Market Overview

Dairy Products News - China: The Price of Raw Milk Continues to Decrease Slightly -


The "Dairy
Products China News"
newsletter has been added to's

Analysis includes breaking news from China and abroad, the latest market
data (price, import & export, production, consumption, operating rates,
etc.), in-depth analysis of market trends, Chinese government policy,
performance of Chinese producers, M&A, new technology, and expert
commentary from industry insiders.

This month's issue highlights some very mixed results amongst companies
in various segments of the domestic dairy industry in China - some have
performed poorly or are struggling to develop a more balanced product
portfolio, but there are also signs of growth and of clear confidence in
the market's future prospects.

As ever, market positioning and the business models employed are key
determinants of performance, although it is clear that support from the
Chinese government in various ways can prove beneficial for some
businesses too, as the CITIC link with Ausnutria suggests.

Developing international business is seldom easy. It's often harder for
smaller companies but ultimately good business depends on trustworthy
relationships which overcome the challenges - this is why a small
company such as France's ULVV (just 68 milk producers) can successfully
export infant and adult formula to markets such as China, Vietnam and

Countries with serious intent to build dairy exports fund generic export
marketing in many guises. It's not perfect but there is no doubt that it
has helped SMEs and sometimes also the major players to expand their
business in a wide range of export markets around the world.

This is an ongoing investment made by many of the leading
dairy-exporting countries but much less by the newer ones from Latin
America and Eastern Europe - if they are serious about being more than
fringe-commodity players, they should be giving this topic serious

Key Topics Covered

Column 1 Market Dynamics

  • Mengniu and Yili Kick off 2018 with New Products
  • Regional Dairy Companies Vary in Profitability in 2017

Column 2 Governmental Direction

  • 4 Food Safety Standards Revised Again
  • NPC Members Advise on Dairy Industry's Development
  • Abolition of CFDA May Slow Down Formulation Registration
  • CNCA's Latest Announcement for Overseas Infant Formula Producers

Column 3 Company Developments

  • Divergent Views on Beingmate's 2017 Earnings
  • ZDF to Exit New Third Board
  • Nestl Enters Organic Infant Formula Market

Column 4 Raw milk supply

  • China's Milk Price Drops in March

Column 5 News in Brief

  • February Imports
  • Several Batches of Imported Dairy Products Returned
  • Bright Dairy Confirms its 2017 Government Subsidy Figure
  • Yashili Expands Infant Formula in Capacity
  • Xie Hong Appointed as CEO of Beingmate Group
  • Changsha Airport's Fresh Milk Imports Triple
  • New Farm and Dairy Processing Plant in Luopu
  • Wyeth and Abbott Introduce New Products
  • Chengde LoLo Performance Declines in 2017
  • Powdered Infant Formula Producers Registered from 21 February to 20
    March, 2018

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