CHAPTE.R 5 The revitalization of the marketplace Food Markets of Nanjing Ann veeck Arnong the more visible and colorful outcomes of the reforms of the ig8os and 1ggos in urban China are the lively food markets. Though some schol ars have implied that the term"socialist market economy"is an oxymoron skeptics need look no further than these markets to see miniature socialist market economies functioning in full, vibrant health. A complex blend of state management and entrepreneurship, the markets are a vivid contrast to the prereform state food stores. People still recall standing in line to buy pro- ME DEVIxj duce of low quality and limited variety and being treated in a surly manner i alfe to boot. Privatization of the agriculture sector improved distribution systems, technological innovations, the liberalization of trade regulations, and com- petition among food retailers has resulted in active commercial areas, where wholesalers, retailers, farmers, consumers, and the state mix to engage in economic actvity. Beyond being some of the more visually conspicuous centers of commer- cial pursuit, food markets also provide a public fc orum In which to explore how the reform era has transformed the private lives of individuals in urban China Food has long been recognized as a central vehicle for analyzing iden tities, roles, relationships, rituals, ceremonies-in short, all that is important in human lives. Through activities relating to the acquisition, preparation and distribution of food individuals communicate the nature of their rela tionships with others. During the Mao era of food rationing and communal agriculture, choices related to food consumption were quite limited, stifling this fundamental form of communication. In urban China in the 1 ggos, the new abundance of food choice reaffirmed a leading role for food con- sumption behavior in the establishment and maintenance of relationships 1.Douglas 1g84 and 1975
108 ANN VEECK The high profile of food markets, not only as economic centers but also as hubs of socially significant activities, makes them useful places to investi- gate the societal implications of changing consumption patterns. The focus of this study is the food markets of Nanjing, the capital and largest city in Jiangsu Province. The research is part of a larger study of changing food con- sumption patterns carried out during the 1995-96 acadenic year in Nan- ing in collaboration with the School of International Business of Nanjing University. Standard ethnographic field methods were used to place food shopping patterns in their full environmental context This study draws from extensive interviews with 7o informants, which were audiotaped and then transcribed, as well as from interviews with retailers and structured obser vations of food shopping trips and focus groups. In addition to these quali tative methods, a random household survey of 320 Nanjing primary food shoppers was conducted in order to quantify the incidence of food shop- ping activities among Nanjing residents. Taken together, these research meth ods allow the examination of food consumption activities in Nanjing from a number of perspectives Specifically, the purpose of the study was to investigate the formation of newly emerging or re-emerging values and relationships in China, with the urban food markets serving as the sites of investigation. The chapter first de- scribes the rather recent tansformation of the food retail industry in China and the amount of time and money that is spent by the primary food shop- pers of households engaged in food consumption activities. Next it exam- ines the role of the state in the management of food markets and the effect of state-imposed regulations on the expression of choice by the consumer. The following section addresses the potential for food markets to become centers of social activity among consumers and explains why this promise has not been realized in Nanjing. The chapter then explores how food mar kets contribute to the maintenance of valued relationships by reinforcing shoppers'ties to family members. The final section of the chapter discusses the future of Nanjing food markets, including the role the state is likely to assume in their management, and discusses how future changes will ulti mately affect the expression of choice by the consumer. It is hoped that the findings from this investigation will enrich our understanding of the for- mation of relationships and values in urban Chinas changing consumption landscape THE TRANSFORMATION OF FOOD MARKETS Any study related to food in China would be negligent not to acknowledg the central position that food has traditionally occupied in the Chinesc cul- ture. The celebrated position of food in Chinese society is shown in the lan-
REVITALIZATION OF ' THE MARKETPLACE guage(the Chinese word for population. nkou, is literally translated as"pec- se s mouths), the arts, religious ceremonies, rites of passages, and business exchanges. The reverence of the Chinese to practices surrounding food con- sumption can be traced back at least 3, ooo years. 2 In the decades between 1949 and 1979, food could not occupy its tadi- tional elevated position in people's lives. The state exercised complete con- trol over the food system of China, froin the farms to the systems of distrib uton to the retail outlets. The state even dictated consumer choices to a large extenT, by controlling agricultural activity and rationing most staple prod- ucts, including oil, rice, meat, and bread. During these decades of austel ity and rationing, agricultural activity concentated on grain production and an extremely limited number of vegetables Although a small number of di- verse varieties of vegetables grown in household plots adjacent to urban ar- eas sometimes trickled into the cities, produce choice was by and large re- stricted by season and variety. During the winter season, the vegetable selection of northern residents often consisted only of potatoes, cabbage, and turnips. Reports froin this period include clains that consumers would leave their baskets in front of a food counter the night before to hold their place in line to buy a poor selection of vegetables. In a remarkably speedy turnaround, Chinese citizens today enjoy a boun- tiful variety of foods from which to choose as well as a transformed food re- tail infrastructure. It would be hard to understate the depth of these changes As Zha writes, " this is probably the most savored aspect of the current chi- nese economic prosperity: suddenly there is so much to eat! The variety and number of food retail outlets exploded during the reforms of the Igos and 19gos. The changes include greatly expanded food markets, as well as a proliferation of small private grocery stores, supermarkets, bakeries, poul- try stands, and other specialty food outlets As the retail infrastructure changes in China, so has the service that is provided In the past, few food retail outlets featured self-service. Instead con- sumers had to point to the desired products and wait for a clerk to retrieve the items. Today the newly built supermarkets and bakeries are self-service. and customers are free to roam the stores and examine the products. A ves- tige of the past. however, is that very few retailers offer credit, and consumers generally must pay for their purchases with cash. Still, automatic-teller ma- chines(ATMs) have appeared in major cities, and these cash machines, along with the pubescent credit card industry, are indicators of changes to come. 2. A number of books have described various facets of the food culture of China, includ- ng the rituals of historical dynasties, the portrayal of food in the arts, and the etiquette of food Among the most comprehensive are E. Anderson 1988: Chang 1977: and Simoons 1991 3. Tang and jenkins 1g9 995,p
ANN VEECK The greater choices in food for Chinese consumers include both fresh food and processed food. Improvements in the distribution and trans- portation infrastructure allow food to be distributed throughout the coun- try and imported from other countries. Farmers and vendors are becoming more aware of consumers'desires and have begun to respond to demands For example, according to seasonal preferences, vendors offer cut and pre- pared food items for use in huo gwoin the winter and wild vegetables in spring Altogether, there is a greater congruence between consumer needs and prod- uct offerings Once limited in supply, packaged food of many types is now readily avail- ble in China. International packaged food corporations such as Procter &e Gamble, Philip Morris, and Quaker Oats have steadily increased their pres ence in China, competing alongside chinese food companies with brand names such as Maling, Lion Brand, and Pagoda. Independent importers, wholesalers, and retailers increasingly represent a major force in the food distribution industry of China. Production of Chinese frozen foods, reported at 2.2 million tons in 1g96, is projected by the ministry of Agriculture to in- crease fourfold to 8 million tons by 2000. 7 The expansion of choice for Chinese consumers is readily apparent in the newly transformed markets of Nanjing. Nanjing has 61 major food markets scattered throughout the residential areas in the city. Results of the house hold survey show that most households are within 50o meters of a market and almost all families live within 1, ooo meters of a food market(see Table 5.1).As in other urban areas of China, the alternative food retail options, both state and privately managed, that have emerged in Nanjing in recent years include supermarkets, bakeries, cooked poultry and meat stands, and maibu( kiosks). Still, the food market remains the primary outlet for the food needs of Nanjing households. The use of food markets for household food shopping is a matter of choice, rather than convenience, since by 1996 virtually all food markets had a supermarket nearby Owing both to histori- cal lines of distribution and to the attitudes of consumers, only the rare su- permarket attempts to sell fresh produce. Instead, supermarkets concentrate on packaged goods, including staple condiments. soft drinks, snack foods, canned goods and lavishly packaged gift items. Many supermarkets are part of state-owned chains and often occupy the spaces formerly held by the state- owned grain and oil stores of the days of food rationing and coupons Food markets are located in a variety of places. Some are housed in large warehouses or seicovered pavilions, some occupy a crisscross of alleys, and others take over entire streets. At present, even the smaller Nanjing markets 5. Zhou Yiling 1996: Li Dingqiang 1996 6. McNicl and Nilsson 1994. 7. (lar Thinking Agmirultur Naumltl 1997P
REVITALIZATION OF THE MARKETPLACE TABLE 5. I Distance of Nanjing Residences from Nearest Food Market, 1996 Distance(in meters Percent 100 or less l0l-250 25l-500 50l-l,000 >1,000 053 NOUKGE: Authors surve feature a wide variety of vegetables, pork, and fish year round. The bigger Nanjing food markets can easily rival large Western gourmet supermarkets in variety and breadth Increasingly, semiprocessed convenience items are appearing in many of these food markets. Jiaozi pi(dumpling wrappers). ground pork, and fish balls are common In distinct departure from the past, some Nanjing food markets are known for their specialties, such as exotic seafood or gourmet tofu, and for special occasions shoppers will go consid- erable distance to procure these treats. The food markets also often feature food that has been cooked and prepared, most frequently baozi, mantou, youtiao, and shaobing. Many food markets incorporate (or at least tolerate) vendors selling complementary itens such as sewing notions, housewares, and clothing. The food markets tend to attract other businesses in proxim- ity, particularly restaurants, pharmacies, and general stores Most food markets open at about 6: 00 in the morning and remain open until about 6: o in the evening, or until the final food shoppers have returned home to prepare their meals. The vendors usually procure their produce from wholesale markets the preceding evening in preparation for the fol- lowing day or very early in the morning before the market opens. The p times for shopping are at 7: 00 A M. before the workday begins, at 11: Oo AM before lunch, and starting about 4: o P. M. when people begin to leave work. Still, except for a slow period from about 12: o to 2: 00 P. M. when any ven- dors and consumers nap, the markets remain active all day long. Retirees shop at all times of day, factory workers have diverse work schedules, and some state workers take breaks from their jobs to do their daily shopping Except for the ceiling prices for specific types of produce that are set by the state, few venues of economic activity anywhere in the world come as close to a model of perfect competition as these food markets. All major food items are offered by multiple vendors within each market, so consumers have a 8. Banzi are steamed stuffed buns: mantou is steamed bread; youtinn is deep-fried dough ndung is baked bread