Updated Jan 10, 2023 14:01

Preserved Frozen Potato Market in China

Market Overview
The Chinese preserved frozen potato market dropped to $ in , waning by -% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption, however, recorded a prominent expansion. Preserved frozen potato consumption peaked at $ in 2019; however, from to , consumption stood at a somewhat lower figure.

In value terms, preserved frozen potato production contracted slightly to $ in estimated in export price. In general, production posted buoyant growth. The most prominent rate of growth was recorded in 2017 when the production volume increased by %. Preserved frozen potato production peaked at $ in 2019; however, from to , production remained at a lower figure.


Consumption
In , consumption of frozen potatoes (prepared or preserved) decreased by -% to tons, falling for the second year in a row after fourteen years of growth. In general, the total consumption indicated a strong expansion from 2007 to : its volume increased at an average annual rate of +% over the last fifteen-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on figures, consumption decreased by -% against indices. Over the period under review, consumption hit record highs at tons in ; however, from to , consumption failed to regain momentum.

The size of the preserved frozen potato market in China declined to $ in , with a decrease of -% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption, however, posted a resilient expansion. Over the period under review, the market reached the peak level at $ in 2019; however, from to , consumption failed to regain momentum.


Market Forecast
Driven by increasing demand for preserved frozen potato in China, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Over the period under review, imports of preserved frozen potato in China were negligibly small compared to the production volumes. Therefore, the share of imports in the total market was practically nonexistent, both in volume and in value terms. This situation has remained constant over the period under review, which means that domestic producers entirely meet the domestic demand for preserved frozen potato. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports remained relatively constant over the period under review. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (- percentage point) over the period under review.


Trade Balance
China remains a net exporter of preserved frozen potato; in physical and value terms, exports consistently exceeded imports from 2007 to . In , there was a significant trade surplus of tons, which was equal to $. This tangible trade surplus reflects the fact that the market remains buoyed by domestic production, and the industry is highly incorporated into the global market, which is likely to continue in the medium term.