Apple Juice China

On 24 April, China Huiyuan Juice Group Limited and Uni-President has denied the rumor that Coca Cola has continued to contact to purchase China Huiyuan Juice Group Limited. However, they expressed that they would continue to explore ways of possible cooperation such as OEM.

In the second half of 2008, as Coca-Cola and China Huiyuan Juice Group Limited had reached a merger agreement, both sides began negotiating terms of OEMs and production facilities in part of the China Huiyuan Juice Group Limited had made a full preparation to produce Munita Maid fruit juice drinks for Coca Cola.

At present, China Huiyuan Juice Group Limited is low in the rate of capacity utilization, which is also the main reason for Huiyuan to consider cooperation OEM. Meanwhile, China Huiyuan Juice Group Limited will turn to drink products with low concentration of fruit juices and take the juice market in the summer, which will significantly reduce the ratio ideality of the plant.

Although the plan of acquisition of Coca-Cola ran aground, China Huiyuan Juice Group Limited will continue to find new strategic partners and now is negotiating the cooperation, even joint venture with several companies.

The acquisition plan for Coca-Cola with China Huiyuan Juice Group Limited ended up with nothing, however, has opened a new model on the market of Chinese fruit juice.

Entering high season of sales of beverages, Chinese beverage market of fruit juices is very lively. Initially, China Huiyuan Juice Group Limited, engaged in the operation of the high concentration of fruit juice drinks, the outputs of the low concentration of drinking fruit juice lemon ME, joining the Battle lemon drink between Hangzhou Wahaha Group Co., Ltd. and Nongfu Spring Co., Ltd. Soon, Coca-Cola also announced to increase the activity of fruit juice drinks.

The fruit juice company, Uni-President has been shot down by 7% in 2008 in China. To restore the market, the company has tomato juice 100%. After the tea its leadership position for successive years on the Chinese market, the President will inaugurate a new era Kingdom of fruit juice in the summer of 2009.

Although China accounts concentrated fruit juice for 50% of yields in the world, levels of fruit juice concentrate in China have been cut by 70%. In 2008, China exported 692,900 tons of concentrated fruit juice, by 33.55% over the previous year.

Chinese suppliers of fruit juice, which represents over 70% market share of juice in the world of concentrated apple, are confronted with the greatest losses since the beginning of history, in which the export price apple juice concentrate is decreased from a peak of USD 2000 per tonne last year to 800 per tonne, about 60% rate reduction in the price. Andel Group Co., Ltd., the giant apple juice in China, received 150 million yuan net profit, down 27% year on year and 1.309 billion yuan of revenue transaction, for 21 years % on the year indicated in the annual performance report by the end of 2008.

Andel Group Co., Ltd. and China Haisheng Juice Holdings Co., Ltd. etc., the giants of the production of raw materials export-oriented, are wishing to transfer their sales on the domestic market to rescue the decrease performance. The sharp decline in costs of raw materials offers growth opportunities for downstream processors of fruit juice.

The fruit juice products on the Chinese market can be divided into three categories: one is fruit juice with a low concentration of the fruit content between 5-10 per cent, represented by the leading products of O BOX-Uni-President, Daily C Master Kong, and Minute Maid Qoo Coca-Cola, the other is the compound fruit j.