Daily News March 31, 2014

Environment and Health

Bags of Mountain Air Offered in Smog-Addled Chinese City, WSJ

Proving that China’s fight against pollution has moved decisively into the realm of parody, bags containing mountain air were shipped into one particularly smog-addled city over the weekend.

Related:

China sells BOTTLED AIR to tourists as smog described as 'environmental crisis' 

Zhengzhou residents enjoy vacuum-packed mountain air, Want China Times

Hundreds protest chemical plant in southern China, Reuters

 Hundreds of protesters in southern China marched against a chemical plant and environmental degradation on Sunday in a demonstration that the Maoming city government called a "grave violation" by criminals causing chaos.

Ongoing Problem on Coal and Oil

Husky Energy Delivers Production at the Liwan Gas Project in the South China Sea, Market Watch

Husky Energy and CNOOC Limited have commenced first production at the landmark Liwan Gas Project in the South China Sea.

Let us kick-start our coal policy, Mongolnews

The 4th global coking coal summit was held in Taiyuan (Shanxi Province, China) last week.

Crop Dairy and Food Security

Chinese Food on U.S. Plates, From Shellfish to Sausage Casings, WSJ

China’s food safety issues got another airing yesterday with the news that the country’s largest meat processor, Shuanghui International Holdings, struck a deal to buy Smithfield Foods, America’s biggest pork producer.

Related:

China’s Food Deal Extends Its Reach, Already Mighty, NY Times

Danish dairy giant Arla makes big gains in Chinese market, Want China Times

The value of Denmark-based dairy giant Arla's stock in Mengniu, China's largest dairy firm, has risen 65%, increasing the worth of Arla's original 1.8 billion Danish krone (US$333.3 million) investment to nearly 3 billion krone (US$552.6 billion).

Poultry trade feeling global impacts, Meat Poultry

Stakeholders in the global poultry trade may see the second quarter get hit with a triple whammy — sharp increases in grain prices; bird flu outbreaks in China and weaker Asian economy, Rabobank noted in its poultry quarterly report.

Related:

Global Poultry Industry Q1 2014, Businesswire

WH Group Seeks Up To $6 Billion From Hong Kong IPO, WSJ

WH Group, the Chinese pork producer that made headlines last year with the acquisition of Smithfield Foods., started meeting investors with plans to raise up to $6 billion in its Hong Kong initial public offering.

Trade

Chinese grain sector shows interest in Pak rice export

Guangdong (China) Grain sector has shown keen interest in enhancing the volume of import of rice from Pakistan and invited Pakistani rice growers to join hands with it in the larger benefit of the two countries.

U.S. Entrepreneurs Find Growing Opportunity in China, Forbes

Many Americans get frustrated by the huge trade deficit between the U.S. and China.

Daily News March 28, 2014

Environment and Pollution

Cnooc Plans More Spending Despite Profit Slide, WSJ

Cnooc is planning a big rise in capital spending this year as it shifts its focus to deep-water projects, despite posting an 11% fall in 2013 net profit.

China's air pollution reporting is misleading, China Dialogue

Real-time air quality assessments are critical for helping limit public exposure to high levels of air pollution, argues analyst Steven Q. Andrews.

China Gets Serious About Its Pollutant-Laden Soil, Science Now

A recent national survey found that 2.5% of China's arable land is too contaminated to grow food safely. The survey's details were so alarming that they were declared a "state secret." Now, the central government appears eager to tackle the problem; China's latest 5-year plan singles out five industries as egregious soil polluters and sets a target to reduce, by 2015, discharges of heavy metals by 15% from 2007 levels.

Crops, Dairy and Food Security

Walmart China loses customer confidence, Want China Times

After 40 years in China, Walmart, the world's largest retailer, is facing a crisis of trust in the market due to its failure to keep up consistent quality of service and its perfunctory responses to customer complaints.

Danish dairy giant Arla makes big gains in Chinese market, China Dairy

The value of Denmark's dairy giant Arla's stock in China's largest dairy,Mengniu, has risen 65 percent, making Arla's investment of 1.8 billion Danish kroner (around $333.3 million) now worth nearly 3 billion kroner.

Hong Kong bans import of poultry from Netherlands city, Want China Times

The import of poultry and poultry products from Dronten of the Netherlands to Hong Kong has been banned under the threats of avian influenza, Hong Kong's Center for Food Safety announced Monday.

China Grain Trader Cofco Nears Another Deal, WSJ

China's largest grain trader, state-owned Cofco Corp., and mainland private-equity firm Hopu Investment Management Co. are close to announcing a joint venture with Noble Group Ltd. N21.SG +0.41% 's agribusiness division, signaling Beijing's's continued pursuit of power in the global food market, people familiar with the situation said.

KFC tries to revive China sales with menu makeover, CBS News

Selling chicken is no easy task during outbreaks of bird flu. Just ask Yum Brands (YUM), the owner of KFC.

Ongoing Problems on Coal

Developing nations key as US, China get dirty on coal, smh

Coal prices are likely to drift gradually lower rather than crash as China declares war on pollution and lower demand in developed countries offsets a strong appetite from emerging markets, analysts say.

Coal: In Search of Lower Cost Export Routes to China

The primary competition to coal is natural gas, which emits roughly half the carbon per unit of energy that coal does. 

Daily News March 27, 2014

Environment and Pollution

China regulators order end to smog insurance sales, Reuters

Chinese regulators have told the country's two largest insurers to stop selling coverage against smog, a week after such policies were launched, the China Daily reported on Thursday.

China to move some facilities out of polluted capital to ease congestion, Reuters

China plans to move some administrative, research and healthcare facilities out of its capital to a nearby city to ease the burden on Beijing, which is often wreathed in heavy smog and choked with traffic jams, state media reported on Thursday.

Guizhou to sell canned fresh air to tourists, Want China Times

Guizhou province in southwestern China plans to produce cans of fresh air to sell as tourist souvenirs, reports the state-run China News Service.

Enforcement seen key to success of China's new environmental markets, Want China Times

China's plan for a market in air pollution permits promises to help clean up its air cheaply, but the move could prove just as useless as previous environmental policies unless the government stamps out lax enforcement and spotty data.

Crops and Food Security

Chinese Pigs Eating Soybeans Cut U.S. Supply to 1965 Low, Bloomberg

In the 60 years that Ursa Farmers Cooperative has been loading Midwest soybeans onto boats along the Mississippi River, business has never been this good.

CLASS CONFLICT AT WALMART IN CHINA?

CLASS CONFLICT AT WALMART IN CHINA?

By Robert Gottlieb

A bitter conflict has erupted at several Walmart store sites in China that were being targeted to close due to poor economic performance and Walmart’s own admission that it has not been as effective in its expansion drive in China as it had hoped to be. The workers at these plants, mostly women, were given the option of a short severance package or to relocate to another Walmart store several hours away. The workers pushed back and began to hold demonstrations that led to arrests of several of the workers.

What makes the situation most striking is the role of a union local (part of the government sponsored All Federation of Chinese Trade Union – ACFTU) and its leader, Huang Xingguo, at one of the stores slated for closure in Changde, a city of 6 million in Hunan Province. Taking the lead from the women who were protesting, the local union not only backed the demonstrators but threatened to expand the action and make common cause with workers at other Walmart Stores slated for closure. The union also participated in the actions and Xingguo was arrested by local authorities who have been supporting Walmart.

When Walmart accepted ACFTU as a bargaining agent at a number of its stores between 2006 and 2008, it seemed both unprecedented (Walmart agreeing to unionization at its stores!) but also necessary (ACFTU is an extension of the government) and potentially helpful. ACFTU was considered to be not only friendly to the company and its goals but it had also helped facilitate Walmart’s expansion into new areas. However, as the China Labor Bulletin has pointed out, the national union has been forced to respond to the literally thousands of protests and actions at workplaces involving foreign companies (as well as domestic ones) over a wide range of abuses and poor working conditions. The CLB called Xingguo’s role a “historic” shift and an article in the Financial Times also speculated that the union may well be responding to a changing climate influenced by a first time decline in the working population.

Even though there remains much skepticism about future protests turning into organized union actions and establishing a major shift in Walmart’s ability to control the agenda (see for example, a discussion of these issues in the current issue of The Progressive magazine), the outcome of the Changdu actions could also identify a changing landscape for Walmart as it struggles to readjust its plans in China.

Daily News March 26, 2014

Ongoing Problem on Coal

Greenpeace Report Predicts Widespread Water Crises Caused by China’s Northwestern Coal Power Bases, Green Peace

At least some 10 billion cubic meters of water – equivalent to about one sixth of the annual total water volume of the Yellow River – will be consumed by 16 new coal power bases in China in 2015, triggering severe water crises in the country’s arid Northwest, a new Greenpeace report claims.

Renewables Aren’t Enough. Clean Coal Is the Future

Coal supplies over 40 percent of global electricity needs, and that percentage is going up. The only real question is how to minimize the damage. 

Environment and Pollution

Pollution Killed 7 Million People Worldwide in 2012, Report Finds, NY Times

From taxi tailpipes in Paris to dung-fired stoves in New Delhi, air pollution claimed seven million lives around the world in 2012, according to figures released Tuesday by the World Health Organization. 

Smog continues in north China, China Daily

Smog will persist in north China, according to the National Meteorological Center (NMC).

4 percent of Chinese cities report clean air, Xinhua Net

Only three out of the 74 Chinese cities that were monitored for air quality last year reported clean air, while the large majority suffered various degrees of pollution, the Ministry of Environmental Protection said on Tuesday.

Beijing budgets for weather modification toreduce smog, China Daily

Beijing has allocated 20 million yuan ($3.23 million) for weather modification aimed at smog reduction this year in the annual budget released by the capital's meteorological bureau on Monday.

How Increased Meat Consumption In China Changes Landscapes Across The Globe, Forbes

Americans eat 235 pounds of meat annually.  That’s the equivalent of roughly 470 big hamburgers a year – more than a burger a day.

Crops and Food Security

China seeks to shore-up food security, meet demands, Agriview

The dynamic of trade is changing in China as the country looks toward expanding sources of grain to supply chain, food security and meet a growing demand for high-protein products for its rapidly expanding middle class, according to the U.S. Grains Council.

Chinese concerns over WA wheat quality, ABC

WA wheat producers are being told to lift their game or risk losing customers.

Trade

WTO rules China's export measures on rare earth inconsistent with rules, Xinhua Net

The World Trade Organization (WTO) ruled on Wednesday that China had acted inconsistently with WTO rules with regard to the export measures imposed on the rare earth materials.

Daily News March 25, 2014

Environment and Pollution

China's environmental problems are grim, admits ministry report, the Guardian

Report by China's Environment Ministry highlights decreasing standards in the country's water and air quality

China's face mask industry under scrutiny as pollution worsens, Reuters

Chinese citizens are feverishly snapping up face masks as worsening air pollution fuels a multi-million dollar industry where many products fail to provide even basic protection, drawing calls for better oversight and standards.

China's Hangzhou latest city to restrict car sales, Reuters

China's eastern city of Hangzhou will start restricting car sales from Wednesday, joining major cities, including Shanghai and Beijing, in the fight against snarling traffic and heavy smog in the world's largest automobile market.

China's smog insurers may 'cough up' in latest bout of air pollution, Want China Times

There could be a silver lining to the cloud of smog that has once again shrouded northeast China on Monday, as new insurance schemes may compensate those choking on the polluted air.

Insurers Seek to Capitalize on China’s Smog, NY Times

Wars can present many opportunities to make money, and China’s recently announced “war against pollution” looks to be no exception.

Ongoing Problem on Coal

Crops, Dairy and Food Security

China rejects more U.S. corn due to GMO as state sales approach, Reuters

China has rejected total of 908,800 T of US corn in 5 mths

Daily News March 24, 2014

Environment and Pollution

China aims to launch pollution permit market within 3 years, Reuters

China plans to launch a nationwide market to trade pollution permits within three years as part of efforts to tackle its environmental crisis, the Ministry of Finance (MOF) said on Monday.

UPDATE 1-Chad fines China's CNPC unit $1.2 bln for environmental damage, Reuters

Mapping China’s “Dam Rush”, Wilson Center

The China Environment Forum is proud to introduce our second interactive infographic: a map of China’s “dam rush” in its southwest region. 

China’s Water Problem, Wilson Center

"If China really can become more aggressive in actually enforcing their water pollution control laws, it would open up a lot of clean water for the people," Turner said

Chuck Chiang: China replanting forests to fight pollution, Vancouver Sun

It’s no secret that China’s rapid industrial and economic expansion in the past decade has taken a toll on its environment — not completely dissimilar to what was seen in Europe during the Industrial Revolution during the West’s own modernization, albeit at a faster pace and on a larger scale.

China deploys drones to spy on polluting industries, the Guardian

Drones to scout over skies of Beijing and other cities to check for smog sources and spot environmental breaches

Ongoing Problem on Coal

Mongolia Plans to Export 1bn Tons of Coal to China, Menafn

Mongolia proposes to export one billion tons of coal to China over the coming two decades.

Crops, Dairy and Food Security

A $125 Million Milk-Drying Factory in France to Feed China’s Thirst, WSJ

China is screaming for reliable baby formula. Brittany is dying to sell more of its high quality milk. Result: a 37-acre Chinese-owned milk plant in the sleepy town of Charhaix.

Organic milk getting boost in Maine

SOUTH CHINA — As he stood next to 600- and 800-gallon bulk tanks filled with raw milk, Spencer Aitel said he believes his farm is part of the fabric of the community.

GM cow a step closer to commercial pastures, China Daily

A type of domestically grown genetically modified dairy cow resistant to an infection that lowers milk yield is expected to reach the market in five to eight years, according to a national legislator.

Trade

China's Threat to American Farm Exports, WSJ

The ban on imports of a genetically engineered corn sends shock waves through U.S. agriculture.

The New Future for American Coal: Export It, WSJ

Consol Energy Shipped 10 Million Tons Through Baltimore Facility; The 'Million Dollar Mile' Train

Daily News March 17, 2014

Ongoing Problem on Coal

China's geothermal energy could replace coal，China Daily

China's geothermal energy potential roughly equals 853 billion tons of standard coal, and has the potential to replace coal in energy consumption, the country's energy regulator said on Thursday.

Environment and Pollution

China vows to clean up 60 pct of cities by 2020, Reuters

China pledged on Sunday that it will make sure that 60 percent of its cities meet national pollution standards by 2020, with pressure growing to make cities liveable as hundreds of millions of migrants are expected to relocate from the countryside.

Panasonic to offer 'pollution premium' to employees in China, Business Insurance

Employees of Japan-based Panasonic Corp. sent to China are to receive a wage premium to compensate for the dangerous air pollution in China, Agence France-Presse reported.

Planting forests across Beijing could help combat pollution, China Dialogue

Urban forests can play an important role in making cities nicer places to live and have cooling, pollution-reducing effects, says Jun Yang, from the Center for Earth System Science at Tsinghua University

Crops and Food Security

China's thirst for milk gives U.S. dairy farms a boost, Latimes

American dairy farmers see an opportunity as demand booms in China. In a Nevada town, a new factory will produce milk powder just for export.

United Dairy Power boss targets massive Chinese market, The Australian

The Hong Kong entrepreneur who now controls Australia's largest privately owned milk processing company, United Dairy Power (UDP), wants to use it as a springboard to break into the multi-billion-dollar powdered milk market in China.

HK bans import of poultry products from Netherlands city, Xinhua Net

The import of poultry and poultry products from Dronten of the Netherlands to Hong Kong has been banned under the threats of avian influenza, Hong Kong's Center for Food Safety announced Monday.

Trade

Chinese imports continuing to drive U.S. soybean prices – for now

For the first time in a long time, the corn market is looking at large rather than dwindling carry-in stocks, and Brazil and Argentine seem to be getting their soybean production back on track.

Daily News March 16, 2014

Crops and Food Security

Food safety fears contribute to rapid growth in organic products, South China Morning Post

Mainland approvals for healthier products have more than doubled over past four years.

China’s GMO Policies in the Spotlight of Public Concern, USMEF

The genetically modified food issue emerged during the National People’s Congress that commenced March 5, drawing public and outspoken support from some sectors, including Chinese Ministry of Agriculture (MOA) Vice-Minister Niu Dun, and opposition from more conservative factions of the government.

Environment and Pollution

Hubei sees successful UAV test to tackle smog, Wantchina Times

A domestically made parafoil plane in reducing fog performed its first test at an airport of central China's Hubei province on Saturday.

Only three cities in China met air quality standard in 2013: official, Wantchina Times

Only three of the 74 major Chinese cities subject to air quality monitoring met the national standard for fine air in 2013, an environmental protection official said on Saturday.

China pushing for new-energy cars, but challenges abound, CNTV English

In his government work report during the Two Sessions, Premier Li Keqiang said tackling air pollution was at the top of the government’s list. To attain this goal, a multi-pronged strategy is needed. One solution is to develop new energy vehicles, something easier said than done.

Trade

Hong Kong to consider increasing electricity imports in energy mix consultation, South China Morning Post

Hong Kong has to widen cross border power imports to help attain its emission reduction goals, but substantial expansion of nuclear energy intake might be out of question in the short term, according to a source close to the government.

Daily News March 15, 2014

Ongoing Problem on Coal 

Dirty Bosnian coal plant shows holes in China’s green investment drive, China Dialogue

China’s green credit policy has failed to put a stop to the Chinese-backed Stanari lignite plant, which breaches local and European regulations

Cheese prices at record on surge in exports to China, The Seattle Times
Cheddar-cheese prices climbed to a record as shipments to China jumped, pacing a surge in exports that has reduced supplies for domestic consumers.

Environmental problem

How Tesla Motors Inc’s electric car batteries are adding to China’s pollution woes, Finacial Post
As more environmentally conscious Americans do their bit to help clear the air by paying up for an eco-friendly Prius or a sporty Tesla, a damaging form of polluted rain is falling in China.

The misplaced emphasis on extreme weather in environmental threat communication, Washington Post

In today’s globalized economy, environmental disruptions in populous countries anywhere in the world could profoundly affect us all.

Trade 

GLOBAL MARKETS-World stocks, copper, oil decline after weak China export data, Reuters
Global stock indexes fell and the prices of copper and oil sank on Monday after surprisingly weak Chinese trade data added to worries about a slowdown in the world's second-largest economy

Crops and Food Security 

China will not import large quantities of food, People Daily

 China’s grain output reached 602 million tones last year, while according to the recently released China Food and Nutrition Development Program (2014-2020), as of the end 2020 China’s grain output will stabilize at 559 million tons or more

Chinacancels LatAm soyabean cargoes as poor margins hit, Business Recorder

Chinese soyabean importers have cancelled up to 600,000 tonnes of South American soyabean cargoes for shipment between March and May, two trade sources said, as an outbreak of bird flu in the country and negative crush margins curb demand.

Daily News March 14, 2014

Ongoing Problem on Coal 

China's geothermal energy could replace coal, Global Times

China's geothermal energy potential roughly equals 853 billion tonnes of standard coal, and has the potential to replace coal in energy consumption, the country's energy regulator said on Thursday.

Crops and Food Security 

China’s demand for milk powder becomes a white gold rush on Aussie dairy farms, The Australian

Chinese are buying up infant milk powder everywhere they can get it, outside of China. And that has led to shortages in at least a half-dozen countries ... 

Is China's Grain Independence Over?, Investing

Chinese leaders are worried the world’s second-largest economy will come to depend on imports for corn, just as it does for soybeans.

Hybrid agricultural model to support China’s food demand, Farminguk

In China, the issue of food security is driving the development of a hybrid model and changing the way in which the region will feed itself in the long-term.

Cargill to reject for export crops with new GMO Syngenta corn trait, Reuters

Since November, China's authorities have rejected more than 600,000 tonnes of U.S. corn and corn products containing another unauthorized genetically modified Syngenta corn trait, Agrisure Viptera. Known as MIR 162, the trait has been awaiting Beijing's approval for more than two years.

Environment Problems

World Bank loan tackles pollution in China, Xinhuanet

South China's Guangdong agricultural pollution control project, funded by the World Bank, was launched on Thursday.

China plans harsher penalties for environmental damage, out-law

Chinese companies which damage the environment will face harsher penalties and be made to compensate for their illegal acts the government has said as it pledges to toughen up anti-pollution laws.

Beijing's clean air plan to boost gas demand: Report , Economic Times

Beijing city's plan to cut air pollution will require a big shift from coal to gas, boosting its demand for the cleaner fuel by levels equivalent to around 10 percent of the country's total natural gas imports, Thomson Reuters Point Carbon said. 

Trade 

Imports stir anxiety but meet China’s food needs, Global times

The US Department of Agriculture reporting a near doubling of Chinese imports in 2013 to 22.8 million tons. 

The China-Hong Kong-Canada Oil Sands and New Pipeline Axis