YILI(SH:600887) Zhong Guo Chan Ye Jing Ji Xin Xi Wang·2025-07-21 00:06Core Insights - The Chinese dairy industry has made significant advancements, surpassing EU standards in key quality indicators such as protein, fat, somatic cell count, and total bacterial count, marking a historic leap in quality [1][2][4] - The average milk yield per cow in China has reached international advanced levels, with large-scale farms producing over 10 tons of fresh milk annually [2][5] - The report indicates that the quality of Chinese milk is at its best historical level, with protein and fat content comparable to developed countries, making it one of the safest and most nutritious food options for consumers [2][4] Industry Development - The Chinese dairy industry has transitioned from being a global laggard to a leader through continuous exploration and innovation, establishing a high-quality development path [5] - Inner Mongolia is a key region for milk production, contributing to one-fifth of the national supply, with major investments in dairy clusters enhancing competitiveness [6] - The average scale of dairy farms in China is now among the largest globally, with 78% of farms housing over 100 cows by 2024 [6][7] Quality Improvement - The average bacterial count in raw milk from leading companies like Yili has been maintained below 10,000 CFU/mL for two consecutive years, significantly lower than the EU standard of 100,000 CFU/mL [3][4] - High-quality raw milk is essential for the dairy processing industry, improving product competitiveness and consumer confidence in domestic dairy products [4][10] Technological Innovation - The integration of digital tools and mechanization in dairy farming has significantly improved labor efficiency and production quality [8] - Smart farming technologies, such as automated feeding systems and environmental control, have enhanced the living conditions for dairy cows, leading to increased milk production and quality [7][8] Future Outlook - The report emphasizes the need for the Chinese dairy industry to focus on innovation, collaboration, and sustainable practices to enhance competitiveness and profitability [9][10] - The industry is encouraged to adopt moderate-scale farming, improve feed efficiency, and develop local feed resources to reduce costs and increase revenue [9][10] - The transformation of agricultural waste into valuable resources, such as organic fertilizers and biogas, showcases the industry's commitment to sustainability and economic growth [11]