Research On The Influence Of Milk Powder Import Of China

With the development of economy, milk powder has become the indispensable product in modern life. In recent years, the trade scale of our country grows rapidly. Though, the overall trade surplus of China is growing, while the trade deficit of dairy products is rising.Through studies, we can find that the sharply rising scale of milk powder import is the reason that why dairy imports rising dramatically after 2008. Thus, it is important to study the influence factors of China's milk powder imports.This article will use the quantitative analysis, qualitative analysis and comparative analysis method to explore which factor is most important in milk powder import. Through a large amount of data chart, we can directly know the characteristics of our country's milk powder import trade.After theoretical analysis, this article will use the econometric model to analyze the major factors that affect China's milk powder imports, and then, summarize some policy recommendations for China's milk industry.Through the study, we find out there is a significant positive correlation between the improvement of income level and milk powder imports, and income level has always been one of the main factor which affecting China's milk powder imports. Before 2008, price is also an important factor, but after it, the effect of price has decreases. Although milk powder safety incident is considered to be a big reason for the surge of milk powder imports, but there must be some other factors have not been found.Therefore, we suggest that China's milk powder production enterprises to expand production scale, reduce production cost, increase R&D investment. Relevant government departments also need to strengthen supervision and establish unified standard system.