Guangdong Import Dairy Products More YOY in Apr 2017
[2017-07-18]
According to China Customs statistics, this April, Guangdong Province imported dairy products 47,000 tons, up 20.3% year-on-year (YOY); worth CNY 1.56 billion, a double increase YOY; average import price at 33.2 yuan per kilogram, up 68.2% YOY.
1. Characteristics of the dairy import to Guangdong in April:
(1) Ordinary trade quantity made more than 90% at a substantial increase. In April, Guangdong imported 45,000 tons by ordinary trade, up 34.1% YOY, accounting for 96.7% of the total import.
(2) Main sources were EU, New Zealand and USA. In April, dairy imports from EU were 17,000 tons, up 2.5%; imports from New Zealand 14,000 tons, up 33.1%; imports from USA 8,347 tons, up 43.2%; the three sources together accounted for 85.6% of the total.
(3) Main products were milk powder and whey. In April, Guangdong imported 19,000 tons of milk powder, up 47%, accounting for 40.4% of the total; imported 11,000 tons of whey, up 28%, accounting for 23.4%.
2. Causes of the large increase in the dairy imports:
First, dairy price differences between home and overseas stimulated the imports. This April, the globally 186th auction of whole milk powder reached the average price of USD 2,998/ton, equivalent to China's CIF price of CNY 27,400/ton, convertible into raw milk price of 3.23 yuan/ton; while China’s Ministry of Agriculture monitored domestic raw-milk price at 3.51 yuan/ton.
Second, Chinese consumers have big reliance on foreign milk powder. Following China’s new family plan of two children, domestic consumer market has a growing demand for infant milk powder; meanwhile, due to domestic dairy problems in recent years, the consumers are much more reliant on foreign milk powder so as to drive more imports.
1. Characteristics of the dairy import to Guangdong in April:
(1) Ordinary trade quantity made more than 90% at a substantial increase. In April, Guangdong imported 45,000 tons by ordinary trade, up 34.1% YOY, accounting for 96.7% of the total import.
(2) Main sources were EU, New Zealand and USA. In April, dairy imports from EU were 17,000 tons, up 2.5%; imports from New Zealand 14,000 tons, up 33.1%; imports from USA 8,347 tons, up 43.2%; the three sources together accounted for 85.6% of the total.
(3) Main products were milk powder and whey. In April, Guangdong imported 19,000 tons of milk powder, up 47%, accounting for 40.4% of the total; imported 11,000 tons of whey, up 28%, accounting for 23.4%.
2. Causes of the large increase in the dairy imports:
First, dairy price differences between home and overseas stimulated the imports. This April, the globally 186th auction of whole milk powder reached the average price of USD 2,998/ton, equivalent to China's CIF price of CNY 27,400/ton, convertible into raw milk price of 3.23 yuan/ton; while China’s Ministry of Agriculture monitored domestic raw-milk price at 3.51 yuan/ton.
Second, Chinese consumers have big reliance on foreign milk powder. Following China’s new family plan of two children, domestic consumer market has a growing demand for infant milk powder; meanwhile, due to domestic dairy problems in recent years, the consumers are much more reliant on foreign milk powder so as to drive more imports.
Source: ETCN
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