China Targets EU Dairy Just as Its Own Milk Industry Flounders [Financial Post (Toronto, Ontario, Canada)]
CHINA MENGNIU DARY UN/ADR (CIADY)
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Source: Financial Post
You can save this article by registering for free here . Or sign-in if you have an account. (Bloomberg) — China's anti-subsidy probe of dairy imports from the European Union comes at a time when the local industry is on its knees. Limiting shipments from the EU could relieve some pressure on farmers, but the quantities targeted are small and domestic conditions have been worsening for quite a while. The market is grappling with excess production capacity built up over years, and a slump in demand due to the slowing economy that's having an outsized impact on pricier foods. China's dairy sector is facing the most severe challenge since 2008, Gao Fei, chief executive officer of China Mengniu Dairy Co., said in July, according to a report in local media. That was the year when milk contaminated with melamine lead to the deaths of several babies, sickened hundreds of thousands and destroyed the industry's reputation. Dairy isn't central to the typical Chinese diet. Milk only be
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