Skip to main content

Marketing Strategy of Global Deployment Succeeds with Taiwan Agricultural Exports Growing 16% Last Year

2012-02-16

The Council of Agriculture (COA) said Taiwan agricultural exports totaled US$4.66 billion in 2011, an increase of 16% over the previous year and a new record high in 10 years. Taiwan’s export of agricultural products to all major foreign markets grew by 12% (Japan), 25% (China) and 13% (U.S.) respectively, demonstrating the superior international competitiveness of Taiwan agricultural products and the achievement of the marketing strategy of global deployment promoted by the Council.

 

Marching towards International Stage to Achieve Goal of “Based in Taiwan to Deploy throughout World”

 

In recent years the Council has set “based in Taiwan to deploy throughout the world” as its goal and actively promoted the agricultural products international marketing plan and diversified marketing strategy to assist exporters to participate in international exhibitions in target markets, sponsor promotional activities in cooperation with chain distributors, and establish long-term publicity, display and sale bases. The COA has actively helped exporters maintain their market shares in Japan, China and the United States, while developing emerging markets in Southeast Asia, Europe and the Middle East, seeking to enhance the quality and quantity of agricultural exports. Taiwan’s export of agricultural products grew 16% to US$4.66 billion in 2011. And the export of 33 items of agricultural products directly related to farmers’ production totaled US$750 million, increasing 17% or US$107 million over 2010. Among the 33 items, Phalaenopsis and grouper exports grew more than US$10 million and vegetable soybean, tea, perch and tilapia exports increased more than US$5 million, bringing real benefits to farmers.

 

Setting Target Markets and Expansion Strategies for Different Export Products

 

Based on the operation characteristics of Taiwan agriculture, the Council has aimed at developing export markets for diversified products and formulating different marketing strategies for selected niche markets, hoping to create an export industry model and spur the export growth of all the products. For example, the government has effectively removed export barriers for Phalaenopsis through bilateral negotiations with export market countries. Taiwan’s export competitiveness has been significantly enhanced because the United States, Australia and New Zealand agreed to import Taiwan Phalaenopsis with medium in 2004 and 2011 respectively. And Phalaenopsis export value increased to some US$100 million in 2011, a growth of 20% over 2010. Moreover, Taiwan is Japan’s No. 1 vegetable soybean supply country. In recent years the COA has promoted the establishment of large-scale export zones, encouraged farmers to grow vegetable soybeans under contract, established the pesticide safety management system, actively developed new varieties of vegetable soybean, strengthened plant variety right protection, and assisted the industry in developing the international market through participation in foreign exhibitions and sponsoring promotional activities abroad. These efforts helped increase vegetable soybean export value to US$63 million in 2011, growing 13% as compared with 2010.

 

Utilizing Cross-strait Policy to Take Root in Mainland Market

 

Thanks to the opening of cross-strait direct transport and benefits brought by such policies as the signing of Cross-strait Agreement on Agricultural Products Quarantine and Inspection Cooperation and Economic Cooperation Framework Agreement (ECFA), China has now become the second largest market for Taiwan agricultural exports. The export of Taiwan agricultural products to China totaled US$665 million in 2011, increasing 25% over the previous year; and the export of 18 agricultural product items on the ECFA early harvest list totaled 20,300 tons with a value of US$126 million, growing 88% and 127% respectively as compared with 2010. In addition, the removal of quarantine and inspection barriers has enabled products manufactured by five Taiwan livestock processors and fresh pears to be exported to China.

 

The COA explained that because the mainland consumption market has been flourishing in recent years, the Council has set the marketing strategy of building the image of “Taiwan quality products” to export mainly CAS quality products and GAP safe vegetables and fruits, hoping to highlight the special features of Taiwan agricultural products to separate them from Chinese products by differentiation and established brands. The Council has also continued assisting exporters to participate in international exhibitions sponsored by China, sponsored such promotional activities as “Taiwan Vegetable and Fruit Day,” and entrusted the Uni-President Group with establishing “Wanxiang,” a base for display and sale of Taiwan agricultural products which opened on Feb. 18 this year, hoping to further develop the Chinese market. The COA will strive to increase farmers’ income by establishing stable supply chains for export products, improving the quality of Taiwan products and expanding diversified export channels to further promote exports. ( 2012-02-16)