Welcome to the Dec. Issue of Dairy Products China News.
This newsletter will help you stay ahead of the game in this fast-changing market with real-time reporting on the entire dairy industry chain, from raw milk and milk powder to infant formula, cheese and other end products. It 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.
Here is the Editor's Note for you to know about the Dec. issue specifically:
It is hard to avoid the conclusion 2019 will present increased geopolitical risk and environmental challenges for businesses in general. In China the economic outlook is "cloudier", as one analyst put it recently, and after the current "truce" with the US ends, a further escalation in trade tensions is likely, continuing to divert the country from addressing its huge debt problems.
China's position on addressing environmental issues - "one of the most significant challenges of our time", as the BERG report issued in New Zealand this month notes - remains unconvincing. China is hardly alone in that, of course, but the sheer scale of its emissions makes its push for fossil fuels at home and abroad especially eye-catching at a time when it is increasingly positioning itself as a global leader on the environment. Action will get harder as budgetary revenue will be lower due to the Chinese government's tax reduction plan (aimed at boosting consumption) and the country's slower economic growth.
Stratfor recently noted "The defining theme for the world is still the escalating great power competition between the United States, China and Russia. That means an intensifying trade war; a likely expansion into sanctions; an accelerated arms race; and a campaign to block Chinese investment, trade and research in sensitive tech areas from artificial intelligence to 5G rollouts". Developments such as the Huawei arrest crisis this month support this view.
Where are the positives and the lessons for international dairy exporters? A changing trade policy environment in which China focuses on reducing its dependence on the US by signing new free trade agreements should offer opportunities. Recent initiatives by Yili and Mengniu developing positions in other Asian markets show their growing focus on developing internationally as the domestic market becomes increasingly tight and competitive. H&H's acquisition of Good Gout in France is an intriguing sign of the future. In addition, Chinese tourists will exert more influence overseas - a report from Colliers recently noted that 400 million Chinese tourists are expected to go abroad in 2030 - up from 154 million in 2018.
Thanks to all our dairy industry customers for making the last year so busy - have a great Christmas and we look forward to working with you further in 2019!
Dairy Products China News is a monthly published newsletter, which can be downloaded in PDF format. The subscription mode for this newsletter is yearly and the subscriber will receive 12 issues per year.
Table of Contents
Column 1 Market Dynamics
Yili Competes with Mengniu in SE Asia
Goat IF Market Growth
China's A2 Milk Market in 2018
Column 2 Governmental Direction
2006-2017 Milk Output Corrected
Jiangsu & Hebei to Boost Dairy Sectors
Column 3 Company Developments
Zhongken Dairy to Attract Strategic Investor
Beingmate Financed by State-owned Investor
Mengniu to Build 1st Plant in Yunnan
FamilyMart Tests Cafe
Column 4 Raw Milk Supply
Milk Prices Maintain Upward Trend in December
Column 5 News in Brief
4 Israeli Dairy Plants Registered in China
Beingmate's Yichang Factory Commissions
Yili to Start Mineral Water Business
Cheese Imports in January-October
Yashili to Sell 49% of Yashili New Zealand
Bright Dairy Acquires Yimin No.1 Factory
Ausnutria to Buy Out 2 Australian Subsidiaries
IF Quality & Safety Tracing Experiment to be Expanded
New Hope Dairy Launches 24 Hour Fresh Milk
IF imports in January-October
85°C Sues Bright Dairy for Trademark Infringement