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Dairy Farm Management and Feed Cost Consideration in China

29 December 2016

Biomin

CANADA - Remarks by Yuguo Zhen, Jilin Agricultural University, China, during the ruminants breakout session at the 2016 World Nutrition Forum in Vancouver, Canada.

In 2015, the total cumulative output of dairy raw milk in China was 37,550,000 mt, almost equal to last year. From consumption regions, the dairy product consumption of urban residents has been kept stable since the dramatic development in 2003, while the rural market grows slowly each year. The per capita consumption of liquid milk is only about 19 kg in China, even with the urban residents, far lower than Europe, America and Japan, and also lower than India, Brazil and Russia. Low per capita consumption of dairy products indicates that the growing space of the dairy product market is huge in China. From the product structure, the demand of liquid milk keeps stable all the time, through fluctuations; while the demand of yoghurt keeps increasing constantly. In recent years, the import of dairy products grew fast, while export declined considerably. The milk sources were excessive, therefore the price of raw milk kept decreasing and the imported milk sources still had price advantages. China customs’ data shows: the import of liquid milk grew fast, though the import volume of milk powder in 2015 decreased by over 40.7% in 2014, but liquid milk increased by 43.69%.

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