Frbiz Forecasts that Chinese Dairy Prices Will Rise

BEIJING, Nov. 12 /PRNewswire-Asia/ -- Frbiz.com, one of China's leading
B2B search platforms with more than 30 B2B industry websites to its name,
reports that due to milk supply tensions and the current price increases,
frbiz forecasts that rising wave for dairy prices.
Frbiz's statistics show that at the beginning of August this year, the
international price for milk powder raw ingredients was 21,000 -22,000
yuan/ton, but has now soared to 34,000 yuan/ton, a rise of over 60 percent.
Domestic milk-powder prices in China have also increased, from 16,000 yuan/ton
to the current 26,000 yuan/ton, rising 62 percent, while fresh milk prices
rose from 2.7 yuan/kg to 2.8 yuan/kg to a more recent 3 yuan/kg.
Since the milk melamine incident happened, the domestic breeding industry
has been hit hard, pushing fresh milk prices down, as consumer fears over
fresh milk grew. However, this phenomenon improved significantly before and
after the Mid-Autumn Festival (early October) this year, as the market for
fresh milk grew strong, which clearly made milk suppliers nervous, causing the
milk supply prices to also rise.
Frbiz's analyst analyzes that milk supply tensions and rising prices are a
result of two main reasons: First, there is a low temperature, the milk
production is relatively reduced, and market supply is thus lower; Secondly,
many food manufacturers began to organize production during New Year's Day and
Spring Festival, to increase the demand for fresh milk. Some temperature milk
producers have joined the ranks in order to grab their fill in the milk supply
chain, which has promoted a hike in the price of milk.
Data shows that at present the milk supply gap has reached 30 percent.
Frbiz's analyst said that as milk supply and demand remains imbalanced and if
the raw ingredient prices continue to rise, it is estimated that the domestic
dairy prices will rise again early next year.
About Frbiz.com
The mission of Frbiz online is to aggregate business information and
experience, so that consumers may easily access, share and engage in free
trade online as well as generate wealth. Frbiz.com offers a variety of high
quality products such as mixer foods ( http://www.frbiz.com/q-mixer_food/ ),
ThinkPad batteries ( http://www.frbiz.com/q-battery_thinkpad/ ), board cork
( http://www.frbiz.com/q-board_cork/ ) and many more.
For more information, please contact:

Frbiz.com
Tel: +86-10-6556-9770
Email: my@frbiz.com

SOURCE Frbiz.com

Frbiz.com, +86-10-6556-9770, my@frbiz.com