December 20, 2006


China's New Hope Group to open meat-processing plant in Chengdu



New Hope Group is investing RMB100 million in a meat-processing factory in Chengdu, Sichuan. The plant is expected to begin operations in 6-8 months.

New Hope Group has been making significant developments in the feed and dairy sectors. In the meat processing sector, despite having the MeiHao brand of ham and sausages, this sector remains the weakest link in the chain of businesses the Group operates. Thus, increasing the competitiveness of its meat-processing operation has become a priority for the Group.

According to New Hope Group's director of meat processing, Du Cheng Bin, choosing to enter the slaughter and meat processing market at this point in time and choosing Chengdu for the site of the plant would assure consumers of the products' safety. It also reflected the company's investment in new opportunities. The plant is expected to have a great impact on the fresh meat market in Chengdu, he said.

This is a good opportunity to revitalize the group's operations and keeping in line with the Chengdu government's new policy banning slaughter livestock, to build a meat-processing base near Chengdu. When the plant commences production of "Meihao" meat products, New Hope Group will have its presence felt all over Chendu's meat retail market, supermarket and specialty shop.