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China Dairy Import: 271 Tons of Dairy Seized by China CIQ in the First Half Year of 2014

According to statistics issued by China Dairy Industry Association (CDIA), in 2013 China imported 18,270,000 tons of dairy products. This figure represents an increase of 36.24% compared to China dairy import figures in 2012. In the first half year of 2014, China dairy import has increased 50% (year-on-year growth). With this significant increase in imported dairy products and the strict regulatory requirements for imported dairy in China more and more products are being seized by Chinese customs due to regulatory compliance issues. Statistics from AQSIQ show that during the first six months of 2014,135 batches totaling 271 tons of dairy products were tested and found to be in violation of Chinese national standards. The top three factors for testing failures were:

  • Excessive coliform bodies

  • Exceeding shelf life

  • Non-compliant ingredients (not regulated in Chinese GB standards)

Xinhua Food statistics indicated that dairy products imported from Italy are the most problematic. 34 batches were not qualified, making up 25% of the total amount of China dairy imports that failed CIQ inspection.

One of the main reason for the increase of unqualified dairy import is because China implemented Administrative Measures for Inspection, Quarantine and Supervision of Import and Export Dairy Products since 1 May 2014 which required overseas dairy manufacturers to be registered with China CNCA before 1 May 2014 (see CL Food News on 4 Mar 2013). According to these measures every imported batch of dairy in China is inspected and all infant formula imports require full testing. The statistics are a big warning to a global dairy industry looking to exploit China’s huge demand for imported dairy. Dairy manufacturers and their OEM brands should take heed that the key component to success in Chinese markets is full regulatory compliance. Without a clear understanding of Chinese dairy and infant formula regulatory requirements and a carefully planned regulatory compliance strategy, financial investments can literally go up in smoke if seized and destroyed by Chinese customs due to compliance issues.

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