Markets | IDM
4-5 2017 | international-dairy.com · 29
previous years, the most attractive
and fast growing opportunities for
manufacturers and traders can be
found nowadays in the 3rd and 4th tier
cities in China. Especially bakeries and
western style restaurants are witnessing
a surging demand for cheese from
their customers.
China’s dairy manufacturers have discovered
the expanding interest and
started to getting into the cheese business
as well. However, according to CCM,
about 90% of cheese in China is still imported,
which is an amount of about
90,000 tonnes yearly.
Imports and Exports
The main exporting country for China’s
cheese demand remains New Zealand
with a quantity of cheese export to China
by more than 51 million kg and a value
of over USD216 million. The second
rank is Australia with almost 20 million
kg and on the third rank can be found
the USA with almost 9 million kg.
The top exporting countries of cheese
and curd in China 2016 from China Customs
show, that China’ s cheese import
is highly concentrated in the Oceania
region, while European countries, which
are traditionally famous for cheese
products, are lacking behind.
Nevertheless, China is also exporting
cheese to several countries, even if the
main destination is Hong Kong. Surprisingly,
Italy is the second ranked destination
of cheese from China, according to
the data from China Customs.
China’s manufacturers
increase efforts
For Chinese manufacturers, the jump
into the cheese business could be an effective
way out of the sluggish market
trend of many dairy products in China.
While the purchase price of milk is constantly
going down in the last years, the
cheese business is a promising upmarket
diversification.
Currently, only a few Chinese manufacturers
have got a share in the
cheese business by delivering to
brands like McDonald's, Milkana, and
Savencia. The supplying Chinese companies,
according to CCM, are Bright
Dairy & Food and Beijing Sanyuan Food.
Other companies in China are putting a
lot of effort into the development of
cheese products to get their share in
this rising market. One example is Yili,
which is developing a cheese product
for the Chinese taste currently, with
an unknown launch date yet. China
Mengniu Dairy is working on launching
its own cheese products as well, which
demonstrates a diversification from
its current product portfolio, consisting
only of cheese sticks for infants in
this market. Also, Ground Food wants
to open a cheese processing factory in
spring of 2018, which will be capable
of producing about 40,000 tonnes of
cheese products yearly.
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