The implementation of a new national standard for food traceability systems has shifted regulatory focus from final product inspection to the control of production sources, including raw materials. In response, CHINA FEIHE (06186), in collaboration with the China National Institute of Standardization, has introduced a pioneering quality management standard for fresh dairy raw materials. This standard establishes quantifiable metrics across multiple dimensions, including raw material usage cycles, traceability, activity retention, and thermal load control, setting a new benchmark for the industry with its fully transparent and verifiable framework.
While traceability is not a new concept, the industry has largely focused on the traceability of finished products. For infant formula, where whey-based ingredients constitute over 60% of a can, the origin and freshness of these core components have often been opaque to consumers, lacking systematic evaluation and traceability standards. Feihe's new standard addresses this by formally incorporating "fresh raw materials" as an independent evaluation dimension, setting specific requirements for the freshness, procurement-to-processing timelines, and quality of key ingredients like raw milk and whey protein. A key benchmark is achieving a 30-day window from production to canning for these raw materials, a target Feihe has validated and implemented through its proprietary production capabilities.
CHINA FEIHE
The new standard moves beyond traditional quality metrics focused on formula and finished products, transforming the concept of "fresh raw materials" into a quantifiable, traceable, and verifiable technical system. This initiative is expected to drive a new wave of quality upgrades within the infant formula sector. Concurrently, Feihe has extended traceability to the raw material level, formalizing a "dual-date" system for each can. Through its industry-first fresh raw material traceability system, consumers scanning a QR code can access not only the product's production date and batch but also detailed information on core ingredients like whey protein and lactoferrin, including their production dates, sources, and quality inspection reports.
Recent policy directives have consistently emphasized the use of fresh raw materials in dairy production, accelerating the arrival of a "fresh milk powder era." Feihe's new standard builds on the concept of "freshness" by also evaluating the "activity" of nutrients, proteins, and functional components, imposing quantifiable requirements on production processes and quality control. The standard specifies extraction methods, mandates low-temperature, single-step physical extraction, strictly controls processing temperatures and final purity, and sets limits on by-products like furosine to avoid the metabolic burden on infants from over-processing. This evaluation philosophy is supported by Feihe's proprietary "Fresh Extraction Active Technology," a system designed to preserve the natural activity of key nutrients like lactoferrin and immunoglobulins through direct extraction from fresh milk and low-temperature physical separation.
CHINA FEIHE
Feihe's capabilities in freshness are built on over two decades of deep-seated industry involvement. The company pioneered China's first fully integrated supply chain in 2006, ensuring 100% control over farms, pastures, cows, and raw milk production. It has established a "2-hour ecosystem" from milking to processing to guarantee fresh milk sources. In 2018, Feihe collaborated to establish a "fresh milk powder standard system," promoting "fresh raw milk processed into powder in a single step" as an industry trend. Building on this foundation, the company has extended its control to core ingredients, achieving 100% in-house R&D and production for 11 key raw materials, including lactoferrin and demineralized whey powder.
CHINA FEIHE
This comprehensive control from pasture to factory and raw material production provides solid support for implementing the fresh standard. Feihe's products, such as Qicui and Jicui, now fully apply this standard. By utilizing self-produced fresh ingredients and the Fresh Extraction Active Technology, the products effectively retain the active nutrition of core components. Clinical evidence indicates positive outcomes for infants fed with these formulas across key developmental indicators. The initiative reflects a consumer shift from basic safety needs towards demands for premium, fresh quality. By establishing a higher standard, Feihe is not only responding to national food safety strategies but also leading the industry from superficial formula competition into a deeper phase focused on raw material transparency and traceable systems, aiming to provide better, more suitable nutrition for infants.
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