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Qinqin prawn crackers. |
Luohe Qinqin Foodstuff Industry Co Ltd (also called Linying Qinqin Food) is a unit of Fujian Qinqin Incorporated Co Ltd, a Chinese mainland-Hong Kong joint venture. It's been involved in the food preparation business on the Mainland for more than 20 years and has found a recipe for success.
The business was founded in an agreement between Fujian Qinqin Incorporated Co Ltd and the Hong Kong Qinqin Foodstuffs Group.
Company Chairman Xu Jianjie has overseen the approach; Hong Kong Qinqin Foodstuffs Group now has more than 30,000 sales outlets on the Mainland. Its products are sold in over 30 provinces and municipalities and exported to the US, South America, Russia and Southeast Asia.
Qinqin was established in 1985 and became a joint stock company in 1998. It has assets worth Rmb600 million and employs over 3,000 people, including 250 middle and senior management and technical personnel.
The firm has six branches, and Henan's Linying is one of them. Other branches include two in Liaoning's Fushun and one each in Shandong's Taian, Hubei’s Xiantao and Shaanxi's Sanyuan.
Favourable to the food industry
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| Equipment inside Luohe Qinqin's factory. |
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Qinqin is based in Duqu in Linying county. In 1994, Duqu reached an agreement with Qinqin to set up a production base in the town.
Qinqin chose Duqu for three reasons: first, Luohe is renowned as China's food city and is home to over 2,400 agricultural produce processing enterprises. It has developed a food processing system encompassing over 400 brands and 14 categories, including meat cutting, meat products and fast food. Setting up business in Luohe makes it easy to achieve economy of scale and market the products.
Also, Henan is a major agricultural province with an abundance of raw materials. Farming and breeding are well-developed.
Finally, the town offers administrative support for active enterprises such as Qinqin.
"When enterprises come to town to invest dedicated government departments will contact them and offer their services. Enterprises normally rented land for business when they first arrived but would buy the land and expand their operation after they started making money," said one official.
As far as business licencing is concerned, local governments usually offer incentives to enterprises that have signed agreements to invest locally. Qinqin had no trouble getting the necessary business licences.
With the exception of management, its staff and workers are recruited locally.
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| Packaging workshop. |
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Semi-processed products. |
International standards recognised
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Qinqin fruit jelly. |
Qinqin has now developed into a foods enterprise of considerable scale on the Mainland. Sales volumes and market share of its principal products, namely, fruit jellies and puffed food, rank among the top few in the country.
The company has obtained ISO9001 certification for corporate governance and products, passed HACCP food safety and health control tests, and won the IS014001 environmental management certification. It follows international standards in its overall technological level and production standards.
Qinqin has won the trust of consumers over the years and beats competitive enterprises for sales volumes.
The Qinqin trademark has been selected as one of China's "500 most valuable trademarks".
Luohe Qinqin now plans to form another equity merger to absorb advanced management experience and create a better environment for development.
from special correspondent Wang Yongji, Linying
