Infant Formula Imports to Grow 7 pc This Year

   Date:2012-02-20

February 14, China’s imports of whole-milk powder are expected to grow 7 percent this year on rising demand from domestic consumers distrustful over local dairy brands after a series of food safety scandals in the past 2 years, the Shanghai Daily reported, citing a publication by Dairy Australia.

Demand for infant formula may rise as more couples are expected to have babies in 2012, the Year of the Dragon, which is regarded as the luckiest and most powerful animal in the zodiac system, according to the publication.

Chinese consumers have endured several food safety alerts in recent years concerning dairy and baby food products. The most serious, the 2008 melamine-tainted milk scandal, resulted in the death of 6 babies and more than 300,000 infants falling ill nationwide.

Each new whiff of a scandal further erodes confidence despite dairy producers’ efforts to improve production conditions, thereby boosting demand for imported products.

Analysts say problems with the quality of products made by local dairy producers also puts them in a bad position -- a position easily exploited by global enterprises when it comes to pricing.

Mead Johnson, Dumex, Wyeth and Abbott are some of the most popular foreign brands sought by urban consumers. Mainlanders in the South of the country have even flocked to Hong Kong to buy baby food products, pushing prices up and provoking ire among locals.

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