# PROSPECTS

The effect of supply-side structural reform of the dairy industry will become more apparent. Dairy product consumption in the market is going to enter a period of rapid growth and the dairy industry will move into a positive development cycle. In the face of consumption upgrade, the dairy product industry needs to meet new requirement in terms of quality, innovation and digital transformation. In 2019, it is expected that cost of raw milk will remain steady with mild increase and the industry will continue to see structural upgrade. From the global perspective, China’s dairy industry has become a new force powering development of the global dairy industry and a “Global Dairy Community” is taking shape. The entire dairy industry is committed to revitalizing the industry, aiming for the supply-side structural reform of the industry to bring concrete results by 2020 and progress be seen with modernization of the industry that, by 2025, the overall quality level of products, competitiveness of the dairy industry and consumption penetration of China will match advanced global standards.

Looking forward, Mengniu will continue to strive for high quality and sustainable growth, and achieve breakthroughs in boosting brand power, channel power and its strength to innovate. The four major business divisions will cooperate with new business divisions in releasing the growth potential of new businesses, while consolidating the strengths of traditional businesses. The Group will push to accord with the consumption upgrade trend, pool together its advantageous resources, focus on core product categories and enhance its core products. For room temperature product business, the focus will be on speeding up growth of high-end categories like Milk Deluxe and Just Yoghurt will focus on Xiaomanyao to achieve higher sales target. Furthermore, Mengniu will work hard on market development for Champion and Yoyi C, and further upgrade of the product structure and market infrastructure of low temperature yogurt products to brace their leadership in the chilled product market. In addition, Mengniu will increase investment in new businesses like fresh milk to develop new growth drivers, so as to inject new vigor and vitality into the Group’s business and bring synergistic benefits to its traditional businesses. Mengniu will continue to boost product innovation and upgrade by employing latest industry technologies and aligning with the world’s highest standards in upgrading product packaging, flavor and function, creating new product categories, leading new trends and developing new markets, as well as optimizing upstream and downstream resources deployment.

展望

乳業供給側改革的成效將進一步顯現，乳製品市場消費正迎來快速增長的時期，乳業邁入良性發展週期。受消費升級趨勢的影響，乳製品企業正面對品質、創新和數字化轉型的全新要求，預計二零一九年原奶成本穩中有升，行業結構持續升級。全球視野下，中國乳業已經成為世界乳業發展的新動能，構建「全球乳業共同體」勢在必行。全行業正全力實現奶業振興目標，力爭二零二零年奶業供給側結構性改革取得實質性成效，奶業現代化建設取得明顯進展，到二零二五年乳品質量、產業競爭力和消費滲透率等整體水平進入世界先進行列。

展望未來，蒙牛將繼續保持高質量、可持續增長，在品牌力、渠道力、創新力全面突破。四大事業部聯動新業務群，鞏固傳統業務優勢，同時激發新業務的增長潛力。本集團將進一步迎合消費升級趨勢，集中優勢資源，聚焦核心品類，做強核心產品。常溫業務方面，加速特侖蘇等高端品類增長，純甄聚焦小蠻腰致力更高銷售目標；另一方面，蒙牛將繼續聚焦冠益乳 及優益C 的市場發展，進一步提升低温酸奶產品結構和市場基礎，穩保低溫市場領導者地位。同時，蒙牛將加大對鮮奶等新興業務的投入，培育新的增長點，為集團業務注入新的生機與活力，同時為傳統業務帶來協同效應。蒙牛將持續發力產品創新及升級，利用乳業最新技術，對標全球最高標準，全方位提升產品包裝、口味、功能，創造新品類、引領新趨勢、開闢新市場，並持續完善上下游資源佈局。