Vietnams dairy products enjoy new opportunities

With 1.4 billion people, China leads the world in importing milk and dairy products and is a prime potential market for Vietnam's dairy exporters.

TH Milk marketing team at a supermarket in China (Photo: VNA) 

TH Group, a big Vietnamese fresh milk producer known for its TH true MILK brand, recently exported its first shipment of milk to China.

It is the first Vietnamese company allowed to export fresh milk products to the Chinese market.

Thai Huong, TH Group’s Chairwoman, said that with a concentrated farm model using high-tech in production and management, TH true Milk products meet all the strict requirements and regulations set by China.              

“China is a great milk import market. They import pure milk and dairy-based products. TH has been in the Chinese market for two years and has won the locals’ trust by adhering to all standards and regulations. Entering the Chinese market was a huge opportunity so we have given it our best effort,” said Huong.

To be licensed for export to China, TH Group's fresh milk products must undergo comprehensive inspection and evaluation by Chinese authorities who grant export codes for sterilized fresh milk and sterilized fresh milk with natural flavours added.

Yu Huan Chun, CEO of the Wuxi Jinqiao International Food City Company, one of China’s largest import food distributors, says he believes in the future cooperation between his company and TH Group.

Dao Viet Anh, Vietnamese Trade Counselor in China, said Vietnam should try to qualify more dairy companies to enter the Chinese market. To achieve that goal, Vietnamese businesses need to pay more attention to the tastes, and buying habits of Chinese consumers, wile complying with China’s safety and quality regulations.

Viet Anh said “Through agents or partner businesses in China, we can study Chinese people’s tastes. Each region has its own consumers' culture and tastes. This means we must work closely with Chinese agents or partners to develop products attractive to Chinese consumers.”

To participate in large, high-potential export markets, Minister of Agriculture and Rural Development Nguyen Xuan Cuong has urged Vietnamese dairy businesses to increase investment in cow herds to produce enough fresh milk to make the most of current opportunities.

The Ministry will continue to press China’s General Administration of Customs to approve dairy export registrations for four Vietnamese dairy companies.

Cuong said he believes Vietnam's agricultural restructuring has helped dairy products meet the high standards set by import markets: “Restructuring toward better quality, links, and competitiveness is the only way we can tap China’s dairy market. It’s important to link the government, associations, and farmers through cooperatives.”

Vietnam’s dairy products are now available in 50 countries around the world. Vietnam has 60 dairy producers and traders with more than 300 brands. 10 companies, including Vinamilk, TH true Milk, and Moc Chau Milk, export milk products.