Organic dairy products include milk, yogurt, cheese, and butter made using organic farming methods. Organic dairy farming places a premium on animal welfare and environmental conservation. The primary distinction between organic and conventional dairy is the farming practices used. Organic dairy farmers do not utilize synthetic pesticides, genetically modified organisms (GMOs), antibiotics, or growth hormones in their operations. It is important to remember that the development of the organic dairy sector is dependent on the integrity and transparency of certification systems to ensure that organic products fulfill the required criteria. To make educated decisions and promote sustainable and ethical dairy production, consumers are recommended to look for trustworthy organic certification insignia on dairy products.
China Organic Dairy Market Driving Factors and Challenges
The organic dairy market in China is expanding rapidly, because of a number of major factors. Consumers' increased awareness of health and wellbeing has resulted in an increase in demand for healthier dairy alternatives, with organic dairy products viewed as being devoid of harmful chemicals and additives. Furthermore, growing worries about environmental sustainability have prompted environmentally concerned consumers to choose organic dairy, which adheres to environmentally friendly production standards. Furthermore, food safety issues and a loss of faith in some domestic food products have prompted customers to prefer safer alternatives such as organic dairy. Government funding and legislative initiatives supporting organic agriculture have also contributed to the market's expansion.
The market has also suffered certain challenges. Organic dairy has higher production costs than conventional dairy, which may result in higher retail prices, restricting customer uptake. Given the number of food safety issues that have impacted public trust in domestic products in the past, guaranteeing the integrity and transparency of organic certifications is crucial to building consumer trust. Furthermore, creating effective supply chains and distribution networks to reach consumers efficiently, particularly in rural areas, can be challenging. Competing with well-established conventional dairy brands and managing market competitiveness is another obstacle for organic dairy enterprises seeking to increase market share.
Impact of COVID-19 on China Organic Dairy Market
The COVID-19 pandemic had a significant influence on China's organic dairy market. Transportation constraints hampered the supply chain, hurting both manufacturing and delivery. Modifications in consumer behaviour, such as panic purchasing and nutritional modifications during lockdowns, increased demand for organic dairy products. Lower discretionary income impacted customer purchasing habits, potentially affecting the desire for higher-priced organic dairy. The epidemic also increased internet purchases and e-commerce, causing organic dairy firms to prioritize digital sales channels. Furthermore, food safety concerns were expressed, emphasizing the importance of transparency and seeking organic certificates in order to gain customer trust.
China Organic Dairy Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as; Yili Group, Mengniu Dairy Group, Bright Dairy & Food Co., Ltd., Guangming Dairy Group, Junlebao Dairy, China Shengmu Organic Milk Limited, Vitaland, and Tianrun Dairy.
China Organic Dairy Market Segmentation:
By Product Type: Based on the Product Type, China Organic Dairy Market is segmented as; Organic Butter, Organic Cheese, Organic Cheese, Organic Cream, Organic Fluid Milk, Organic Fluid Milk, Organic Infant Formula, Others.
By Packaging Type: Based on the Packaging Type, China Organic Dairy Market is segmented as; Bottles, Cans, Tetra Packs and Pouches, Others.
By Distribution Channel: Based on the Distribution Channel, China Organic Dairy Market is segmented as; Convenience and Grocery Stores, Direct Sales, Discount Stores, Online/E-Retailing, Organic Speciality Stores, Supermarkets and Hypermarkets, Others.
By Region: This research also includes data for Guandong, Jiangsu, Shandong, Zhejiang, Henan.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.