China Business Daily: leading in two fileds, Meihua group is ready to march

Late last year, Meihua biological technology group company limited (hereinafter "group of Meihua blossom"), officially the capital market. As a bio-oriented enterprises, Meihua group of the successful restructuring and listing, means that the market has been well recognized. Meihua groups through the process of how to succeed in business? Meihua after listing how ideas about the future of the Group?

On May 10, 2011, the China Business Daily reporter an exclusive interview with the Meihua Group Managing Director, Ms Wang Aijun, General Manager.

Capital intensive

China Buisness Daily: Wang Hello, very happy to meet you today. We know that in 2010, the Meihua group successfully landed on the a-share market, Meihua group has experienced how the listing process?, Meihua after the listing of the Group's layout and what is envisaged?

Wang Aijun: 2010 was a man to be proud of for a year. After two years of effort, Meihua group listed, a lot of people give very high attention and support, your platform, I care about all the Meihua Group friends and investors expressed their sincere thanks.

Meihua group enterprise mainly is a bio-fermentation, after nearly a decade of development, initially with a listed capacity. As a producer of civilian products, the group needs a big market space requires higher brand awareness, so the Group decided to take the form of reorganization into the capital markets. In March 2009, the Group began to negotiate with China Pearl, and in April announced restructuring. After more than a year's time, on March 11 this year, Pearl Meihua Group officially changed its name to continental, restructuring was completed successfully. In the process, get the care and help of many friends. Although this is a difficult process, but Meihua group have firm confidence and a solid business Foundation, by virtue of this section, the Group spent two years truly listed.

Listing is just a phase, rather than the ultimate goal. This year, the Meihua group determines the strategic orientation of the latest, that is, "do the world's leading enterprises and leading domestic condiment enterprises of amino acids". From a capital perspective, we need a broader space, establish a very good investor relations, creates huge returns for investors.

China Buisness Daily: you just mentioned, is the Group's latest strategic positioning of clubs "do the world's leading enterprises and leading domestic condiment enterprises of amino acids", Meihua group to achieve the strategic objectives, what are the advantages?

Wang Aijun: positioning of the two strategic objectives are based on our current developments and the advantages put forward. First, the State policy support to development us amino acid products provide an opportunity, in 2010, the countries in the "Twelve-Five" development plan proposed in order to develop emerging industries of strategic importance, biological industry which is one of the major industries. In April, the national development and Reform Commission announced the new catalogue for the guidance of the industrial structure adjustment, proposes to encourage fermentation technology to produce essays in the catalog amino acids.

National policies support provides the development of enterprises with the most basic guarantee, and Meihua Group also has a number of advantages:

First is the technology. After years of development, Meihua group formed a large advantage in engineering, now has three research and development centers and two amino acids of the pilot production line, nearly 100 million annual investments in research and development. There are 20 kinds of amino acids necessary for human, can now use sophisticated bio-fermentation method for the industrial production of 13 species, we have a full set of production technologies, 9 of which have been industrialized production, 4 kinds of developed reserves, many kinds of amino acid production rate than foreign countries. In nearly three years, Meihua group has undertaken the "863" national scientific and technological projects, such as more than 10 items, apply for or obtain more than more than 20 national invention patents, built with a world-class research and development laboratories, industry experts in 2010, the Group's research and Development Center was named "national analysis of amino acid industry testing center".

Second is the advantage of scale. Meihua group of independent production of amino acid products including glutamic acid, lysine, threonine, tryptophan, isoleucine acid, PROLINE, glutamine, and l-valine, etc, has become the longest industrial chain of amino acids, one of the product categories most currently total probably accounted for 1/6 of the country. Is this related to a wide range of industry the company has been in the midst of a virtuous circle, group all the products in the production process into a useful product or continues to process material, unwanted emissions low, Meihua group in developing recycling economy and on the comprehensive use of resources has always been in the forefront of the industry.

Channel advantage again. With many years of intensive marketing and channel development, the current Meihua Group's products are sold in more than 50 countries and regions in the world, and domestic and foreign food, fodder, medicine, and other famous enterprises formed a strategic partnership. Group will continue to respond to the national policy in the future, in the fusion of technology and capital efforts, its own production technology is in the domestic leading level of amino acid projects grow, transformation and upgrade the efficiency and growth of the company's strong growth.

China Business Daily: Meihua group to become the world's leading enterprise of amino acids, in addition to business development needs, what's important role in the development of the national economy?

Wang Aijun: doing business, not just look at it as a profit-making tool, further as a socially responsible elements. Each developed new strategic goals, to consider its contribution to the country and society and responsibility. Meihua group of amino acids determined to do the world's leading enterprises, is to see the amino acid products on people's livelihood very important role. Animal husbandry in China is big, but for a long time, lack of resources hinders the development of feed industry, at present China's soybean high dependence on foreign 70%, which seriously affected the development of animal husbandry. Our country is populous, pose a threat to livestock the downturn directly on our residents ' diet, and of feed amino acid production can effectively alleviate the shortage of protein resource in China, which improved the level of feed formulation, improve the quality of feed, and more importantly save food, effectively protect consumers ' vegetable basket project.

Venture way and gradually perfecting the internal management/span>

China Business Daily: can talk about Meihua group of entrepreneurial experience and growing up?

Wang Aijun: entrepreneurship is a difficult process, but Meihua group have been very sure of your directions. In 2003, the company first built circulatory economy industrial base in the industry, the main raw material "eat squeezed net", starting from the production of the first process, emissions of waste liquid, waste to treasure, all turns into products. In addition, production plants are equipped with independent power plants and commodities producers to satisfy not only the supply of energy and raw materials used in production, and combined heat and power and the comprehensive utilization of resources, has made economic and environmental benefits of harmonious win-win situation.

China Business Daily: business en route, in order to further standardize enterprise, Meihua is how to improve the internal management of the Group?

Wang Aijun: Meihua Group seeks to manage the building of rapid development, since 2006, has implemented a series of management action projects, including human resource management consulting projects, information projects, such as construction. 2009 into the balanced scorecard implementation of strategic performance management, in July 2009, together IBM boot information "Zhiyuan" project, and GMP management in production base and lean management project, build a scientific and standardized enterprise management mechanism to ensure sustainable development.

In addition, Meihua group regards product quality as the life of enterprise, increasing in quality management, strictly, successfully passed the ISO9001 quality management system certification, ISO14001 environmental management system certification, HACCP food safety management system certification and ISO18001 professional health and safety management system certification.

China Buisness Daily: Meihua group what are the characteristics?

Wang Aijun: Meihua amino acid category group has become the world largest, one of the longest industrial chains.

Currently, Meihua Group products type covers food class amino acids (msg, and nuclear glycosides acid), and medicine class amino acids (Pro ammonia acid, and Valley ammonia n amine, and different bright ammonia acid), and feed class amino acids (Su ammonia acid, and lysine, and color ammonia acid), amino acids products, and chicken fine, and soy sauce, condiment class products, feed protein, and corn germ, and biological fertilizer, cycle economic integrated class products. In 2010 Meihua group amino acids total sales volume realized 600,000 tons, 2010 Meihua group sales of amino acid covered 1/6 of the China market, and it became important members of the bio-fermentation industry in China and the world.

Technically, Meihua group has a number of domestic first-class engineers and technicians, many assumed the "863" national scientific and technological projects. In 2010, the national industry analysis and detection center located in Meihua group of amino acids. In addition, Meihua group of science and technology innovation as the Foundation of the enterprise development, and actively carry out cooperation with professional institutions and scientific research institutions of research and development, cooperation with Tsinghua University, Fudan University, Tianjin University of science and technology, to carry out special studies, the overall technology innovation capacity in the domestic leading level.

Facing the opportunities and challenges of the future

China Business Daily: amino acid industry for many unfamiliar, amino acid industry currently is under what circumstances the? What position is Meihua Group in?

Wang Aijun: it's true that many people do not know much about amino acid industry, because a lot of amino acid products are not directly available to end consumers. In fact, amino acid products are already used in a variety of areas, such as food additives, feed additives, pharmaceuticals and health care, chemical, environmental protection and new materials are closely related to our daily life.

Msg monosodium glutamate which we often say, high industry concentration, Meihua Group's production to 400,000 tons, has become the industry's hidden champions. Other amino acid products, due to the high technical content, production technology were monopolized by foreign companies. In the 1990 of the 20th century, with the rapid development of amino acid products and raw materials industries, as well as population continues to grow, market demand was increasing trend of amino acid, amino acid independent production companies has grown, has been basically reversed the unfavourable situation of amino acid products imported to stabilize consumption, balanced import and export is of crucial significance.

Amino acid industry consolidation trend now clear that amino acids due to the market demand for a product, a strong correlation, the market prospects in the next few years, global amount of amino acids will be growing at an annual rate of 15%, huge room, Meihua group is also facing more opportunities for development. Meanwhile, in view of the current contradiction between supply and demand of raw materials, production of raw materials for amino acids goes looking for substitutes. Meihua group has partnered with leading research institutions, associations and foreign well-known enterprises to jointly develop and actively seek non-food raw materials, substances, such as using straws, artichoke instead of food raw materials.

China Buisness Daily: Meihua group of products covered by the field of two amino acids and condiments, seasoning products directly to the Terminal consumers, brand planning and promotion is important; howdose Meihua group carries out brand construction?

Wang Aijun: in a sense, the brand is the lives of enterprises. Meihua is an industrial brand, is also a popular consumer brand. Therefore, in view of different types of brands, we chose different promotion strategies. In industrial brand aspects, Meihua in seriously analysis global amino acids market pattern of based Shang, proposed has "Meihua group only service Qian three methyl" of market strategy, like we of food class amino acids customer is global type transnational enterprise, as Nestle, and joint San Remo,, feed class amino acids customer has United States Ka JI, and Netherlands Thai high and domestic of new hope, and six and, well-known enterprise. In consumer brands, Meihua lead green brand into the condiment industry and put forward the "hundred percent pure grain, hundred percent green, hundred percent health" health philosophy.

In 2008, Meihua Group took the lead in the promotion to consumers of MSG 99 GB, employ well-known host NI as a Meihua flower brand spokesperson and CCTV "diet column every day" exclusive sponsor, relying on well-known media into public view, let consumers know more about "Meihua" the gourmet brand. Now, the social recognition of MSG, there are many misunderstandings spread wide audience, we consider this column and would like to use this channel to restore the truth about Msg to tell MSG are health, nutrition, green, let people rest assured. The future, the company will make more efforts on the brand building, truly realize the brand vision "superior Meihua, come into every Chinese home".

China Business Herald after hearing your introduction, Meihua group we have a whole new understanding, also have confidence in the future development of Meihua group, Meihua group we wish early realization of objectives, achieve great things.

Wang Aijun: Thanks

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