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China to import dairy products from Pakistan: CEN
February 18, 2021
BEIJING, Feb. 18: China will import dairy products (Nestle cream) from Pakistan, says a report published by China Economic Net (CEN) on Thursday.
The quarantine and SPS agreement process is about to complete, and there is a vital requirement for dairy products in western China provinces, according to Badar uz Zaman, Commercial Counsellor Pakistan Embassy here.
Talking to CEN, Badar said that in Pakistan, livestock plays an important role and Pakistan is the fourth largest milk producer globally. Within the livestock sector, milk is the largest single commodity. "In Pakistan, the production of fresh milk is about 50 million tonnes. We have a strong livestock history that many multinational and the local companies are processing milk. And the additional cream that is extracting is a great exportable product", he mentioned.
He further said that Chinese Huiyu group has taken up the process and signed an MOU with Nestle Pakistan.
They are about to complete the process of getting permission to import into China. They have a solid distribution base in China.
"Chinese customers are very eager to use that cream. The samples distributed among the Chinese buyers, and they liked it very much, and there is great potential as Pakistani dairy products prices are low.
The quality is exceptionally high as per the taste of the Chinese consumers", Badar told CEN.
He added that the collaboration in value-added and food-related products is increasing. We will see more and more products from Pakistan, like biscuits and confectionery items.
Pakistan is also a good producer of sugar. Nowadays, there is a strong trend of increasing the value and making the high value-added products and Chinese appetite for the Pakistani food items are on the rise.
"So in the backdrop of this significant demand from the Chinese consumer, various companies' collaboration increases what we have seen that there are national pavilions in Yiwu, Qingdao and Shanghai.
The Chinese enterprises are permanently placing the Pakistani food products in those pavilions", Badar stated.
The Commercial Counsellor expressed that we can see the Pakistani food packaged products on JD.com and Taobao.
We discussed with the entrepreneurs who have posted Pakistani products on these Chinese platforms they are also receiving big orders.
Duan Xiaoyu, CEO of Huiyu group, told CEN that they would promote their's Pakistani products in China's major cities after getting the license.
At present, our estimated sales volume is 100 containers of creams per year because Nestle Group has other products that can enter in Chinese market So the opportunity for future cooperation will be great.
"In starting, we would import ten containers every month because we think the Pakistani Nestle Cream quality is very good, and the price is also low. We are trying to get a permit to enter China. The Pakistani Embassy in China also provides a lot of support", she added
She said that the opening of Pakistan's dairy code license is good for the trade between the two countries, and after that, all Pakistani dairy products can enter the Chinese market.
It is estimated that China will overtake USA as the largest dairy market globally by 2022.
Credits: INP-WealthPk