Dairy Big Three Renews Price Increases

Yesterday, following the announcement of a price increase by Sanyuan (600429.SH), Mengniu Dairy (02319.HK), Guangming Dairy (600597.SH), and Yili Dairy (600887.SH) were the three largest dairy companies to "First Financial." Bo) Daily reporter said that prices will rise in the near future. Among them, bright milk prices rose across the board, the weighted average price increase range of 8% to 9%, and Sanyuan Co., Ltd. announced the price increase is similar.

This is a number of milk prices once again during the year prices, in February of this year, Shengyuan price increase 5%; Mengniu, Guangming, Yili three major milk prices before and after this year in October has also had a round of gains. According to industry experts, the domestic era of low-cost milk has passed, as the raw milk prices continue to rise and the costs continue to rise.

As for the reasons for the price increase, the person in charge of Bright Dairy explained to reporters that the cost of raw milk has risen and the cost of labor and logistics has risen. The cost of Bright Dairy has remained high. In response to rising costs, Bright Dairy decided to increase prices.

Ji Xiaodong, director of media relations at Mengniu Dairy, told reporters: “In view of the fact that the cost has continued to rise in the near future, we will adjust the product price in a timely and appropriate manner after considering the overall cost. The increase and adjustment time of different categories will be different. Please pay attention to the terminal price. Variety."

The relevant person in charge of Yili Dairy also stated that it will increase prices in the near future: “Food consumer goods are most sensitive to changes in raw material costs, and the continuous increase in the prices of raw and auxiliary materials for dairy products, especially raw milk, is bound to push up the price of end products. This is a must for the entire dairy industry. Facing the current situation, in the same way, Yili also needs to adjust the price of the product to cope with this situation. However, Mengniu and Yili did not disclose the specific price increase product and extent.

As for the cost increase, the ternary said that since the beginning of this year, the growth rate of raw milk purchase price has approached 50%. A relevant person in charge of a dairy company told reporters that this year, the price of milk has been rising. Shandong has reached seven, Beijing, six, but the situation is different in different regions, Shanxi will not be four.

According to the statistics of Mengniu Dairy in August, the price of raw milk rose by more than 12% year-on-year. Song Liang, a dairy expert, also stated that according to different regions, raw milk prices have risen in different ranges, and high areas will reach a 50% year-on-year increase.

Regarding the reasons for the increase in raw milk prices, some experts believed that the increase in raw milk prices was mainly due to the overheated weather this summer. Under the hot weather, the milk production of dairy cows will be greatly reduced, and even milk production will not occur, and serious deaths may occur. Therefore, there are also some people in the industry who believe that the shortage of milk sources will improve by the end of the year and that raw milk prices will stop rising.

From the current situation, the weather is only a part of the factors, the biggest factor is the structural imbalance of domestic raw milk.

Song Liang said that due to the large-scale withdrawal of retail households, large-scale ranching has not been able to fill the vacancies left by retail investors in a timely manner, resulting in shortage of raw milk and rising prices.

Liu Meiju, deputy director of the China Dairy Industry Association, told reporters last year that many dairy farmers were reluctant to raise cattle because of the rising costs of raising dairy cows by individual dairy farmers. On the other hand, the price of beef has risen, and many dairy farmers have killed cattle and meat, resulting in large-scale withdrawal of retail investors. Milk culture market.

Song Liang said that it is expected that the shortage of milk resources will not be relieved until 2015, but with the increase in consumer demand, the shortage of milk resources is a long-term problem to be faced. On the other hand, the cost is also increasing, and the raw milk price will be Continue to maintain high levels, the era of domestic low-cost milk has passed.