Even before the first pork chop based on Danish raw material has been cut and packaged at Danish Crown’s new processing facility in China, the ‘sold-out’ sign is going up…Full Article: Danish Crown Nov 2018
- In November 2018, Danish Crown secured a CNY 2.5 billion (EUR 300 million) 5-year distribution agreement to supply Alibaba’s Win-Chain with 250 MTs of Danish pork per week. The deliveries will originate from Danish Crown’s upcoming new factory in Pinghu (located south of Shanghai). The agreement was signed at the inaugural China International Import Expo (CIIE) trade fair in Shanghai.
- In August 2017, Danish Crown and Alibaba Group signed an agreement to sell the Danish pork processor’s products on Tmall.
- In Spring 2019, construction of Danish Crown’s meat processing factory near Shanghai was expected to be completed.
- In November 2018, during the inaugural China International Import Expo (CIIE) trade fair in Shanghai, Brazil’s JBS Group signed a MOU agreement with Alibaba Win-Chain. The deal could be worth USD 1.5 billion and would see JBS export beef, pork and poultry products to China.
- In October 2018, Cargill Animal Protein China signed a cooperation agreement with Alibaba’s Win-Chain to exclusively distribute Cargill Sun Valley Products.
- In March 2018, DAT-Schaub, a sausage-casing producer and subsidiary of Danish Crown, purchased a majority stake (percentage unspecified) in Shanghai Natural Casing Company. DAT-Schaub noted that Shanghai Natural Casing Company supplies the New York-based DCW Casing LLC, of which, DAT-Schaub has a controlling stake. Lastly, DAT-Schaub stated it owned a stake (percentage unspecified) in a similar Chinese company located ~3 hours north of Shanghai [likely in Jiangsu Province]. In 2007, Shanghai Natural Casing Company constructed a casing factory in the outskirts of Shanghai.
- In February 2018, two meat processing factories owned by Tulip Food Company, a subsidiary of Danish Crown, have received export approval by Chinese authorities. The company planned to export frankfurter sausages, hot dogs, pepperoni, salami, canned luncheon meat, and canned sausages to the mainland.
- In August 2017, Alibaba’s Tmall announced it would invest an additional USD 300 million in Yiguo, an e-commerce fresh food vendor. Alibaba noted that in addition to the 17 warehouses that are used by Tmall Supermarket to process orders, the company will construct 12 more warehouses in the future (no date given). The CEO of Yiguo stated in December 2016 that his company would be profitable by 2018.
- In late June 2017, Alibaba’s Yiguo.com e-commerce platform began selling US beef (sirloin, rib-eye, etc.) in the Shanghai market.
- In June 2017, construction began on Heilongjiang Asia-Europe Animal Husbandry, Sino-Danish pig breeding and processing joint venture in Mingshui County, Heilongjiang Province. Major investors in the pig JV included Denmark’s Investeringsfonden for Udviklingslande (IFU, a private equity/venture capital firm), and the Chinese firms of Zhejiang Rural Development Group (lead investor), Hangzhou Jie Dao Investment Management, and Heilongjiang Green Agricultural Development. Zhejiang Rural Development Group is reportedly a subsidiary of Hunan Dakang Pasture Farming (SHE:002505), which is itself a subsidiary of Shanghai Pengxin.
- In May 2017, Denmark’s Minister for Environment and Food signed a 5-year agreement in Beijing on the export of organic food products to China. As a result, Tulip Food Company, a meat processor and subsidiary of Danish Crown, announced it would be exporting sausages, salami, pepperoni, and canned luncheon meat products to China in the near future. During the same month, Alibaba announced it would purchase an 18% stake in Lianhua Supermarket Holdings from Yiguo.com, a fresh produce e-commerce platform (see Suning). Yigou.com will retain a 1.17% stake in Lianhua.
- Established in 2016 by Yiguo Group, Shanghai Win-Chain Supply Chain Management Company (aka Win-Chain or “Cloud Elephant”), has emerged to become Alibaba Group’s Shanghai-based fresh produce purchasing hub. As of April 2018, 1,200 of its 4,000 stock keeping units (SKU) were fruits such as apples, avocados, cherries, kiwifruit, etc. In general, Win-Chain is part of a supply chain system that includes ExFresh (cold-chain logistics and distribution), Tmall (online retail), Yiguo (online retail), and Lianhua (supermarket chain). As one of the first steps along Alibaba’s supply chain, Win-Chain plans to utilize its trade data (“big data”) to eliminate inefficiencies that have traditionally plagued fresh produce suppliers in China.
- Established in 2016 by Yiguo Group, Shanghai Win-Chain Supply Chain Management Company (aka Win-Chain or “Elephant Cloud”) has emerged to become Alibaba Group’s Shanghai-based fresh produce purchasing hub. As of April 2018, 1,200 of its 4,000 stock keeping units (SKU) were fruits such as apples, avocados, cherries, kiwifruit, etc. In general, Win-Chain is part of a supply chain system that includes ExFresh (cold-chain logistics and distribution), Tmall (online retail), Yiguo (online retail), and Lianhua (supermarket chain). As one of the first steps along Alibaba’s supply chain, Win-Chain leverages its trade data (i.e. “big data”) in an attempt to eliminate inefficiencies that have traditionally plagued fresh produce suppliers in China.
- In December 2016, Suning Commerce Group was leading a new round of financing (~US$200 million) to invest in Yiguo E-Commerce. In November 2016, Alibaba’s Tmall (November 15th to 21st) and Yiguo.com (November 17th to 30th) held online promotions for Ecuadorian mangoes (Tommy Atkins variety).
- In November 2016, Danish Crown (pork processor) announced plans to build a meat processing factory near Shanghai that will produce pork chops, sausages, and bacon. Danish Crown planned to invest USD 44 million on the project. The factory will be situated in Pinghu (south of Shanghai) and will have an annual production capacity of 14,000 MTs. At the time, Danish Crown was just a raw material supplier to China, exporting pork, pig toes, ears and tails.
- In October 2016, Yiguo E-Commerce invested S$24 (~US$17.25 million) in SunMoon Food Company, a Singaporean fresh fruit distributor. During the same month, Suning and Alibaba announced they would jointly invest CNY 1 billion (~US$148 million) to establish an e-commerce company in Chongqing. The Chongqing e-commerce joint venture will be 51% controlled by Suning (CNY 510 million or ~US$75.1 million) and 49% by Alibaba (CNY 490 million or ~US$72.3 million).
- Founded in 2015 and headquartered in Shanghai, ExFresh is a cold chain delivery subsidiary of Yiguo E-Commerce. As of August 2017, ExFresh had 11 cold chain centers located in 10 Chinese cities. By 2020, the company hopes to have 56 warehouses.
- In September 2015, Denmark’s S. A. Christensen & Co. (SAC), a milking equipment manufacturer, shipped equipment to China to help establish a demonstration pilot farm. The Danish-Chinese demonstration farm would be based in Heilongjiang province and should be operational by 2016. Arla Foods, a major Danish dairy firm, will participate in the project.
- In April 2014, China and Denmark signed five agreements that focused primarily on Chinese imports of Danish pork (e.g. sausage), poultry, and dairy products.
- In November 2012, Danish delegation led by the Minister for Food and Agriculture visited Beijing and Shanghai to promote agricultural trade. In addition, an agreement to construct a dairy technical center was signed.
- Founded in 2005 and headquartered in Shanghai, Yiguo E-Commerce is an e-commerce platform that focuses on selling of food products including fruits (domestic and imports), meat (e.g. beef, pork, lamb), poultry eggs, dairy, seafood, vegetables, processed foods (e.g. snacks, frozen food, sausages, sauces, etc.), juice, and wine. In March 2016, Yiguo E-Commerce received an undisclosed amount of financial investment from KKR (private equity firm) and Alibaba (shareholder of Yiguo).
- In 1998, Danish Crown acquired Tulip International (Tulip Food Company).
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