Brazilian dairy producers are entering a new and rapidly expanding market. Earlier this year, the Chinese government authorized 24 Brazilian plants to begin exporting dairy products the to the Asian nation, where dairy consumption has been steadily rising in recent years.

The new deal has been received with excitement by French multinational Lactalis, Brazil's biggest dairy producer.

"Lactalis already exports high-quality products to China from its plants in Europe and especially in France. We think it's great to have the opportunity to ship to the Chinese market from Brazil as well," said the company's spokesperson, Guilherme Portella.

Powdered milk is by far the main important commodity in international dairy markets but producers in Brazil also hope to sell their products of higher added value, like cheese and butter. Currently Brazilian farmers produce only about enough dairy to cover the country's domestic needs but industry leaders say the sector is ready to respond to an increase in international demand.

"We have good land, good soil and good weather. We can expand pastures and we also have production of grains to give good quality feed to the cows. So, if there is demand we can react quickly and increase our production to be able to fulfill it," said the president of the Union of Dairy Producers of the state of Rio Grande do Sul, Alexandre Guerra.

Further down the production chain, farmers also hope to benefit from increased trade with China. According to the Brazilian government, there are 1.2 million small dairy farmers in the country, who have been forced to cope with low product prices.

"We have good quality milk in Brazil and I think it's great to export it", said dairy farmer Leandro Fell. His family-run farm has about 100 cows and an output of 6,000 liters of milk per day, using a fully automated robotic milking process.

"We can increase our production and our quality if we have incentive and develop a market to sell it."

Hopes are that the opening of the Chinese market will lead to a domino effect, and other emerging markets will follow China's lead and also look to Brazil as a source of dairy.