China Feihe (06186) appeared at the China Dairy Industry Conference and D20 Forum to share ways to “break through” in the dairy industry

The Zhitong Finance App learned that recently, the 16th Dairy Industry Conference, Dairy Industry Top 20 (D20) Forum and 2025 China Dairy Industry Exhibition hosted by the China Dairy Industry Association (China Dairy Association for short) were grandly opened at the Xiamen International Convention and Exhibition Center. With the theme of “Quality and Brand, Perseverance in Progress; Cooperation and Win-Win, Choice in Change”, the exhibition deeply analyzed the core of the high-quality development of the dairy industry, Liu Chengguo, former executive vice minister of the Ministry of Agriculture and former president of the China Dairy Industry Association, Yu Kangzhen, State Council Counselor and former Vice Minister of Agriculture and Rural Affairs, Ma Youxiang, a member of the National Committee of the Chinese People's Political Consultative Conference and former Vice Minister of Agriculture and Rural Affairs, Bi Meijia, and other relevant leaders from all walks of life attended the conference to discuss the “breakthrough” of the dairy industry in the new era.

Leng Youbin, chairman of China Feihe (06186), was invited to attend the “2025 China Dairy Industry Development Strategy Seminar” and shared his deep thoughts on how to break the dairy industry. He pointed out that the “15th Five-Year Plan” period is a critical period for the transformation and upgrading of the dairy industry. We should adhere to consumer demand as the guide, promote accurate nutrition upgrading, strengthen scientific research and model innovation, actively expand overseas markets, strengthen ESG layout, and promote sustainable development. How to seize opportunities in the midst of challenges, promote the collaborative development of the industrial chain, and achieve a shift from “quantitative expansion” to “qualitative improvement” will be the key to the future development of China's dairy industry.

Chairman Leng Youbin of China Feihe shared his experience at the “2025 China Dairy Industry Development Strategy Seminar”

We need to break through to innovation and use accurate nutrition innovation for the whole age to serve national health

Affected by multiple international and domestic factors, China's dairy industry is currently undergoing a period of deep adjustment. Farming and processing costs continue to rise, consumer demand growth is weak, while raw milk production capacity is expanding rapidly. The conflict between supply and demand is becoming more prominent, and the industry is facing unprecedented pressure. At the same time, problems such as rising feed prices, insufficient collaboration in the industrial chain, dependence on imports of core raw materials, and weak product innovation capabilities are also limiting the high-quality development of the dairy industry.

Faced with the proposition of how to break through the development of the dairy industry, Leng Youbin said that in the context of the “15th Five-Year Plan” and the in-depth implementation of the “Healthy China 2030” strategy, the upgrading and transformation of the dairy industry has also ushered in new opportunities. The nutritional needs of China's 1.4 billion people throughout the life cycle, especially the health needs of “one old and one small” group, are undergoing profound changes. “This requires us not only to provide basic nutritional products, but also to develop accurate nutritional solutions that meet the individual needs of different groups of people.”

In Feihe's many years of corporate practice, deep dairy processing and technological innovation have become the core engine for Feihe to solve the problem of industrial homogenization and enhance global competitiveness. Leng Youbin said that if we want to achieve a “breakthrough” in the industry, we must first break through and find a way out for innovation. Jiang Fan, senior engineer of Feihe Research Institute, further shared Feihe Milk Protein Deep Processing Technology and its application in next-generation functional nutritional powders in the “Dairy Deep Processing Technology Innovation and High Added Value Product Creation Seminar”, showcased Feihe's technological product innovation capabilities and solutions to provide accurate nutritional support for people at different life stages.

Feihe has built the first “agriculture and animal husbandry” integrated industrial cluster in the domestic infant formula industry. Based on the innovation of the entire industry chain, Feihe actively undertook the mission of creating a new generation of infant formula in China. Through the establishment of a “National Breast Milk Research Team”, the largest maternal and child health cohort in China was established, and a database on the composition of breast milk in China was established. At the same time, it is deeply involved in brain nutrition research for the first 1,000 days of life, and promoted China's infant formula industry's ability to innovate independently at the forefront of the world.

Guests attending the Dairy Industry Conference and D20 Forum visited the Feihe booth

Jiang Fan shared that based on the “14th Five-Year Plan” national key research and development plan and innovative accumulation in the field of infant formula, Feihe took the lead in releasing “Milk Protein Fresh Extract Technology” in the world, completely revolutionizing the milk protein production model. Through “fresh active low temperature separation technology”, “milk protein chromatography ultrafiltration technology”, and “milk protein targeted enzymolysis technology”, Feihe successfully achieved new breakthroughs in milk protein separation, extraction and activation.

At present, Feihe has received 50 special projects and authorized 16 patents around milk protein nutritional combinations and production preparation technology, achieved industrial production of 7 milk protein raw materials, and applied core results such as small-molecule milk protein raw materials to innovative products such as Aiben Active Protein Nutritional Powder to accurately lay out full-life cycle nutrition for pregnant women, infants, children, adolescents, middle-aged and elderly people, etc., opening up a new path for the high-quality development of the industry.

Among them, Feihe Aiben Active Protein Powder is an innovative research and development for the health needs of middle-aged and elderly people as a model for accurate nutritional upgrading. This product uses small molecule milk protein developed exclusively by Feihe to optimize the protein structure, provide high absorption rate and low burden protein support, and effectively address common problems in middle-aged and elderly people such as muscle loss and decreased immunity. This not only implements the strategy of 'promoting accurate nutrition upgrades', but also highlights Feihe's differentiated layout in the field of functional nutrition throughout the life cycle, helping the Chinese dairy industry break through to value innovation.

Strengthen the ESG layout and promote the sustainable development of the dairy industry with a symbiotic concept

At a time when the common concept of global integration and the destiny of mankind is deeply rooted in the hearts of the people, Leng Youbin said that the development of an enterprise must coexist and prosper with the environment, society, country, and even humanity as a whole. As a major industry relating to the national economy and people's livelihood, the dairy industry must also pursue deep “symbiosis” with the environment, society, consumers, partners, and even the nation.

As a pioneer in the green transformation of China's dairy industry, Feihe responded positively to the country's “double carbon” strategy and explored a sustainable development path with win-win ecological and social benefits. On top of black soil, we have attacked the breakthrough air-dried straw fermentation technology in six years to build the largest ecological recycling project in the alpine region of China. At the same time, we have vigorously promoted the return of manure to fields, increasing the organic matter of 14,000 mu of black soil in the region by 1%. In terms of clean energy, Feihe started the “coal-to-gas” project as early as 2006, becoming the first enterprise in the dairy industry to complete “coal-to-gas” in all plants. At the same time, it continues to expand the scale of applications such as photovoltaics and biomass biogas. In 2024, 3 factories passed the national green factory certification.

China Feihe Ecological Recycling Comprehensive Utilization Project

In addition to its own green layout, Feihe is also actively working with partners in the entire industry chain to establish a closed loop of green packaging ecology. Through innovative “factory-in-factory” cooperation models, Feihe introduced the production lines of partner companies into the factory, effectively reducing transportation processes and transportation costs while reducing carbon emissions and improving supply chain efficiency. At the same time, Feihe has always deeply integrated social responsibility into the construction of the industrial chain. In 2024, Feihe will rely on its own industrial clusters to create a total of 170,000 jobs, driving more than 160,000 farmers to increase their income and become rich, boosting the value of more than 1 million mu of cultivated land in Heilongjiang, and driving the common prosperity chain through the industrial chain.

At the same time, Leng Youbin also proposed a breakthrough approach of “going global”. “Strong dairy companies should take the initiative to 'go out' to promote high-quality Chinese products, technology and brands to the world, and achieve overseas market benefits to feed back domestic development.” Currently, Feikaku is developing a global layout focusing on North America, Southeast Asia, etc., and has made substantial breakthroughs in Canada's strategic layout. From obtaining Canada's first license to produce infant formula in March 2024 until it was officially put into operation in September, the milk powder produced by Feihe's Canadian factory has now been sold in more than 1,000 stores including Walmart and Loblaws, and has quickly won market recognition for its safety and high quality. As the first stop of Feihe's global layout, the Kingston plant in Canada marks a historic leap from “introduction and learning” to “shipbuilding and going overseas.” In the future, Feihe will accelerate its entry into the Middle East and Africa markets, starting with Southeast Asia, and further deepen its global layout.

Through an integrated “agriculture and animal husbandry” industrial cluster, innovative breakthroughs in milk protein deep processing technology, and a precise nutritional layout covering the entire life cycle, Feihe has not only consolidated the competitiveness of Chinese dairy enterprises, but also continued to promote sustainable industrial development and win-win ecology with the concept of “symbiosis and co-prosperity”. Standing at the new starting point of the “15th Five-Year Plan”, in the future, Feihe will continue to use technology to empower quality, link the world with openness, build a foundation for high-quality development of China's dairy industry in the midst of changes, and inject surging momentum into the transformation path of China's dairy industry from big to strong.