Global Distribution Group to Expand Distribution of Organic Products in China

Global Distribution Group Will Continue to Increase Its Business in China, Strengthen the Relationships With Current Distributors and Develop New Distribution Channels for Organic and Natural Products

OAKLAND, CA / ACCESSWIRE / JUNE 23, 2015 / Organic and natural food is one
of the sectors with the highest growth rates in the global food market.
In Asia-Pacific, awareness of the organic and natural food benefits
combined with the increasing concern for food safety, and raising
disposable income and purchasing power leads to increased demand for
organic and natural products.

China is emerging as the top importer for US food products. There are
three factors leading to the explosive growth: (1) the increased
domestic food safety issues; (2) the organic certification is seen as a
guarantee for product quality and safety; (3) the growth in the
high-income groups; (4) the evolution of the sales channels, with more
dedicated organic retailers as well as high-end supermarkets, hotels and
restaurants that carry natural and organic products.

In addition China has recently appointed trial free zones in major
cities, which creates more opportunities for imports. There are
challenges as well, in particularly driven by tariffs and China’s
complicated organic certification system introduced in April 2014. Still
China is the highest grocery market, and is experiencing a rapid growth
in the organic segment of more than 20% through 2020. Chinese organic
certification groups are also signing more mutual recognition agreements
with international organic certifiers helping the organic market
growth.

An increasing demand from internationalized groups, with high
disposable income and the absence of import duties and trade barriers on
food has resulted in Hong Kong’s rise to the 7th largest market for
selected U.S. organic exports. 

In an effort to capture these opportunities, Global Distribution
Group has decided to expand its operations in China and Hong Kong and
develop new distribution channels for Organic and Natural products in
the region.

Global Distribution group works with local representatives in all
Chinese markets. All sales representatives are highly experienced and
have a very good understanding of the local business practices.

Global Distribution Group will continue to strengthen its presence in
the Asia -Pacific region with particular focus on China and Hong Kong.

SOURCE: Global Distribution Group

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