China’s butter market

Just like cheese, Chinese consumers have never been fans of butter. This is not primarily based on health concerns. Most of them dislike the odour and flavour of butter

According to the ‘2021-2027 China Butter Industry Development Status and Development Trend Forecast Report’, butter in China has a small output, low market awareness and low per capita consumption. In 2020, China’s butter production was only 110,000 mt, up from 98,000 mt in 2016.

As one of the typical ingredients for Western meals, butter has gained a foothold in Chinese kitchens with the gradual popularity of Western pastries, in spite of the common dislike of butter itself. In 2020, China’s demand for butter was 195,000 mt; up from 160,000 mt in 2016.

Imports

China’s butter production is small, and the market demand mainly relies on imports. In 2020, China’s butter imports were 86,000 mt; up from 63,000 mt in 2016; China also exported 1000 mt of butter in 2020. In 2020, New Zealand accounted for the highest proportion of China’s butter imports, with 66,832.357 mt; followed by France with 5,633.668 mt; and Australia with 3,004.053 kg.

Trends

With increase of home baking, the demand among Chinese consumers for butter is bound to increase. When buying butter, consumers are most concerned about whether the butter is fresh, followed by the popularity and price of their brand. However, the higher the dosage, the higher the user’s requirements for whether the butter itself is rich in milk, beating state, and milk source.

Peter Peverelli is active in and with China since 1975 and regularly travels to the remotest corners of that vast nation. He is a co-author of a major book introducing the cultural drivers behind China’s economic success

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