Fresh Tasmanian milk to flow to China from early 2017

Posted by AFN Staff Writers on 2nd November 2016
China

Fresh Tasmanian milk to flow to China from early 2017

Moon Lake Investments, the Chinese owner of Australia’s biggest and oldest dairy farm, Van Diemen’s Land Farms, will begin early in 2017 to export 10 million litres of fresh “VAN Milk” from Hobart airport to Ningbo in China.

Australian Food News believes this fresh milk deal will be Tasmania’s first regular international air freight route into Asia.

Subject to ongoing negotiations, the operation will begin with weekly round trips, with a view to increasing flights to thrice weekly. Other cities will be targeted across China after Ningbo.

According to an ABC News report the milk will be packaged in 1 litre and 600ml cartons and the range is hoped to expand to yoghurt and other dairy products.

Sean Shwe, managing director of Moon Lake, has hinted that this venture could readily grow to include Tasmanian fresh seafood, fruit and vegetables.

While Ningbo is Mr Shwe’s home town, the destination  is believed to have been selected for far more hard-nosed reasons:

  • Mr Shwe has established distribution networks in the city,
  • Ningbo has among china’s highest average incomes, and
  • it is less saturated than Shanghai with western products

Even before shipping has commenced, Moon Lake has forward-sold more than AUD $2.88 million of VAN Milk.

Moon Lake says it intends to use social media marketing that will include offers of consumer rewards such as the opportunity to visit Tasmania.