China’s door has been further opened for exporters of Iberian sausages after the Chinese Customs Department has recognized an error in the classification of the tariff code and the tariff for loin, salami and chorizo has been reduced from 25 to 5% . It was not one of the large Spanish giants authorized to export that realized this error, but a company from La Alberca, Embutidos Fermín, which, through monitoring the distribution of the product, saw that the sausage was classified in chapter 02 , with Iberian ham and a 25% tariff, and not 16, which is where sausages are included worldwide, and whose tariff is set at 5%.
The export of this product to China is very recent, it has been authorized since October 2019, and unlike what has happened in other countries, Spain and not Italy introduced the sausage there, unknown until then in China.
It was Nemesio Sánchez, director of Exports of the pool company in Asia, who realized the error and who contacted the National Association of Meat Industries -ANICE-, which was in charge of carrying out the negotiations with the Chinese Government . Given the exporting nature of this company – it was the first to bring Iberian ham to the United States, ahead of the big giants as well – ANICE was able to provide documentation showing that in other countries the sausage is included in group 16.
This 80% reduction in the tariff that has been applied since March 22 has already given the first results and Santiago Martín, managing director of the pool company, has already confirmed that calls from potential clients have increased.
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Loin price
By lowering the tariff, the consumer will pay approximately 40% less for these products and in China 200 grams of salami or chorizo were sold for between 7.5 and 9 euros. More boost will mean for the Iberian loin, a product that in China has the same price as the Iberian ham, around 100-130 euros per kilo in an average establishment, not a restaurant. In Asian countries the sale is usually by grams, preferably 100, because the price of the product is usually multiplied up to 10 times in relation to what it costs in Spain.
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On large shelves
Since the visit of Xi Jinping, President of the People’s Republic of China to Spain, in October 2019, exports to China were further opened and, with data from January, there are now 48 Spanish companies certified to export and, of them , only 11 are authorized to carry bone-in ham and sausages. Most of the Iberian sausage sold to China comes from Embutidos Fermín, which ensures that it is a product that has been widely accepted, although because of price they did not dare to put it on large shelves before, and now it is beginning to be located there. The pedagogical work continues because in China the product is still unknown and one of the questions continues to be whether it is eaten cooked or raw. In China, the Iberian pork product is considered a delicatessen, as in Spain, for example, waygu meat.
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