The recently released Top 10 Dairy brand value and strength list by Brand Finance has all but cemented the position of Asia as a global dairy leader, with Chinese and Indian dairy companies basically dominating the top five positions.
In first place is China’s Yili, which showed a 29% growth in brand value to US$14.5bn and a Brand Strength Index (BSI) score of 85 earning it an AAA rating. This was followed by France’s Danone with a brand value of US$8.2bn and an AA- rating, then immediately by another Chinese dairy firm Mengniu which grew 26% in brand value to US$6bn and a BSI score of 87.2 also earning it an AAA rating.
“Yili’s continued momentum reflects its ability to capture growth across a wide range of dairy categories from everyday milk products to higher-value nutrition segments,” Brand Finance Director Henry Farr stated.
“Its diversified portfolio, spanning liquid milk, milk powder, yoghurt, ice cream and nutritional products, has enabled it to respond to evolving consumer demand for healthier and more functional dairy options, and continued investment in areas such as adult nutrition and health-oriented products further supports its long-term positioning.”
Fourth place on this list went to India’s Amul with a brand value of US$5bn and an AAA+ rating, then the Middle East’s Almarai at US$4.1bn and an AAA- rating.
This is a notable achievement by the Chinese, Indian and Middle Eastern dairy brands given the economic pressures faced by each of these markets today.
Almarai’s stressors are clear given the ongoing war in Iran, whereas China and India are both facing tense global trade environments this year primarily linked to the fallout from United States President Donald Trump’s tariff shifts.
China faces weaker GDP growth of around 4.3% compared to the rapid rises seen in previous years. A primary factor for this has been attributed to a burst in the property bubble as well as weaker consumer sentiment and spending.
And while India is projected to show higher GDP growth at around 7.0%, a report from its own Ministry of Finance has urged caution over optimism due to multiple factors set to have impacts on local inflation, including the effects of climate change and El Nino on winter crops.
“Geopolitical tensions and elevated crude oil prices could also add to imported inflation pressures,” stated the ministry.
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Notably, although Danone retained a second-place position within this list, its AA- is considerable weaker than the others on this list, indicating relatively weaker brand strength as compared to its close Asian and Middle Eastern competitors named above.
Yili may have the highest value on this list, but in terms of BSI, it actually is quite far behind India’s Amul, which came to the list with a whopping score of 93, the highest across the entire list, and hence its AAA+ rating.
“Amul is an Indian dairy cooperative, and its strength is built on decades of consumer trust, extensive distribution reach and a deep connection with households across the country,” Farr added.
“Its farmer-owned cooperative model, supported by a broad portfolio of milk, butter, cheese, ice cream and other dairy products, has helped Amul maintain strong relevance across generations while expanding its international presence.”
That said, Amul is not the only dairy firm with an AAA+ rating. Several others that may not be quite as high in terms of brand value yet have also achieved this, including Vietnam’s Vinamilk and Finland’s Valio.
Vinamilk in particular is a rising star to watch in South East Asia and beyond: With a brand value of US$2.6bn despite an unfavourable exchange rate for Vietnamese currency to the dollar, it has a strong BSI score of 89.6, beating much bigger companies and securing strong domestic reputation and an unwavering position as a trusted household name in Vietnam.
