2013-09-05
September, 3, General Manager of COFCO (China National Cereals, Oils and Foodstuffs Corporation) Feed Mr. Xu Feng paid a visit to Tongwei with senior management delegates, and received warm welcome from Chairman Liu Hanyuan, VP Wang Shangwen and GM of Tongwei Industrial He Dongjian.
After specific introduction of Tongwei’s 30-year history, the guests got in-depth understanding about the company’s corp culture and strategic vision.
At the conference, Mr. Xu mentioned, currently COFCO’s profit in cereals, oil and foodstuffs is going through a downward trend. With the additional influence of the Government’s macro-control over real estate, COFCO can hardly make profit increase over the year in its original domains. After its first investment in feed processing in 2011, the Group plans to build 16 feed plants with a total production capacity exceeding 3.3 million tons as of April, 2013. COFCO also intends to invest RMB ￥ 10 billion in pig farming, which will enormously improve feed processing and producing demand.
Chairman Liu said, Tongwei has been exploring the development rules and features of the feed sector in China and overseas since its establishment. In the late 70s and early 80s, the feed sector can be called ’industry’. With changes in government policies, the once dominant state-owned feed industry is gradually vanishing. Remained today are what we called feed processing plants or the feed sector. As increasing attention being paid on animal husbandry and food safety today, whether the upstream feed processing and producing will become an independent industry is not certain yet. The outlook, however, is promising, and deserves our concerted effort.
The two sides finally both expressed wishes to seek more collaboration potential in the feed domain in future.