As China modernizes and commercializes its dairy sector, some farms have reached cattle numbers as high as 40,000. The largest, Modern Dairy Holdings, runs 178,000 head of cattle on multiple farms. As a result, Thanks to early import accreditation, U.S. exporters have reaped the benefits with a 95% share of China’s alfalfa hay market, shipping 700,000 tons per year. Australia is also vying for market share shipping 46,000 tons of oaten hay in 2013 – far behind the U.S. but well above the 18,000 tons shipped a year earlier. Imports of food and animal feed are becoming increasingly important to China as demand shifts and population grows. Rabobank’s Shanghai office states that China’s alfalfa hay import market has grown at approximately 100% per year between 2008 and 2012 and grew at 50% in 2013. Australian applications submitted within the past twelve months to Chinese authorities for approval to export alfalfa hay should help to expand Australia’s share of the market in the near future and give China an alternative source. Currently Japan takes 60% of Australia’s exported hay followed by Korea, Taiwan, and China. To read further about Chinese demand and the international hay market:
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