"China’s seed industry has witnessed remarkable progress in recent years, showing great development potential. China’s seed market value has reached USD8.01 billion in 2009, up 12.43% over 2008, with CAGR of 16.16% during 2001~2009. However, seed commercialization degree still lags behind western developed countries. China’s seed market scale ranks the 2nd in the world, following the US. With the sustained support from the government, seed industry in China will certainly maintain rapid growth in the coming few years, which will create many new commercial opportunities. This report aims to provide comprehensive understanding about Chinese seed industry and find out investment risk and business opportunities in this field. Following aspects of seed industry are emphatically covered in this report. - Demand characteristics and influencing factors. Analyze the current situation of seed supply and demand, as well as the main influencing factors. - Market situation of 8 kinds of main crop seeds. Identify market situation of 8 kinds of main crop seeds from market volume and value, key seed companies and institutes, and market share of the main varieties both in the whole country and the top 5 production regions. - China’s seed import and export. Uncover China’s seed import and export situation and understand advantageous and disadvantageous fields of China’s seed industry in the world. - Competitiveness analysis of seed companies. Provide competitiveness analysis to know strength and weakness of seed companies, and find out opportunities and threats in the seed industry. - Identify risk assessment and market opportunities. Policy risk, industry competition risk, supply-demand fluctuation risk and technology risk are assessed, and proposals to avoid risks are raised in this report. With the increasing market demand for seed, investment opportunities are recommended, including industry integration, GM crop development advancement and demand growth for improved seed varieties. - Seed industry prospect. Seed industry prospect from seed market volume and value and R&D trend are assessed. This report is helpful to:  Companies engaged in production, R&D and sales of seed.  Analysts and consultants trying to gain insights into Chinese seed market.  Governments paying attention to Chinese seed market.  Chambers of commerce and associations related to seed industry. "

1. CCM Data & Primary Intelligence
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Description:
China’s seed industry has witnessed remarkable progress in recent years, showing great development
potential. China’s seed market value has reached USD8.01 billion in 2009, up 12.43% over 2008, with
CAGR of 16.16% during 2001~2009. However, seed commercialization degree still lags behind
western developed countries. China’s seed market scale ranks the 2nd in the world, following the US.
With the sustained support from the government, seed industry in China will certainly maintain rapid
growth in the coming few years, which will create many new commercial opportunities.
This report aims to provide comprehensive understanding about Chinese seed industry and find out
investment risk and business opportunities in this field. Following aspects of seed industry are
emphatically covered in this report.
- Demand characteristics and influencing factors. Analyze the current situation of seed supply and
demand, as well as the main influencing factors.
- Market situation of 8 kinds of main crop seeds. Identify market situation of 8 kinds of main crop seeds
from market volume and value, key seed companies and institutes, and market share of the main
varieties both in the whole country and the top 5 production regions.
- China’s seed import and export. Uncover China’s seed import and export situation and understand
advantageous and disadvantageous fields of China’s seed industry in the world.
- Competitiveness analysis of seed companies. Provide competitiveness analysis to know strength and
weakness of seed companies, and find out opportunities and threats in the seed industry.
- Identify risk assessment and market opportunities. Policy risk, industry competition risk,
supply-demand fluctuation risk and technology risk are assessed, and proposals to avoid risks are
raised in this report. With the increasing market demand for seed, investment opportunities are
recommended, including industry integration, GM crop development advancement and demand growth
for improved seed varieties.
- Seed industry prospect. Seed industry prospect from seed market volume and value and R&D trend
are assessed.
This report is helpful to:
Companies engaged in⎫ production, R&D and sales of seed.
Website: http://www.cnchemicals.com Email: econtact@cnchemicals.com
Tel: +86-20-3761 6606 Fax: +86-20-3761 6968

3. CCM Data & Primary Intelligence
Analysts and consultants trying to⎫ gain insights into Chinese seed market.
Governments paying attention to⎫ Chinese seed market.
Chambers of commerce and associations related to seed⎫ industry.
Main content:
No. Content Page
Executive Summary 1
Introduction and methodology 3
Scope of Study 5
I Background of seed industry in China 6
I-1 China’s macro economy 6
I-2 Governmental policies related to seed industry 8
I-3 Planting situation 10
I-4 Seed industry development in China 12
II Seed market in China 16
II-1 Position of Chinese seed industry in the world 16
II-2 Seed supply 16
II-2.1 Supply characteristics 16
II-2.2 Key players 18
II-2.3 Events review of Chinese seed industry 19
II-2.4 Introduction to leading seed companies 23
II-3 Seed demand 30
II-3.1 Seed market summary 30
II-3.2 Demand characteristics and influencing factors 31
II-4 Main market segments of China's seed industry 35
II-4.1 Corn seed 35
II-4.2 Wheat seed 44
II-4.3 Rice seed 51
II-4.4 Cotton seed 61
II-4.5 Soybean seed 68
II-4.6 Rapeseed seed 76
II-4.7 Vegetable seed 85
II-4.8 Flower seed 92
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III Seed import and export 95
III-1 Overview of seed import and export 95
III-2 Import and export of vegetable seed 96
III-3 Import and export of flower seed 100
III-4 Import and export of rice seed 105
III-5 Import and export of corn seed 107
IV Competitiveness analysis of seed industry 109
IV-1 SWOT analysis of seed companies 109
IV-2 Brand competitiveness analysis 110
V Risk assessment and market opportunities 112
V-1 Warnings and proposals for avoiding investment risks 112
V-1.1 Policy risk 112
V-1.2 Industry competition risk 113
V-1.3 Supply-demand risk 114
V-1.4 Production cost risk 114
V-1.5 Technology risk 114
V-2 Market opportunities 115
V-2.1 Industry integration 115
V-2.2 Enhance development of GM technology 115
V-2.3 Demand growth of improved seed varieties 115
VI Seed industry prospect, 2010-2014 116
Executive summary:
China is gradually turning into a large consumer of all kinds of products from a world-manufacturing
center. Spectacular economy growth and soaring consumption will undoubtedly quicken the
consumption of products from various crops including grain crops and vegetables.
Seed industry development thus has been greatly boosted. Seed market is growing rapidly. In 2009,
China’s total seed market value rose to xx in 2009 from xx in 2001, with CAGR of xx from 2001 to 2009.
On the whole, market value of all kinds of crop seeds in China rose to some extent in 2009, mainly
thanks to the increase in seed price, caused by rising commercialization degree of seeds.
Among all classes of crops, vegetable constituted the largest proportion or xx of Chinese seed market
in 2009, with market value of xx billion in 2009. Demand for vegetable seed amounted to xx in 2009, up
only xx over the year before. However, average vegetable seed price in 2009 witnessed growth rate of
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5. CCM Data & Primary Intelligence
xx in 2009 compared to the previous year as more high-quality vegetable seeds were consumed.
Other three kinds of grain crops, namely corn, wheat and rice, ranked the 2nd to 4th by market value.
In 2009, market value of corn seed hit xx in China, up xx over the previous year, mainly attributed to the
rise in both market volume and average price of corn seed. However, hybrid corn seed oversupply has
been very severe in recent years.
With the growth of average seed price, market value of wheat seed in 2009 in China reached xx, up xx
compared to 2008. Market value of wheat seed is predicted to maintain stable in the future 5 years, as
there will be no significant change in crop planting structure in China and low seed price of wheat as a
kind of common grain crop.
China’s hybrid rice variety breeding is very competitive in the world and it has seen increase in both
domestic demand and exports in recent years. The rice seed market value was xx in 2009, up xx over
the previous year, attributed to the growth of the average seed price and the planting area increase of
hybrid rice.
As for seed foreign trade, China has witnessed great development in this aspect. Its seed foreign trade
value hit xx in 2009, up 10.68% over prior year. Vegetable seed trade value accounted for the largest
proportion, or xx, of the national total in 2009.
Currently, Chinese seed market is scattered and there are over xx seed companies, but no company
has remarkable market advantage compared to foreign ones. Among the 6 listed Chinese seed
companies, Dunhuang and Longping, belonging to Dunhuang Seed and Longping High-tech
respectively, are the two seed brands with largest market share of only xx and xx respectively in 2009.
However, these companies are expected to become stronger through merger and acquisition, with the
continuous government supports in the future.
Character of CCM' Report:
The aim of this report is to provide powerful assistance to the strategy group and the management
team in making correct decision as how to penetrate the ever-increasing China market and how to
catch the maximum commercial opportunities. The report is formulated independently by CCM’s
professional market researchers, based on the first-hand and primary data which are analyzed by
scientific methodology, confirmed with both manufacturers/end users/traders and legal authorities, and
presented in a logic way.
Sample pages：
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6. II-3 Seed demand
II-3.1 Seed market summary
China’s total seed market value had maintained continuous growth since 2001, reaching
USD8.01 billion in 2009, with CAGR of 16.16%. The continuous growth of seed market value
is mainly attributed to the soaring price of seeds with the commercialization level increase. The
overall seed commercialization degree was over 55% in 2009, about 30% higher than that in
2001. However, total seed market volume has presented insignificant development trend.
……………
Among all classes of crops, vegetable constitutes the largest proportion of 20.40% in the
Chinese seed market in 2009, with the seed market value of USD1,663.63 million. Besides,
market value of the main three kinds of grain crops, namely corn, wheat and rice, ranked the
2nd to 4th in the seed market. Comparatively, market value of all the kinds of crop seeds rose to
some extent in 2009 compared with 2008, mainly thanks to the increase of seed price.
Table II-3.1.1 Seed market structure in China, 2008-2009
Seed volume, '000 tonnes Seed value, million USD Planting area, ‘000 ha.
No. Crop
2008 2009 2008 2009 2008 2009
1 Wheat 3,896.82 3,994.65 1,141.09 1,239.92 23,617.10 24,210.00
2 Corn 1,194.55 1,218.40 1,320.48 1,444.95 29,863.80 30,460.00
3 Rice 877.23 890.40 1,053.19 1,186.33 29,240.90 29,680.00
4 Cotton 129.47 113.99 549.73 567.42 5,754.30 5,066.00
5 Soybean 684.52 660.00 521.16 560.47 9,126.90 8,800.00
6 Rapeseed 9.89 10.80 98.47 118.59 6,593.70 7,200.00
7 Vegetable 125.13 125.66 1,398.64 1,633.63 17,876.20 17,952.00
8 Flower 2.91 3.29 32.81 39.00 776.00 876.88
9 Others 2,952.98 2,993.30 1007.38 1218.36 65,621.70 66,517.88
Total 9,873.50 10,010.49 7,122.94 8,008.68 188,470.60 190,762.76
Source: CCM International
II-4 Main market segments of China's seed industry
II-4.1 Corn seed
Planting situation
China is the second largest corn producer in the world in total yield and planting area, but its
unit yield of corn is just at the middle level in the world. With small room for planting area
increase, China has attached increasing importance to raising corn unit yield, especially
through improved varieties promotion of hybrid corn.
………….

7. Heilongjiang, Jilin, Shandong, Hebei and Henan are the top five corn production provinces in
China, accounting for 50.40% of the total corn planting area in China in 2009.
Table II-4.1.1 Planting situation of corn in China, 2005-2009
Year Planting area, '000 ha. Total yield, ‘000 tonnes Unit yield, kg/ha.
2005 26,358.10 139,365.00 5,287.37
2006 26,970.80 145,485.00 5,394.17
2007 29,477.60 152,302.00 5,166.70
2008 29,863.80 165,915.00 5,555.72
2009est 30,460.00 157,500.00 5,170.72
CAGR, 05~09 3.68% 3.11% -0.56%
Source: Ministry of Agriculture of P.R.C., China National Grain and Oils Information Center
Market summary
Market scale of corn seed ranked 2nd among all kinds of crops in China, following that of
vegetables. In 2009, Market value of corn seed hit USD1,444.95 million in China, up 9.43%
over the previous year, mainly attributed to the rise in both market volume and average price of
corn seed.
For one thing, China’s total corn seed demand was estimated at 1.22 million tonnes in 2009,
up 2.00% over the previous year, attributed to the increase in total planting area. Corn seed
market is composed of conventional corn seed and hybrid corn seed. Hybrid corn has
captured increasing market share in recent years and it constituted about 90% of the total corn
planting area in China in 2009.
For another, average price of corn seed rose by 7.28% in 2009 compared with 2008, which is
the important reason resulting in the total corn seed market value increase. The price increase
of corn seed is mainly induced by the soaring price of some advantageous varieties, such as
Xianyu 335, developed by Pioneer Hi-Bred International.
It is predicted that corn seed price will grow by about 5% in 2010, with the rising cost and
increase in planting area of advantageous varieties, though the oversupply situation of hybrid
corn seed will still be severe. Thus, the market scale of corn seed in 2010 will be further
enlarged compared with 2009.
Key companies and institutes
China has 6 listed seed companies, five of which are in the A-share market and one is in the
NASDAQ Stock Market. Five of them have rather strong competitiveness in the corn seed
business in domestic market, namely SDDSC, Dunhuang Seed, Hefei Fengle, Wanxiang
Doneed and Origin. Besides these companies, some other seed companies, such as CNSGC,
Liaoning Dongya Seed Limited Company (Dongya Seed), and Shanxi Tunyu Seed Industry
Co., Ltd. (Tunyu Seed), also have their advantageous corn varieties.

8. Table II-4.1.2 Sales value and market share of key players’ corn business, 2009
Enterprise Sales value, million USD Market share Advantageous varieties
Dunhuang Seed 91.42 6.33% Xianyu 335, Xianyu 420, Xianyu 508
Dongya Seed 80.53 5.57% Fuyou 16-37, Fuyou 9, Dongdan 90
Wanxiang Doneed 70.61 4.89% Zhengdan 958, Jundan 20, Xingken 3
SDDSC 65.71 4.55% Xianyu 335, Denghai 11, Denghai 9
Tunyu Seed 61.49 4.26% Nongda 108, Jundan 20, Dunyu 1, Dunyu 2
Origin 60.23 4.17% Liyu 16, Yuyu 22
CNSGC 37.34 2.58% Xiuqing 73-1, Nongdan 5, Changcheng 303
Fengle Seed 21.59 1.49% Jundan 18
Total 488.92 33.84% -
Source: CCM International
………………..
Market share of main varieties
Zhengdan 958, Judan 20, Ludan 981, Nongda 108, and Liaoyu 18 are several kinds of corn
varieties in China with over 5% market share by planting area.
Among them, Zhengdan 958 still accounted for about 15% of China’s total corn planting area
in 2009, down about 5% compared with previous 2 years. With average price of USD1.46/kg in
2009, Zhengdan 958 captured 18.52% market share by value in China’s corn seed market,
with market value of USD267.58 million in 2009.
Xianyu 335, with average price of USD5.12/kg in 2009 which was much higher than other
mainstreams, witnessed high growth both in market volume and value in 2009. It was
estimated to capture over 10% market share by value in China’s corn seed market.
………………….