Let's just ignore the 1 in 5 are millionaires that's just not true. Your way off there. Having said that though there are probably more millionaires there than there are people in Australia. So there are a lot of well off Chinese in sheer numbers is true.
High income doesn't mean they want organic or place much value in "organic". They want best quality, best brand, most popular, the best perceived baby formula. Whatever the "best" is. The "best" baby formula is a subjective one. A lot of it has to do with branding. Just as Nike is to shoes, MacDonalds is for fast food, or coca cola is for drinks.
What would make the mass Chinese market choose WHA as the "best" formula over A2, Balance, Aptamil? I don't see how sticking a cheesy Australian made logo and a kangaroo on it, using buzz words such as "organic", " from farm to plate", "all Australian" would do the trick.
At present there are hundreds of dreamer "all Australian made" vitamins brands. The only new entrant is Healthy Care which has taken off.
One things clear though, the market doesn't value much on fundamentals or sales, especially sales from regular mum and dads.
Even unimportant announcements sees stock price rise and for that I give Lazurus, George and Peter a gold medal for.
This stock is dependent on CFDA at least in the short term. Though CFDA won't necessarily mean long term sales. It'll at least keep it afloat for a few more years.
WHA Price at posting:
$1.25 Sentiment: Sell Disclosure: Not Held