The Guide Price of Raw milk Purchase in Wuzhong, the Major Dairy City of Ningxia, Climbed Rapidly, Reaching 4.2 yuan/kg in Q4

In recent years, the dairy farming industry in Wuzhong City of Ningxia has developed rapidly. Three core dairy farming areas have been built in Wuzhong National Agricultural Science and Technology Park, Wulipo in Litong District, and Qingtongxia Mountain. With these three farming areas, the whole city owns 106 large-scale farms with a scale rate of 98%. There are nearly 250,000 dairy cows with annual raw milk production of 1 million tons, accounting for nearly half of the dairy cow inventory and raw milk production in Ningxia.
Since the beginning of 2020, the guide price of raw milk purchase in Wuzhong City has grown rapidly. From May to June 2020, the guide price for raw milk purchase in Wuzhong is 3.61 yuan/kg (excluding freight), and the minimum purchasing price for raw milk must not drop below 5% of the purchase price. And the guide price in Q3 has jumped to 4.02 yuan/kg, an increase of 11% over the last quarter; The fourth quarter guide price increased to 4.2 yuan/kg, an increase of 6.6% from Q3, and a 16% increase from June.