Earlier this month, local media reported that the demand of raw milk and dairy products would increase in 2013. Raw milk supply gap is expected to be 3-4 million tons.
The output of raw milk in China was 38.5 million tons last year and supply gap was about 2.5 million tons. With the increasing demand of dairy products, the supply gap is expected to be more than 3 million tons.
Data shows that in China the average output of one cow during one year is 5.5 tons. And average output per year is 10 tons in developed countrues. It reflects the low cultivation technology and imperfect technology service system.
Insiders beliveve that supply gap of raw milk will put pressure on dairy products makrket but will have little impact on price of dairy products.
Written by Nicolas Yang