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Zhongpin to open new pork plant in Jan

Zhongpin's construction of its new chilled and frozen pork processing plant in Tianjin has been accelerated. The new facility will begin initial pork production on January 20. When all the construction phases are completed in 2010, the Tianjin plant will have an annual capacity of 100,000 metric tonnes for chilled and frozen pork.

Mr. Xianfu Zhu, Chairman and CEO of Zhongpin, said, "We are very pleased that our new pork plant in Tianjin will begin producing in mid January, ahead of schedule, which will help satisfy the nation's surging demand for chilled and frozen pork during the peak season of the Chinese New Year and Spring Festival, which in 2010 runs from February 14 through February 28 and is also celebrated before and after those dates.

"We are confident that our high product quality, good retail locations, and dependable pork supply will please our customers in Tianjin, Beijing, and the other markets in northern China who will be served by the new Tianjin plant. We already serve these markets, and our new plant will guarantee better service and broader market coverage. Our timing should give us good market share gains as we expand our presence in this important high-growth region."

Under China's five-year plan for 2006 though 2010, the Tianjin Binhai New Area is becoming the country's third growth-and-development region for the next two decades, just as the Pearl River Delta and Yangtze River Delta regions grew in the past two decades. The government's support, incentives, and direct investment in infrastructure in the Tianjin Binhai New Area will create new growth for both China's northern region and its national economy.

In addition, Tianjin serves as the land logistics center and ocean shipping port for much of northern China, so Tianjin, and Zhongpin, will benefit directly from the growth in the region. China expects its national economy to grow about 9% in 2010. That higher growth should help enable higher pork consumption and give Zhongpin additional support for its market expansions.

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