Shanghai reports increase in imported dairy products

A total of 27,000 tonnes of dairy products valued at US$60 million were imported through Shanghai Port in the first two months of this year, according to the local branch of China Customs.

The imports were up 8.3% on-year, and the value rose 25.5%, the state-run Xinhua news agency reported.

Customs officials attributed the import growth to misgivings about domestic dairy products caused by new incidents of contaminated milk powder and higher costs of domestic products.

Imported dairy products were priced at an average RMB22,000 (US$3,221) per tonne, down from RMB43,000 (US$6,297) per tonne before the global economic downturn.

Production costs for domestic dairy products had soared, as raw milk prices rose 80% to RMB32,000 (US$4,686) per tonne and the sugar price doubled. 90% of dairy product imports through Shanghai Port came from New Zealand, the US and the EU.