China Focus: Sirio's gummy investment and infant formula sales analysis

By Gary Scattergood contact

- Last updated on GMT

Chinese officials have introduced draft regulations that standardise the manufacturing and labelling of food for the elderly. ©iStock
Chinese officials have introduced draft regulations that standardise the manufacturing and labelling of food for the elderly. ©iStock
Our latest monthly round-up of the need-to-know news from China focuses on Sirio Pharma's expansion plans, the state of the nation's online milk sales, and regulations for products for the elderly.

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WATCH: Sirio Pharma discusses 10-year production plan for new plant

Dietary supplements contract manufacturer Sirio Pharma has a 10-year plan lined up for its new manufacturing plant​ in Ma'anshan, Anhui.

Speaking to us at the recent Vitafoods Asia show in Singapore, Austin Gao, the APAC Sales Director of APAC Business department at Sirio Pharma reveals more about the company’s plans for the facility.

“Our business has expanded, as a result, we do not have enough space to add in extra capacities in Shantou’s existing plants.

“This is why we acquired a new land in Ma’anshan, Anhui…The total area for this land is 240,000 square metres area.”

“We built up a ten year plan to fill up the whole area.”

The new plant went into operation four months ago. In the initial stage, the plant will focus on the production of gummy supplements.

Online sales of dairy products slows in China, growth mainly fuelled by infant milk powder and liquid milk

Online sales of dairy products on China's e-commerce platforms grew at a YoY rate of 45.2% in Q1 2018​ — the lowest since Q1 2016, according to analysis carried out by China research company Syntun.

The analysis broke down the market performance of liquid milk, infant formula powder, and adult milk powder sold in China’s e-commerce platforms in 2018Q1.

Data was collected from a range of B2C e-commerce platforms, including JD, Suning, Tmall, Amazon, and yhd.com. 

JD and Tmall remained the two most popular e-commerce sites for sales of dairy milk. Although most transactions took place on Tmall (49.5%), the sales revenue was higher for JD (51.2%).

 

Replace probiotics regulatory complexity with consistency and clarity: IPA

The International Probiotics Association (IPA) has urged the industry to support its efforts to bring consistency to the global regulatory landscape,​ so that the rules can keep pace with technology and scientific advancement.

George Paraskevakos, executive director at the IPA, pointed out regulatory challenges that were faced by the probiotics industry and offered potential solutions during his presentation at Probiota Asia last week.

The association has proposed to harmonise probiotics regulations at the CODEX level last year​.

Argentina stepped up as lead nation for the work, with help from the IPA in drafting the proposal. IPA will be discussing the proposal with Argentina again next month.

 

Food for the elderly in China: Authorities to regulate definition, labelling, and ingredients for the first time

China's National Health Commission and the State Administration for Market Regulation have introduced draft regulations​ that standardise the manufacturing and labelling of food for the elderly.

It requires the definition, categorisation, and stating the nutrition make-up of elderly food, and this is reportedly the first time that authorities have drafted such regulations.

The draft regulations are available for viewing and the public can provide relevant feedback​ on the China National Centre for Food Safety Risk Assessment website.

According to the draft, elderly food should 1) aid the elderly in chewing and/or swallowing of food and/or 2) satisfy dietary or nutrition needs of malnourished elderly. 

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