Expensive dairies don't benefit cow breeders

Expensive dairies don't benefit cow breeders
www.chinanews.cn 2007-08-07 18:18:07







Chinanews, Guangzhou, August 7 – Although the price of dairies in China has become more and more expensive these days, particularly in big cities, cow breeders in the country have not benefited from the price hike at all. Thus experts call upon the government to maintain market orders to guarantee the profit of cow breeders.

Recently the Dairy Industry Development Forum was held in Hohhot, Inner Mongolia, saying that the low profit of cow breeders and dairy manufacturers has caused great pain to the industry in China. Chaotic market is a severe problem, too. Experts at the forum suggest the central government should promote the industry by maintaining market orders and issuing beneficial policies.

Recently, due to the sharp rise of cow feed price, many cow breeders are faced with great difficulties. However, the purchasing price of milk still remains unchanged, which only add to their problem. Some milk manufacturers today either don’t pay cow breeders soon enough, or take advantage of the difficult market situation to force the purchasing price down. Nowadays, 40% of cow breeders in China are living in constant danger of going bankrupt. Some of them have even killed their cows.

At present, China produces 33 million tons of milk every year, ranking it 3rd in the world. However, averagely Chinese annually consumes 25 kg of milk per capita, only 25% of the average figure in the world. That is to say, there is still great potential in China’s dairy industry.