Concentrated or sweetened milk and cream market in China

Earlier Report Observations

The market for concentrated or sweetened milk and cream in China expanded significantly from 2018 to 2021, with volume growing from 1 029 thousand tons to 1 553 thousand tons and value rising from 2 970 million US dollars to 5 507 million US dollars. This period of growth culminated in a particularly strong performance in 2021.

Following the 2021 peak, the market contracted over the next two years. By 2023, market volume had fallen to 1 053 thousand tons and value to 3 866 million US dollars. This shift occurred alongside the first recorded decline in domestic raw milk production, which pressured the supply of base ingredients and spurred manufacturers to accelerate technological upgrades toward higher-value products like cream. Concurrently, volatility in international supply chains continued to influence import dynamics for dairy products.

The market environment in 2024 was shaped by new regulatory measures. The updated national standard for food additives, GB 2760‑2024, came into force, imposing stricter rules on the use of sweeteners and emulsifiers in product formulations. At the same time, an anti‑subsidy investigation was launched against cream imports from the European Union, introducing price fluctuations for imported cream. The ongoing decline in raw milk output further incentivized the industry to focus on deep processing and added‑value segments.

Production concentrated or sweetened milk and cream in China

In kind, 2017-2020, K t

Between 2017 and 2020, China ranked as the 26th largest global producer of concentrated or sweetened milk and cream.

Top producers of concentrated or sweetened milk and cream, 2017-2020

World map of production of concentrated or sweetened milk and cream, 2017-2020

China's production of concentrated or sweetened milk and cream grew for the third year in a row. In 2020, output reached 232.3 K t, marking a moderate 7.7% increase from 2019. Over the 2017-2020 period, production rose by 14.2%, with an average annual growth rate of 4.5%.

Annual dynamics of production in China in kind, 2017-2020, K t

In value, 2017-2020, M $ US

China's production of concentrated or sweetened milk and cream increased for the second consecutive year. In 2020, the output was valued at 668.3 M $ US, up 26.2% from 2019. From 2017 to 2020, production grew by 19.5%, with a compound annual growth rate of 6.1%. The lowest value was recorded in 2018 at 507.3 M $ US, which also saw the largest decline of 9.3%.

Annual dynamics of production in China in value, 2017-2020, M $ US

Exports concentrated or sweetened milk and cream from China

Exports in kind, K t

China's export volume of concentrated or sweetened milk and cream fell for the second year in a row. In 2020, exports totaled 4 K t, a significant 11.2% drop from the previous year. Between 2017 and 2020, exports decreased by 18.2%, equivalent to an annualized rate of 6.5%. The peak was in 2018 at 6 K t, which also saw the largest increase of 13.5%. The largest decline occurred in 2019, down 18.8%.

Annual dynamics of product's exports from China in kind, 2017-2020, K t

From 2017 to 2020, Hong Kong, North Korea, and the United States were the top destinations for China's exports of concentrated or sweetened milk and cream by volume. Hong Kong accounted for 50.5% of exports, North Korea for 24.2%, and the United States for 5.5%, together making up 80.2% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from China in kind, 2017-2020

Exports in value, M $ US

In 2020, China's exports of concentrated or sweetened milk and cream were valued at 12 M $ US, a 4.0% increase from 2019. Between 2017 and 2020, exports declined by 14.4%, with an annualized rate of 5.0%. The lowest value was recorded in 2019 at 12 M $ US, which also saw the largest decline of 19.1%. The highest value was in 2018 at 15 M $ US.

Annual dynamics of product's exports from China in value, 2017-2020, M $ US

Between 2017 and 2020, Hong Kong, North Korea, and Myanmar were the leading contributors to China's exports of concentrated or sweetened milk and cream by value. Hong Kong made up 57.5% of exports, North Korea 12.5%, and Myanmar 9.3%, collectively accounting for 79.3% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from China in value, 2017-2020

Imports concentrated or sweetened milk and cream to China

Imports in kind, K t

After two years of growth, China's imports of concentrated or sweetened milk and cream declined. In 2020, imports were approximately 1 003 K t, down 4.4% from the previous year. Over the 2017-2020 period, imports increased by 34.9%, with a compound annual growth rate of 10.5%. The highest volume was recorded in 2019 at 1 050 K t, which also saw the largest increase of 26.6%.

Annual dynamics of product's imports to China in kind, 2017-2020, K t

From 2017 to 2020, New Zealand remained the dominant source for China's imports of concentrated or sweetened milk and cream by volume, holding a 71.4% share of total flows, with the rest distributed among other markets.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to China in kind, 2017-2020

Imports in value, M $ US

China's import value of concentrated or sweetened milk and cream rose for the third consecutive year. In 2020, imports totaled 3 330 M $ US, showing a modest 4.7% increase from 2019. Over the 2017-2020 period, imports grew by 50.4%, with a compound annual growth rate of 14.6%.

Annual dynamics of product's imports to China in value, 2017-2020, M $ US

Between 2017 and 2020, New Zealand was the dominant market for China's imports of concentrated or sweetened milk and cream by value, accounting for 71.0% of total flows, while other countries made up the remainder.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to China in value, 2017-2020