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Zhongpin Increases Prepared Meat Capacity With New Facility

November 11, 2008

Zhongpin, a meat and food processing company in the People’s Republic of China, has commenced production at its new prepared meat facility in Changge City, Henan Province, and has increased annual production capacity for prepared meat products by 114%.

Zhongpin began construction of the new prepared meat facility in the first quarter of 2008 with an investment of approximately $13.2 million. The new facility is located at the company’s main production base, Zhongpin Industrial Park, and has annual prepared meat-production capacity of 28,800 metric tons.

The new facility will increase Zhongpin’s total annual prepared meat production capacity to 54,000 metric tons from the current 25,200 metric tons. The company’s prepared meat products include a variety of sausages and ham.

Xianfu Zhu, CEO of Zhongpin, said: “We believe the additional production capacity will increase the contribution of prepared meat products to our product mix and have a positive impact on our profitability as these products have a higher gross margin compared to the other product categories.”




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