.m., 1:15 p.m.. 7:15 p.m., 1.15 a.m. Monday - Friday
8) Belle Gourmet () at Phoenixtv China, at 5.35 p.m., Saturday
9) Good old kitchen () at HBTV Hubei, at 7.05 p.m., Saturday
Guangzhou
10) Waves of delicious food ()at STTV, at 12.00 a.m., Monday - Friday
11) Healthy food () at GDTV, at 12:15 a.m., Monday - Friday
12) Happy kitchen new cooking style () at TVS-3, at 10:50 p.m.,
Sunday
13) Kitchen for food () at TVS-2, at 9.20 a.m., Monday - Friday
Television: Editorial Documentary and Product Placement

Instead of hard advertising it can be recommended to place editorial short films
within the TV programme of two or three TV channels. A film crew would produce
several versions of editorial short films concerning table olives and olive oil in IOC
member countries, which would be broadcasted several times. The great
advantage of this kind of communication is, that it seems to be neutral and does not
appear to be driven by commercial interests. It could be considered even to produce
TV series of such short films with different focus on the central messages to be
conveyed, such as Olive Oil and Health Benefits or Olive Oil Local Chefs
valuable assistant.
In addition, it should be possible to find arrangements concerning product
placement of table olives and olive oil in Chinese TV programmes.
149
Television: Generic Advertisements

In addition to the aforementioned editorial documentary, generic advertisements
might be recommendable on television featuring a catchy claim in order to get
an impact in mass communication as well.
Edition of a (Cookery) Book in Chinese

In order to make the health and culinary message work within different
communication channels a cookery book could be edited accompanying the
aforementioned cookery programmes on TV. It would be desirable if the local chefs
who are willing to promote the use of olive oil and table olives in the TV shows also
would agree to write articles in this book accompanied by recipies that are also
featured within the TV cookery programmes. Thus, the message would be
communicated through different channels.
As an alternative to a cookery book, an olive and olive oil book featuring IOC
member countries could be edited, featuring rich graphic material from IOC member
countries of origin and articles by experts, together with a scientific publisher in
order to stress the health aspects of consumption.
150
Advertising in Magazines
Besiodes the communication through opinion leaders, final consumers could be
reached best through classic advertising in widespread magazines. As already
mentioned, the focus of communication should mainly be informative, stressing the
benefits of consumption. Emotional aspects of the adverts design could focus on
the communication of origin and history of the products.
A possible selection of food related magazines is as follows:
Chart 107: Food related magazines in China
Quantity
Name
Photo
of issue
(Monthly)
Area of
Price
issue
(rmb)
China,
Chinese
Restaurant and Food magazine
Hong
100,000
kong,
15
Macao,
Food
all
the
people,
Food magazine
150,000
China
28
Audience:
Senior
manager,
government official, advanced
under the
consumer
sky
Cuisine magazine
Chinese
Audience:
restaurant,food industry
USA
Delicacies
Note
180,000
China
15
Audience: all the people, cuisine

fans
Cuisine
Magazine
for
restaurant
Shanghai,
260,000
Beijing,
Guangzhou
using
olives
151
Food magazine
8
Audience:
Senior
manager,
government official, white collar
Betty's
Food and Cuisine magazine

395,000
China
8
Audience: housewives between
kitchen
25-40 years old, high income

Professional
journal
(fastfood
information and analyze)
Shanghai
30,000
and
neighbou-
Audience: manufacture, industry,

40
supermarket,
government,
ring cities
FMCG
distributer,
foreign
China
guild,
exhibition,
embassy,
consultant
cuisine
company,
company,
media company
Good
Life magazine
606,000
China
20
homemak
25-35
years
old
years
old
white collar
er
Urban
Audience:
Life magazine
628,000
China
20
homemak
Audience:
25-35
white collar
er
Fashion magazine
Brand "LA" has made ads on
magazine "Elle Table "
Elle
615,200
China
152
20
Articles in Magazines
Besides classic advertising it should be a main aim to get the support of journalists
to write articles in journals and magazines regarding olives and olive oil
consumption. The great advantage of this kind of communication is, that it seems to
be neutral and does not appear to be driven by commercial interests. Therefore
these messages communicated by neutral journalists often have a better chance to
draw consumers attention.
General PR activities
As mentiones before, contacts to journalists need to be established and cared for.
Besides regular contact to the press and newsletters to journalists, press
conferences and releases might be helpful.
153
12.3.4 Consumers
Besides the mentioned advertising in order to reach final consumers, the following
activity may be recommendable as well:
Image development, image cultivation and trainings
Recommendation to work together with seminar providers due to broad seminar
offers for food.
Preparation, layout and translation of expert lectures about olives and olive oil
Supply of graphical material
Consulting about training material and lecture presentation
Contribution at advertising tactics for seminars about Mediterranean olives and

olive oil products
Supply of advertising material
Consulting about topics and kind of presentation
Consulting at selection of olives and olive oil products
Integration into lectures
154
12.3.5 Promotion Material

Image brochure in Chinese
A5 transverse, 24 pages, edition 1,000 pieces
157 g, glossy paper for cover, 140 g for inside pages, bounded
Flyer in Chinese
A4 lengthwise, 2 x folded, 6 folded pages, edition 20,000 pieces
12.3.6 Website and Newsletter

Three-year maintainance and updating of the web site and a monthly newsletter.
Cooperation with different internet provider focused on olives and olive oil,
linkage to IOC and olive / olive oil producers
Recommendation to establish a Chinese the internet presentation of related
Mediterranean olive and olive oil producers from IOC member states (with
CN-ending). The internet presentation should be created interactive.
Linkage wit 3-4 of following web pages:
1) www.oliveoillife.com/en
2) www.eoliveoil.com
3) www.oliveoil.com
4) www.olives101.com
5) www.ganlanwang.com (China Olive Web)
6) www.globalgourmet.com
7) www.foodonline.gov.cn
8) www.ccas.com.cn
Handling of e-mail inquiries
Suggestions about further cooperation
155
12.3.7 Other Activities

Political support
To boost consumption through political support and educational advertising from
the Ministry of Agriculture, National Development and Reform Commission and
other related food associations and organizations about the advantages of
consumption of olive oil in China. For example, Officials from National Development
and Reform Commission are supporting domestic demand as it responds to the
global credit crisis and will set macroeconomic policy steps should aim to expand
domestic demand.90
Other possible activities that could furthermore be added to the campaign might
include additional workshops, road shows, public lectures, cookery courses or
activities in schools.
12.3.8 Marketing Controlling

To measure the success of implemented activities it seems recommendable to
collect useful data at several events. Information gathered f.e. thorugh
questionnaires will be helpful to assess the campaigns impact and to adjust
activities if necessary.
90
www.eoliveoil.com, Report: China officials urge domestic demand boost, 2009
156
12.4
Calculation of a budget for planned activities
The activities for the promotion campaign are calculated for a three-year duration,
from 2010 to 2012. A budget for the recommended advertising and product
placement on TV and in magazines is calculated to be 200.000 Euro for each year.
However, this budget can be switched between the three years, because it seems
likely that costs for the production of advertisements and editorial short films will
mainly be incurred during the first year of the campaigns accomplishment.
157
158
159
160
161
162
12.5
Timetable of Activities
The duration of the campaign will be three years. The following timetable includes
all activities to be planned for the year 2010. To guarantee a high level of impact it is
suggested to plan comparable time slots for the years 2011 and 2012. With the
exception of the expert book and changes in the time table of exhibitions it seems
recommendable to plan the same set of activities for all three years.
In order to foster the diffusion of the campaigns messages it is suggested to plan
many of the activities with a shift to each other, in order to reach a massive
spreading of communication.
Time slot are defined in the following time table, in which the concrete dates for the
planned activities will have to be further specified.
163
164
12.6
Importers Profiles
Company
Importer
Address & comments
Contact
person
Shanghai
Importer for
Mingshen Center Apartment No. 20, Room 2003, Kaixuan
Ms. Lucy Liu,
Goodwell
MONINI olive
Road No. 3131, Shanghai, Xu Hui District
Manager of
Trading Co.,
oil from Italy
Tel: +86-21-54071788
Marketing
Fax: +86-21-64876159
Dept.
Ltd.
Email: goodwell_sh@goodwellchina.com
Turnover. 50-100 mio. RMB
Sinodis
Importer for
Donghua Science Park, Building 4, Jinzhong Road 658,
Mr. Duccio,
Food
CARAPELLI
Shanghai 200335, China www.sinodis.com/cn
Business
(Shanghai)
olive oil from
Tel: +86-21-61281820 / 1828
Development
Co., Ltd.
Italy
Fax: +86-21-33600070 / 0071
Manager
Email: jyan@sinodis.com.cn
Turnover 2008: 154 mio. RMB
Shanghai
Importer for
Rm. 7114, No. 1288, YangGao Nan Rd., Shanghai
Mr. Zhang
Pai Rui
Taris olive oil
Web:
Jie, Manager
Sheng
from Turkey
www.biz72.com/index.php?act=com/company&cid=119667
Trading Co.,
Tel: +86-21-58407253
Ltd.
Fax: +86-21-58798922
Turnover: 7-10Million RMB
Shanghai
Importer for
Kerry Oils &
Olivoila olive oil
Grains
from Italy
No 168 DongTang Rd., Pudong District, Shanghai

Web: www.shkog.com
Industrial
Tel: +86-28-50694305, 68462277
Co., Ltd.
Fax: +86-28-68467008
Ms. Han Xia,

Manager
Email: luqy@shkog.com
Turnover: 100 mio. RMB
Rm. 2106, No.760, XiZang Nan Rd., Shanghai
Mr. Lu Jia,
OLEAURUM
Web:
Manager of
olive oil from
http://detail.china.alibaba.com/company/detail/danielluksh.html
Marketing
Spain
Tel: +86-21-51019199, 51572771, 510192
Dept.
Shanghai
Importer for
ZiYuan
Trading
Co.Ltd.
Fax: +86-21- 51572770

Email: 646491887@qq.com
Turnover: 50 -100 mio. RMB
Shanghai
Importer for
A14, Building, 1255, LianHua Rd., Shanghai
Mr. Chen
MoLi Food
MOLI olive oil
Web: www.molifood.com
Rong,
Co., Ltd.
from Italy
Email: chen@molifood.com
Manager
Tel: +86-21-34135522
Fax: +86-21-34130522
Turnover: 7 - 10 mio. RMB
165
Shanghai
Importer for
King Foods
Aodi Green
Condiment
Olives from
Co., Ltd.
Rm.2404, Unit A, No.185, Zhonghua Rd., Shanghai

Web www.kingfoods.com.cn
Ms. Wang
Ping, Import
Dept.
Spain and Olive
Tel: +86-21-63301867
oils from Italy
Fax: +86-21-63301869
Email: kingfoods@kingfoods.com.cn
Gourmedis
Importer for
10F, New Long March Plaza, No. 1263, Zhenbei Road, 200333
Ms.
(China)
Natura Verdo
Shanghai, China
Jacqueline
Trading Co.,
black olives
Tel : +86-21-5283-7900
Alex, Head
Ltd
from Italy as
Fax: +86-21-5283-7901
of Sales
well as Rioba
Email: info@gourmedis.com
Green olives
from Italy
Guangzhou
Importer / Food
Youlip
dealer for
Trading
Grecian olive
Co.,Ltd.
oil
International Bank Tower, Dong Feng Xi Road, Guangzhou
Ms. Zhou
Mobile: +86-13112292402
Web: www.ebankon.com/business/3682151.html
Mobile: +86-13112292402
Tel: +86-20-38844292
Fax: +86-20-8844234
Email: yxx280@tom.com
Guangzhou
Importer / Food
Junle
dealer for
Trading Co.,
Spanish and
Ltd.
Grecian olive
oils
Huajing North Road No. 261, Guangzhou
Mr. Wei Jian
Web: www.o-home.cn
Tel: +86-20-32784990/ 61023443/88367448
Fax: +86-20-61023443
Email: gz@o-home.cn
Anyang
Manufacturer /
Laozhuang Market, Longan Anyang, Henan, 455000 China
Ms. Hu
Jingsen
Importer of
Tel: +86-372-2905589
Shihui,
Natural
different kind of
Fax: +86-372-2905589
Manager of
Products
oils and plant
Business Start: January 2005
Sales
Co., Ltd.
extractives
Department
Employees: 100
Unistone
Importer /
D, 15/F, Qiaoxiong Business Centre, 118, Yangqiao Donglu
Manager of
Olive Oil
Distributor for
Fuzhou
Sales
Developing
olive oil from
Web: www.ganlanyou.cn/company.asp
Department
Co., Ltd.
Greece
Tel: +86-591-87504231
(Nutria), Spain
Fax: +86-591-28085391
(Aceites
Business Start: 2005
Albert), Turkey
(Marbil) and
Italy (Raffaele
Rocehi)
166
Qingdao
Importer of
Room 20D, Haili Building, Binhai Garden, 10 Hong Kong,
Manager of
Aegean Sea
different kinds
Zhong Road, Qingdao
Sales
Commercial
of olive oils
Web: www.aegean-trade.cn/eng/intro.asp
Department
and Trade
Email: sdcyjob@126.com
Co., Ltd.
Tel: +86-532-66777381
Fax : +86-532-66777380
Dalian Jinyu
Importer /
Room 1116, Chem Mansion, No. 61, Renmin Road,
Trade
Foods Co.,
Exporter of
Zhongshan District, 116001 Dalian
Department
Ltd-
pine nuts, pine
Web: www.jinyufood.com
nuts oil,
Email: info@jinyufood.com
different seeds,
Tel: +86-41182803789
fresh and
Fax: +86-41182644863
dehydrated
foods (is
looking for olive
Employees: 11 - 50
oil suppliers)
Beijing Olive
Importer /
Room 804, Building 1, East Downtown, No. 1, Ciyunsi Street,
Trade
Branch
Exporter of
Chaoyang District, Beijing 100025
Department
Trading Co.,
high quality
Web: www.oliveoil.net.cn
Ltd.
olive oil and its
Tel: +86-1085912388
releveant
Fax. +86-1085912378
products.
Business Start: n.s.
Suppliers from
Spain
(Crismona,
Oleoestepa)
and Italy
(Olitalia, Xicili
S.R.L.).
Laiwu
Manufacturer /
No. 22, North Daqiao Road, 2771100 Laiwu
Hanhai
Importer of
Web: http://hanhai.win.mofcom.gov.cn
Foodstuff
Extra Virgin
Email: windsor77@yahoo.cn
Co., Ltd.
Olive Oil,
Tel: +86-6345603866
tomatoes, jam,
Fax: +86-6345603867
sauces,
different kind of
garlic, ginger.
Employees: 150 - 200
Beijing Pinli
Manufacturer /
No. 1 Building, Room 1909, Time International No. A-6,
Mr. Wang,
Food Co.,
Importer of
Shuguang Xili, Chaoyang District, 100020 Beijing
Manager,
Ltd.
Olive Oil,
Web: www.pinli.com.cn
Ms. Zhao,
different kind of
Email: pinli@pinli.com.cn
Manager
chocolate and
Tel: +86-10-58678391
Fax: +86-10-58678395
167
Ms. Windsor
canned fish

Employees: 40
Shanghai
Trader /
185 Zhonghua Road, 200010 Shanghai
Mr. Wang
King Foods
Importer for La
Web: www.kingfoods.com.cn
Ping,
Condiment
Espanola Extra
E-Mail: kingfoods@kingfoods.com.cn
Manager
Co., Ltd.
Virgin Olive Oil,
Tel: +86-21-63301868
rice, breakfast
Fax: +86-21-63301869
oatmeal, wine,
Business start: 1999
leisure food
Jiujiang Jirui
Manufacturer /
No. 90 92, Gan Tang, North Road, Jiu Jiang, 332000 Jiangxi
Trade
Import &
Importer of
Web: http://j-rui.007swz.com
Department
Export
dehydrated and
Tel: +86-792-8565296
Trade Co.,
fresh
Fax: +86-792-2193013
Ltd.
vegetable,
fresh salty and
Turnover: 5 - 7 mio. .RMB
spicy foods,
Employees: 51 - 100
grain,
mushrooms
and truffles.
Searching for
Olive Oil
supplier right
now.
Shanghai
Trader /
Room 318, No. 100, Ye Jia Zhai Road, Putuo, 200060
Mr. Wu
Kuichun
Importer for
Shanghai
Baigeng,
Industry
Spanish olive
Web: www.kuichu.com
Manager
Co., Ltd.
oils YBARRA,
Email: kuichun@kuichun.com
Carbonell,
Tel: +86-21-6299 0425
Mueloliva as
Fax: +86-21-51012046
well as sliced
black olives
from YBARRA
and Eureka.
Provide
products to
Metro,
Walmart,
Auchan, Lotus
etc
168
12.7
Marketing/PR Agencies located in China
1) Name:
Beijing Dongyuan Europe-Asia Co., Ltd.
Address:
TopLand, Building B, Shu Guang XiLi Jia 1, Chao Yang District,

Beijing, 100028
Contact person:
Mr. Jianzhong LIU, General Manager
Contact:
Tel.: +86-10-5822-1041
Fax: +86-10-5822-1049
Website:
www.beijing-dongyuan.com
Email:
info@beijing-dongyuan.com
Focus:
Beijing Dongyuan Europe-Asia Co., Ltd. is a marketing company

specialized on advertising and marketing activities for foreign food and
wine in China. The company has offices in Beijing,
Shanghai and Guangzhou and they offer their clients a comprehensive
range of public relations and food and wine marketing services that go
above and beyond what most agencies can offer.
Business start:
2000
2) Name:
Synergy Public Relations Ltd.
Address:
Jia Run Garden, Building B, Rm. 2902, 19 Guangshun South St., Chaoyang
District, Beijing 100102 China
Contact person:
Mr. Tom Minogue, President

Ms. Angel Zhong, Managing Director
Contact:
Tel.: +86-10-64775678, 6477-6492

Fax: +86-10-64776492
Website:
www.synergy-pr.com.cn
Email:
tom@synergy-pr.com.cn
angel@synergy-pr.com.cn
Focus:
A marketing communications agency specialized in food marketing across

mainland China. They offer their clients a comprehensive range of public
relations and food marketing services that go above and beyond what most
agencies can offer.
Business Start:
2006
Employees:
n.s.
169
3) Name:
Beijing Regalland Convention & Exhibition Co., Ltd.
Address:
Room No. 438 Jin Ou Building, Chao Yang District, Beijing 100029 China
Contact person:
Sales Department
Contact:
Tel.: +86-10-64416542, 6441-4996

Fax: +86-10-64412631
Website:
http:// www.regalland.com
Email:
regalland@regalland.com, regalland@163.com
Focus:
According to food enterprises demand and the industries needs, act as the
agent of domestic and overseas exhibitions, conferences, medium for
advertising and products in order to excite and enlarge the market demands.
According the clients demand designing the product and enterprise image,
advertisement plan, market investigations and more.
Business Start:
1999
Employees:
n.s.
4) Name:
Shanghai Miracle Public Relation and Event Co.,Ltd
Address:
Building 3/D, F/8, Xinghai Plaza, No.1251 Jiangning Road,

Shanghai, 200060,China
Contact person:
Mr. Gary, Project Manager
Contact:
Tel.: +86--21 62276440

Fax: +86--21 62273401
Website:
www.miraclepr.com.cn
Email:
china@miraclepr.com.cn
Focus:
Quintessence of a Master, with Acute Enterprising Will - just as their persistent

managing principle of Miracle, a professional PR company committed to
reliable service and creative development. With rich experience in planning and
public relations, they provide the most considerate professional service, the
most comprehensive planning program, and the most individualized creative
concept to meet requirements of different customers. Based on direct effect
from the on-site activities & media, they manage to further enhance the
awareness of targeted customers, and finally promote brand image and sales,
thus, to help the customers gaining competitive advantages and commercial
success gradually.
Business Start:
2005
Employees:
n.a.
170
5) Name:
Hill & Knowlton Co., Ltd.
Address:
Suite 1901, SciTech Tower, 22 Jianguomenwai Avenue, Beijing 100004
Contact person:
Mr. John L. Holden, Managing Director
Contact:
Tel.: +86-10-5861-7560
Fax: +86-10-6512-4381
Website:
www.hillandknowlton.com.cn
Email:
john.holden@hillandknowlton.com.cn
Focus:
Hill & Knowlton has been appointed Shanghai World Expo 2010's PR agency
and will provide communications services to promote a positive image of
Shanghai World Expo 2010. They supported food companies in providing
marketing services in China. Hill & Knowlton has been appointed as the official
public relations agency for the Beijing Olympics 2008 and helped to promote a
positive image of Beijing 2008. First agency appointed by the State Council
Information Office for Spokesperson and Crisis and Issues Management
Training. In 2005, Hill & Knowlton equipped over 400 spokespersons from
central and provincial governments with the skills necessary to handle future
crises.
Business Start:
1984
Employees:
Around 200 employees at Beijing Office
6) Name:
PRAP China Public Relations Consultants
Address:
Rm. 902, 1/B, New Oriental Plaza, Dongcheng District, Beijing, 100738, China
Contact person:
Mr. Wang Hao, Project Manager,
Contact:
Tel.: +86-10-8518-5208
Fax: +86-10-8518-5206
Website:
www.prap.com.cn
Email:
wanghao@prap.com.cn
Focus:
PRAP is Japans largest international public relations based in China, providing

a full range of communication services to international corporations, Chinese
joint ventures, local enterprises as well as government institutions. In the past
they supported companies from food industry to promote their products on the
Chinese market, f.e. for an Italian Olive Oil manufacturer Mighty (DUO Li).
Business Start:
1970
Employees:
230 employees
171
13 Source Index
www.olives101.com, Report: Chinas first olive harvest strikes oil, 2009

www.oliveoil.com, Report: Chinese edible oil market, 2009
www.map-of-china.org
General Plan on Developing Olive Industry in Wudu District
http://www.gsjb.com/Get/ly/20081013093800.htm
http://www.ganlanwang.com/news/zixun/200907/1212.html
Industry Standard Library of the Peoples Republic of China and BBIC
http://www.lrn.cn/criterion/AgriculturalCriterion/200708/t20070807_136864.htm
General Administration of Customs of the Peoples Republic of China and BBIC
National Bureau of Statistics of China and BBIC
General
Plan
on
Developing
Olive
Industry
in
Sichuan,
http://news.sohu.com/20070905/n251970511.shtml
www.labbrand.com, Reports: Why does your company need a Chinese Brand
name, 01/09/2009 & Brand Translation: Packaging Design Differences between
China and the West, 20/04/2009
www.echeat.com, A Study of Brand name translation in China, Nov. 2006
www.globalgourmet.com, Report: Olive Oil history
www.internationaloliveoil.org, International Olive Council, Members, 2009
www.oliveoillife.com, Report: Olive oil, 2009
http://www.oliveoilquotation.com/default.aspx?MainId=1&SubId=37, Olive Oil
quotation, Olive Oil PDO, 2009
http://de.wikipedia.org/wiki/Denominazione_d%27Origine_Protetta
www.aoc-igp.ch/
http://www.oliveoilquotation.com/default.aspx?MainId=1&SubId=37, Olive Oil
quotation, Olive Oil PDO, 2009
www.eoliveoil.com, Report: Chinese edible oil market, 2009
www.eoliveoil.com, Report: News about Chinese market
http://www.regalland.com/eoliveoil/oliveoilinfoinchina.htm
http://english.peopledaily.com.cn/.../eng20011210_86295.shtml, Report: Largest
olive cultivation base formed in West China, 9th of July, 2009
http://www.olives101.com/2006/05/24/chinas-first-olive-harvest-strikes-oil/,
Report: Chinas first olive harvest strikes oil, 24th of May, 2008
www.greek-cretan-oliveoil.com, Report: Greek Olive Oil
http://ccn.mofcom.gov.cn/spbg/show.php?id=8327&ids
Beijing Bureau of Quality and Technical Supervision, www.bjtsb.gov.cn
Shanghai Food and Drug Administration,
http://www.shfda.gov.cn/gb/node2/node3/index.html)
www.pressemeldungen.at, report: Industry self-regulation is key to China food
safety success, 1st of July, 2009
172
www.chinacsr.com/en, report: Chinas food safety law begins now, 1st of June,
2009
http://www.gov.cn/fwxx/sh/2009-08/31/content_1405460.htm and
www.hd315.gov.cn, Beijing Administration for Industry and Commerce
www.china-customs.com, August 2009
www.customs.gov.cn, China customs
www.stats.gov.cn, National Bureau of Statistics in China, 09/2007
www.eoliveoil.com, 2009
www.oliveoilquotation.com, Report: Production cost and market prices, 2009
www.citymayors.com, Report: Currency movements main factor in deciding
ranking of most expensive cities in the world, 07.07.2009
http://www.paulnoll.com/China/Culture/commerce-cost-living.html, 06.07.2009
Living Report of China, China National Conditions Research Association and
www.eoliveoil.com, Report: Chinese people consumption habit, 2009
www.oliveoillife.com/en, Report: The colony of olive oil consumption, 2009
http://www.regalland.com/eoliveoil/index1.html, Report: The Wide Prospect of
Chinas Market, 2009
http://www.iloveindia.com/nutrition/organic-food/index.html, Report: Organic
Food Facts, 2009
http://www.aboutorganics.co.uk/organic_food_drink/organic-olive-oil.htm,
Report: Organic olive oil, 2009
www.oliveoillife.com/en, Olive oils health benefits, 6th of April, 2008
http://www.regalland.com/eoliveoil/index1.html, Report: China will become the
last and largest consumption country, 2009
Interview with Beijing Regalland Convention & Exhibition Co., Ltd., Sept. 2009
www.tis-gdv.de/tis_e/ware/oele/oliven/oliven.htm#container, Transport
Information Service
www.labbrand.com, Reports: Why does your company need a Chinese Brand
name, 01/09/2009 & Brand Translation: Packaging Design Differences between
China and the West, 20/04/2009
www.echeat.com, A Study of Brand name translation in China, Nov. 2006
www.oliveoillife.com/en, The distribution of olive oil in Chinas market
China Customs
China Entry-Exit Inspection and Quarantine Bureau
http://www.cixi.gov.cn/art/2009/9/9/art_14726_332402.html
Food and agriculture alert, Hogan & Hartson LLP, 24th of June, 2009
Import tax cuts to relieve pressure on price rises, China Daily by Xin Zhiming,
173
30.05.2008
China briefing, www.china-briefing.com, New food safety law, 9th of June, 2009
http://www.oliveoillife.com/en/oliveoil/html/65.html
International Olive Council, Olive Products Market Report Summary, No. 29 - 33,
2008 and 2009
The Committee of China International Olive Oil Competition, 2009 Olive Oil
Competition results
www.eoliveoil.com, Report: China officials urge domestic demand boost, 2009
China Statistical Yearbook 2008
Dezan Shira & Associates, Survey: Cost of Living and Mandatory Welfare
Payment, Chart for 2009, 03/2009
National Bureau of Statistics of China, Database of olive producers in China,
2009
International Olive Council, World table olive figures, Table No. 1 Production,
2009
International Olive Council, World table olive figures, Table No. 4 Consumption,
2009
International Olive Council, World olive oil figures, Table No. 1 Production, 2009
International Olive Council, World olive oil figures, Table No. 4 Consumption,
2009
China Custom Online Database, www.customs.gov.cn/publish/portal10/
2009 FMCG Guide, 08/2009
China Briefing Magazine, March edition 2009, Report: Cost of Living
China View:
http://news.xinhuanet.com/english/2008-06/11/content_8345423.htm and
http://news.xinhuanet.com/english/2009-02/10/content_10793345.htm
Groeger, L. : Soziale Epidemien, Cologne 2008
Insights China by McKinsey 2008 Consumer Survey
ISTA Mielke: Oil World Annual 2009, Hamburg 2009
Karle, R. : Zwischen Tradition und Konsum, in: HORIZONT - Ztg. fr Marketing,
Werbung und Medien, H. 26, 2007
Mandler, G.: The Structure of Value: Accounting for Taste, in: Affect and
cognition, ed. by S. M. Clark / S. T. Fiske, Hillsdale 1982, S. 3-36
Theis, B. : Im Osten viel Neues Vom Wandel des Konsumverhaltens
Winston, A. S. / Cupchick, G. C.: The Evaluation of High Art and Popular Art by
Naive and Experienced Viewers, in: Visual Arts Research, Nr. 18, 1992, S. 1-14
174
ANNEXES
175
ANNEX I: Brand Names of Olive Oil and Table Olives, distributed in

China
I) Table Olives
1) In Beijing
1) Shuang Xiong Olives, in Chinese: (Translation: Magnificent
and powerful)
2) De Sheng Olives, in Chinese: (Translation: Development with
the real quality and morality)
3) Baiweilin Yanjin (Savory) Olives, in Chinese: (Translation:
Natural products with hundreds of tastes, in this case: savory)
4) Baiweilin Baked Olives, in Chinese: (Translation: Natural
products with hundreds of tastes, in this case: baked
5) Hangzhou Yuhan Yimin Liquorice Olives, in Chinese:
(Translation: Hangzhou is a city, Yimin means something can be beneficial
health)
6) Peng Sheng Olives, in Chinese: (Translation: Flourish and
vigorous)
7) San Jing Olives, in Chinese: (Phonetic translation, but it
sounds like Japanese food)
Pu Xiang Olives, in Chinese: (Translation: Pu means common,
which can be interpreted as something is easily accepted by people; Xiang
expresses savory and fragrance)
8) Chaoshan Olives, in Chinese: (Translation: Chaoshan is a city,
located at the junction of Guangdong and Fujian, which is a good distribution
center.)
9) YBARRA Olives, in Chinese: (YI BA LI) (Phonetic translation)
10) Fuhua Savory Olives, in Chinese: (Translation: Fu = richness,
wealthy, Hua = China)
11) Jiamei Olives, in Chinese: (Translation: Jia = good & superior, Mei
176
= kind of fruit, such as a plum, prune and olives etc.)

2) In Shanghai
1) A Ji Ichiban, in Chinese: (YOU ZHI LIANG PIN ) (Transliteration:
best quality in the world)
2) Tramier, in Chinese: no translation
3) Natura Verdo, in Chinese: no translation
4) Rioba, in Chinese: (LI AO BA) (Phonetic translation)
5) Eureka, in Chinese: (YOU LI KA) (Phonetic translation)
6) YBARRA, in Chinese: (YI BA LI) (Phonetic translation)
7) Bai Wei Lin, in Chinese: (Translation: Natural products with hundreds
of tastes)
8) Tian Wo, in Chinese: (Chinese trademark, no meaning)
9) Fragata, in Chinese: (FAN CHUAN) (Translation: sail boat)
10) Metro, in Chinese: (MAI DE LONG) (Mai = cereals, De = Germany,
Long = dracon)
3) In Guangzhou
1) Jiabao Jiuzhi Olive (Canton Fruits), in Chinese: (Chinese
trademark, translation: excellent treasure)
2) Zhenqiwei Jiuzhi Olive (Canton Fruits), in Chinese:
(Chinese trademark, translation: precious, special and tasty)
3) New Too Salty Olive, in Chinese: (Chinese trademark,
transliteration: outstanding, culinary skill)
4) Yimin Liquorice Olive, in Chinese: (Chinese trademark,
translation: Yimin means something can be beneficial health)
5) Yimin Healthy Olive, in Chinese: (Chinese trademark, translation:
Yimin means something can be beneficial health)
6) Meiyuan Liquorice Olive, in Chinese: (Chinese trademark,
Meiyuan is a place name)
7) Guo Wei Ping Sheng Olive, in Chinese: (Chinese trademark,
177
translation: floral-fruity is very special)

8) Jiuzhi Olive (Canton Fruits), in Chinese: (Chinese trademark,
no meaning)
9) Huaweiheng Healthy Olive, in Chinese: (Chinese trademark,
translation: big shot of Chinese flavour)
10) Huaweiheng Salty Olive, in Chinese: (Chinese trademark,
translation: big shot of Chinese flavour, in this case: salty)
Chart 108: Most famous olive brands
Beijing
Baiweilin Yanjin (Savory)

Olives
Baiweilin Baked Olives
Hangzhou Yuhan Yimin
Liquorice Olives
Jiamei Olives
Shanghai
Guangzhou
A Ji Ichiban
Jiabao Jiuzhi Olive
Bai Wei Lin

Tian Wo
Zhenqiwei Jiuzhi Olive

New Too Salty Olive
Yimin Liquorice Olive

Huaweiheng
Healthy
Olive
Huaweiheng Salty Olive
Source: 2009 FMCG Guide, 08/2009 and own researches
Above mentioned brands are very famous and already exist since many years on
the Chinese market. Thereof Jiabao, Hangzhou Yuhan Yimin and A Ji Ichiban
enjoying the best reputation with very good meanings.
178
II) Olive Oil

1) Brands in Beijing
Olivoila (Italy), in Chinese: (OU LI WEI LAN) (Phonetic translation,

sounds very beautiful)
Hojiblanca (Spain), in Chinese: (BAI YE) (Translation: White Leaf)
Mighty (Italy), in Chinese: (DUO LI) (Translation: More power)
Argosy (Italy), in Chinese: (A GEN SEN) (Phonetic translation)
Lu Hua (Spain), in Chinese: (Transliteration, LU = abbreviation of a

Chinese province, Hua = flower)
YBARRA (Spain), in Chinese: (YI BA LI) (Phonetic translation)
Betis (Spain), in Chinese: (BEI TI SI) (Phonetic translation)
Carbonell (Spain), in Chinese: (KA BO NA TE) (Phonetic

translation)
Iminos (Greece), in Chinese: (MI NUO SI TE) (Phonetic

translation)
Minawa (Greece), in Chinese: (MI NA WA) (Phonetic translation)
Hua Yuan Life (China), in Chinese: (Translation: Hua = China,

Yuan = source of life)
Muel (Spain), in Chinese: (PIN LI) (Translation: Pin = Quality, Li = refer

to benefits to people, health etc.)
Carapelli (Italy), in Chinese: (KA LA PEI LI) (Phonetic translation)
Cordoliva (Spain), in Chinese: (GUO ER) (Translation: Cor = GUO ER

= fruits)
Agric (Greece), in Chinese: (A GE LI SI) (Phonetic translation)
Fragata (Spain), in Chinese: (FAN CHUAN) (Translation: Sail boat)
Echioliva (Spain), in Chinese: (AI QI LI) (Phonetic translation)
Carbonelli (Italy), in Chinese: (BO WEI LI) (Phonetic translation)

179
Pietro Coricelli (Italy), in Chinese: (JIN CHENG BAO) (Translation:

Golden Castle)
Sitia (Spain), in Chinese: (SI TI YA) (Phonetic translation)
Luglio (Greece), in Chinese: (WEI LI AO) (Phonetic translation)
Grifo (Italy), in Chinese: (GE LIE FO) (Phonetic translation)
Spartacold (Greece), in Chinese: (JIN SI BA DA) (Translation: SI

BA DA refers to Sparta, an ancient city in southern Greece. Jin means gold,
because greek olive oil has the best quality in the world.)
Opinion (Spain), in Chinese: (OU PIN) (Translation: OU = Europe, PIN

= product, character, quality)
Musa (Spain), in Chinese: (MU SHI) (Translation: MUSA is Spanish. In

English it is called muse, which is one of the nine goddesses, who
encouraged poetry, music and other branches of art and literature. In
Chinese it is phonetic translated, which implies the name. Shi is usually
called as a surname in Chinese too.)
180
2)
Brands in Shanghai
Borges (Spain), in Chinese: (BO JUE) (Translation: Earl)
Monini (Italy), in Chinese: (MO NI NI) (Phonetic translation)
DUC (Spain), in Chinese: (DU KE) (Phonetic translation)
Terra Delyssa (Tunis), in Chinese:
(DE LI SHA) (Phonetic
translation)
Oillio (Spain), in Chinese: (AO LI YOU) (Phonetic translation)
Muel (Spain), in Chinese: (PIN LI) (Translation: Pin = Quality, Li = refer

to benefits to people, health etc.)
Oleaurum (Spain), in Chinese: (AO LI FU) (Phonetic translation)
Taris (Turkey), in Chinese: (DA LI) (Translation: achieve goals, li =
advantageous)
Amarilla de Ronda LA (Spain), in Chinese: No translation
Carbonell (Spain), in Chinese: (KA BO NA TE) (Phonetic

translation)
Costa dor (Italy), in Chinese: (GAN DA) (Phonetic translation)
YBARRA (Spain), in Chinese: (YI BA LI) (Phonetic translation)
Arbolon (Spain), in Chinese: (DA SHU) (Translation: big tree)

Villa Antica (Italy), in Chinese: (GAN LAN SHI JIA) (Translation:

since generations olives will be produced)
Agric (Greece), in Chinese: (A GE LI SI) (Phonetic translation)
Carapelli (Italy), in Chinese: (KA LA PEI LI) (Phonetic translation)
Mighty (Italy), in Chinese: (DUO LI) (Translation: More power)

181
Jin Hai Shi (Spain), in Chinese: (Chinese trademark, translation:

Golden sea lion)
Jin Long Yu (China), in Chinese: (Chinese trademark, translation:

Golden Fish)
Zhu ZhuLe (China), in Chinese: (Translation: Happy of cooking)
Berio (Italy), in Chinese: (BAI YI) (Translation: 101)
Natura verdo, in Chinese: No translation
Basso (Italy), in Chinese: (BA SHUO) (Phonetic translation)
La Espanola (Spain), in Chinese: (LAI RUI) (Transliteration: Lai = field,

Rui = lucky)
Pietro Coricelli (Italy), in Chinese: (JIN CHENG BAO) (Translation:

Golden Castle)
Betis (Spain), in Chinese: (BEI TI SI) (Phonetic translation)
Fragata (Spain), in Chinese: (FAN CHUAN) (Translation: Sail boat)
Agir Bio (France, produced by Carrefour): in Chinese: (JIA LE FU)

(Translation: Jia = family, Le = amused, Fu = happy)
Huang Pin (China), in Chinese: (Chinese trademark, translation:

Huang = emperor, Pin = product, quality, character)
3) Brands in Guangzhou

Mighty (Italy), in Chinese: (DUO LI) (Translation: More powerful)
San Guiliano Alghero (Italy), No translation
Knife Brand (Spain), in Chinese: (Cantonese transliteration. The name

sounds very cute.)
Hojiblanca (Spain), in Chinese: (BAI YE) (Translation: White leaf)

Olive - Cooking Olive Oil (Greece), in Chinese: (OU LI

182
YA) (Chinese trademark, phonetic translation)
Uni-President Golden Age (Taiwan, ROC), in Chinese:

(TONG YI JIN SI NIAN HUA) (Translation: Golden age)
Changqingshu (Spain), in Chinese: (Translation: evergreen tree)
Arbolon (Spain), in Chinese: (DA SHU) (Translation: big tree)
Jipuyuan (Taiwan, ROC), in Chinese: (JIE PU YUAN) (Translation:

Jie = happy, pu = grapes, yuan = garden)
Chart 109: Most famous Olive Oil brands
Beijing
Muel
Olivoila
Mighty
Lu Hua
Shanghai
Olivoila
Mighty
Muel
Lu Hua
YBARRA
Carapelli
Agric
La Espanola
Basso
Guangzhou
Mighty
Olivoila
YBARRA
Lu Hua
Oleaurum
Source: 2009 FMCG Guide, 08/2009
Above mentioned brands are very famous and already exist since many years on
the Chinese market. The most famous brands are Olivoila, Mighty, Muel, Lu Hua
and YBARRA enjoying the best reputation for high quality with many advertisement
in food magazines.
183
ANNEX II: Packaging and packing sizes

I) Olive Oil
1) In Beijing
In the supermarkets Carrefour, Marrymart, WFJ Yokado and Lotus following
packagings and packing sizes of olive oil are available:
a) Packaging
The olive oil will be mainly presented glass bottles in different sizes. Rectangular Tin
Cans will be used for bigger sizes:

Glass bottles (250 ml, 500 ml, 700 ml, 750 ml, 1 l)
Plastic bottles (500 ml, 1 l )
Carton Box, Giftbox (200 ml, 500 ml and 750 ml incl. 2 bottles)
Rectangular Tin Cans (1 l, 3 l, 4 l)
The typical colour of the glass bottles and labels are from light till dark green and
sometimes yellow/white. Green and dark Olives will and olive trees be showed on
nearly each label too, for a better product recognition and to convince the customer,
that is a product made of real & pure olives. The tin cans protecting the olive oil
against heat and light and are easier to carry.
b) Packing Sizes
Chart 110: Olive Oil packing sizes in Beijing
Extra Virgin
Extra Virgin
Extra Virgin +
Olive Oil
& Pure Olive
Pomace Olive
Oil
Oil
250 ml
250 ml
500 ml
500 ml
700 ml
750 ml
750 ml
1l
1l
1l
3l
4l
2) In Shanghai
In the supermarkets Cityshop, TESCO, Metro and Carrefour following packagings
and packing sizes of olive oil are available:
a) Packaging
The olive oil will be mainly presented glass bottles in different sizes. Plastic and
metal bottles will be used for bigger sizes.
184

Glass bottles (250 ml, 500 ml, 750 ml, 1 l)

Plastic bottles (1,8 l, 2 l, 2,5 l, 5 l)
Metal Box (250 ml, 500 ml, 2 l, 3 l, 3,785 l, 4 l, 5 l)
Carton Box, Giftbox (500 ml, 750 ml, 1 l * 2 or 3 bottles)
Rectangular Tin Cans (1 l)
sometimes yellow/white. Green and dark Olives will be showed on nearly each label
too, for a better product recognition and to convince the customer, that is a product
made of real & pure olives. The tin cans protecting the olive oil against heat and light
and are easier to carry.
b) Packing Sizes
Chart 111: Olive Oil packing sizes in Shanghai
Extra Virgin
Pure Olive
Pomace Olive
Extra Light
Sunflower & Extra Virgin
Olive Oil
Oil
Oil
Olive Oil
Olive blended Oil
250 ml
250 ml
500 ml
500 ml
500 ml
750 ml
750 ml
750 ml
1l
1l
1l
1l
1,8 l
2l
3l
3l
2l
3l
4l
2,5 l
5l
5l
5l
5l
3) In Guangzhou
In the supermarkets Parkn Shop, Carrefour, Trust Mart and Vanguard following
packagings and packing sizes of olive oil are available:
a) Packaging
The olive oil will be mainly presented in glass bottles in different sizes. Plastic
bottles and rectangular tin cans will be used for bigger sizes.

Glass bottles (250 ml, 500 ml, 700 ml, 750 ml, 1 l)
Plastic bottle (1,5 l, 2 l)
Rectangular Tin Cans (3 l)
sometimes yellow/white, like the Hojiblanca-Olive oil shows. Green and dark Olives
will be showed on nearly each label too, for a better product recognition and to
convince the customer, that is a product made of real & pure olives. The tin cans
protecting the olive oil against heat and light.
185
b) Packing sizes
Chart 112: Olive Oil packing sizes in Guangzhou
Extra Virgin
Pure Olive
Virgin Olive
Olive oil for
Sunflower & Extra Virgin
Olive Oil
Oil
Oil
cooking
Olive blended Oil
250 ml
500 ml
500 ml
500 ml
700 ml
750 ml
750 ml
750 ml
1l
1,5 l
2l
3l
3l
Packing and offering trends

The Chinese customers prefer foreign styles packaging based on our investigations.
According the results of the store checks the promotion of olive oil is still too less.
Only a few offering their products with special billboards, like the Italian brand
Olivoila. At the supermarkets is no possibility for Chinese customer to test olive oil,
when walking through the shelves.
The principle of packing, transportation (ship, truck and railroad) and storage is to
keep the olive oil liquid and yellow-coloured.
1. Quality / Duration of storage:
The acid value of an oil may be used as a measure of quality. However, the acid
value of the oil must not be too high, as this denotes an excessively high content of
free fatty acids, which causes the oil to turn sour. Discoloration may also occur.
Olive oil should have an acid value of at most 2.0%. Oils and fats spoil by readily
becoming rancid. Rancidity is promoted by light, atmospheric oxygen and moisture
and leads to changes in odor and taste. Thus, the tanks and barrels must be filled
as full as possible, taking into consideration the coefficient of cubic expansion, so
that as little ullage space as possible is left above the cargo.
Do not load rancid oil, since it does not meet quality requirements.
Do not accept for loading olive oil contaminated by ferrous and rust particles
or by seawater.
Chart 113: Maximum duration of storage
Temperature
15C (optimum)
not too cool
Maximum duration of storage

4 months
2-3 years
2. Transportation (ship, truck, railroad):

During sea transport the olive oil is mainly transported in tanks, and only rarely in
186
barrels. The olive oil should be transported in time in order to keep them in good
quality.
a) Temperature
The solidification temperature is of considerable significance in the transport of fatty
oils and fats. They must remain liquid during loading, during the voyage and during
unloading. At 10 degree Celsius, the oil separates. If the temperature falls to 6
degree Celsius, olive oil assumes a semiliquid consistency, with 50% of the oil
precipitating out. At 0 degree Celsius, olive oil is buttery in consistency.
Favorable travel temperature is 15 degree Celsius and favorable pumping
temperature is 20 degree Celsius.
b) Insolation
To avoid getting rancid the olive oil must be transported and stored in opaque
packaging to avoid insolation. Due to light influence even in supermarkets the
quality of olive oil can be lost. Nowadays, high quality olive oils are wrapped in
cardboxes or in opaque bottles or cans already.
c) Humidity / Moisture
Fats and fatty oils are insoluble in water. However, contact with water may give rise
to soluble lower fatty acids and glycerol, which cause rancidity together with
changes in color (yellow to brown), odor and taste as well as gelling and thickening.
For this reason, the tanks must be absolutely dry after cleaning.91
91
www.tis-gdv.de/tis_e/ware/oele/oliven/oliven.htm#container, Transport Information Service
187
II) Table Olives

1) Beijing
In 4 supermarkets in Shanghai, like Carrefour, Marrymart, WFJ Yokado and Lotus,
following packaging and packing sizes of olives are available:
a) Packaging
The olives are presented in following kinds of packaging:
Plastic bottle
Glass bottle
Small plastic box
b) Packing Sizes
Chart 114: Packing sizes in Beijing

Plastic bottle
Glass bottle
Plastic box
60 g
115 g
80 g
108 g
160 g
120 g
180 g
138 g
240 g
160 g
450 g
180 g
220 g
235 g
250 g
380 g
450 g
2) Shanghai
In 3 supermarkets in Shanghai, like Cityshop, Metro and Carrefour, following
packaging and packing sizes of olives are available:
a) Packaging
The olives are presented in following kinds of packaging:

Plastic bag
Plastic bottle
Glass bottle
Metal bottle
Cans
188
b) Packing Sizes
Chart 115: Packing sizes in Shanghai
Plastic bag
Plastic bottle
Glass bottle
Metal Bottle
Can
120 g
60 g *6 bottles
140 g
2,9 kg
150 g
350 g
210 g
160 g
3 kg
235 g
235 g
240 g
350 g
370 g
780 g
1 kg
3) Guangzhou
In 3 supermarkets in Guangzhou, like Parkn Shop, Carrefour and Vanguard,
following packaging and packing sizes of olives are available:
a) Packaging
The green olives are presented in small plastic bags, plastic bottles and some are
available through loose packaging:
Plastic bag
Plastic bottle
Loose packaging, sold by weight
The packaging is Chinese style, only Chinese characters and without photos of
olives. The presentation is general in green according the content.
b) Packing sizes
Chart 116: Packing sizes in Guangzhou

Plastic bag
Plastic bottle
Loose packaging (sold by weight)
95 g
110 g
0,3 -0,35 kg / 27,80 RMB/Kg
108 g
160 g
138 g
200 g
150 g
300 g
189
Packing and offering trends

The principle of packing, transportation and storage is to keep the olives stay good.
1. Packing: First all of, pick up the impurity mixing in the fresh fruit. And then put the
fruits in the ventilate containers like large woven baskets and plastic boxes where
the fruits wont be damaged.
2. Transportation: The fruits should be transported in time in order to keep them
from mildew and rot.
3. Storage: The places used to store the fresh fruits should be clean and far away
from the goods with unusual odor in order to prevent them from mildew and rot.
a) The fresh olives can be spread on the land and cement floor or bamboo curtain
and reed curtain which are ventilate, shady and dry. The advisable thickness of the
fruit is 10 cm. The fruits should be regularly flipped in order to prevent the fruits from
going bad.
b) The fresh olives for olive oil can be dipped in the solution containing 3% salt and
0.03% citric acid. And the preservation period is less than 1 month.
c)The fresh olives for olive oil can be put in the cool water pool with the circulating
water equipment. The water temperature should maintain at 20 degree Celsius and
the storage time should be less than 1 month.
190
ANNEX III: Price Ranges of Table Olives and Olive Oil distributed in
China
I) Table Olives
1) Price range of olives in Beijing
In following supermarkets in Beijing Store Checks were accomplished:
Chart 117: Stores presenting olive products in Beijing

Name of store
Address of store outlet

No.15 Fangchengyuan, Beijing
1. Carrefour
Carrefour is the biggest foreign-funded
supermarket in Beijing.
No. 2 of world wide operating

supermarket groups
First store opening in China 1995
Sales incl. tax in million of Euros 3,464
Expansion 10.1 %
Network of stores 410
Sales in 2008 rose by 6.9 % (3.3 %

like-for-like basis)
Local origin products 95 %
2. Marrymart
Zone C, Bairong Shopping mall, South 3rd Ring
Marrymart is a Chinese--owned enterprises,
Road, Chongwen District, Beijing
founded in 1996. It's a certain large-scale

comprehensive supermarket in Beijing.
Best regional market in Beijing
36 supermarkets in China

No.1, Jinsongnan Road, Chaoyang District, Beijing
3. WFJ Yokado
WFJ YOKADO is a Chinese-Japanese Joint
Venture company, founded in 2004. It's a
well-known supermarket in relatively large scale
and rigorous management system.
First store opening in 2004
At the moment only one store in Beijing
Wide range of local and foreign

products
4. Lotus
No.10, West 3rd Ring Road, Fengtai District,
Lotus is a large scale Joint Venture shopping
Beijing
mall in Beijing which is the subsidiary of Chia Tai

group, set up in 1997. Chia Tai is a multinational
191
corporation founded by a Tai.
Sales incl. tax 135 million
20,000 employees
First store opening in 1997
76 supermarkets
About 30,000 customers/day
All the presented olives in above mentioned supermarkets are mainly from China,
just only one offer is from Spain (Ybarra). The offered olives are green and black
pickled olives in different packaging sizes.
Chart 118: Prices for some olive products in Beijing

Green/Black
Distributor (D)/
Price range
Product brands
Olives
Importer (I)
Green Pickled
Olives
138 g
10.00 RMB
Fuhua Yanjin (=Savory) Olives (China)
Fuhua Food Co., Ltd. (D)
160 g
10.80 RMB
HZ Yuhan Yimin Liquorice Olive (China)
Yimin Food Co., Ltd. (D)
240 g
26.30 RMB
YBARRA Olives (Spain)
Beijing Pinli Food Co., Ltd. (I)
250 g
11.50 RMB (Carrefour)
Baiweilin Yanjin Olives (China)
Shanghai Baiweilin Food Co., Ltd. (D) /

Xinghua Food Co., Ltd. (D)
250 g
9.20 RMB (Lotus)
Baiweilin Yanjin Olives (China)
Shanghai Baiweilin Food Co., Ltd. (D) /

Black Pickled
Olives
60 g
1.90 RMB
Puxiang Olives (China)
China Shantou Pu Xiang (D)
80 g
9.60 RMB
Jiamei Zhenzhi Olives (China)
Jiaye Food Co., Ltd. (D)
108 g
3.00 RMB
Shuang Xiong Olives(China)
HK Double Heroes Int. Industrial Ltd. (D)
120 g
2.90 RMB
Chaoshan Olives (China)
Guangdong Chaoshan Food (D)
160 g
4.99 RMB
San Jing Olives (China)
Sanjing Food Co., Ltd. (D)
180 g
5.90 RMB
Peng Sheng Olives (China)
Guangdong Peng Sheng Co., Ltd. (D)
220 g
4.99 RMB (Marrymart)
Shuang Xiong Olives (China)
220 g
8.60 RMB (WFJ Yokado)
220 g
8.20 RMB (Lotus)
235 g
13.00 RMB
Baiweilin Baked Olives (China)
235 g
10.05 RMB
Baiweilin Baked Olives (China)
240 g
7.20 RMB
Peng Sheng Olives (China)
Guangdong Peng Sheng Co., Ltd. (D)
380 g
9.90 RMB (Carrefour)
De Sheng Olives (China)
Guangdong Shantou De Sheng Food

Co., Ltd. (D)
380 g
9.20 RMB (Lotus)

Co., Ltd. (D)
450 g
12.80 RMB

Co., Ltd. (D)
192
The prices for green and black pickled olives at Carrefour and WFJ Yokado are a
little higher than at the supermarkets Marrymart and Lotus, f.e. Shuang Xiong
Olives will be offered with 3 different prices in 3 different supermarkets.
193
2) Price range of olives in Shanghai

In following supermarkets in Shanghai Store Checks were accomplished:
Chart 119: Stores presenting olive products in Shanghai

Name of store
1. Cityshop

No.160, XinHua Rd, Shanghai
Not very large stores, but very popular for

foreigners and high incoming people, almost
above 95% products are imported products
2,000 employees
City Mart is the most dynamic and

fashionable supermarket dealing with
imported food
First store opening 1995
10 supermarkets in Beijing & Shanghai
80 % foreign products
2. Metro
No.1425 Zhen Bei Road, Shanghai
The unique German style supermarket in

Shanghai. Very popular for group buying.
Sales incl. tax 1,052,000,000
8300 employees
38 supermarkets
Totally 3 million customers per day
3. TESCO
No.777 Wu Yi Road, Shanghai
TESCO and Carrefour are the biggest foreign

supermarkets in Shanghai. In Shanghai there
No.1688 Tong Chuan Road, Shanghai
are 16 TESCO supermarkets.

Sales incl. tax 90,000,000,000 RMB
17,600 employees
Main market of the TESCO group is UK
58 supermarkets
30,000 customers per week
More than 1,000 local suppliers
60 % local origin products
4. Carrefour
No. 268 North Shuicheng Road, Shanghai
Carrefour and TESCO are the biggest foreign

supermarkets in Shanghai. In Shanghai there
No.1500 Xin Cun Road, Shanghai
are 11 Carrefour hypermarkets.


supermarket groups
194
Expansion 10.1 %
Sales in 2008 rose by 6.9 % (3.3 %

All the presented olives in above mentioned supermarkets are from Spain, Italy,
France and China. The offered olives are all kinds of green and black olives in
different packaging sizes.
Chart 120: Prices for some olive products in Shanghai

Green/Black
Distributor (D)/
Price range
Product brands
Olives
Importer (I)
Green Liquorice Olive

120 g
9.8 RMB
A Ji Ichiban (China)
Aji Ichiban Co., Ltd. (D)
350 g
15.99 RMB
Metro (China)
Shanghai FuQiHua Industrial Co., Ltd. (D)
370 g
23.99 RMB
Tramier (France)
Gourmedis (China) Trading Co., Ltd. (I)
240 g
14.99 RMB
Rioba (Italy)
780 g
36.99 RMB
YBARRA (Spain)
Beijing PinLi Food Co., Ltd. (I) /
Green Olives
Green Non-Stone Olive
Shanghai KuiChun Industrial Co., Ltd. (I)

1 kg
79.99 RMB
YBARRA (Spain)

Green with filling

350 g
16.99 RMB
YBARRA (Spain)

780 g
38.99 RMB
YBARRA (Spain)

Green Acid Olive

235 g
16.99 RMB
Fragata (Spain)
Shanghai SanChang Development Co.,

Ltd. (I)
Green Plain Manzanilla

240 g
12.30 RMB
YBARRA (Spain)

Green Olive with Pepper

240 g
20.10 RMB
YBARRA (Spain)

Black Non-Stone Olive

140 g
11.50 RMB
Fragata (Spain)
160 g
27.99 RMB
Natura Verdo (Italy)
240 g
14.99 RMB
Fragata (Spain)
Ltd. (I)
Ltd. (I)
195
3 kg
86.99 RMB
YBARRA (Spain)

Black Sliced Olives

2,9 kg
69.99 RMB
Eureka (Spain)
235 g
9.75 RMB
Bai Wei Lin (China)
Shanghai BaiWeiLin Industrial Co., Ltd. (D)
350 g
10.99 RMB
Bai Wei Lin (China)
210 g
9.99 RMB
Tian Wo (China)
Shanghai TianWo Food Co., Ltd. (D)
235 g
11.70 RMB
Bai Wei Lin (China)
Black Yanjin
(= Savory) Olive
Black Olives
196
3) Price range of olives in Guangzhou

In following supermarkets in Guangzhou Store Checks were accomplished. Only at
the Trust Mart supermarket there were no any olives presented for sale:
Chart 121: Stores presenting olive products in Guangzhou

Name of store
1. Parknshop
No.228, Grandview Mall, Tianhe Road,
Parknshop and Carrefour are the biggest
Guangzhou
foreign-funded supermarkets in Guangzhou. It is

located in a shopping centre in the city.

9,000 employees
Parknshop is the leading supermarket
chain in Hong Kong
50 supermarkets
No.3, Yuan Cun Heng Long Road, Guangzhou
2. Carrefour
Carrefour and Parknshop are the biggest
foreign-funded supermarkets in Guangzhou. It is
No.40, Wanguo Plaza, Qian Jin Road,
located in residential area.
Guangzhou

supermarket groups
Expansion 10.1 %
Sales in 2008 rose by 6.9 % (3.3 %


No.1, Long Kou Xi Road, Guangzhou
3. Trust Mart
Trust Mart and Vanguard are the biggest local
supermarkets in Guangzhou. It is located in
No.188, Tang Xia Zhongshan Da Dao,
residential area.
Guangzhou

200 employees
Trust Mart is a foreign-invested
enterprise approved by the Ministry of
Commerce
32 supermarkets
No.33, Tianhe Nan Er Road, Guangzhou
4. Vanguard
Vanguard and Trust market are the biggest local
supermarkets in Guangzhou. Vanguard is
located in a shopping centre in the city.
Sales incl. tax 63,800,000,000 RMB
150,000 employees
197
Vanguard is a state-holding enterprise
2698 supermarkets
All olives are originated from China. There are no foreign olives in offer. The only
Chinese offered olives are green, dried, not pickled and pre-packaged in different
sizes (95 300 g). Black olives in Southern China are very seldom and the Chinese
are not used to it. Chinese from southern regions prefer to consume green olives.
General Ingredients: Olive, Sugar, Salt, Liquorice, Food additives (Molasses
pigment, Saccharin Sodium, Stivia sugar, citric acid, Sodium benzene, Potassium
sorbate, Lemon yellow)
Chart 122: Prices for some olive products in Guangzhou

Green dried
Distributor (D)/
Price range
Product brands
Olives
95 g
108 g
Importer (I)
2.90 3.59 RMB
Jiabao Jiuzji Olive (Canton Fruits),
Guangdong Jiabao Group Co., Ltd.
(Average price level: 3.20 RMB)
(China)
(D)
3.50 RMB
Huaweiheng Healthy Olive (China)
Hangzhou Huaweiheng Food Co.,

Ltd. (D)
110 g
7.10 RMB
Guo Wei Ping Sheng Olive (China)
138 g
4.90 RMB
Zhenqiwei Jiuzhi Olive (Canton Fruits)
Guangzhou
(China)
Foods Ltd. (D)
Yimin Liquorice Olive, (China)
Hangzhou Yuhang Yimin Food
150 g
5 5.7 RMB
Treasure
Flavour
Co., Ltd. (D)

Huaweiheng Salty Olive (China)
Hangzhou Huaweiheng Food Co.,

Ltd. (D)
160 g
7.8 RMB
Meiyuan Liquorice Olive (China)
Hangzhou Meiyuan Food Co., Ltd.

(D)
200 g
10.5 RMB
Yimin Healthy Olive (China)
Hangzhou Yuhang Yimin Food

Co., Ltd. (D)
300 g
9.5 RMB
New Too Salty Olive (China)
Shenzhen New Too Co., Ltd. (D)
0,3 0,35 kg
9.4 9.8 RMB (27.60 RMB/kg)
Jiuzhi Olive (Canton Fruits) (China)
Guangdong Jiabao Group Co., Ltd.

(D)
Conclusion
Only in Shanghai there is a huge selection of European olives in the above
mentioned supermarkets. In Beijing and Shanghai the main choice of olive snacks
is coming from China, just one olive supplier in Beijing was from Spain. We noticed
different prices in different supermarkets (f.e. in Beijing) from the same olive
supplier, offering the same capacity and grade. Especially Carrefour is offering
higher prices than in other supermarkets.
198
While in Guangzhou mainly green dried olives are available for sale, in Beijing there
are mainly pickled. In Shanghai you can find all kinds of olives, like in Europe. The
prices of foreign suppliers are higher than the Chinese olives too. Consuming
pickled olive snacks is becoming more and more popular.
Summing up all the 3 store check regions (Beijing, Shanghai, Guangzhou) we
believe that Shanghai is the most attracting market to sell European olives, due to
the high number of foreigners living in Shanghai as well as the foreign influence to
Chinese in Shanghai. Even if there is still a lack of foreign offers in Beijing and
Guangzhou we believe, that those two cities are attractive for selling olives too.
199
II) Olive Oil

Price ranges from different representative products in RMB
Foreign & Chinese olive oil will be mainly sold in developed areas, such as Beijing,
Shanghai and Guangdong, where Chinese have higher purchasing power, are
influenced by foreign products and where foreigners are settled.
Olive oil is a relatively expensive oil compared to other kinds of oil since it needs a
special production treatment: olive crop is a long process (olives are produced only
after the maturity of the tree; that means after five years). Harvest is still made by
hand in most of the regions. Finally, processing needs an advanced technology,
particularly in large producing areas. Prices paid to producers are quite unstable,
mainly due to the change in the quantities produced from one year to another and
the level of stocks. However, it is difficult to assess the price formation mechanism.
Refined olive oils are generally less expensive than virgin oils. A possible
explanation would be an insufficient amount of lampante oil to meet demand of
refining industry given the good quality of produced virgin oil and as a result an
increase in lampante oil prices.92
1) Price range of olive oil in Beijing
In following supermarkets in Beijing Store Checks has been leaded through:
Chart 123: Stores for olive oil products in Beijing

Name of store
1. Carrefour

No.15 Fangchengyuan, Beijing
(please have a look at 5.1.9.1. for further

information about the company group)
2. Marrymart
Zone C, Bairong Shopping mall, South 3rd Ring
Road, Chongwen District, Beijing

3. WFJ Yokado
No.1, Jinsongnan Road, Chaoyang District,
Beijing

4. Lotus
No.10, West 3rd Ring Road, Fengtai
District,Beijing
92
www.oliveoilquotation.com, Report: Production cost and market prices, 2009
200
Most of the olive oils are coming from Spain, Italy, Greece. Simply one olive oil is
from China. The prices vary between 10-50 RMB per bottle, packaging and grade.
The only Chinese supplier offers a blended oil: Extra Virgin + Olive Pomace Oil and
not pur olive oil. All foreign olive oils are offered in different grades, sizes and
charges.
Chart 124: Price for some olives products in Beijing

Extra Virgin
Price range
Product brands / Importer (I) /
Olive Oil
250 ml
Distributor (D)
Carbonell
23.80 56.70 RMB

(Average price level: 33,72 RMB)
(Spain)
(Shanghai
Kuichun) (I)
Iminos (Greece) (Beiing Huayuan
Life) (I)
YBARRA (Spain) (Beijing Pinli Food
Co., Ltd.) (I)
Muel (Spain) (Beijing Pinli Food Co.,
Ltd.) (I)
500 ml
Hojiblanca (Spain) (Laiyang Luhua)
49.20 84 RMB
(I)
Carapelli (Italy) (Sinodis Shanghai
Co., Ltd.) (I)
Betis (Spain) (Qingdao King Oliva
Co., Ltd.) (I)
Echioliva (Spain) (Tianjin Guangshi
International Trade Co., Ltd.) (I)
Carbonelli (Italy) (Tianjin Guangshi
Pietro Coricelli (Italy) (Beijing Shengli
Food Co., Ltd.) (I)
Sitia (Spain) (Beijing Shengli Food
Co., Ltd.) (I)
Grifo
(Italy)
(Tianjin
Guangshi

Olivoila (Italy) (Shanghai, Jiali Grain
and Oil Industrial Co., Ltd.) (I)
Spartacold
(Greece)
(Beijing
Jindongfang Trade Co., Ltd.) (I)

Opinion (Spain) (Beijing Jindongfang
Trade Co., Ltd.) (I)
700 ml
88 RMB
Lu Hua (Spain) (Laiyang Luhua) (I)
1l
75.60 146 RMB
YBARRA (Spain) (Beijing Pinli Food
Co., Ltd.) (I)

Betis (Spain) (Qingdao King Oliva
Betis is offering very exclusive
201
Co., Ltd.) (I)
Extra Virgin Olive oil for 220
RMB.
Carbonell
(Spain)
(Shanghai
Kuichun) (I)
Ltd.) (I)
Cordoliva
(Spain)
(Beijing
Shiji
Kangxin Trade Ltd.) (I)

Fragata (Spain) (Beijing Yuan He
Heng Tai Trade Co., Ltd.)
Echioliva (Spain) (Tianjin Guangshi
Pietra Coricelli (Italy) (Beijing Shengli
Food Co., Ltd.) (I)
Sitia (Spain) ) (Beijing Shengli Food
Co., Ltd.) (I)
Luglio (Greece) (Foodgears Industrial
Int. Ltd.) (I)
Spartacold
(Greece)
(Beijing
Jindongfang Trade Co., Ltd.) (I)

Opinion (Spain) (Beijing Jindongfang
Pure Olive Oil

1l
Price range
Product brands
Argosy (Italy) (Beijing Guchuan Grain
68 RMB
and Oil Co., Ltd.) (I)

Extra Virgin +
Price range
Product brands
Pure Olive Oil

250 ml
Olivoila (Italy) (Shanghai Jiali Grain
29 37.90 RMB
(Average price level: 32, 75 RMB)

Mighty (Italy) (Shanghai Jiage Food
Co., Ltd.) (I)
Agric (Greece) (Beijing Shiji Kangxin
Trade Ltd.) (I)
Musa (Spain) (Tianjin Kouweike Int.
500 ml
49 62 RMB

Trade Ltd.) (I)
750 ml
79.90 89 RMB

Co., Ltd.) (I)
1l
89.90 99 RMB
202
Trade Ltd.) (I)

2l
149 RMB
Trade Ltd.) (I)

3l
220 RMB
Extra Virgin and
Price range
Product brands
Olive pomace
Oil
1l
Hua
88.90 RMB
Yuan
Life
(China)
(Beijing
Huayuan Life) (D)
2) Price range of olive oil in Shanghai

In following supermarkets in Shanghai Store Checks were accomplished:
Chart 125: Stores for olive oil products in Shanghai

Name of store
1. Cityshop

No.160, XinHua Rd, Shanghai

2. TESCO
No.777 Wu Yi Road, Shanghai

No.1688 Tong Chuan Road, Shanghai
3. Metro
No.1425 Zhen Bei Road, Shanghai

4. Carrefour
No. 268 North Shuicheng Road, Shanghai

No.1500 Xin Cun Road, Shanghai
Most of the olive oils are coming from Spain, Italy, Tunis, Greece and Turkey. Only a
few are from France and PR China. The prices vary a lot per bottle, packaging and
grade. Chinese supplier offering only olive blended edible oils and not pure olive oils.
These blended olive oils will be offered in bigger charges (2, 2,5, 3 and 5 l). All other
foreign olive oils are offered in different grades, sizes and charges.
203
Chart 126: Price for some olives products in Shanghai
Extra Virgin
Price range
Olive Oil
250 ml
Distributor (D)
Borges (Spain) (Beijing Dingcheng
23.80 45 RMB
a) 195 RMB for very exclusive
Extra Virgin Olive Oil Organic from
Century Food Co., Ltd. (I)

Terra
Delyssa
(Tunis)
(Shanghai
Jiucheng Trading Co., Ltd.) (I)

Amarilla de Ronda LA, Organic
Amarilla de Ronda LA
b) 118 RMB exclusive Extra Virgin
(Spain) (Shanghai Ziyuan Trading
Olive Oil from Oleaurum
Co., Ltd.) (I)

Oleaurum, very exclusive olive oil
Co., Ltd.) (I)
Carbonell (Spain) (Shanghai Kuichun
Industrial Co., Ltd.) (I)
YBARRA
(Spain)
(Shanghai
Sanchang Development Co., Ltd.) (I)

Olivoila (Italy) (Shanghai Jiali Food
and Industry Co., Ltd.) (I)
Villa Antica (Italy) (Beijing Defaxing
Trading Co., Ltd.) (I)
Ltd.)
(I)
(Shanghai
Kuichun

Carapelli
(Italy)
(Beijing
Century
Kanxing Trading Co., Ltd.) (I)

500 ml
44.90 99.00 RMB,

(Average price level: 63.30RMB)

Monini, very exclusive olive oil (Italy)
208 RMB for very exclusive
(Shanghai Sanchang Development
GPToscano Extra Virgin Oil
Co., Ltd.) (I)

Terra
from Monini
98 RMB for Extra Virgin Olive

Oil Organic from Amarilla de
Ronda LA
Delyssa
(Tunis)
(Shanghai

Oillio (Spain) (Shanghai Riqing Oil
Co., Ltd.) (I)
Ltd.)
(I)
(Shanghai
Kuichun

Taris
(Turkey)
Shanghai
Sinodis
Food Co., Ltd.) (I)

Jin Hai Shi (Spain) (Shanghai Liang
Jou Hai Shi Oil Industry Ltd.) (I)
204
Berio
(Italy)
(Gourmedis
China

YBARRA
(Spain)
(Shanghai

Betis
(Spain)
(Qingdao
Jinouli
Marketing Co., Ltd.) (I)

Carapelli
(Italy)
(Beijing
Century

Fragata (Spain) (Shanghai Sanchang
Development Co., Ltd.) (I)
Amarilla de Ronda LA, Organic
Co., Ltd.) (I)
750 ml
DUC
65 113 RMB
(Spain)
(Shanghai
Ziyuan

Terra
Delyssa
(Tunis)
(Shanghai

Monini
(Italy)
(Laiyang
Luhua
Groundnuts Co., Ltd.)

Co., Ltd.) (I) / (Shanghai Pairuisheng
Interl Trading Co., Ltd. (I))
Berio
(Italy)
(Gourmedis
China

Ltd.)
(I)
(Shanghai
Kuichun

Agir
Bio
(France)
(Shanghai
ChangQiLuZhong Interl Trading Co.,

Ltd) (I)
1l
Terra
55 149 RMB
Delyssa
(Tunis)
(Shanghai

Taris
(Turkey)
Shanghai
Sinodis
Food Co., Ltd.) (I)

Arbolon (Spain) (Beijing Pinli Food
205
Co., Ltd.) (I) / (Shanghai Kuichun
Agric
(Greece)
(Beijing
Century
Kanxin Trading Co., Ltd.)

Berio
(Italy)
(Gourmedis
China

Natura
verdo
(Italy)
(Gourmedis
China Trading Co., Ltd.) (I)

La Espanola (Spain) (Shanghai King
Foods Condiment Co., Ltd.) (I)
Pietro Coricelli (Italy) (Shanghai Food
Stuffs Import Export Co., Ltd.) (I)
YBARRA
(Spain)
(Shanghai

Ltd.)
(I)
(Shanghai
Kuichun

Betis
(Spain)
(Qingdao
Jinouli
Marketing Co., Ltd.) (I)

Carapelli
(Italy)
(Beijing
Century

Fragata (Spain) (Shanghai Sanchang
Development Co., Ltd.) (I)
3l
228 318.80 RMB


YBARRA
(Spain)
(Shanghai

5l
Carapelli
368.90 399.90 RMB

Average price level: 384.40 RMB
(Italy)
(Beijing
Century

YBARRA
(Spain)
(Shanghai

Pure Olive Oil
Price range

Distributor (D)
500 ml
45.99 - 72 RMB

Oillio (Spain) (Shanghai Riqing Co.,
Ltd.) (I)
206
Berio
(Italy)
(Gourmedis
China

750 ml
62.90 105.20 RMB


Ltd.)
(I)
(Shanghai
Kuichun

1l
Costa,
69,90 - 98 RMB
dor
(Italy)
(Hong
Kong
Sanchang Haohaobanguan Co., Ltd.)

(I)
Taris
(Turkey)
Shanghai
Sinodis
Food Co., Ltd.) (I)

Berio
(Italy)
(Gourmedis
China

Natura
verdo
(Italy)
(Gourmedis
China Trading Co., Ltd.) (I)

La Espanola (Spain) (Shanghai King
Foods Condiment Co., Ltd.) (I)
Pomace Olive
Price range
Product brands
Oil
1l
Costa,
66 69.99 RMB
(Average price level: 68 RMB)
dor
(Italy)
(Hong
Kong
Sanchang Haohaobanguan Co., Ltd.)

(I)
Basso (Italy) (Shanghai Kedi Food
Co., Ltd.)
3l
Basso (Italy) (Shanghai Kedi Food
159.90 RMB
Co., Ltd.)
Olive blended
Price range
Product brands
Oils
Jin Long Yu (China) (Shanghai Jiali
99.90 123.20 RMB

5l
Food and Industry Co., Ltd.) (D)

Mighty (China/Italy) (Shanghai Jiage
Food Co., Ltd.) (I) / (Shanghai
Pairuisheng Interl Trading Co.,Ltd )
207
3) Price range of olive oil in Guangzhou

In following supermarkets in Guangzhou Store Checks were accomplished:
Chart 127: Stores for olive oil products in Guangzhou

Name of store
1. Parknshop
No.228, Grandview Mall, Tianhe Road,
Guangzhou

No.3, Yuan Cun Heng Long Road, Guangzhou
2. Carrefour
No.40, Wanguo Plaza, Qian Jin Road,

Guangzhou
No.1, Long Kou Xi Road, Guangzhou
3. Trust Mart
No.188, Tang Xia Zhongshan Da Dao,

Guangzhou
No.33, Tianhe Nan Er Road, Guangzhou
4. Vanguard
Most of the olive oils are coming from Spain and Italy. Only a few are from Greece
and Taiwan. There are no Chinese olive oil in offer. The prices vary in general 10
30 RMB per bottle, packaging and grade. The processed oil in China (bottled in
China f.e.) is much cheaper than the imported bottles of olive oil: Changqingshu
Extra virgin oil, 1 l, 88.80 RMB (processed in China), San Guiliano Alghero Extra
virgin oil, 1 l, 141 RMB (imported bottle).
Chart 128: Price for some olives products in Guangzhou

Extra Virgin
Price range
Olive Oil
250 ml
Distributor (D)
Olivoila (Italy) (Shanghai Kerry Food
18.90 52.30 RMB

Industries Co., Ltd.) (I)

Hojiblanca (Spain) (Laiyang Luhua
Peanut Oil Co. Ltd.) (I)
Mighty (Italy) (Shanghai Standard
Food Co., Ltd.) (I)
Lu Hua (Spain) (Laiyang Luhua
San
Guiliano
Alghero
(Italy)
(Jipuyuan Trading Co., Ltd.) (I)

500 ml
62.00 88.90 RMB

208
Hojiblanca (Spain) (Laiyang Luhua
Changqingshu
(Portugal)
(CQS
Foods Co., Ltd.) (I)

Arbolon (Spain) (Beijing Dongfang
Wanhua Int. Trading Co., Ltd.) (I)
San
Guiliano
Alghero
(Italy)

700 ml
118 RMB

750 ml
85 105 RMB

Food Co., Ltd.) (I)
Knife Brand (Spain)
1l
San
88.80 141 RMB

Guiliano
Alghero
(Italy)

Changqingshu
(Portugal)
(CQS
Foods Co., Ltd.) (I)

Arbolon (Spain) (Beijing Dongfang
Wanhua Int. Trading Co., Ltd.) (I)
Jipuyuan (Taiwan) (Jipuyuan Trading
Co., Ltd.) (I)
3l
288 RMB
Virgin Olive Oil
Price

Distributor (D)
750 ml
Knife
96 RMB
Brand
(Spain)
Lamsoon Oil Co., Ltd.) (I)
209
(Shenzhen
Pure Olive Oil
Price range

Distributor (D)
500 ml
55 RMB

750 ml
68 78.90 RMB

Food Co., Ltd.) (I)
1,5 l
Uni-President Golden Age (Taiwan,
155 RMB
ROC) (Dongguan Guanhe Trading

Co., Ltd.) (I)
3l
208 218.80 RMB

Olive Oil for
Price
Cooking
2l
Distributor (D)
Olive cooking Olive oil (Greece)
55.80 RMB
(Guangzhou Jiajia Oil Co., Ltd.) (I)
Sunflower &
Price
Extra Virgin Olive
Distributor (D)
blended Oil g
500 ml
Olive cooking Olive oil (Greece)
55.80 RMB
(Guangzhou Jiajia Oil Co., Ltd.) (I)
Conclusion
The store checks in Beijing, Shanghai and Guangzhou shows a huge variety and
selection of all kinds of olive oil grades. Most of the olive oils are supplied from
Spain, Italy, Greece, Turkey, Tunis, France and a few from Taiwan and China. The
Chinese suppliers offering only olive blended oils (f.e. with sunflower oil etc.). Solely
the foreign suppliers are offering high qualified Extra Virgin, Virgin and Pure Olive oil.
Organic olive oil will be offered only in Shanghai (from Amarilla de Ronda LA, Spain).
Very exclusive and expensive olive oils will be offered from Betis (Spain) and Monini
(Italy).
The price ranges in all the three cities are nearly the same, based on grades and
packing sizes. The foreign brands differs mainly in all 3 cities. Only a few brands are
offering the same olive oil in all 3 cities:
a) Olivoila (Italy)
b) Mighty (Italy)
210
c) Carbonell (Spain)
d) Hojiblanca (Spain)
The most promoted olive oil brand is Olivoila from Italy. Only a few brands are using
only one distributor for all three Chinese cities. The majority of olive oil brands will
be distributed about different regional food distributors in Beijing, Shanghai and
Guangzhou.
All three cities are very much qualified to sell olive oil in related supermarkets.
211
ANNEX IV: Distribution Structures

I) Logistics
Over 90% of imported olive oil will be sold in middle and larger scaled cities, f.e.,
Beijing, Shanghai, Guangzhou, Shenzhen. Olive oil will not be sold in over 95% of
small scaled cities, so the huge market of China is waiting for these products.93
Import flow
Sign contract D/O Fee Pre-recorded single declaration - Seized three charges
(lawfully designated inspection) - Commodity Inspection Spot check/Sample
delivery Customs permit release Pay tax Customs inspection (one kind of
spotcheck, not lawfully designated inspection ) - Customs clearance (electronic)
Take out goods
There are several documents need to be prepared before customs clearance, the
most proper customs commodity code and import tax rate for reference in advance.
Materials for applying food labeling of import and export94:
1. Hygiene License of export enterprise
2. Business License of production manufacture or distributor
3. Productions official certificate of selling permit in product country/district, or
productions certificate of origin
4. Trade mark authorization or manufacture authorization
5. Material explanation about the content which is noted on the note
6. Five sets of food label samples, if its impossible to offer samples, valid
picture , print sample or scan sample is also available
7. Ingredient is pure natural, the production is High-, Low-, or it is demand
to claim with certificate of ages or reputation, all these characteristic labels
need the explanation of original certificate.
Implementation of New Standard Olive Oil in October 1st, 2009
Since October 1st, 2009, <The national standard of Olive oil and Olive-pomace oil>
(GB 23347-2009) will put into execution. This new standard will hold back mess
labeling circumstance of olive oil and will secure customers when they buy olive oil.
This standard includes nine parts, it stipulates the legal name, definition,
classification, technology quality requirement, inspection method, inspection
regulation as well as the demand of label, package, storage and transportation of
olive oil and olive-pomace oil. Further more, it also makes clearer rules about olive
oils definition, characteristic term, quality term, hygiene term, facticity requirement,
food additive, etc.
93
www.oliveoillife.com/en, The distribution of olive oil in Chinas market
94
www.customs.gov.cn, China Customs
212
Therefore, production labels are very different from their past. Apart from keeping
with <Regular rules for package of food label> (GB 7718), there are still five
demands being questioned:
1. Firstly, the label must measure up to the grade which the product belongs to,
which instead of enterprises announcing their products as Extra virgin,
Extra or Pure at random. Olive-pomace oil cant be announced as olive
oil at any time.
2. Secondly, it is necessary to label products original country.
3. Thirdly, it is necessary to label trans fatty acid contents.
4. Fourthly, it is necessary to label the manufacturing date of olive nuts.
5. Fifthly, manufacturing date is accorded with the package date in original
country. If it is individual packing which is imported from abroad, it will label
the package date in original country and the repack date at the same time.
As for the originate date of shelf life, its based on production date in original
country, repacking date cant be assumed as originate date.95
95
China Entry-Exit Inspection and Quarantine Bureau, www.cixi.gov.cn/art/2009/9/9/art_14726_332402.html
213
II) Detailed presentation of distribution structures
Chart 129: Detailed presentation of distribution structures
Ordering external
logistic companies,
because not each
importer has an own
logistics on hand.
214
III) Relevance of Chinese import agencies

Advantages working together with importing agencies:
a) Efficiency
b) No extra charges through additional labour costs
c) Existing contacts can be used; regulations & rules are not necessary to study
Chart 130: Function of import agencies
Import licence
Preparation
and/or
examination of
labels
Functions of
import agencies
Invoice issue +
payment with
foreign currency
Customs
handling /
clearance
Storage and
transport
Distribution
support if
necessary
Advantages working without an import agency:

a) Cost control, cost transparency
b) Possible price adjustments with food retail
Chart 131: Advantages working without import agency
Without
import agency
Foundation of own
trading company incl.
Import licence in
China
Own realisation or
assignment: Customs
handling, logistics,
labeling etc.
215
IV) Restrictions at food import, import controls

Chinas Ministry of Health published two draft regulations that implement new
pre-importation licensing requirements for imports of food and food-related products
such as packaging under Chinas new Food Safety Law (FSL). The FSL is the
long-anticipated Chinese food safety law that went into effect on June 1, 2009, as
already described before.
The final import licensing regulations will impose additional registration and data
reporting requirements on importers and distributors of imported food products and
new food-related products and materials.
Unregistered Imported Foods will Require an advance License
The first draft regulation, Provisional Administrative Regulations on the
Administrative Licensing of the Importation of Food Without National Food Safety
Standards (Imported Food Regulations) covers imported food products that are
manufactured and distributed abroad as food and for which China does not have
relevant national food safety standards. These products must be licensed by the
Ministry of Health prior to importation.
License applicants would be required to submit to the Ministry of Health a
completed standard form (in Chinese) with detailed supporting information and
documentation (most of which must also be translated into Chinese). Within 60
days after filing of the application, the Ministry of Health will initiate an investigation
and approval process. The investigation process may rely on assistance from
experts in a variety of fields, such as food safety, toxins, nutrition, microbiology,
craftsmanship, and chemistry, to assess the application. If the assessment
demonstrates that the product is subjected to similar industrial standards from
relevant international organizations, other countries or China, the Minister of Health
will refer to those standards for execution. The Ministry of Health will determine
whether to grant the license based upon recommendations from its experts and
taking into account applicable national laws and regulations.
New Food-Related Packaging and Other Materials will need to be licensed
The second draft regulation, Provisional Administrative Measures of Administrative
Licensing of New Food Related Product Varieties (Food-Related Products
Regulations) covers a broad range of articles not currently subject to national
standards or relevant agency listings. These articles include domestically produced
and imported food packaging materials, food containers, food production and
management tools (e.g., resins, ceramics, etc.), and food detergents and
disinfectants.
216
Specifically identified for coverage are96:

Materials or molding products used in food packaging materials, containers
and food production and management tools, and equipment that directly
contact food that are not currently subject to national food safety standards;
Additives not listed in hygienic standards for uses of additives in food
containers and packaging materials;
Materials or molding products of food packaging materials, containers and
food production and management tools, and equipment that directly contact
the food not listed in the List of Notice of the Ministry of Health;
The additives listed in the Hygienic standards for uses of additives in food
container and packaging materials, or in the List of Notice of the Ministry of
Health, but requiring expansion of the use scope or increase of the use
frequency; and
Certain new detergent and disinfectant materials used for food or for tools
and equipment used in food production.
Steps to import of food to China
Chart 132: Steps to import food to China
1. Step
2. Step
Quality control
Labeling control
Customs handling
Trade mark application
General Administration of Quality

Supervision, Inspection and
Recommended
China Customs Office
Trade mark protection
Quarantine of the PRC (AQSIQ)
Invoice
Random control of
Pack list
ingredients according
Shipping
ingredients list
Trademark Office
The State Administration for
Industry and Commerce
documents
Labeling control
Duration: 2-3 years
Duration: officially 4 days
Duration: 2 days
In 2008 the Chinese government moved to reduce import taxes on 26 commodities

to help to reduce inflationary pressure. Among others the tariffs on olive oil has
96
th
Food and agriculture alert, Hogan & Hartson LLP, 24 of June, 2009
217
been lowered from 10 % to 5 % too, effective on June 1st to the end of September
2008.97
IV) Labeling
The new food safety law touches on labeling issues for food products specifying
that health food products must not be labeled for disease prevention and
treatment functions in their tags. Labels will now be required to be more detailed in
providing information like who can use their product and the products main
ingredients. Chinas food department will be required to conduct audits on food
samples for manufacturers for free.98
a) Labeling should meet the requirements set out in GB 7718.
b) Product name: indicated according to the classification requirements
specified in Clause 4 of the mentioned Standard. Under no circumstances
shall olive-pomace oil products, as specified in Subsection 4.2, be referred
to as olive oil.
c) Indication of production date: the date on which fats and oils are
extracted
from the fresh olive fruit by any type of processing technology is the
production date.
With regard to the split packaging of imported products, when indicating the
production date in the country of origin, the packaging date should also be
indicated.
d) The production date in the country of origin is the starting date of the
quality
preservation period.
e) The country of origin of the product should be indicated.
f) The trans fatty acid content should be indicated.99
Olive oil vendors choose the wording on their labels very carefully.
"100% Pure Olive Oil" is often the lowest quality available in a retail store:
better grades would have "virgin" on the label.
"Made from refined olive oils" suggests that the essence was captured, but in
fact means that the taste and acidity were chemically produced.
97
Import tax cuts to relieve pressure on price rises, China Daily by Xin Zhiming, 30.05.2008
98
China Briefing, www.china-briefing.com, New food safety law, 9 of June, 2009
99
th
218
100
"Light olive oil" actually means refined olive oil, not a lower fat content. All
olive oil has 120 calories per tablespoon (34 J/ml).
"From hand-picked olives" may indicate that the oil is of better quality, since
producers harvesting olives by mechanical methods are inclined to leave
olives to over-ripen in order to increase yield.
"First cold press" means that the oil in bottles with this label is the first oil that
came from the first press of the olives. The word cold is important because if
heat is used, the olive oil's chemistry is changed. It should be noted that
extra-virgin olive oil is cold pressed, but not necessarily the first oils.
"Bottled in Italy" or "Packed in Italy" does not necessarily mean that the olive
oil originated in Italy. Back or side labels indicate the origin of the olive oil
which is often a mixture of oils from several nations.100
http://www.oliveoillife.com/en/oliveoil/html/65.html
219
ANNEX V: Food related associations & federations in China

Chart 133: Food related associations & federations in China
Company
name
China
Description
Address
Contact
Person
Health
Founded by the People's Republic of
No. 13, Xincheng
Mr.
and
China Ministry of Health in 1991, members
Building,
Zengqi,
Nutrition
mainly work with National Health Industry
Banbuqiao Street,
Deputy
Council
Business Management Council.
Xuanwu, Beijing,
Secretary
China
General
Care
Guo
China National
China National Vegetable Oil Association
No.45,
Mr.
Vegetable
was approved by the state Ministry of civil
Fuxingmennei
Public
affairs in Nov. 1993.
Street,
Relations
Oil
Association
Gao
Beijing ,China
Chinese Cereals and Oils Association Oil
P.O. 83 No.1,
Ms.
Branch has been established in 1985,
Beishatan Street,
Lifeng
Oils
belonging to the Chinese cereals and oils
Deshengmen,
Association
association. It consists of a working
Beijing, China
Chinese
Cereals
and
committee,
the
technical
Zhou
advisory
committee, the committee on scholarly

communication,
committees,
science
editing
education
and
publishing
committee and the 39-member group of

experts.
China
Health
China
Health
Care
Science
and
Rm. 1811, No.28,
Ms.
Guo
Care
Technology Institute officially changed its
Hangyi Building,
Wenyan,
Association
name to China Health Care Association
Fucheng Road,
Association
approved by the State Council, Ministry of
Haidian District,
Leader
Health and Ministry of Civil Affairs on 4th
Beijing, China
November, 2003.
China
Cuisine
Association
China
Cuisine
Association
(CCA)
is
No.45, Fuxingmen
Mr.
established in Apr. of the year of 1987 with
Street, Beijing,
Qiucheng
the approval by the state departments.
China
Association
CCA is registered in the ministry of civil

affairs
as
national
food
Su
President
industry
association.
China Olive Oil
A website providing olive oil trading,
Rm. 1916,
Mr. Yang Wei,
Trade
information in China
No.1958, HuaYuan
Manager
Plaza, Zhongshan
Bei Rd., Shanghai
220
Shanghai
Established in 1992
Rm. 253, No.1455,
Mr. He Tao,
Cereals & Oils
Nan Suzhou Road,
Director
Management
Shanghai
Association
Guangdong
Food
Established in 2003
Industry
Associations
Rm. 1404, Jinhe
Mr.
Building, No.183,
Yihong
Xiao Bei Road,
Chairman
Guangzhou
221
Liu
Vice
ANNEX VI: Interview Partners

1. Telephone Interviews: Selection of Interview Partners
BEIJIN
I) Domestic operating Olive Producers
Company name
Description
Address
()
core-free olive snacks
Hangzhou
Huawei
Contact
Person
Food
Co.,Ltd
Economic Development Zone,
Ms.Chen
Xingqiao,
Yuhang,
Hangzhou,China
Hangzhou Huawei Food

Co.,Ltd
FUAN
XINWEI
FOOD
CO.,LTD.Limited was founded
XINWEI
Located in Fu'an in Fujian.
NO.68
Yanhu
Development
Plant
Zone
Fuan
city
more
than
meters,
10,000
has
good
Fujian
province, China
Mr.Wang
Sales Manager
production facilities. Use of
FUAN
in 1995.
square
Olive Snacks
68
FOOD
CO.,LTD.
advanced
equipment,
detection
a
centralized
product development, design,

production, Sales; one of the
leading
agricultural
enterprises.
Located at Fujian Zhangzhou,

Shaoan which attached with a
convenient
transportation
system. It was founded in

Zhaoan
Ronghua
Food
Co.,Ltd
Co.,Ltd
Taiping industrial park, shaoan,
Mr.
Tian
Xiongping
Fujian, China
1993 with capital amount of

RMB 8,680,000.
Xiamen
Fengxin
Food
Placed at Xiamen with more

than
3000
square
meters
25
modern factory. The company
produces
No.25
dried
reserved
aquatic
fruits,
products,
roasted seeds and nuts and

biscuits, egg products and
222
Liushan,
Xiamen, Fujian, China
Haicang,
Mr.Lin Feng
other snack foods.
The
company
superior geographical location
Cailaoda Food Co.,Ltd
equipment,
Changshu,
and
located
Jiangsu
advanced
management
at
with
production
and
Mr.Cai Huixin
strict
Dongtu,zhitangfenghe,Changs
high
hu, Jiangsu, China
standards of clean workshop,

which
drives
rapid
development of the company

and
has
been
playing
leading role in the same

industry. It has passed ISO
9001
international
quality
management
system
certification and the national

industrial products production
license certification.
BEIJIN
II) Domestic operating Olive Oil Producers
Company name
Description
Address
The company has built up in
243 1801
Gansu
scope include Olive Oil, Olive
Rm1801,No.243,Yaopu Road,
Longnan Shibolin Olive Oil
Tea and Olive Alcohol, etc.
Shanghai,
1997, located at Longnan,

Province.
Business
Co.,Ltd
Contact
Person
Li Haodong
President
(Shanghai Office)
China(Shanghai
Office)
Feng Hai Olive Oil Co., Ltd. is
production, search and sales
Longnan Feng Hai Olive
Standardized olive garden for
Oil Technology Co,Ltd
2.500 acres.
Shenzhou Olive Development
set up for more than 20 years.
Mr.Lin
mainly focused on olive oil

integrated
enterprises.
Corporation(SODC)has been
It is sponsored by Research
223
General
Manager
Wudu, Longnan City,Gansu,China
229
Shenzhou
Olive
Development Corporation
Institue
of
Oil
Industry,
Chinese Academy of Forestry.
Rm229, Chinese Academy of
Ms.Wu Yana
Forestry,Xiangshan
Sales Director
Road,
Haidian District,Beijing,China
As
resources
comprehensive development
and
plants
utilization
hi-tech
enterprise,
Municipal
Municipal Rongshengyuan
Rongshengyuan Food Co.,
Food Co., Ltd
growing olives. The company
Dongba,
Mr.He
Guangyuan
City,
Sichuan, China l
Sales Manager
Ltd is mainly engaged in

is one of 18 grain and edible
oil
deepening
bases
for
processing
the
agricultural
products and side products

project and a pillar enterprise
of
Sichuan
agricultural
operating industrialization as
well as a key enterprise of
Guangyuan
agricultural
operating industrialization.

Jiangsu
Megate
Olive
Oil
producing, developing, and
No.888,Fengqiao
investing
Suzhou,Jiangsu,China
Jiangsu Magnate Olive Oil
cooperate with HEALTHNE of
Ms.Zhang Min
the
Sales Manager
Industry Co.,Ltd
THEALTHNET HONGKONG
Industry Co.,Ltd is an Olive Oil

company
United
which
States
888
Road,
and
FINANCIAL INC.
BEIJIN
III) Federations, trade magazines
Company name
Description
Founded
by
the
Address
People's
Republic of China Ministry of

in
1991,
members
13
Health
Nutrition Council
mainly work with National
No.13
Health
Banbuqiao
Business
Management Council.
China Health Care and
Industry
Contact
Person
Xincheng
Street,
Building,
Mr.Guo Zengqi
Xuanwu,
Deputy
Beijing, China
Secretary-Gen
eral
CHINA
NATIONAL
China National Vegetable
ASSOCIATION was approved
VEGETABLE
OIL
224
45
No.45, Fuxingmennei Street,
Oil Association
by the state ministry of civil
Beijing ,China
affairs in Nov. 1993.
Mr.Gao
Public
Relations
---
Chinese Cereals and Oils

Association--Oil Branch was
Chinese Cereals and Oils
established
Association--Oil Branch
belonging
in
to
1985,
the
chinese
cereals and oils association. It

consists
of
committee,
advisory
Ms.Zhou
P.O.83 No.1, Beishatan Street,
Lifeng
Deshengmen,Beijing,China
working
the
technical
committee,
committee
1 83
on
the
scholarly
communication,
science
education committees, editing

and publishing committee and
the
39-member
group
of
experts.
China
Health
Care
Association
China Health Care Science
Rm,1811,No.28,Hangyi
and
Building,
Technology
Institue
officially changed its name to

China
Health
Fucheng
Ms.Guo
Road,
Haidian District, Beijing,China
Care
Wenyan
Association
Leader
Association approved by the

State
Council,
Ministry
of
Health and Ministry of Civil

Affairs
on
4th
November,
2003.
China Cuisine Association
China
Cuisine
Association
(CCA) is established in Apr. of
45
the year of 1987 with the
NO.45,Fuxingmen
approval
Beijing, China
by
departments.
the
CCA
state
is
Street,
Mr.Su
registered in the ministry of
Qiucheng
civil affairs as a national food
Association
industry association.
President
225
S HAN G HAI
Company name
Description
Address
Belongs to Shanghai Bright
Shanghai TianWo
producing different kinds of
Food
Food
Group,
engaged
in
dried fruit, incl. dried olives
Co., Ltd.
domestic
Shanghai BWL Industrial
incl. dried olives
Contact
Person
manufacture
which produce dried fruits,
Co. Ltd.
263 7
No.7, Lane 263, HuaShan Rd.,
Ms.
Shanghai
Purchaser
33
11
Mr.
Floor 11, No.33, HeNan Nan
Manager
Zeng,
Cai
Xin,
Rd., Shanghai
A local manufacture which
Shanghai
produced
produce
FuQiHua
dried
fruits,
dried
olives
and
for
Metro specifically
Industrial Co., Ltd.
1458
No.1458,
Mr.
BoWen
Rd.,
Shanghai
Qu
Guogang,
Manager
S HAN G HAI
Company name
Shanghai
Athina
Description
Address
Contact
Person
A JV factory which invested by
475
NO. 475, TianYing Rd., Qingpu
Ms. Gao Jie,
Industrial Park, Shanghai
Manager
Canada Krinos International,

&
Olympia Foods Co., Ltd.
specialized in producing and

trading imported foods etc.
olive oil, cheese, cookies
of
Trading Dept.


produce olive oil, with the
226
product brand of 'Xian Nuo'
Shanghai
Manman
Kitchen Co., Ltd.
719
No.719, XinJi, Liu Zao, Nanhui
Mr.
district, Pudong, Shanghai
Wujie, General
Shen
Manager
Shanghai
WFOE
manufacture
186
Limketkai Sons, Inc., engaged
No. 186, Xuanqiao, Nanhui
in the manufacture of edible
Industrial
Mr.
Co., Ltd.
oils.
Shanghai
Sales Manager
A state owned manufacture

engaged
in
2080
soybean
oil,
No.2080, LongWu Rd., XuHui
Shanghai LiangYou HaiShi
tea seeds oil, and olive oil
District, Shanghai
Mr.
Oils&Fats
Kailink
invested
Foods
by
Philippine
producing
rape
oil,
sunflower seeds oil, corn oil,
Industry
Park,
Pudong,
Zhu
Xi,
Sun
Xinsheng,
Co.,
Purchase
Ltd.
Manager
A local manufacture engaged
Shanghai Standard Food
oil, olive oil,
Co., Ltd.
Li'
in producing sunflower seeds

and with the
famous product brand of 'Duo
1128 2
building,
West,
Wuzhong Rd., Shanghai
1128,
Ms.
Zhang
Ailing,
Purchase
Manager
S HAN G HAI
Company name
Description
227
Address
Contact
Person
A website providing olive oil

trading, information in China
China Olive Oil Trade
1958
Mr. Yang Wei,
Rm.1916, No.1958, HuaYuan
Manager
Plaza, Zhongshan Bei Rd.,

Shanghai
Established in 1992
1455 253
Shanghai Cereals & Oils
Rm.253,
Mr. He Tao,
Management Association
Suzhou Rd., Shanghai
228
No.1455,
Nan
Director
G U AN G Z H O U
Contact
Person
Company name
Description
Address
Xinxing Xianxianle Fruits
A local manufacture which is
Fenghuang Village, Xincheng
Co.,Ltd.
located in Guangdong and
Town,
produces dried fruits, and
Guangdong
Miss
produces dried olives.
Jianhui
Xinxing,
Yunfu,
Liang
Haifeng Zhenglong Food
Jinyuan
found in 1994 and located in
Chengdong
Shanwei
Shanwei, Guangdong
Mr.
Xuechen
dried olives.
city.
It
produces
dried fruits, and produces
Industrial
Town,
Zone,
Haifeng,

Chen
Guangzhou
Treasure
No.15,
Fu
Cong
Flavour Foods Ltd.
located in Guangzhou city and
Conghua
produces dried fruits including
Development
dried olives.
Guangzhou
Guangdong Jiabao Group
North side, East Duan,Chao'an
Co.,Ltd.
produces dried fruits including
da
dried olives. The trademark
Guangdong
Economic
Road,
and
Zone,
dao,
Chao'an
county,
"Jiabao" has won the award

"China Famous Brand".
G U AN G Z H O U
Company name
Contact
Person
Description
Address
A JV factory which invested by
No.1, Luo Ji Road, Ji Shan Qi
Co.,Ltd.
Malaysia North Holding Group
Shan
and Jiajia Group, specialized
Guangzhou
in
groundnuts oil, sunflower oil
Guangzhou
Jiajia
Oil
producing
olive
and corn oil.
oil,
229
Xia,
Tianhe
District,
Zhuhai Donghong
A local famous manufacture
3F, No.9 Building, Dong Keng
Co.,Ltd.
Food
which is located in Zhuhai city
No.2
and specialized in producing
Xiangzhou
olive
Guangdong
Wenping
Mobile:
oil,
groundnuts
oil,
sunflower oil and corn oil.
Industrial
District,
District,
Zhuhai,
Mr.
Huang
13326615816
9 3
Shenzhen
Lamsoon
Oil
manufacture
which
is
Nan Kang Road, Shekou Gang
Co.,Ltd.
located in Shenzhen city and
Wan Da Dao, Nanshan District,
belongs to Lam Soon Hong
Shenzhen
Kong Group. Lam Soon has

the famous trademark "Knife
Brand".
CQS Foods Company Ltd.
A local famous manufacture
5F, Wealth Business Incubator,
which is located in Zhuhai city
No.417,
and specialized in producing
Zhuhai, China
olive oil, groundnuts oil and
417 5
sunflower oil. The trademark

"CQS"
belongs
to
company.
this
Shishan
Road,
G U AN G Z H O U
Company name
Guangdong Food Industry
Description
Established in 2003
Contact
Person
Address
Rm.1404,
Jinhe
No.183,
Guangzhou
Mr. Liu Yihong
183
Vice-Chairman
230
Bei
Road,
Associations
1404
Xiao
Building,
2. Personal Interviews: Selection of Interview Partners

BEIJIN
I) Food Import & Export Companies/Food Dealers
Company name
Description
Contact
Person
Address
300
No.300,Nanyuanhuaifangxi
Beijing Guchuan Edible Oil
China
Mr.Xu
Road, Fengtai District, Beijing,
Co.,Ltd
6
1-1909
Beijing PinLi Food Co.,Ltd
Rm1909
No6,
Ms.Zhao
Time
Shuguangxili,
Inter',
Chaoyang
District, Beijing, China

17
Add: 17F. Diyang Tower H2
Ms.Deng
Tech-Trading Development
Dongsanhuan
Yanyan
Co., Ltd
Beijing China
Beijing
Huayuan
Life
North
Road
(Marketing
Division)
116
A 111
Room 111, No.116 Building A
Ms./Wang((Ma
Beijing Shiji Xinkang Trade
Jiahao Inter' Business Center
rketing
Co., Ltd
Zizhuyuan
Division)
Road,
Haidian
District,Beijing, China
Started business
both importer and wholesaler
District,
for the foreign foodstuffs in
CHINA
Yuanhe
Co.,Ltd
Hengtai
Trade
YUANHE
China,
in 2001,
HENGTAI
which
experiences
&
has
being
more
abilities
to
serve & satisfy customers

requests.
231
No. 6, Beiyuancun, Chaoyang

Beijing
100012,
Ms.Du
(Marketing
Division)
Beijing Shingli-Just food trade
Rm,104,Building 3, Renji Villa,
Co.
Zizhuyuan
Beijing
enterprise of trade in this line,
Shengli
Food
Co.,Ltd
for
Ltd.
many
devoted
is
years,
famous
we
to
high-quality
domestic
Road,
Haidian
Ms.Zhang
are
Marketing
various
import
food
Division(Beijin
and
g)
market
development
and
popularization.
Beijing JinDongFang Trade
Beijing
international trading company,
JinDongFang
Trade Co.,Ltd
Co.,
Ltd
is
private
major in international food

imports and sales.
108
Wang Xianwei
No.108,Beishagou,Haidian
GM
BEIJIN
II) Purchaser from Supermarkets / Restaurants / Catering
Company name
Description
Contact
Person
Address
Liu Jun
Purchase
1
ITO YOKADO
Japanese Supermarket
No.1,Jinsongnan
Manager
Road,
Chaoyang District, Beijing
15
Zhou
Chaoshifa Supermarket
No.15
Purchase
Shuangyushu
Jie/Yangbo
Manager
Dongli,Haidian District, Beijing,

China
Bleu
Marine
(French
French Restaurant
Mr.Jia Haijie
No.5,Guanghuaxili,Chaoyang
District, Beijing China
Restaurants)
F&B Manager
Grecian Restaurant
1
No.1
232
Siwu
Street,Sanlitun,Chaoyang
Athena
District,Beijing, China
Ms.Changli
F&B Manager
233
50
Italian Venice Restaurants
Italian Restaurants
No.
50
Beijing
Gjgerhard
Kempinski
Hotel,Liangma
Chaoyang
Friedwajgner
Road,
District
Beijing
China
Der Landgraf--Beijing
Pufang
Road,
Fangzhuang,
Fengtai District, Beijing, China

Having opened in 1989, The
Peninsula
Peninsula Beijing
Beijing
has
an
Patrick
Bahrens
imposing, traditional Chinese
No.8,Goldfish
architectural-style
Wangfujing,Beijing, China
exterior,
F&B Manager
German Restaurants
Mr.Guan Feng
Lane,
integrated with the ultimate in

luxurious,
modern
hotel
amenities and facilities

Beijing Swisstel
Swisstel Hotels & Resorts is

a distinctive group of deluxe
hotels for today's discerning
No.2,Chaoyangmenbeijie,
modern business and leisure
Beijing, China
travellers,
combining
Gianmaria
Azzoni
the
renowned Swiss touch with a

fresh,
modern
and
contemporary design.
Shangri-La
and
29
Resorts began in 1971 with
No.29,Zizhuyuan
our
Beijing, China
first
deluxe
Singapore.
Beiing Shangri-la Hotel
Hotels
hotel
Our
in
Road,
name,
Shangri-La, was inspired by

James
Hilton's
Cedric Befler
legendary
novel Lost Horizon. A tranquil

haven in the mountains of
Tibet, Shangri-La cast a spell
on all who resided there.
Since its opening in 1900, the
Beijing Hotel played host to
Beijing Hotel
33
numerous
political
and
No.33,Dongchangan
corporate
events
and
Dongcheng
welcomed heads of states,

industry leaders, academics
234
China
District,
Street,
Beijing,
Tian Zhenwen
and travelers from all walks of
life.
235
Beijing International Hotel
Open
in
1987,
Beijing
International Hotel(BIH) is a
5-star
hotel
located
Chang'an Street,
on
the central
9
No9,
Jianguomen
Tan Jie
Street,
Beijing, China
area of foreign affairs and

business,
forming one of the
most potential business area

of Beijing with COFCO Plaza,
Herderson Center and Bright
China
Chang'an
Mansion.
Only 28 kilometer from the

airport,
and also very close
to the Forbidden city (the

Imperial Palace).
S HAN G HAI
Company name
Address
Contact
Person
58 6
802
Description
Importer for Spanish olive oil
FeiJi Business Trade Co.,

Ltd.
Rm.802,
Shanghai
Importer for Australian olive oil
XinYing
Import&Export Co., Ltd.
Importer for Spanish olive oil

(Valencian Region)
Shanghai Linli Trading Co.,

Ltd.
Lane.58,
Ms. Cai Yun,
KangJian Rd., Xuhui District,
Manager
Shanghai
Maketing Dept.
400
704
Rm.704,
No.6,
No.400,
Zhejiang
of
Ms. Jing Jin,
Zhong Rd., Huangpu District,
Manager
Shanghai
Import Dept.
3088 72
101
Ms.
Rm.101,
of
Zhang
Ruiying,
No.72,
Lane.3088,
Manager
JinXiu Rd. Pudong district,

Shanghai
Shanghai
King
Importer
for
La
Espanola
extra virgin olive oil
Foods
Condiment Co., Ltd
236
185
185 Zhonghua Rd., 200010
Mr.
Shanghai, China
Ping, Manager
Wang
Importer
Shanghai
KuiChun
for
'YBARRA',
100 318
from Spain
Rm.318,
Mr.
YBARRA' sliced black olives
Rd., Shanghai
WU, Manager
3131
20 2003
'Carbonell', 'Mueloliva' olive oil
No.100,
YeJiaZhai
BaiGeng
from Spain
'Eureka' sliced black olives
from Spain
Shanghai
Importer for 'MONINI' olive oil

from Italy
Goodwell
Trading Co., Ltd.
Lucy, Ms. Liu,

Manager
of
Marketing
Dept.
658 4 12
Mr. Duccio
Develop
Sinodis Food (Shanghai)
Floor 1/2, Building 4, No.658,
Co., Ltd.
JinZhong Rd., Shanghai
Importer
for
'CARAPELLI'
olive oil from Italy
Importer for 'Taris' olive oil

from Turkey
Shanghai
PaiRuiSheng
Business
Manager
1288 7114
Rm.7114, No.1288, YangGao
Mr. Zhang Jie,
Nan Rd., Shanghai
Manager
168
168, DongTang Rd., Pudong
Ms, Han Xia,
Trading Co., Ltd.

Importer for 'Olivoila' olive oil

from Italy
Shanghai
District, Shanghai
Kerry
Manager
Oils&Grains Industrial Co.,

Ltd.

Importer
for
'OLEAURUM'
760 2106
Rm.2106, No.760, XiZang Nan
Shanghai ZiYuan Trading
Rd., Shanghai
Mr.
olive oil from Spain
Co.Ltd.
237
Lu
Jia,
Manager
of
Marketing
Dept.
Importer for 'MOLI' olive oil
from Italy
Shanghai MoLi Food Co.,
1255 A14
Mr.
Ltd.
A14 Building, 1255, LianHua
Manager
Rong,
Rd., Shanghai
Importer
Shanghai
Chen
for
'Aodi'
Olives from Spain

Olive oils from Italy
Green
185 A 501
Ms.
Fang
DiZhi Trading
Rm.501,
UnitA No.185,
Danhong,
Co., Ltd.
ZhongHua Rd., Shanghai
238
Import Dept.
Importer for 'Nature Verde'

black olives from Italy
Gourmedis
'Rioba' Green olives from Italy
(China)
Trading Co., Ltd
1263
Ms.
10
Alix
10F New Long March Plaza,
Head of Sales
No.
1263,
Zhenbei
Jocelyne
Road,
200333 Shanghai, China
S HAN G HAI
Company name
Description
Contact
Person
Address
5 stars hotel
New World Mayfair Hotel
1555
No.1555,Ding
Xi
Rd.,
Changning District, Shanghai
Mr.
Edison
Zhao,
Purchasing
Officer
famous
Malone's American Caf /
there's
American
style
bar/restaurant in Shanghai,
3
branches
shanghai city
Bar
in
255
No.255,
TongRen
Rd.,
Shanghai
Mr.
Johnny
Yan,
Purchasing
Manager
Renaissance
5 stars hotel
2099
Yangtze
No.2099,
Shanghai Hotel
Shanghai
239
YanAn
Xi

Rd.,
Mr.
Xu
Yin,
Purchasing,
Manger
famous
Da Marco
branches in Shanghai city
restaurant
Italian
which
style
has
two
Mr.
Ley,
165A
Manager
Purchasing
Unit.165A, GuangHui Plaza,

No.1, Hongqiao Rd., Xuhui
District Shanghai
A greek style restaurant which
Greek Taverna
Shanghai city
has
three
branches
in
3911 1
Mr.
Manager
1 Building, No.3911, HongMei

Rd., Shanghai
240
Grigory,
Purchasing
G UAN G ZHO U
Company name
Description
Guangzhou Youlip Trading
Importer / Food dealer for
International
Co.,Ltd.
Grecian olive oil
Dong
Contact
Person
Address
Bank
Tower,
Xi
Road,
Feng
Guangzhou
Miss Zhou
Mobile:
Guangzhou Zhongshan Road
Cases Trading Co.,Ltd.
food
38 Kaetsu Housing Building
chemicals,
Guangzhou
Zongsheng
additives,
household
bio-pharmaceutical
materials,
fine
raw
chemicals,
intensive spices, and food

coloring.
Futurza
Spanish olive oil (ACEITES
1643
Mr Luo Gang
38
mobile:
76
2009
Guangzhou Junle Trading
Co.,Ltd.
Spanish and Grecian olive oil
261 ,
Guangzhou
Xizhong
Trading Co.,Ltd.
13352827373
1643
DEL SUR)
13112292402
264 31
Rm.7A, No.128, Shuiyin Road,
Spanish olive oil
Guangzhou
128 7A
Miss Du
Tel.
020-37391880
Guangdong
Boying
Co.,Ltd.
Rm.1006, No.461, Sun Plaza
Grecian olive oil
Yangguang
Road,
Ge,
Tian
Tianhe
Run
District,
Guangzhou
461
1006
Zhufeng
Rm.A12-20, Xiamao Shengshi
Spanish olive oil
Exhibition
Trading
(Guangzhou) Co.,Ltd.
Baiyun
District, Guangzhou
Mr. Zhu Lei
Tel.
A12-20
241
Center,
13710919695
Guangzhou
Junxing
International
Trading
Importer / Food dealer
9F, Yinhua Building, No.1-3,

Xin Gang Xi Road, Haizhu
Co.,Ltd.
District, Guangzhou
Mr.
1-3
Zhenxing
13560226505
242
Chen
Mobile:
G UAN G ZHO U
Company name
Asia International Hotel
Description
Contact
Person
Address
5 stars hotel
No.326, Huan Shi Dong Road,

Guangzhou
326
Nanguo Supermarket
A famous supermarket which
is
located
in
residential
high
Mr. Guo
class
zone
of
Mr. Xu
Guangzhou city.
Milano
An Italian style restaurant
1F, World Trade Center East
which
Plaza, No.371-375, Huan Shi
is
located
in
the
Guangzhou city centre.
Dong Road, Guangzhou

371-375
1
Normandy
Hua Cheng Da Dao, Zhu Jiang
which is located in the high
New
class
Guangzhou
residential
zone
of
Guangzhou city.
City,
Tianhe
District,
()
Buongiorno
Rm.304-310, 3F, Yian Plaza,
which
Jian She Liu Ma Road, Yuexiu
is
located
in
Guangzhou city centre.
the
District, Guangzhou
3 304-310
In addition to primary research information achieved through interviews several store

checks in Beijin are being carried out as well.
3. Store Checks (Beijin)

Carrefour()
Lotus
243
WFJ YOKADO ()
Marrymart ()
244

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Study on the Promotion of Consumption of Olive Oil and Table Olives in China

Study on the Promotion of

Consejo Olecola Internacional (International Olive Council)

AFC Management Consulting AG

Far Eastern Limited

Fernost Beratungs- und Handels GmbH

D-53129 Bonn, Germany

D-67061 Ludwigshafen, Germany

Executive Summary ................................................................................... 12

Research purpose and objectives of the study ....................................... 16

Organisation and Methodology ................................................................ 18

Overview of the Availability of Information about the Consumption of

Facts and figures about China .................................................................. 25

Relevance of sales regions ....................................................................... 28

Table Olives ................................................................................................ 59

Description of Consumer Groups ............................................................. 93

11.1. General Communication Aspects ............................................................ 109

Marketing Campaign for China ............................................................... 139

12.1. General Objective and Target Groups to be addressed .......................... 139

Other Activities .................................................................................. 156

Source Index............................................................................................. 172

ANNEXES ........................................................................................................... 175

acetic acid, not frozen) from 2006 to July 2009 ............................................... 79

Chart 72: Purchase behaviour concerning olives and influences of customer

Chart 101: Two Step Flow of Communication ...................................................... 140

Appellation dOrigine Contrle

Asia-Pacific Economic Cooperation

General Administration of Quality Supervision, Inspection and Quarantine

Beijing Business & Intelligence Consulting Co. ,Ltd.

Consumer Price Index

Deutsches Institut fr Normung (German norm Institute)

Denominazione d'Origine Protetta

Design Standard Manual

Economic and Social Commission for Asia and the Pacific

Euro (official currency in European Union)

Food and Agriculture Organization

Food Safety Law

Guo Biao (National Standard)

Gross Domestic Product

Hazard Analysis Critical Control Point

Harmonized System Code

High Density Lipoprotein

International Olive Council

International Organisation for Standardization

Low Density Lipoprotein

Organisation Food Development Center

Protected Designation of Origin

Protected Geographical Indication

Peoples Republic of China

Renminbi (official currency in China)

Retail Price Index

French : Socit anonyme (public limited company)

The State Food and Drug Administration

Spanish: Sociedad Limitada (limited company)

French: Socit en nom collectif (ordinary partnership)

Italian: Societ a Responsabilit Limitata (Limited company)

Value Added Tax

ZB = Guo Nei Tui Jian Xing Biao Zhun, B = Nong Ye

The Development of demand