Balance domestic and foreign milk sources, stabilize dairy production, supply and demand balance

Since the second half of 2021, milk production in major global dairy producing countries has declined

Milk production in major producing countries declines

Since the third quarter of 2021, milk production in the world's seven major exporting regions, including the United States, Australia, New Zealand, and the European Union, has been significantly lower than market expectations

As China's major milk trader, New Zealand and Australia both saw a decline in milk production in the first quarter of this year

Meanwhile, milk production in the European Union and the United States also fell

Milk prices hit record highs

Affected by multiple factors such as the decline in milk production, milk prices in the European Union, New Zealand, the United States and other regions have recently reached historical highs

According to Li Shengli, the chief scientist of the National Dairy Industry Technology System and a professor at China Agricultural University, in 2022, the milk price in major dairy producing countries will enter the era of 3 yuan per kilogram

Driven by rising milk prices in major dairy-producing countries, auction prices for a number of dairy varieties hit record highs in early 2022

In addition to declining production, factors such as global inflation and rising feed costs are also playing a role in the rise in world milk prices

It should also be noted that the increase in milk prices is lower than the increase in feed costs, and there may be room for milk prices to continue to rise

In addition, rising energy prices have increased the cost of dairy processing, leading to changes in the structure of dairy processing categories

Domestic supply continues to grow

China is the world's largest importer of whole milk powder, with imports reaching 1.

In the past two years, the construction of milk source bases in various parts of the country has accelerated, which has promoted the continuous growth of milk supply

With the seasonal adjustment in the first half of 2022, large dairy companies will experience powder spraying

Under the pressure of supply and demand, the national milk price has been lowered in March this year, showing the opposite trend to the increase in the world milk price

Chen Wei reminded that global inflationary pressure and cost pressure in the dairy industry chain, transmitted to the consumer side, may lead to a slowdown in demand

　　In addition to the pressure of supply and demand, the cost pressure of the dairy industry is still increasing

　　"China's dairy industry is a sunrise industry.
Although there will be some repetitions and setbacks in the development process, the overall upward trend remains unchanged
.
" Li Shengli said
.

(Lei Shaopei)

"China Food News" (version 04 on June 21, 2022)

　　(Editor-in-charge: Yang Xiaojing)