1. Find Hot News in Dairy Products China News 1401
Tag: grain & food processors, General Administration of Customs of China, local food safety
standards, dairy farming, UHT milks, infant formula product, the State Council
Summary: Data from 5 key processors shows that their performance in H1 is rather mixed,
reflecting market challenges.
Published on the 31th every month, Dairy Products China News is a monthly publication released
by CCM. It offers timely update and close follow up of China’s various kind of Dairy market
dynamics, analyze the market data and trends. Major columns include the latest information on
new market dynamics, company dynamics, new dairy products and consumption trend, new
legislations and policies and raw milk supply dynamics that are shaping the market.
Following are headline news of the latest issue of Dairy Products China News:
Milk Price Rises in Heilongjiang
On 6 December, Ausnutria releases its financial report for 2011, confirming its poor performance
in this period – which many suspect has continued up to the present day.
Abbott's Similac Launched Online
On 5 December, Abbott launches its imported US Similac ranges on e-commerce site Tmall.com,
likely a well-timed move given the problems which Dumex has encountered in the market since
last year.
Detailed Rules for Infant Formula Processor Approval in 2013 Released
On 25 December, the China Food and Drug Administration holds a press conference to
announce the Detailed Rules for Infant Formula Processor Approval in 2013, and also outlines its
work reviewing processors' production licenses.
Ausnutria's Profitability Challenged
On 6 December, Ausnutria releases its financial report for 2011, confirming its poor performance
in this period – which many suspect has continued up to the present day.
Fonterra's Challenge in China's Dairy Market
Fonterra remains challenged in the Chinese market after the contamination scare last August, but
remains in a strong position despite the increasing opportunities the situation has provided for
suppliers from the US and the EU.
Rebornne Focuses on E-commerce
At a conference held in Guangzhou on 8 December Rebornne announces a switch to selling its
infant formula entirely online.
Biostime to Boost Domestic Production of Infant Formula

2. On 30 December, Biostime announces its acquisition of Changsha Yingke, a move designed to
strengthen its position in 4th and 5th tier cities. Biostime Acquisition Brings Local Production
Capability
Government Concerns over Milk Safety and Quality
In December the State Council's Food Safety Committee holds talks with domestic dairy
processors to urge them to ensure the safety and quality of their dairy inputs.
China Tightens Supervision on Infant formula Sales
On 18 December, the CFDA releases notices to urge its local branches to tighten supervision
over the sales of infant formula in general, and the pilot sales of infant formula in pharmacies.
Government Focuses on Infant Formula Safety
On 3 December, the China Food and Drug Administration issues two regulations on infant
formula, part of the ongoing drive to streamline and so clean up the domestic infant formula
industry.
Import Tariff Cut for Infant Formula
On 16 December, GACC announces an import tariff cut for infant formula in 2014, suggesting
growing demand and rising imports for foreign infant formula.
Guangzhou Cancels School Milk Guide Price
Guangzhou cancels government guide price on school milk from 1 December, a change which
reflects the increasing market orientation being encouraged in China's school milk programme.
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