Domestic investment in dairy industry at that time

Introduction: the general office of the State Council announced several measures to support the development of poultry industry in 2004, which is the golden development period of China's dairy industry, especially UHT dairy enterprises Experts believe that the investment strategy should pay attention to "invest in radical UHT milk enterprises with growth strategy, and invest in robust pasteurized milk enterprises with income strategy" NRK is affected by the impact of import The purchase price of raw milk in China is at a medium level compared with the international price The cost of imported dairy products from the United States and Europe determines that they can only occupy the high-end market of our country, which does not constitute a direct competition with domestic dairy products What is worthy of attention is the low-cost products of New Zealand and Australia After China's accession to the WTO, the commitments made in agricultural products trade include: the import tariff of cheese decreased from 50% in 1999 to 12% in 2004, and that of ice cream decreased from 45% to 19% Since there are no non-tariff barriers such as import quotas or national monopoly trade in the dairy products import chain, and there are basically no direct support and export subsidies to domestic producers by unit production or other forms, the dairy products import, especially from low-cost countries such as New Zealand and Australia, will show up after reducing the import tariff of dairy products In order to increase rapidly, it has a certain impact on the domestic dairy industry NRK learned that in 2003, dairy imports increased by 30% - 40% year-on-year, and imports increased by 40% - 50% year-on-year However, in the future, the impact of international dairy industry on China will not be too great The reasons are as follows: first, since the beginning of this year, the Singapore dollar has appreciated by 23.5% and the Australian dollar by 31.7%; second, the international transportation capacity is tight and the transportation cost is high In addition, the impact of dairy imports on the domestic market is mainly reflected in milk powder, while the impact on UHT milk is not obvious for the time being The transportation cost of liquid milk is 8 times higher than that of milk powder in terms of unit value, and limited by daily output and shelf life, it is difficult to form scale advantage in transportation, which is impractical in the current situation of tight transportation capacity NRK domestic UHT milk develops faster than pasteurized milk, NRK UHT milk develops faster than pasteurized milk, and it is also higher than the industry average development level According to AC Nielsen's survey of domestic liquid milk market share as of September last year, Yili and Mengniu, which mainly produce UHT milk, have occupied the top two seats, and Guangming dairy, which mainly produces pasteurized milk, has been squeezed to the third place In November 2003, NRK witnessed two major events in the dairy industry, which exposed the different mentality of the two types of dairy enterprises: the base type and the city type NRK: first, Mengniu and Yili, the base-based UHT dairy companies, fought for the top advertisement of CCTV, with a total investment of 310 million yuan and 214 million yuan respectively; second, the city-based dairy companies gathered with Shanghai Dairy Association to seek for a good way to develop Experts believe that the first thing is to emphasize "freshness" and compete with the base-based dairy industry in a wrong way UHT milk company has a radical style, while pasteurized milk company has a stable style UHT milk company's performance in the short and medium term is much better than pasteurized milk company, while pasteurized milk company still has a certain competitiveness in the long term Therefore, different investment strategies should be adopted for different styles of the two types of companies, i.e investment in UHT milk company with growth strategy and investment in pasteurized milk company with income strategy.