FY18 Guide & Annual Results, page-484

31 August 2018 China media - 21st Century Business Herald:

According to industry data, the average annual growth rate of organic infant formula sales in the past three years is as high as 47%. The offline sales of organic infant formula from 2016 to 2018 were 1.82 billion yuan, 2.67 billion yuan and 3.92 billion yuan. It is expected that the scale will reach 5.77 billion next year, this does not include the amount of online and through cross-border, Haitao and other channels.

“The organic infant formula market in 2016 was about 3 billion yuan,  by 2017 it doubled to 5.6 billion yuan. It is expected to double in 2018 and will exceed 10 billion yuan.” Dairy expert Song Liang Said.

After the implementation of the New Regulation og Infant Formulation, the control is becoming more stringent. As of the 1177 CFDA approved infant formulas in the country, the formula of organic milk powder is less than 40.