China
It was reported yesterday there were 15.23 million live births in 2018, a drop of two million from the year before.
Thats a lot of infant formula required.
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China
It was reported yesterday there were 15.23 million live births in 2018, a drop of two million from the year before.
Thats a lot of infant formula required.
So - how is a 12% drop in the birthrate good news for A2? Why would you think that the percentage of parents using A2 formula in economically challenging times would be increasing? Average Chinese per head disposable income in China is less than NZ$5000 per year (roughly 22.000 yuan) - makes you wonder how many A2 tins per month at roughly NZ$50 per pop they can afford. Don't forget - feeding babies with milk formula from the other side of the world is a luxury, not a necessity.
edit: I used originally in this post the Chinese per head GDP (roughly US$1000 per head per month). Relevant in this context is however not he GDP but the disposable household income - which is obviously much lower.
Ref: https://www.stlouisfed.org/on-the-ec...tandards-china
I found this interesting, particularly the bit about only a quarter of Chinese mothers breast feeding. Must be a cultural thing:
https://finance.yahoo.com/news/china...160000130.html
Besides birth rates and number of births, there are two other key factors driving premium A2M infant formula consumption in China besides birth rates :
1. Rise in real disposal incomes - the middle classes are getting wealthier and spending more on quality products and services;
2. The perceived benefits of A2 milk for their one child (supported by 6 adults).
I suspect you will find that the Chinese do not perceive feeding their little emperors and little empresses with the best infant formula as a luxury - just as they do not see spending a huge chunk of their incomes on education.
Gotto take off the Western blinkers when assessing China.
time to be a bear again