According to a study by Global Trade Information Services Inc. (GTIS), China became a net food importer in cash terms during the first half of 2008, with its traditional surplus in agricultural goods quickly eradicated through higher food prices.
The report revealed that China had a deficit of US$5.78bn on trade in agricultural products for the first six months of the year, against a surplus of US$2.45bn during the year-earlier period. The value of imports increased by 72 per cent, while exports rose by around 12 per cent.
Of the key exporting countries, GTIS said that shipments from the US nearly doubled, while imports increased by 95 per cent from Brazil and 132 per cent from Argentina.
Conversely, exports to Japan, China's biggest food customer, fell by 12 per cent, although exports to the US did increase by 13 per cent.
World Trade Organisation data cited in the report showed that China has been a net food importer each year from 2000 to 2007, with the exception of 2004 when it ran a relatively small deficit of US$200m.
China's main agricultural imports include grains and cereals, while its primary exports are vegetables, fruits, fruit juices, fish and grains including rice.
