Do They Drink a Lot of Milk in China? A Look at Evolving Consumption

November 10, 2025 •

4 min read

In 2023, China's per capita annual dairy consumption reached 41.3 kilograms, representing a significant increase over the past decade. While this still falls well below the global average, the country has undergone a dramatic dietary shift, making the question of 'Do they drink a lot of milk in China?' far more complex than a simple yes or no. Once a food largely absent from traditional diets, milk and dairy products have exploded in popularity due to economic growth, Western influence, and official government campaigns.

Quick Summary

China's per capita dairy consumption is steadily rising, a significant departure from traditional dietary norms. This change is fueled by economic development, urbanization, government health campaigns, and Western influence. Despite historical low intake and high prevalence of lactose intolerance, milk is now a common household item, though total consumption remains below global averages. The market is dynamic, with strong growth and shifting consumer preferences, yet domestic producers face challenges from oversupply and consumer preferences for imports.

Key Points

Consumption is Rising: Per capita dairy consumption in China has increased significantly over the last few decades, though it remains below global and Western averages.
Modernization and Health Drives Demand: Economic growth, urbanization, and heightened health awareness are the primary factors fueling increased milk consumption.
Cultural Shift Occurred: Historically, dairy was not a traditional part of the Chinese diet, but strategic government promotion and exposure to Western lifestyles normalized its consumption.
Lactose Intolerance is Addressed: High rates of lactose intolerance are mitigated by a strong market for fermented products like yogurt and lactose-free milk.
Domestic Market Faces Oversupply: Despite rising demand, the domestic dairy market has recently faced challenges, including oversupply and declining prices, straining local farmers.
Consumers Prefer Premium and Imports: The 2008 melamine scandal eroded trust in domestic brands, leading many to prefer high-end or imported dairy products for perceived quality and safety.
High Potential for Growth: With consumption levels still comparatively low, and an expanding middle class, the Chinese dairy market has significant potential for continued growth, especially in premium and functional categories.

The Rapid Rise of Milk in China

Historically, milk and dairy products were not a staple of the traditional Chinese diet, particularly among the Han majority. Older generations often recall a time when milk was scarce or viewed as a foreign food. This was compounded by a high prevalence of lactose intolerance in East Asian populations, a biological reality that historically limited dairy intake. However, the landscape has changed dramatically since the economic reforms of the late 20th century.

Starting in the 1980s, the Chinese government and powerful state-backed dairy companies began promoting milk consumption, associating it with Western modernity, health, and athletic prowess. This marketing push, combined with rising incomes and increased access to refrigeration and modern retail, fundamentally shifted consumer habits. The introduction of UHT milk, with its longer shelf life, further boosted availability and convenience. The scale of this transformation is reflected in the statistics: in 1990, urban Chinese consumed about 4 kg of dairy per person annually, which skyrocketed to 18 kg by 2005. While consumption growth has been strong, it has not been a linear, uninterrupted path.

Shifting Consumer Preferences and Market Dynamics

As disposable income has grown, Chinese consumers have become more discerning, seeking out high-quality and premium dairy products. This includes a move towards higher-end liquid milk, yogurts, and niche products like cheese, driven by health-conscious urban households. In fact, some of the fastest growth is in functional dairy products, such as those fortified with probiotics.

However, the market is not without its challenges. The 2008 melamine scandal, where Chinese-produced milk was adulterated, severely damaged consumer trust in domestic brands and led to a surge in demand for imported dairy, especially milk powder for infant formula. While domestic brands have invested heavily to regain trust, many affluent Chinese still prefer foreign products for their perceived quality and safety.

Government Policies and Production Trends

Government policy has played a crucial role in shaping the dairy industry. In 2018, the “Dairy Industry Revitalization” initiative was launched to boost domestic production. This led to a significant increase in output, often outpacing consumer demand and creating a market oversupply, particularly in recent years. This oversupply has driven down raw milk prices, hurting dairy farmers despite technological advancements that have significantly increased milk yield per cow. As a result, the industry is focused on balancing supply and demand, with government efforts underway to stabilize the market and promote consumption.

Comparison of Milk Consumption: China vs. Global Benchmarks

Despite the dramatic increase in dairy consumption, China's per capita figures remain far below the global average and recommendations by health authorities. Comparing China's consumption with countries like Japan and some Western nations provides valuable context for understanding the market's potential for future growth.


Feature	China (2023)	Global Average (Approximate)	Western Countries (e.g., US)	Asian Average (Approximate)
Per Capita Dairy Consumption (Raw Milk Equivalent)	~41.3 kg/year	~120 kg/year	~300 kg/year	~80 kg/year
Traditional Role	Historically low, limited to specific regions and ethnic groups	Variable, depending on history of dairy farming	Significant, historical staple	Generally lower, with some exceptions (e.g., India)
Key Consumption Drivers	Economic growth, government promotion, health consciousness	Cultural history, income, dietary habits	Cultural norm, historical supply	Income growth, Westernization
Prevalence of Lactose Intolerance	High, affecting a significant portion of adults	Variable, lower in Northern Europe	Low	High, typical in many populations
Market Segment Growth	Rapid growth in high-end, functional products; liquid milk dominant	Varied; mature markets often focus on premium products	Mature; new product innovation drives segments	Increasing demand for liquid milk and value-added products

Addressing Lactose Intolerance

Given the high rates of lactose intolerance among East Asian populations, dairy companies have strategically marketed lactose-reduced and alternative products. Fermented dairy products like yogurt and probiotic drinks are very popular because the fermentation process breaks down lactose, making them easier to digest. Milk alternatives, particularly soy milk, have also long been a dietary staple, though cow's milk now holds a different cultural cachet. This focus on digestible and functional products has been crucial for expanding the consumer base and overcoming a traditional biological barrier.

The Future of Dairy in China

The trajectory of milk consumption in China continues to be one of growth, albeit with current challenges related to oversupply and economic slowdowns. The market is increasingly sophisticated, and competition is driving companies to innovate and focus on premium, healthy offerings. As urbanization continues and health awareness rises, dairy is poised to become an even more entrenched part of the modern Chinese diet. Future growth is likely to be concentrated in second- and third-tier cities and functional product categories. The dynamic evolution of the Chinese dairy market makes it a critical area to watch for global food and nutrition industries.

Conclusion

In summary, while China does not drink a lot of milk compared to Western nations on a per capita basis, its consumption has increased dramatically over the last few decades and continues to rise. This transformation is the result of a powerful confluence of factors, including rapid economic development, changing cultural perceptions, government promotion, and innovative product development to address issues like lactose intolerance. The market is dynamic and competitive, with ongoing challenges related to oversupply and consumer trust. Yet, the long-term potential for dairy consumption growth in China remains substantial, signaling a permanent shift away from traditional dietary norms. The country's demand for milk, in its various forms, has reshaped both its domestic and the global dairy market.

Explore the detailed history of how milk became fashionable in China here.

Frequently Asked Questions

In 2023, China's per capita annual dairy consumption, in fresh milk equivalent, was approximately 41.3 kilograms. This is significantly higher than in previous decades but still represents only about one-third of the global average.

Milk consumption has risen due to several key factors, including increasing household incomes, urbanization, government initiatives promoting milk for its nutritional benefits, and the cultural influence of Western diets.

Yes, lactose intolerance is widespread in East Asian populations, including China, and historically limited dairy intake. However, the market has adapted by offering popular fermented products like yogurt and lactose-free alternatives, helping to overcome this barrier.

Following the 2008 melamine scandal, many Chinese consumers, particularly affluent ones, developed a preference for imported milk and infant formula, perceiving them as safer and higher quality. While domestic producers have worked to rebuild trust, this preference persists.

The government has actively promoted dairy consumption through health guidelines and campaigns, while also supporting the growth of domestic production. However, policies aimed at boosting production have at times led to market oversupply.

Liquid milk, both fresh and UHT, remains the dominant category, followed by yogurt. The market for high-end, organic, and functional dairy products, such as probiotic drinks, is also growing rapidly among health-conscious consumers.

The long-term outlook remains positive, with a large and growing middle class driving demand for high-end dairy products. However, in the short term, the industry faces challenges from market oversupply and economic slowdowns, requiring strategic adjustments from producers.