Federal Treasurer the Hon. Scott Morrison MP today welcomed the House of Representatives passing the enabling legislation for the Free Trade Agreement between Australia and China in Australian Parliament this week at a press conference at The a2 Milk Company processing facility in Smeaton Grange, Western Sydney, which is currently the largest Australian exporter of branded fresh milk into China.
Russell Matheson MP, Federal Member for Macarthur said, “I’m delighted that the Federal Treasurer, the Hon. Scott Morrison has had a chance to visit The a2 Milk Company’s Smeaton Grange facility to see the potential of this company, and how the FTA opens up huge export opportunities in China going forward”.
a2 Milk™ branded fresh milk sourced from Australia was launched into China in August 2014 in premium supermarkets, through direct consumer subscriptions and also with JD.com, China’s largest online direct sales platform.
Morrison declared “This bottle of milk, one litre, going up into China and the technology that sits behind it, the technology that sits behind what I’ve described inside as smart milk, clever milk, is what is creating the difference, the price premium that they can achieve in China”.
It is widely known that Chinese consumers are increasingly seeking premium high quality Australian brands and the newly signed FTA will provide growing opportunities for Australian businesses.
Managing Director of The a2 Milk Company, Geoffrey Babidge said: “The Company’s growth initiatives in China continue to progress in a very positive manner. The reputation of The a2 Milk Company in Australia is driving strong word of mouth recommendation from Chinese nationals living in Australia to their friends and relatives in China. We are very pleased about the opportunity the FTA provides in boosting access into the China market for our brand, which will provide increased returns for Australian dairy farmers and more jobs in food processing.”
a2 Platinum® infant formula is currently the fastest growing infant formula brand in the Australian market and the more recently launched a2 Milk™ whole milk powder, both of which are seeing significant demand from the Chinese consumers.
The company announced earlier this year it is experiencing substantial growth in sales of its a2 Platinum® infant formula across Australia and China. The brand is in high demand amongst Chinese consumers both in Australia and via cross border e-commerce channels including JD.com and T-mall International.
Mr Babidge said: “The benefits of a2 Milk™ are well documented in a number of independently published research studies. Given the significant proportion of Chinese consumers who have issues digesting regular milk, a2 Milk™ products present a unique and large opportunity for the China market”.
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View the transcript of the Federal Treasurer the Hon. Scott Morrison MP
View a selection of photos from the press conference at The a2 Milk Company’s Smeaton Grange processing facility: