Yili expands milk powder production

By Dominique Patton

- Last updated on GMT

Related tags: Milk powder, Milk

China's biggest dairy group Yili will build a CNY208 million
(€20.7m) milk powder factory in northwest China, it revealed last
week.

The plant, to be built in the Xinjiang Uygur Autonomous Region, will make 250,000 tons of mid- and high-grade milk powder a year, Yili said in a statement to the Shanghai Stock Exchange. The Inner Mongolia-based company is increasing capacity to meet rising demand for dairy products in China. China's annual dairy consumption has tripled to 28 million tons since 1999 and is forecast to reach. Yili and another national brand Mengniu continue to increase their market share, buying up smaller dairies or squeezing them out of the marketplace. The two now dominate more than 40 per cent of the milk market, and analysts expect their shares to keep growing as they add new, higher value products like functional milks and yoghurts. "Yili's increasing investment in the yoghurt market, which is less developed than that of milk, looks promising for the company. It currently has a 14 per cent share of this segment,"​ said Citic Securities analyst Bo Guanhui. Yili recently reported a 30 per cent rise in first half revenue to CNY5.7 billion (€558.5m) and net profits up by 11.5 per cent over the prior year's first half to CNY171 million. The new milk powder plant is expected to be finished by the end of next year.

Related news

Related products

show more

The Secret to Success with Plant-Based Yogurts

The Secret to Success with Plant-Based Yogurts

CP Kelco | 01-Apr-2021 | Technical / White Paper

With one in four consumers “actively trying to increase consumption of plant-based protein,” plant-based yogurts are increasing in popularity as a healthy...

Analysis of Dietary Supplements and Health Foods

Analysis of Dietary Supplements and Health Foods

Agilent Technologies | 18-Feb-2021 | Data Sheet

The vitamins A, C, D, E, B6, B12, folate, and the minerals selenium, zinc, copper, and iron, are essential for normal immune function. Dietary supplements...

Deep-dive into improving packaging line efficiency

Deep-dive into improving packaging line efficiency

Sidel Group | 03-Nov-2020 | Technical / White Paper

Ever wondered what is the best way to improve your packaging line performance? Learn about the ins and outs of line regulation and accumulations in 3 steps:...

Related suppliers

Follow us

Products

View more

Webinars

Food & Beverage Trailblazers

F&B Trailblazers Podcast