In an industrial kitchen in a leafy, residential suburb of central Shanghai, a quiet culinary evolution is taking place. Beside shelves stacked with butter mounds the size of bread loaves and 11 pound (5 kilogram) cheese wheels, chefs are experimenting with exotic ingredients that their New Zealand supplier, Fonterra Cooperative Group Ltd, wants to become ubiquitous in China: dairy…Full Article: China Daily Mar 2017

Key Points

  • In January 2017, Royal FrieslandCampina opened a “training kitchen” in Shanghai to instruct cooks on the use of milk-based products. According to the Dutch company, dairy products account for 5% of the ingredients used by Hong Kong’s catering (restaurant) industry.
  • In 2016, according to Fonterra’s managing director in China, mozzarella sales in China increased by 66%.

ChinaAg Comments

  • As of late 2016, Royal FrieslandCampina “Dutch Lady” brand dairy products were only being sold in Hunan Province, Sichuan Province, and Chongqing Municipality.
  • In June 2016, the Dutch dairy, Royal FrieslandCampina, partnered with Suning Commerce Group (Chinese retailer) to sell dairy products in China. Royal FrieslandCampina hopes to expand their market penetration in the provinces of Anhui, Henan, Hebei, and Gansu. During the same month, Alibaba’s Taobao acquired just under 20% of (~1.8 billion shares for CNY 28.2 billion) of Suning.
  • In 2015, Royal FrieslandCampina (founded in 1871) had approximately EUR 1 billion (US$1.13 billion) worth of sales in the Chinese market.
  • In April 2015, China Huishan Dairy (HKG:6863) and Royal FrieslandCampina established a Chinese joint venture.

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