Recently,
Yili, one of the Chinese top 500 enterprises, has signed a cooperation
agreement with the local government of the city of Zhumadian seated in Henan
Province. According to the agreement, Yili will spend about RMB 3 Billion in
building a large-scale pasture and an intelligent dairy factory in the city,
with the purpose of creating a high-end dairy cluster base in China.
Great importance attached by government of
Zhumadian regarding great economic benefits
The city
government of Zhumadian pays close attention to this cooperation and published
the news officially right away. It is reported that the cooperation will bring
quite a lot of benefits to the economy of the local area: with an estimated
annual output of almost RMB 5 Billion achieved, nearly RMB 100 Billion will be
driven by the industrial chain.
That is to
say, 20 thousand people will be directly employed in the city, which will drive
an indirect employment of 50 thousand people. Apart from that, because of the
dairy cluster base, a variety of industries, such as planting, breeding, feed
processing, logistics and packing, will be developed simultaneously. This
so-called synergistic effect will with no doubts strengthen the economy of the
city to a great degree.
Zhumadian provides useful resources for Yili to
achieve its high-end dairy cluster base
According
to the chairman of Yili, Henan is regarded as an important area of the
company’s development. Every investment in Henan plays a significant role to
the company. In response to the government’s advocating to boost the dairy
industry in China, Yili plans to create the best high-end dairy cluster base in
the world with the help of the agricultural advantages in the city of Zhumadian
and the existing business advantages of the company itself.
The mayor
of Zhumadian thinks highly of the excellent milk source supply and the
internationalized management of the company. He believes that Zhumadian, as a
great potential city rich in Chinese culture and with great geographical
location and excellent environment, can definitely provide a strong base for
Yili. The mayor also plans to develop the city into one with dairy as the
leading industry in the future. To achieve a healthy and sustainable
development of dairy industry will become one of the goals of the city.
Yili benefits from cluster effect in its
development
As a
leading dairy enterprise in the country, Yili plays an indispensable role in
the development of Chinese dairy industry. The company has been even considered
as one of the world’s most successful dairy companies and has been placed in
the first place in the Asian dairy industry in the past few years.
Yili is
very good at using cluster effect in its development. Earlier in 2015, the
company achieved an “intelligent cluster” by working together with different
top universities and scientific institutes from the US on projects in the
fields of nutrition and health, product research and development, food safety,
agricultural technology, ecology and environment protection, enterprise
management as well as personnel training. This “intelligent cluster” served as
a new engine for the innovative cooperation between the two countries.
For more
information on China’s dairy market, please check our Dairy
Products resources.