The asset scale of the industry also expanded, with total assets of 90.44 billion yuan (about $13.5 billion) in 2018, up 8.5% year on year. In 2018, the total profit reached 10.96 billion yuan (around $1.6 billion), up about 7% year on year. However, the profitability of milk powder products in China has trended upwards since 2016. $15.3billion), the lowest in the last three years, down about 13% year on year. In 2018, the sales revenue was only 102.22 billion yuan (approx. Revenue and Profits Show Inverse Proportionality 58 billion yuan) in 2019, which is more than half of the sales revenue of China's milk powder industry. Import Value Occupied Over a Half of the MarketĪccording to GAC, the amount of milk powder imported from 2016 to 2019 increased year by year, reaching $8.315 billion (approx.

In 2019, the growth rate of imported milk powder was over 20%, which further widened the gap with domestic output. In 2018 import volume exceeded domestic output for the first time. The total amount of imported milk powder has increased steadily. Although China's milk powder output reached 1.052 million tons in 2019, ending the continuous decrease, the year-on-year increase was only 2.4%. Since 2016, China's milk powder domestic output has been on a downward trend. The share of the top 3 companies was 36.9%, and the share of the top 5 was 49.6%.Īlthough the revenue of China’s milk powder industry decreased in 2018, the total profit still maintained a 7% YoY growth, and the asset scale of the whole industry also expanded. In 2019, the market share of the top ten milk powder enterprises kept rising, growing by 2.9% and accounting for 75.4% of the market. In 2019, import volume further increased, with a YoY growth of 20.8%, further widening the gap between domestic output and import volume. In 2018, milk powder imports surpassed the gross domestic product for the first time.

Powder player 2019