Originally published January 17 2006
Probiotics set to hit the Chinese market after companies combine efforts
by Mike Adams, the Health Ranger, NaturalNews Editor
China's leading liquid milk producer Mengniu Dairy has joined forced with Danish cultures maker Chr Hansen to begin pushing probiotics into the Chinese food market.
Earlier this year, the Danish cultures maker formed a strategic alliance with the China's leading liquid milk producer Mengniu Dairy to promote the healthy bacteria in market where dairy foods are already booming.
Hansen will help train Mengniu's R&D and production staff, distributors, and sales force, and advise on marketing strategy and positioning for probiotics on the Chinese market.
A workshop organised by the Danish and Chinese firms in Beijing next week will attempt to offer some tips on how to market probiotic foods and the kind of claims that can be made.
Speakers from Chr Hansen will promote the use of probiotics for immune health, outlining the research in this area.
Johnston noted that health claim regulations remain 'fuzzy' in China but that in general companies can follow practice in Europe, with soft claims being made on the packaging and further marketing material used as support.
Of the estimated 600,000 -- 700,000 tons of yoghurt being produced industrially each year, much is sold in drinkable form rather than the more typical set yoghurts consumed in Europe.
"The market is heavily influenced by Japan and Taiwan," said Johnston.
Taiwanese firm Wei Chun has raised standards at the premium end of the market with its presence in China and probiotic yoghurts will continue to grow the premium offering.
"There are probably about 200 million Chinese with disposable income buying processed foods," said Johnston.
Rapid growth in the dairy sector has already attracted a number of western firms and probiotics could be another area of opportunity.
"Local companies have a very strong position in the dairy sector, and the Chinese seem to be quite patriotic.
The National Bureau of Statistics of China forecasts a ten-fold increase in Chinese dairy consumption between now and 2015.
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