After a very strong start to the year, China is starting to show a slightly weaker appetite for dairy. New data released by the Chinese ministry for trade shows dairy imports by Chinese buyers during the month of May was down 5% year on year at 237,200t.

The stand out figure is the collapse of imports of whey powder by Chinese buyers as the African swine fever epidemic continues to decimate China’s pig herd. Whey powder is mainly imported by China as a feed for pigs. For May, Chinese whey powder imports slumped almost 50% year on year to just 28,500t.

Demand for butter was also very weak in May with imports down 45% to less than 7,500t. Even infant formula imports fell back in May by 7% year on year to just over 30,000t for the month. In contrast, Chinese imports of skimmed milk powder (SMP) jumped 18% to 23,260t, while imports of milk and cream products jumped almost 50% year on year to 82,000t.

Despite the fall off in demand in May, Chinese dairy demand is ahead of last year. Chinese dairy imports in the first five months of 2019 (Jan-May) are up 13% compared to the same period last year at just under 1.4m tonnes.