Welcome to the February issue of Dairy Products China News.
The dairy industry is gradually achieving a balance between supply and demand. It is expected that milk prices will stabilize and rise in the second half of 2025, driven by the demand peak season and reduced production due to heat stress in dairy cows. With the increase in residents' income levels and enhanced health awareness, consumer demand for high-quality and differentiated dairy products continues to grow. There is a significant increase in demand for functional dairy products and organic dairy products.
Major brands such as Yili, Mengniu, and Bright continue to dominate the market, while second-tier and regional brands are also actively expanding their market share. Companies are enhancing their competitiveness through mergers and acquisitions, product innovation, and channel expansion. In addition, dairy companies are accelerating their digital transformation by leveraging big data, artificial intelligence, and other technologies to improve production efficiency and supply chain management capabilities.
The government has introduced multiple policies to support the development of the dairy industry, including promoting dairy revitalization, strengthening the construction of high-quality milk sources, and improving dairy product quality and safety.
Overall, in 2025, the dairy industry is expected to achieve stable growth driven by the balancing of supply and demand, consumption upgrades, and technological innovation. However, companies still need to address challenges such as market competition, cost fluctuations, and diversified consumer demands.

