In April 2007, Zhongpin formed a new wholly-owned subsidiary, Luoyang Zhongpin Food Company Limited, for the purpose of constructing a production facility to be located in western Henan Province.
Zhongpin began construction of the new facility in August 2007 and invested approximately $14.5 million in the project. Capacity
The facility has the capacity to produce 70,000 metric tons of chilled and frozen pork annually. Approximately 60% of the capacity is dedicated to the production of chilled pork and the remaining 40% is dedicated to the production of frozen pork.
The new factory increases Zhongpin’s total production capacity for chilled and frozen pork to 391,560 metric tons, excluding contributions by OEMs, an increase of 22% from its current capacity of 321,560 metric tons. Strategic location
Mr. Xianfu Zhu, CEO of Zhongpin said ”the strategic location of our new plant offers us several advantages. Henan Province is the second largest hog farming base in China and our new plant will have convenient access to hog supplies.
“In addition, Henan and nearby provinces account for one third of China’s population and we plan to focus our efforts on further developing this huge market for our products.” Related Website
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