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China Daily Website

Luxury food gifts lose luster

Updated: 2013-12-26 17:20
( chinadaily.com.cn)

Gift food product sales are likely to fall by 40 percent this year in China due to the government's austerity measures, according to the China National Food Industry Association.

Lower-priced products, however, may see a sales upswing during the holiday season, said a report published in Caijing.com.cn.

Quoting Weng Yangyang, an official of the China National Food Industry Association, the report said food companies reliant on the huge profits made through luxury food product sales may face profit declines and market share erosion in the long run.

In recent years, traditional festive foods like zongzi, mooncakes, and even snacks like nuts have been transformed into high-end presents. More extravagant packages, as well as more giveaways drive the prices even higher.

However, according to Xinhua News Agency, the sales of imported nuts in China experienced a drastic decline this year due to weak market demand. Statistics from the association indicates that up to October this year, sales of imported nuts in Beijing fell by 20 to 25 percent year on year.

 
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