Most Chinese have the habit of taking cooking oil when eating, however, in different places they prefer different kinds of choice. Currently, this market is obviously controlling by big companies and WFOEs which build up enormous market share in previous years. The world’s second big economic entity transferred from the largest producing country to the hugest importing country just in 6 years which ring the alarm bell for our market and government.
Types of cooking oil in China
Baking or frying dish with cooking oil appears on each table of Chinese family, from morning to evening, from northern China to southern. Chinese people are habituated to eat with vegetable or animal fat, thinking dishes would be more delicious within it. In the western world, people like eating with palm oil and olive oil, while in China most citizens prefer soybean oil and peanut oil for these raw materials are quite accessible in Mainland of China. Soybeans grow in the northeastern China where takes over 1/3 of the whole country. Shandong(山东) Province, on North China Plain, is the most appropriate and economical field for peanuts.
Leading brands of cooking oil in China—“Golden dragon fish”, “Fook Lam Moon”, “Mighty olive oil”, “Lamasia”
Golden dragon fish(Jin Long Yu金龙鱼) and Fook Lam Moon(Fu Lin Men福临门) are 2 of the most famous cooking oil brands in China. The former was a Singaporean company while the latter one is a branch brand of COFCO. Those top companies eventually monopolized the entire cooking oil industry. In terms of western olive oil, Chinese indigenous brand Mighty olive oil (Duo Li 多力橄榄油) and Spanish brand Lamasia take the lead in the market.
Soybeans shortage crisis caused by “AMD”, “Bunge”, “Cargill”, “Louis Dreyfus”
Here comes the crucial time for Chinese cooking oil market as the production quantity of soybeans in Heilongjiang (黑龙江) province is getting smaller and smaller, with a 90% decrease in recent 6 years. It is reported that over 7 tenths of soybeans are imported compared with high consumption. Statistics show that from January to September in 2005 China imported 1.953 million tons of beans and during the corresponding period in 2011 we did 3.771 million tons. Meanwhile the four big granary, AMD( Archer Daniels Midland), Bunge, Cargill and Louis Dreyfus known as ABCD have the say.