August 24, 2011
COFCO, the largest food importer and exporter in China, is building the dairy chain to be consolidated within its vast industrial chain spanning rice, flour, oil, sugar, meat and eggs.
The company is currently boosting strategic development of the entire industrial chain, said COFCO President Yu Xubo.
The construction of the dairy industrial chain will involve China Mengniu Dairy Company Limited, which was acquired by COFCO two years ago.
The president said that Mengniu will still be operated by the original core management team and his company will only provide strategic assistance.
However, because the dairy industrial chain is an important part of the entire industry chain under COFCO, the development of Mengniu must be included in the entire group system of COFCO, he added.