Chinese infant formula imports are now worth more than twice the value of whole milk powder (WMP) imports.
New Zealand is the dominant supplier of China’s imported WMP, with more than 90 per cent market share. However, New Zealand is only a small player in the infant formula market, with 11 per cent of Chinese imports.
The Chinese were transparent as to their regulatory intentions and that for food safety reasons they did not want a myriad of infant formula products from either local or imported companies. For them, it created too many regulatory headaches.