News Milk
Chinese hunger for dairy still far from satisfied
The Chinese hunger for dairy from abroad is far from satisfied. Only infant nutrition and related ingredients are less in demand.
This is evident from the latest figures from the Trade Data Monitor. China has bought about 40% more product in milk powders on an annual basis (up to and including August) than last year. Cheese purchases have increased by 45%, but cheese represents a much smaller volume. Milk and cream are also much more popular.
European statistics, which are slightly less up-to-date, confirm this picture. The majority of Chinese purchases are made in New Zealand, but dairy producers elsewhere also benefit indirectly from the Chinese shopping spree.
Transshipment infarction American west coast
It keeps the world dairy market clean and prices at a relatively high level. The global logistical problems also contribute to this. For example, American dairy exporters are unable to get large volumes of relatively cheap milk powder out of the country to Asia due to a transhipment infarct on the American west coast. European exporters are making good use of this.
Klaas van der Horst
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