I find the development of the Chinese economy fascinating. The BBC reports today that the Chinese governement has issued price controls on consumer goods to curb inflation. Apparently, the hundreds of millions of low-income Chinese families spend 30-50% of their income on food.
Right before the holidays, I was honored to speak a the UNPA's China II Seminar in Salt Lake City, UT. It was a very educational one day event hosted by Loren Israelsen and his competent staff.
One noteworthy presentation detailed a A.M. Todd's efforts to find a manufacturing partner in China. They spent $2 million on this search, visiting 25 facilities when they had originally planned on visiting only 7-8 facilities. The executives from A.M. Todd presented a great slideshow from their travels and what struck me was how much the quality and cleanliness of the facilities vary in China. Surely, one can find significant differences in the quality and cleanliness of facilities in the United States, but the point was driven home....to insure the quality of your finished product, you need to know the quality of your supply.
China is amidst an industrial revolution and it will continue to hit potholes in the road it travels, but one thing is for sure - China's manufacturing capabilities are improving rapidly and will overtake those offered in the United States sooner than we probably think.
For more on the Chinese Nutrition & Supplement Industry, please read NBJ's report on this dynamic market.