To the Administrative Offices of All Leagues, Municipal People’s Governments, All Commissions, Offices, Departments, and Bureaus of the Autonomous Region, and Major Enterprises and Public Institutions:

In 2023, the Autonomous Region issued the “Several Policy Measures to Promote High-Quality Development of the Dairy Industry” (Nei Zheng Ban Fa [2023] No. 58), which promptly assisted dairy farms and enterprises in overcoming difficulties and effectively addressed the severe challenges facing the dairy sector.To thoroughly implement the enterprise assistance initiative, closely focus on the main task of fostering a strong sense of the Chinese national community, and adapt to the current changes in the dairy industry’s development landscape while continuing to help dairy industry entities overcome difficulties, the People’s Government of the Autonomous Region hereby issues the following notice regarding further support for the high-quality development of the dairy industry.

I. For loans taken out by dairy farms to purchase feed and fodder, interest subsidies of up to 2 million yuan per year per entity will be provided, calculated at 70% of the Loan Prime Rate (LPR) on the date the interest is settled (if the actual interest rate is lower than the LPR, the subsidy will be calculated at 70% of the actual rate). (Responsible Units: Department of Agriculture and Animal Husbandry, Department of Finance, and Financial Affairs Office of the Party Committee)

II. Support the integrated development of production and processing for small and medium-sized dairy farms. For small and medium-sized dairy farms that establish their own production and processing enterprises (which must obtain a food production license) to produce pasteurized milk, chilled fermented milk, cheese, and local specialty dairy products, a subsidy of 30% of the total investment will be provided, with a maximum subsidy of 1 million yuan per entity. (Responsible Units: Department of Agriculture and Animal Husbandry, Department of Industry and Information Technology, Department of Finance, and Market Regulation Bureau of the Autonomous Region)

III. Encourage eligible regions to explore the implementation of raw milk price index insurance, and, at an appropriate time, include regions demonstrating strong industrial support effects within the scope of autonomous region fiscal subsidies. (Responsible Units: Department of Finance of the Autonomous Region, Inner Mongolia Financial Regulatory Bureau, Department of Agriculture and Animal Husbandry of the Autonomous Region)

IV. Support dairy processing enterprises in fully purchasing raw milk from March to August 2025. For enterprises using raw milk for spray-drying, a subsidy of 1,000 yuan per ton will be provided based on 10% of the purchase volume, with the Autonomous Region and league/city governments each bearing 50% of the cost. To ensure that policy support for spray-drying reaches the farming sector, dairy enterprises are strictly required to purchase raw milk in accordance with contract volumes, renew contracts in a timely manner, and must not refuse or limit purchases.(Responsible Units: Department of Industry and Information Technology of the Autonomous Region, Department of Finance)

V. Strengthen the development of innovation platforms. Continue to support the construction of the National Dairy Industry Technology Innovation Center. Leveraging the specialized dairy sites under the “Breakthrough” Science and Technology Project, intensify R&D efforts in dairy deep processing. Focus on achieving breakthroughs in key technologies for dairy-based ingredients and functional dairy products, develop dairy-based foods suited to Chinese dietary habits, and accelerate the launch of distinctive dairy products such as dairy-based functional ingredients with Chinese characteristics, Chinese-style cheese, and Chinese-style dairy-based foods. (Responsible Units: Department of Science and Technology of the Autonomous Region, Department of Finance)

VI. Support dairy enterprises in undertaking major scientific and technological tasks. Encourage enterprises to collaborate with research institutes to apply for regional key R&D and technology transfer projects. Focus on tackling key technological challenges across the entire grass-fed dairy industry chain to meet the needs of differentiated markets. (Responsible Units: Department of Science and Technology of the Autonomous Region, Department of Finance)

VII. Organize dairy enterprises to participate in domestic and international exhibitions, and conduct diverse promotional activities throughout the region—such as the “Dairy Enterprise Competition”—to facilitate the entry of local dairy enterprises into international markets, including Africa and Southeast Asia. (Responsible Units: Department of Commerce, Department of Agriculture and Animal Husbandry, Supply and Marketing Cooperative Federation of the Autonomous Region; Hohhot Customs)

VIII. Encourage trade unions at all levels to increase the procurement and distribution of dairy products, promote the supply of dairy products to institutions such as nursing homes and welfare centers, steadily expand the coverage of the “Student Milk Program,” and help foster a habit of milk consumption among the general public. (Responsible Units: Autonomous Region Federation of Trade Unions, Department of Civil Affairs, Department of Education)

IX. Further optimize the procedures for disbursing dairy industry policy funds and make effective use of the direct enterprise support platform; utilize the upgraded allocation mechanism to improve the timeliness of fund disbursement, ensuring that all eligible payments are made promptly. (Responsible Units: Department of Finance, Department of Industry and Information Technology, Department of Agriculture and Animal Husbandry)

This notice shall take effect from the date of issuance, and the policy shall remain in effect until December 31, 2025. Point 8 of the section titled “III. Stabilizing the Supply of ‘Milk Sources’ and Consolidating the Foundation for Industrial Development” in the “Notice of the General Office of the People’s Government of the Inner Mongolia Autonomous Region on Issuing Several Policy Measures to Promote High-Quality Development of the Dairy Industry” (Nei Zheng Ban Fa [2023] No. 58) is hereby repealed.

April 2, 2025    

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