Direct flights bring fresh produce from S. America

The first all-cargo direct flight carrying fresh products between South America and China will be launched on May 5 by Eastern Air Logistics, the freight unit under parent company China Eastern Air Holding, according to the Shanghai-based cargo carrier.

Targeting quality fresh products including salmon, the flight will connect Santiago, capital of Chile, and Chengdu of Sichuan province, according to Fang Hong, general manager of Eastern Air Logistics' supply chain management subsidiary Fresh Port.

China's fresh product retail market exceeded 5 trillion yuan ($730 billion) in 2020, and is projected to reach 6.8 trillion yuan by 2025, Securities Times reported.

Data from Euromonitor International showed China's fresh food retail market rose from 3.65 trillion yuan in 2017 to 5.29 trillion yuan in sales revenue in 2022, and is projected to reach 6.52 trillion yuan in 2027.

Eastern Air Logistics launched chartered cargo flights in 2013 by shipping cherries from Chile to China. It has accelerated its market exploration by establishing Fresh Port, and made importing fresh products an important business of the company, according to Fang.

Currently, the company imports between 40 tons and 50 tons of salmon from Chile a week.

Fresh Port also actively consolidated cooperation with partners including Apex Logistics International (China) Ltd, and Alibaba's fresh food chain Freshippo, to enrich Chinese gourmets' dining variety with fresh global products, Fang said.

China's fresh products retail market is currently dominated by farmers' markets, accounting for about 60 percent, with fresh food e-commerce platforms representing less than 10 percent and other physical stores dividing the remaining market share, according to the State Administration for Market Regulation.

The fresh e-commerce market's scale is projected to surge 18.2 percent year-on-year from 311 billion yuan in 2021 to 419 billion yuan in 2023, the State Administration for Market Regulation said, citing data from iiMedia Research.