Food industry and economic development in the Asia Pacific

The food industry in the Asia Pacific region is gigantic in size, and is therefore a key element in the economic development prospects for the region. It is estimated that in 2000, for example, total expenditure on food and beverages in China was worth $US 188.5 billion, second only to that in Japan at $322 billion. Yet it is clear that given the expansion of both populations and incomes in the region this market will expand rapidly over the next few years. Particularly important will be the continued growth of cities and of the share of employment in industrial and service activities. Much of this growth in food purchases will be supplied from local sources, but this will demand some fundamental changes in domestic food production systems. There will also be a substantial growth in the food trade, with ever increasing levels of national and regional specialisation. These developments will put increasing pressures on quality standards at all levels, with a growing emphasis on food safety, integrity, quality, and nutritional and health impacts. This paper reviews the current status of the food industry and the food trade in the region, and presents some projections for future developments. Particular emphasis is given to policy choices that must be made to ensure that the food system in the region develops in ways that are sustainable and most beneficial to the population as a whole.