Dairy Profits Dry Up Amid Supply Glut

(Beijing) – Several major raw-milk producers reported losses in the first half amid lukewarm demand and intense competition from foreign milk-powder suppliers.

The country's largest milk producer by output, China Modern Dairy Holdings Ltd., lost 566 million yuan ($84.7 million) in the first half, sustaining the first-ever loss since it went public on the Hong Kong stock exchange in 2010. Sales were down 8 percent from the same period last year, the company said.