Riding on the back of the health trend in the food industry, is the growth in dairy consumption in China, according to a recent study conducted by KPMG.
Not traditionally viewed as a staple in China, growing health awareness in both rural and urban homes has seen the product rise in popularity, particularly yoghurt. Added calcium and bacteria have been seen as a key driver in the consumption of yoghurt.
In 2006 figures proved that China consumed 19 million tonnes of milk a year, in 2008 it was 25 million tonnes which is expected to be surpassed very soon at almost 35 million tonnes by the end of 2010. This growth would place China ahead of major European dairy markets such as France and Germany.
Almost 60% of milk of liquid milk on the market is UHT milk, with milk powder representing a major portion. An increase in raw milk production has been seen since 2006, and is expected to grow at a steady 25%/ year.