Western Animal Husbandry projects $67M in 2025 related-party milk purchases

Xinjiang Western Animal Husbandry (SZSE:300106) announced projected related-party transactions for raw milk purchases in 2025. The company's subsidiaries, Xinjiang Tianshan Yunmu Dairy and Xinjiang Shihezi Garden Dairy, anticipate purchasing up to RMB 50 million ($67 million USD) of raw milk from related entities. These affiliated suppliers are subsidiaries of Xinjiang Tianshan Military Reclamation Agriculture, a related party due to shared leadership. The transactions will primarily involve the purchase of raw milk from 14 affiliated farms. The pricing will be determined by market rates, ensuring fair transactions. The company’s board has approved the projected transactions, which are subject to shareholder approval. The move is aimed at securing a stable supply of high-quality raw milk for the company’s dairy operations. For the first 11 months of 2024, similar related-party transactions totaled approximately RMB 18.7 million ($25 million USD).