CHINA’S DAIRY SECTOR REBOUNDS

The dairy sector in China is undergoing a significant transformation, with a projected 2% increase in dairy imports in 2025 following a three-year decline? While milk powder imports are shrinking, demand for cheese and butter is soaring. China’s local milk production faces challenges, offering global farmers new opportunities. Milk is not a traditional mainstay of local diets, but the Chinese government has long pushed people to drink more, citing its health benefits. The country has expanded its dairy production capacity and imported vast numbers of cattle in recent years, but chronically low consumption has left the market sloshing. How does the government plan to help this sector and how this might impact imports? Furthermore, how can foreign companies take advantage of the opportunities in this market?