The Three Pork Giants

At present, China's pork processing companies have probably evolved into three major camps, forming a new competitive landscape. Among them, Shuanghui, Yurun and Jinluo are first-tier brands, accounting for about 80% of the meat product market. Meili, Tangrenshen and Delis are second-tier brands, rapidly advancing from regional to Chinese brands. Some weak local brands have a certain reputation in the local market, but do not pose a major impact or threat to the brands in the first and second camps. They are the main merger and acquisition targets of the first camp. At present, the three leading companies have established slaughtering and processing bases in major pig-raising provinces, but their production capacity and layout are still differentiated. Judging from the product sales unit prices and expense rate trends of the three companies in the past three years, industry competition is not fierce and leading companies have strong digestion capabilities.

(1) Henan Shuanghui

Ranks first in meat product production and sales, comprehensive market share, and comprehensive strength, first in high-temperature meat products, and second in low-temperature meat products; It has firmly established its leading position in the industry and occupies a dominant position with absolute advantages in North China, Northeast China, Northwest China, East China, and South China; by taking the path of large-scale and intensive industrial development, Shuanghui has established the largest meat industry in China. processing base. The development goal of Shuanghui Group is to establish a multinational import and export company, establish 20 pig slaughtering plants and 20 low-temperature meat product plants in China, establish a modern logistics and distribution system, establish a green industrial chain for China's meat industry, and vigorously develop non-toxic meat products. The pollution-prone planting industry, breeding industry and feed processing industry will seize the new round of industrial expansion opportunities and become the top three meat processing industries in the world in the next five years.

2) Shandong Jinluo

Ranked first in primary pig slaughtering products, second in overall strength, high-temperature meat product production and sales, and third in comprehensive market share. The company's registered trademark is "Jinluo", and the Jinluo brand is one of the top ten meat products in China after Shuanghui. In March 2001, it was listed in Singapore under the name of "Popular Food Holdings Co., Ltd." through the red chip model. In 2002, it was successfully transferred to the Hong Kong Main Board for listing. Shandong Jinluo mainly produces meat products and has pig, broiler, slaughtering and meat product production and processing lines based on production bases in Shandong, Inner Mongolia, Hunan, Sichuan and Heilongjiang. It slaughters 6 million pigs, 15 million broilers, and produces more than 600,000 tons of meat products annually, making it the second largest meat processing enterprise in China. The company's sales network covers more than 180 large and medium-sized cities in China, with 42 offices, more than 5,000 authorized dealers, more than 500,000 retailers and more than 100 specialty stores. At the same time, the company has an advanced electronic marketing system, and various products can be inquired online, ordered directly, and delivered automatically. Relatively speaking, Jinluo's holding company focuses more on profit-seeking behavior in the capital market, and its industrial determination is not as good as that of Yurun and Shuanghui. Jinluo's development momentum in recent years is not as good as Shuanghui and Yurun.

(3) Jiangsu Yurun

Ranks second in meat product sales volume and comprehensive market share, and ranks first in low-temperature meat products. Yurun currently has six major brands, including Yurun, Wangrun, Furunde, Xuerun, Furun, and Faxiang. Ten series and more than 1,000 varieties of products are sold in more than 200 large and medium-sized cities in China and exported. Russia, North Korea, Southeast Asia, Hong Kong and Macao and other countries and regions. In 2003, as the pace of reform and restructuring of state-owned enterprises accelerated, Yurun relied on its past experience in this area to successfully reorganize ten large and medium-sized state-owned enterprises, including Kazakhstan Meat Federation. At present, it has an annual production capacity of slaughtering 8 million pigs and processing 250,000 tons of cooked meat products. It has initially formed a regional strategic pattern based in East China and radiating across China. Yurun Meats was listed on the Hong Kong Main Board in October 2005.

Generally speaking, Yurun’s higher product positioning enables it to have higher profit margins, but Shuanghui’s scale advantage reduces the company’s expense ratio, and the company’s higher asset operating efficiency makes it profitable. The ability is higher than Yurun. In 2004, the slaughter numbers of Shuanghui, Yurun and Dazhong accounted for less than 3% of the country's total, and the industry concentration was very low. The three companies all have slaughterhouses in major pig-raising provinces, but there are still differences in production capacity layout. Judging from the product sales unit prices and expense rate trends of the three companies in the past three years, industry competition is not fierce, and the leading companies have relatively high competitiveness. Strong cost digestion ability. In the first half of 2005, the growth of various businesses of Shuanghui and Yurun exceeded that of 2004.

Shuanghui's higher revenue from high-temperature meat may make Shuanghui's growth slightly inferior to that of Yurun in the short term. In the long term, industry opportunities arising from demand growth and upgrading of consumption structure will give the top three companies sufficient room for growth.

Attached is the list of the top 50 companies in China's meat food industry in 2005

Serial number company name Serial number company name

1 Luohe Shuanghui Industrial Group Co., Ltd. 31 Henan Bang Jie Industrial Group Co., Ltd.

2 Linyi Xincheng Jinluo Meat Products Co., Ltd. 32 Shandong Zhongao Agricultural and Commercial Group Co., Ltd.

3 Jiangsu Yurun Food Industry Group Co., Ltd. 33 Yuxiangyuan Group Holdings Co., Ltd.

4 Zhucheng Foreign Trade Co., Ltd. Xiamen Huanghuangxiang Food Co., Ltd.

5 Henan Zhiyuan Food Co., Ltd. Yantai Xiwang Food Co., Ltd.

6 Delis Group Co., Ltd. Shangqiu Fuyuan Food Co., Ltd.

7 Jilin Deda Co., Ltd. 34 Jiangxi Huangshanghuang Group Co., Ltd.

8 Henan Huaying Poultry Industry Group, Guangdong Province Hong Food Group Co., Ltd.

9 Inner Mongolia Grassland Xingfa Co., Ltd. 35 Guangzhou Food Enterprise Group Co., Ltd.

10 Shandong Fengxiang (Group) Co., Ltd. 36 Qingdao Boniya Food Co., Ltd.

11 Tangrenshen Group Co., Ltd. Jinan Welkang Food Co., Ltd.

12 Longda Food Group Co., Ltd. 37 Shandong Laiyang Chunxue Food Co., Ltd.

13 Inner Mongolia Saifeiya Group Co., Ltd. 38 Shenyang Food Co., Ltd.

14 Jilin Changchun Haoyue Halal Co., Ltd. 39 Nanjing Osmanthus Duck Co., Ltd.

15 Chengdu Hope Food Co., Ltd. 40 Shanxi Suhai Group Co., Ltd.

Shandong Gaotang Lanshan Group Corporation Jilin Huazheng Agriculture and Animal Husbandry Development Co., Ltd.

16 Henan Zhongpin Food Industry Co., Ltd. 41 Dalian Chuming Group Co., Ltd.

17 Qingdao Jiulian Group Co., Ltd. Sichuan Jingyan County Food Co., Ltd.

18 Shandong Liuhe Group Co., Ltd. Dalian Hanwei Enterprise Group Co., Ltd.

19 Sichuan Gaojin Food Co., Ltd. 42 Shijiazhuang Shuangge Food Group Co., Ltd.

20 Beijing Shunxin Agricultural Company Pengcheng Food Branch Hangzhou United Meat Group Co., Ltd.

22 Henan Dayong Industrial Co., Ltd. 43 Minghui Tianze Food Co., Ltd.

23 Beijing Dafa Zhengda Co., Ltd. 44 Fujian Shengnong Industrial Co., Ltd.

24 Henan Province Qixian Yongda Food Industry Co., Ltd. 45 Inner Mongolia Horqin Cattle Industry Co., Ltd.

25 Beijing Huadu Group Co., Ltd. Shandong Dezhou Braised Chicken Group Co., Ltd.

26 Shanghai Food (Group) Company 46 Huangshi Lianhai Food Group Co., Ltd.

Jiangsu Food Group Co., Ltd. 47 Shandong Shanfu Group Co., Ltd.

27 Henan Huitong Group Meat Food Co., Ltd. 48 Qingdao Qinglian Co., Ltd.

28 Qingdao Kangda Foreign Trade Group Co., Ltd. Liaoning Rentai Food Group Co., Ltd.

29 Linyi Jiangquan Meat Products Co., Ltd. 49 Beijing Food Company

30 Taishan Changjiang Food Co., Ltd. 50 Beijing Resources Asia Pacific Food Co., Ltd.

The above companies are all quite strong. Take a look.