Tuesday, 05 September 2017 08:55

Creaming China’s ultra-rich

Written by 
Milk NZ managing director Terry Lee. Milk NZ managing director Terry Lee.

Wealthy Chinese families’ appetite for fresh New Zealand milk is growing.

Milk New Zealand, which owns 29 dairy farms including the ex-Crafar properties, has launched a new 1L product -- Theland Farm Fresh Milk.

About 35,000 bottles of fresh milk have already been shipped to China.

Milk NZ managing director Terry Lee expects to ship about 20,000 bottles per month this year, rising to 80,000 bottles per month by the end of 2018.

“Demand for fresh milk is growing in China, particularly for product grown and processed in NZ,” says Lee.

The new product is marketed by the world’s largest online retailer, Alibaba Group, through its ‘88members’- a VVIP channel for middle and upper class Chinese families.

TheLand milk comes from Milk NZ’s Collins Road farm in Hamilton; it is processed by Green Valley Dairy and air-freighted by China Eastern Airline Cargo. The product has a 16-day shelf life.

“Theland Fresh Milk is 100% NZ made,” says Lee. “The milk is sourced from pasture-farmed free ranging cows (average of 2-3 cows/ha). This product contains high natural protein and milk calcium.”

This week TheLand milk and the trade deal between Milk NZ and Alibaba will be officially launched at the Collins Road Farm; a live-feed will be beamed into millions of homes by top Chinese social media groups.

Lee says this is the first time NZ fresh milk has been promoted on social media by live webcast to consumers in another country.

“This is also the first time Alibaba will promote fresh product directly via live webcast to its VVIP members, and the collaboration has created a new model for how to promote NZ fresh products directly to Chinese consumers.

“It’s an exciting prospect, not only because it promotes the collaboration we have with Alibaba, but also it provides Chinese consumers with insight into where and how the milk is produced.

“Traceability from pasture to plate is very strong in China. Consumers want to know that the product they are consuming has been produced with the highest animal welfare, environmental and quality processes.”

To facilitate the live feed, MilkNZ has rented a satellite facility for the day to enable visiting Chinese social media groups to video the launch – and the farm – on their phones and direct feed to their followers in China.

“The event has been timed to facilitate the highest viewing – 2pm NZ time which is 10am in China,” says Lee.

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