Oats market in China

Earlier Report Observations

The oat market volume in China declined from 800.2 thousand tons in 2018 to 746.4 thousand tons in 2020, before entering a period of strong expansion. Beginning in 2021, market volume grew consistently, reaching over 1 million tons by 2023. This turnaround and subsequent growth were primarily fueled by the rapid emergence of the oat milk segment, a new plant-based beverage category pioneered by OATLY's market entry in 2018. The significant consumer shift towards healthy, plant-based alternatives, accelerated by partnerships with coffee chains, directly increased demand for oats as a raw material.

The market's expansion was further supported by broader policy and industry developments. The national '14th Five-Year Plan' for public health, emphasizing balanced nutrition, created a favorable backdrop for healthy grains like oats. Furthermore, the introduction of quality grading standards for oat hay improved the perception and utilization of domestic oats in the animal feed sector, supporting demand from another key industry segment. These factors collectively contributed to a sustained increase in overall oat consumption.

To meet the rising demand, imports of oats surged from 213.5 thousand tons in 2020 to 470.4 thousand tons in 2023, while domestic production remained stable at approximately 534 thousand tons. By 2024, new government policies aimed at supporting oat cultivation and modernizing processing indicated a continued focus on strengthening the domestic supply chain for both food and feed applications.

Production oats in China

In kind, 2017-2020, K t

Between 2017 and 2020, China ranked as the 14th largest producer of oats globally.

Top producers of oats, 2017-2020

World map of production of oats, 2017-2020

In 2020, China produced 533.0 K t of oats, marking a 1.5% decline from 2019. Production reached its lowest point in 2018 at 527.7 K t, while the peak occurred in 2019 with 541.0 K t. The most significant year-over-year increase was 2.5% in 2019.

Annual dynamics of production in China in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Oats production in China declined for the third consecutive year. In 2020, the output was valued at 453.5 M $ US, reflecting a 9.3% decrease compared to 2019. From 2017 to 2020, production fell by 27.3%, which translates to an annualized decline of 10.1%.

Annual dynamics of production in China in value, 2017-2020, M $ US

Exports oats from China

Exports in kind, K t

The data shows irregular changes, pointing to a volatile market environment. Export levels fluctuated significantly, with a 5.6-fold difference between the low in 2017 and the high in 2019. In 2020, China exported 0.1 K t of oats, a 10.4% drop from the previous year. The highest export volume was recorded in 2019 at 0.1 K t, while the largest increase occurred in 2018 with a 304.6% surge.

Annual dynamics of product's exports from China in kind, 2017-2020, K t

From 2017 to 2020, the main markets for China's oats exports in kind were South Korea (34.4% of exports), Hong Kong (21.4%), and Malaysia (16.2%). Together, these three destinations accounted for 72.1% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from China in kind, 2017-2020

Exports in value, K $ US

Market performance showed noticeable fluctuations during this period. Exports varied by a 4.4-fold margin, from the low in 2017 to the high in 2019. In 2020, China exported 66 K $ US worth of oats, down 17.5% year-over-year. The peak value was 80 K $ US in 2019, and the largest increase was a 279.4% jump in 2018.

Annual dynamics of product's exports from China in value, 2017-2020, K $ US

Between 2017 and 2020, Hong Kong (32.4% of exports by value), South Korea (21.9%), and Malaysia (19.9%) were the primary destinations for China's oats exports, collectively making up 74.3% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from China in value, 2017-2020

Imports oats to China

Imports in kind, K t

Oats imports into China declined for the third year in a row. In 2020, imports totaled 213.5 K t, a 3.1% decrease from the previous year. Over the 2017-2020 period, imports fell by 45.9%, with a compound annual growth rate (CAGR) of -18.5%.

Annual dynamics of product's imports to China in kind, 2017-2020, K t

From 2017 to 2020, Australia was the overwhelmingly dominant source for China's oats imports in kind, accounting for 91.0% of the total.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to China in kind, 2017-2020

Imports in value, K $ US

Cross-border shipments of oats into China increased for the second consecutive year. In 2020, imports were valued at 68 028 K $ US, showing a slight rise of 0.6% over the past year. However, between 2017 and 2020, imports decreased by 28.1%, equating to an annualized decline of 10.4%. The lowest value was recorded in 2018 at 67 532 K $ US, which also saw the largest decline of 28.6%.

Annual dynamics of product's imports to China in value, 2017-2020, K $ US

Throughout 2017-2020, Australia was the central partner for China's oats imports in value terms, holding an 89.6% share of total flows, while other markets played a less significant role.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to China in value, 2017-2020