Brown yogurt is a new type of yogurt with a burned flavor formed by the nonenzymatic Maillard reaction and silky smooth mouthfeel that contains high-quality nutrients and has become a new hotspot in the yogurt market. As Gansu province is one of the major livestock production areas and dairy processing bases in China, this region is bound to development the brown yogurt industry and seize market share. This article reviews the current status of the development of Gansu’s brown yogurt industry and existing problems. This review covers a summary of the history of the development of this industry and the problems encountered during the development process, the barriers to and driving forces for the research and development of brown yoghurt, the current status and challenges of brown yogurt processing, and the current trends and future prospects of brown yogurt.