China is Australia’s fastest growing dairy export market, and is now the largest export market for Australia. In the past eight years (2007-2014), exports increased by more than 300 per cent from 28,000 tonnes to 117,000 tonnes. Value added and premium products such as cheese, milk (mostly UHT) and powders make up the bulk of shipments.
The special reception was hosted by the Australian Ambassador to the People’s Republic of China, HE Ms Frances Adamson, to celebrate Dairy Australia’s Greater China Scholarship Program, which has been running since 1999.
Dairy Australia Chairman Geoff Akers said the program, involving 240 participants, had been a key to developing and maintaining long term relationships with numerous companies and government officials.
“The program has been an outstanding success in terms of the long term relationships we’ve established and we’re very proud of that,” Mr Akers said.
“Many participants are now in senior positions in companies in China and have a very strong affinity with Australia having completed the program. We are also very happy to see a number of new commercial business relationships emerging from the program over the years.”
The annual, two-week program is designed to give senior and middle level managers from major Chinese dairy manufacturers a better understanding of the Australian dairy industry – from the farm to the factory.
It covers everything from Australian dairy food safety systems and liquid milk processing to cheese making, functionality and applications. Participants visit various dairy factories and dairy farms and meet with key company export contacts.
“We keep active communication with all participants and we’re very happy to see great support from the Australian Government and the Ambassador for our programs,” he said.
Speaking at the CDIA Conference, Akers said China was an important, growing and long term market for the Australian dairy industry.
“The Australian dairy industry has enjoyed a long and mutually beneficial relationship with the Chinese dairy industry through a range of programs conducted in the market, including the Scholarship and alumni program, by working closely together with China Dairy Industry Association (CDIA), and the CDIA Annual Conference and Dairy Expo, and annual series of workshops and seminars in the market,” he said.
“We are committed to both the China market and the CDIA for the long term. With the signing of the China Australian FTA, we expect the long term relationship between the two industries to be further enhanced not only in trade but also in investment.”
Mr Akers said the strong demand for Australian products in China was continuing to grow as the Asian palate becomes more accustomed to dairy.
“We’ve learned that our Chinese customers like to have their options open for sourcing products and are keen to diversify where they source their products and ingredients to limit their exposure,” he said.
“Food safety, quality and consistency is more important and Australia is in a very good position to satisfy this.”
Aside from supplying cheese, milk and powders, Australia has also moved to focus more on supplying branded products for food service, bakery and retail sectors in China.
The International Market Development program is one of the many examples of the dairy service levy at work. For more information on this and other levy investments visit www.dairyaustralia.com.au/levy-investment
