China has imported its first dried chili peppers from Rwanda. It is the first African non⁃resource product that has gained access to the Chinese market as a result of Hunan's effort since the first China⁃Africa Economic and Trade Expo ( CAETE) was held in 2019. This is a practical result of Hunan province to implement the "Eight Major Initiatives" for China⁃Africa cooperation.
Ⅰ． Ｂａｃｋｇｒｏｕｎｄ
More than 500 million people in China consume spicy food every day; China is naturally the largest spicy food consumption market in the world. According to statistics, China imports more than 400,000 tons of dried chili peppers annually, with a large amount of them coming from India, where traders import some of their products from Africa.
Gashora Farm PLC, a Rwandan supplier specializing in the cultivation and deep processing of chili peppers, works with more than 10,000 farmers and has been exporting natural chili oil to Europe for many years. It has partnered with Alibaba's Hema Fresh to provide finished chili paste. The company has also been exporting its dried chili products to India and has rich experience in production and marketing.
Hunan GK International Enterprises Co., Ltd. ( GK International) is an international trading and investment company providing high⁃quality products and services to global customers and has been providing cost⁃effective products made in China to UN agencies and NGOs for many years. Mean⁃ while, GK International also actively helps export African quality non⁃re⁃ source products. In addition to exporting African dried peppers to China, it can also take advantage of Hunan's advantages in breeding and planting research and manufacturing advantages in agricultural machinery to provide Rwanda with comprehensive agricultural technical guidance and quality agricultural processing machinery to improve the production capacity and the quality of its dried peppers and thus better meet the Chinese market's needs.
Ⅱ． Ｏｖｅｒｖｉｅｗ
During the 2019 CAETE, GK International reached a cooperation intention with Gashora Farm. After a series of quality inspection, variety research and market survey on the dried chili pepper samples provided by Gashora Farm, GK International found that the product could have great market prospects in China. In September 2019, GK International officially signed a 5⁃ year procurement contract with a Rwandan supplier. The contract stipulates that Gashora Farm will supply 50,000 tons of first⁃grade dried chili peppers to GK International over a 5⁃year period.
In order to meet the demand of the Chinese market and quality inspection and quarantine requirements, both parties agreed that the machinery and equipment required for pepper cultivation and deep processing, such as breeding machine, seeder, transplanter, drying equipment, inspection and quarantine equipment, etc., will be invested or purchased by GK International. It is expected that the project will drive the export of Chinese agricultural equipment of about 2 million USD. In March 2021, the Protocol on Inspection and Quarantine Requirements for the Export of Dried Chili Peppers from Rwanda to China was officially signed between the governments of China and Rwanda. In July 2021, the General Administration of Customs of the People's Republic of China ( GACC) officially issued GACC Announcement No.53 of 2021 ( on the inspection and quarantine requirements for the import of dried chili peppers) . Rwanda thus became the first African country to gain access to the Chinese market for dried chili peppers. In early August, China imported its first dried chili peppers from Rwanda.
Ⅲ． Ｍｅｔｈｏｄｏｌｏｇｙ
1. Adequate market research.
Before the project started, GK International conducted adequate market research. ( 1) The company went to Rwanda and neighboring countries to investigate the supply and production conditions of dried chili peppers, to map out the quality of dried chili peppers, and to propose feasible improvement plans so that the dried chili peppers can better adapt to the Chinese market. The company also invited the Rwandan government and bank officials to visit China to give them a clear picture of the huge market prospect in China and offered policy and financial support to its Rwandan partners. ( 2) The company investigated relevant Chinese agricultural machinery manufacturers to introduce mature agricultural production and deep processing technology to Rwanda, and improve the production capacity and quality standard of its dried chili peppers. ( 3) The company studied the logistics and storage of dried chili peppers in China's wholesale and distribution markets and ports, as well as the wholesale and distribution chain that can support large⁃scale imports.
2. Access process facilitation.
Before the project was launched, Rwandan dried chili peppers were not yet on the approved list of imported food from Africa, so it required communication between and joint efforts of governments from both sides. With the support of the Rwandan Embassy in Beijing and the Department of Commerce of Hunan Province, GACC sent a team to Rwanda in November 2019 to conduct a field visit and issued an inspection and quarantine report in 2020. With the concerted efforts of the two governments, Rwandan dried chili peppers were officially approved to access the Chinese market in July 2021.
Ⅳ． Ｐｒｏｓｐｅｃｔｓ
The climate and soil conditions in Africa are suitable for farming. This project can promote the cultivation of chili peppers in other countries in East Africa, such as Uganda, Kenya, and Tanzania. It can help Rwanda become a processing and distribution center for dried chili peppers in East Africa and Africa at large. It can also help diversify exports of Rwanda and other African countries and open up sales channels for their rich agricultural resources. Meanwhile, the project will also further promote the construction of Hunan⁃ based Distribution, Trading and Processing Center for African Non⁃resource Products.
Ｓｕｂｍｉｔｔｅｄ ｂｙ Ｈｕｎａｎ ＧＫ Ｉｎｔｅｒｎａｔｉｏｎａｌ Ｅｎｔｅｒｐｒｉｓｅｓ Ｃｏ． Ｌｔｄ．
