China's baby food market has grown into one with $19 billion by sales in 2014, compared to $9 billion in 2009. Despite the fast growth this industry is still in its infancy.
Baby formula milk accounts for more than 70% of the total annual sales in China, the rest 20% + goes to cereal. Solid foods are still in its early stage, when young parents are learning the importance of giving their babies a balanced diet.
Multinationals dominate the baby food market in China.
In 2013 16.4 babies were born in China vs. 3.9 million in the U.S. China may expect to welcome at least 1 million more babies each year since 2015. Chinese government has been relaxing the Only Child Policy by allowing couples of both the only child to have a second child in the urban area. About 1.5 million couples have submitted application to have a second child since the new policy was announced and practiced in selected regions in China November 2013.
Please click to download the latest presentation of China's Baby Food Market by Kee Global Advisors (KGA).