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Online vendors bring bite of China to masses (2)

(Xinhua)

07:56, January 31, 2013

<b>WIN-WIN DEAL</b>

The story of the two Wangs is just one example of China's booming online farm produce market. More and more urbanites are shopping for groceries online to ensure a healthy diet.

A report released by the Alibaba Group in January revealed that sales of agricultural products on Taobao.com and Tmall.com, the country's biggest online retail stores, totaled 19.8 billion yuan (3.14 billion U.S. dollars) in 2012. An average of 20,000 Chinese families buy farm produce online every day.

Tea is the most popular item, according to the report, with daily trade exceeding 7 million yuan. Tea is followed in popularity by dates, nuts and honey products. Fresh fruit and seafood have registered the fastest growth, with annual sales quadrupling last year.

The number of farmers who have chosen to hawk their products online has grown as well, with 1.71 million online farm produce vendors by the end of 2011, according to a report from the Information Research Center of Chinese Academy of Social Sciences.

"This is a win-win situation, both for customers and farmers," said China E-Commerce Research Center analyst Zhang Zhouping. "On the one hand, it can satisfy urban consumers' desire to eat safe and healthy; on the other hand, it can further promote the use of technology in rural areas and increase farmers' incomes."

A series of food safety scandals that have shattered consumer confidence have made it difficult for consumers to trust street vendors or even established brands.

"Online shopping can actually increase transparency and mutual trust," said Wang Sijia. "You can tell where and how the products are made through online videos, pictures and farm licenses posted by the farmers themselves, all of which are unavailable when purchasing through traditional means."

The direct link between buyers and producers also helps both sides get rid of intermediary surcharges, which have pushed up food prices while gobbling up the bulk of farmers' profits, she added.

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