Sunner : From individual chicken farmers to the “broiler kingdom”: a white feather broiler plucks 100 billion industrial clusters
From the initial individual chicken farmer to a national key leading enterprise in agricultural industrialization, and now it has leapt into a world “broiler kingdom”, the Sunnong Group spent 33 years in a gorgeous transformation and transformation.
Turning on the thick 2015 annual report of the Sunner Group, a series of data is impressive: in 2015, the group’s total assets were 13.5 billion yuan, nearly 400 production bases, and more than 25,000 employees. Annual production of 351 million broilers, sales of 60,700 tons of chicken cooked food, and a total industrial and agricultural output value of 20.2 billion yuan; food exports of 53.356 million US dollars, the Sunnong Group ranked eighth among global white feather broiler companies, and ranked second in Asia. China ranks first.
Root in northern Fujian and build Asia’s largest 100 billion broiler industry cluster
In 2012, the chairman of the Sunnong Group, Fu Guangming, reviewed the situation and planned that the Sunnong Group would take root in northern Fujian and use 8 years to achieve a total output value of 120 billion yuan in the upstream and downstream industrial chains to build Asia’s largest 100 billion broiler industry cluster.
The regional layout of Sunnong Group has gradually been expanded in counties of Nanping City. Signed a contract with the Pucheng County Government to invest 5.9 billion yuan in the construction of an annual output of 125 million broiler chicken projects and supporting projects in Pucheng, and jointly invested 1.5 billion yuan with the US OSI Group to establish Ousheng Industry (Fujian) Co., Ltd. in Zhenghe County, with an annual output of 6,000 Wanyu broiler industry chain and supporting projects.
In the construction of industrial clusters, Sunner Group adheres to the “self-proliferation, self-supporting, self-slaughtering” full-in and out-of-the-chain production model. All feed mills, grandparent breeding farms, hatchery plants, and commercial broiler farms The slaughter plant is owned by the group. It has established a complete food safety traceability system, which can trace the entire production process of each batch and even each chicken from egg breeding to hatching, feed to breeding, slaughter to processing, thereby ensuring the safety of chicken.
After years of rapid progress, the Sunnong Group has developed into a combined broiler production and food processing group that integrates feed processing, breeder breeding, egg hatching, broiler breeding, broiler processing, food deep processing, product sales, and fast food chain. At the same time, the three major industries of agriculture, industry and service are developing synchronously, and the six major industries of agriculture, animal husbandry, food retail, food and catering, food logistics, food investment and environmental protection go hand in hand.
Industry and capital go hand in hand
In the construction of industrial clusters, Sunner Group relies on the capital market and introduces a large amount of capital. According to incomplete statistics, from 1997 to 2006, the Group introduced about 800 million yuan of funds. In 2009, the A-share of Sunner was successfully launched and nearly 800 million new funds were introduced.
After the successful listing, the corporate image, corporate governance structure and anti-risk capabilities have been greatly improved, and a comprehensive credit of 4.6 billion yuan has been obtained from various banks.
The Group has also continuously relied on the platform of listed companies to increase direct financing and raise funds in various ways to reduce financial costs. For example, non-public issuance of 200 million shares to KKR, raising a huge amount of 400 million US dollars, comprehensive use of short-term financing bonds, corporate bonds and other instruments for direct financing.
It is understood that in recent years, the Sunner Group’s output value has always accounted for more than 50% of the gross national product of Guangxian County, Nanping City, supporting the “half of the country” of the local economy. In 2013, Sunner Group realized that the total industrial and agricultural output value accounted for more than 80% of the county’s total industrial and agricultural output value. In 2014, Sunner Group realized that the total industrial and agricultural output value accounted for more than 90% of the county’s total industrial and agricultural output value. From 2011 to 2015, Sunner Group’s tax creation for five consecutive years accounted for one-third of the total fiscal revenue of Guangxian County.
The whole industry chain leads to the international fast lane
Not satisfied with the domestic market, Fu Guangming relied on a keen sense of smell and courage, and relied on the production model of the entire industry chain to allow the company to enter the international fast lane.
In Fu Guangming’s view, it is necessary to jump out of chicken to make food and out of the Chinese market to become the international market. Accelerate the transition to the terminal and the international transformation, subvert the traditional sales model, and switch from traditional sales to direct sales.
After making a decision, Sunner quietly carried out a subversive transformation. Fu Guangming said that the original B2B model of the group did not directly contact the end consumers, which caused the group to lose the profits of the intermediate links and was not conducive to the establishment of the brand among the majority of consumers. By introducing a large number of new distributors and opening “fresh and delicious” specialty stores, not only can the product sales price and profitability be improved, but also it is conducive to establishing the Sunner brand in the minds of end consumers.
According to the different consumption habits of chickens in different countries around the world, Sunnong Group relies on the world’s most advanced production line to divide a chicken into 300 categories, and integrates, deploys, and deploys global chicken resources with a global vision and thinking.
Today, Sunnong Group has successfully become KFC’s long-term strategic partner and McDonald’s China’s only chicken supplier; it is also the designated chicken for the 2008 Beijing Olympic Games, 2010 Shanghai World Expo, Guangzhou Asian Games, 2011 Shenzhen Universiade and 2015 First Youth Games Suppliers, as well as important chicken suppliers to food processing companies such as Shuanghui, Taitoile, Dixie and large supermarkets. Its products have been successfully exported to the United States, Japan, South Korea, South Africa and other countries and regions. In 2015, the export volume reached 53.356 million US dollars.
Talking about the future, Fu Guangming won the ticket, “Within three to five years, the market value of the Sunnong Group’s capital market will reach 100 billion yuan, and all employees will be listed in full. The Sunnong brand is a household name and has become a first-class chicken production food in China and the world. Processing enterprises.”