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    Home > Food News > Food Articles > The implementation of the new milk powder policy is that dairy enterprises compete to seize the third and fourth-tier markets.

    The implementation of the new milk powder policy is that dairy enterprises compete to seize the third and fourth-tier markets.

    • Last Update: 2020-09-19
    • Source: Internet
    • Author: User
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    A few days ago
    , the State Administration of Food and Drug Administration announced the latest batch of infant formula formula registration approved list, 5 enterprises a total of 16 infant milk powder product formula registration was approved. This is also the State Administration of Food and Drug Administration announced the 16th batch of milk formula registration list, so far, 422 formula has been approved.
    in the industry, milk formula registration system is a major test of the dairy industry, can pass the big test of the brand will usher in new development opportunities. And with the formal implementation of the formula registration period approaching, many dairy enterprises have been registered with formula have accelerated the pace of opening up new markets, new categories, trying to seize the market share left by the withdrawal of milk powder brands.
    422 formula registrations were approved
    known as the "New Deal on the Strictest Milk Powder in History" formula registration system will be officially implemented on January 1 next year. According to the Measures for the Administration of The Registration of Infant Formula Products, infant formula must be registered by the relevant departments before it can be produced and sold, and approved milk powder must be marked with the formula registration number on the outer packaging.
    the list of approved companies and brands for the registration of milk powder formula has been attracting much attention from the market. On August 3, the State Administration of Food and Drug Administration announced the first batch of milk formula registration list, 22 enterprises, 89 infant formula formula product registration applications were approved. Among the first to be registered were Brands such as Bainmei, Yasley, Osser Mengniu, Flying Crane, Yili, Heshengyuan and Junlebao. On October 20, the State Administration of Food and Drug Administration announced the latest batch of infant formula formula registration approved list, so far, the State Administration of Food and Drug Administration has approved 422 infant formula formula registration applications.
    According to Liu Xuecong, secretary-general of the China Nutrition and Health Food Association, as of October 20, the State Administration of Food and Drug Administration officially accepted about 1,100 registration declarations for infant formula formula, issued about 700 amendments and corrections, and approved a total of 422 formulations from 73 enterprises. He said that at the current pace of approval, it is expected that by the end of the year, about 900 formulations will be approved, basically meet the market supply, registration management smooth progress, the possibility of further extension of the transition period is almost zero.
    It is understood that at present, in addition to 5 due to inspection problems cancelled production qualification enterprises, there are still 103 infant formula production enterprises, of which more than 90% of enterprises have completed at least one series of registration declaration;Song Liang, a senior analyst at
    Dairy, said that since formula registration is open, there will be companies that can continue to register, but overall, the more difficult it is to register, the more the New Deal can basically come to an end after next year.
    for registered dairy companies, industry experts are advised to get ready to launch new products as soon as possible. Song Kungang, honorary chairman of the China Dairy Industry Association, said that the market share will change positively after the implementation of infant formula registration, and he suggested that enterprises that get formula registration should launch new products as soon as possible in order to seize the market opportunity.
    2000 recipes or reduced to 500
    in the industry, the significance of the new milk powder policy is to regulate the industry, the industry, enterprises, channels will have a far-reaching impact, will promote cooperation or competition between enterprises, but also make cooperation between channels to strengthen.
    according to industry statistics, China's 103 infant formula milk powder production enterprises have a total of nearly 2000 formulations, individual enterprises even have more than 180 formulations. After the new policy of milk powder registration is officially implemented next year, the labeling, processing and fake foreign brands will all be cleared out of the market, and the number of brands will be reduced from 2000 recipes to more than 500.
    " formula registration system, will enable enterprises to re-gather on product quality and scientific research and innovation, the future of high-quality products will be sought after by the market. Mei Zanchen's new president for Greater China, Rui Enda, believes that the Full Implementation of infant formula registration system in the Chinese market marks a new era in the field, which encourages consumers to be more rational about their choices, will also make the current Chinese market milk powder brands more chaos, "milk powder registration system is expected to be implemented after 50% of the brands out of the Chinese market."
    said that China's implementation of formula registration system, mainly to improve the industry access threshold, and thus improve the safety of milk powder. "The implementation of the New Deal on milk powder can actually guarantee the safety of milk powder in China in the future, thus opening the door to the upgrading and transformation of Infant milk powder in China and opening the channels of China's pregnant baby industry." In Song Liang's view, the future competition between dairy enterprises will break through in five areas: complete supply chain system, professional technology research and development, modern marketing, gold-like management team and very clear strategic cooperation.
    Some people in the industry believe that the milk formula registration system will be an inflection point in the domestic infant milk powder market, with the increase of the entry threshold, more stringent production norms, channel remodeling, these will make the entire industry's competitive environment tend to be benign.
    This fourth-tier market empty 15 billion yuan of space
    with the announcement of the milk powder registration list, in the face of more and more fierce market competition, the major dairy enterprises began to actively layout, have accelerated the pace of opening up new markets, new categories.
    It is understood that the first batch of 22 enterprises 89 infant formula milk powder product formula registration application was approved, and these enterprises after more than 2 months of preparation, new product launch, with dealers to open a new mode of cooperation, become a number of dairy enterprises common action.
    reporter learned from the flying crane, flying crane is currently in accordance with the relevant national regulations, the design of new packaging, new products "should be in accordance with the national requirements of the time switch, while the old packaging products are gradually de-listed." According to Feihe, the company's finished goods inventory, including 2-3 months of finished goods inventory and access inventory, is expected to be available for sale early next year. In addition, including Wyeth, Health International, Shengyuan and other dairy companies have launched organic infant formula, and some brands have launched pregnant women's milk powder.
    the new policy of formula, the third- and fourth-tier cities have become a battleground. Some agencies estimate that with the implementation of China's new baby milk powder policy, the de-listed milk powder brands before most of the market in the third and fourth tier, they vacant the market space of about 15 billion yuan.
    , at its first meeting with the media, Reenda said that it will further expand the market influence of U.S.-pro-milk powder in China through all-channel channels such as Power Super, Mother and Child Stores and the Internet, one of the important initiatives is to china's third- and fourth-tier city market.
    Rui Enda said that next, in accordance with the approved formula and labels to actively organize production and supply chain arrangements, the introduction of innovative product portfolios and services, through further deepening channel partnerships, increase research and development investment efforts, and constantly lay out new urban outlets and other means, sink to the third and fourth-tier markets, launch a more active market strategy, win in all major sales channels. In addition, there will be more interaction with the new generation of mothers after 85.
    Chenguan Dairy Marketing Director Sun Jing also pointed out to the media that the current second- and third-tier infant milk powder market is more chaotic, many consumers can not buy good milk powder, the company will always adhere to the second- and third-tier market, but in the future the company will be based on the second- and third-tier market layout to other cities.
    , a reporter for the Southern Daily News.
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