HK Stock Market Move | Dairy stocks generally rise, YST DAIRY (01431) up over 16%, institutions say the supply and demand situation of dairy products is expected to improve.

The dairy sector generally rose, as of the time of writing, YST DAIRY (01431) rose by 16.28% to 0.25 Hong Kong dollars; YOURAN DAIRY (09858) rose by 7.69% to 2.52 Hong Kong dollars; CH MODERN D (01117) rose by 6.6% to 1.13 Hong Kong dollars; MENGNIU DAIRY (02319) rose by 2.58% to 18.3 Hong Kong dollars. On the news front, a research report from Xiangcai Securities pointed out that for the first time in 2025, the State Council No. 1 document mentions promoting the relief of the dairy industry, clearly proposing to promote the relief of beef and dairy cattle industries, stabilize basic production capacity, implement national standards for sterilized milk, and support the integrated development of dairy farming and processing. By restructuring the management entities on the production side, it can effectively improve resource utilization efficiency, reduce unit production costs, and enhance resilience to market fluctuations. The upgrade of the milk quality standard system, which is complemented by the supply side, forces industry technological upgrading, accelerates the process of clearing inefficient production capacity. The bank expects that with the continuous digestion of industry capacity and the gradual recovery of the consumer market, the price of raw milk is expected to bottom out and rebound.