Dos Pinos To Increase Dairy Product Exports To China
News: Costa Rican dairy producer Dos Pinos will increase the number of containers it ships monthly to China to 100, presenting one of the largest export opportunities for Costa Rican dairy products in 2014. The move comes after Costa Rica received sanitary protocols approval to export dairy to China in early 2013. According to the Foreign Trade Promotion Office (Procomer), Dos Pinos has already shipped more than 42 tonnes of milk and cream worth US$40,000 to China. The move will boost the company's presence in the Chinese dairy market, according to Costa Rica's Minister of Agriculture and Livestock Gloria Abraham Xinhua.
BMI View: Dairy is currently one of the highest growth sub-sectors of China's food industry. Fuelled by rising disposable incomes, urbanisation, the improved affordability of domestic cold storage facilities and a growing awareness of the potential health benefits of dairy consumption, demand in the country - particularly among the growing middle class - has been soaring. In spite of this strong demand, China remains dependent on imports for many dairy products, particularly high-value processed items such as butter and cheese. This reliance on imports creates significant opportunities for new investors, especially since the market remains fragmented and does not operate as efficiently as greater large-scale involvement would allow.