Effect Of China's WTO Entry On Its Dairy Industry

This paper mainly focuses on the analysis of China's dairy industry. Since the beginning of the economic reform and the implementation of the open door policy in 1978,China's dairy industry is the most quickly-developed and the best-industry in food industry. In the 20 years from 1978 to 1998, the total domestic output of milk products increased 7.7 times and the annual growth rate is 11.6%. Dairy industry is becoming more and more important in China. In recent years, dairy products have become a life necessity to the majority of urban households.The development of dairy industry can not only help improve the diet and nutrition of Chinese, but also promote the enhancement of farmers' income and improvement of agricultural structure. For quite a long time, China failed to give due attention to the dairy industry, which resulted in the small investment in dairy industry and low technical content of dairy farming and processing. For the time being, the dairy production, consumption and trade only occupy a small proportion in the agricultural economy. And the dairy industry in China displays some major problems, such as low per unit production , small scale of production and simple in variety etc.With China's WTO entry and the deepening of internationalization of agriculture, it is an unconvertible trend to eliminate non-tariff measures and further reduce the tariff levels of dairy import. The import of low-priced and good-quality milk products from overseas will be more and more. And the competition will grow. It is foreseeable that production, consumption and trade of dairy products in China will become more and more integrated with the world market.Therefore, it seems more important to study the current situation of China's dairy industry, analyze the influence of further opening of dairy market in China, which can undoubtedly facilitate China in making dairy development policies and in participating international cooperation and competition .The purpose of this project is to study and explore the fundamental trend of dairy industrial growth in China, in the context of economic globalization and internationalization; to analyze and assess the further influence on China's dairy production, consumption and trade cast by WTO entry and the implementation of the WTO Agreement on Agriculture .