ReportsnReports: China Paddy and Rice Processing Industry Report, 2011-2012

04-Apr-2012 | News-Press Release

China’s paddy and rice processing enterprises vary in profitability due to different operating modes and products. Enterprises in the fifth mode represented by Wanfu Biotechnology feature higher profitability since their rice resources are developed comprehensively and utilized sufficiently, and their products are involved in the whole industry chain. From January to September of 2011, Wanfu Biotechnology’s operating revenue and net income were RMB396 million and RMB51.09 million respectively, increasing 25.7% and 37.6% separately year on year. In 2011, the company went public to raise funds in order to expand its production capacity of major products. Its production capacity is expected to be doubled after the capacity expansion project being put into production.

In consideration of Wanfu Biotechnology’s first-mover advantage, enterprises represented by Yihai Kerry Group and COFCO Rice Division depend on their scale advantage as well as existing brands and channels to set foot in the paddy and rice processing industry. Such enterprises are dominant producers of small packing polished rice, while the sales volume of small packing polished rice accounts for less than 10% of the rice consumption in China at present. As people pay more and more attention to the nutritional and healthcare function of rice, these enterprises will see a promising market development prospect. However, Beidahuang and Jinjian, also being producers of small packing polished rice, have relatively low profitability due to regional and production scale restrictions.

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Representative enterprises in the third mode and the fourth mode, such as Shanghai Rong Xuan Hang and Wuhan Jiabao, only focus on the development of rice albumen powder, rice starch sugar and the like in the industry chain. In spite of small number of product categories, they also see huge development potential owing to relatively higher technical barriers and prosperous market demand. Taking rice starch sugar product as an example, it is gradually replacing cane sugar featured with insufficient quantity and high price due to its low cost and sufficient raw materials; and its output is expected to reach 1.7 million tons in 2013 in China, and its proportion in the total output of starch sugar will rise to 14.2% from 12.8% in 2006.

China Paddy and Rice Processing Industry Report, 2011-2012 mainly covers the followings:
• Development environment, industry scale and development trend of paddy and rice processing industry in China
• Supply and demand of upstream raw materials and downstream deep processing products in Chinese paddy and rice processing industry
• Major operating modes of paddy and rice processing enterprises in China and development of representative enterprises, comprising overall operation, production capacity, output and development strategies, etc.
• Forecast of the development trend of paddy & rice processing companies and the whole Chinese paddy and rice processing industry

Major points covered in Table of Contents of this report include:
1. Overview of Paddy and Rice Processing Industry
2. Supply and Demand of Paddy and Rice Processing Industry
3. Characteristics of Paddy and Rice Processing Industry in China
4. Key Enterprises
5. Summary and Forecast
List of Charts

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