G-2013-1001-008-A Shandong Agricultural Environmental Materials Project
三、Shandong: Agricultural environmental materials Project
Categories: industry (G); subcategories: 2013; rating: Independent Archive (1001); A: overseas listed
(一)、Location of listed : Hong Kong main board
(二)、Time of listed: 2015
(三)、Project Description:
It is the world's largest eco-friendly materials manufacturing enterprise and a national key supporting high-tech industries on energy conservation.
Founded in April 2009 with a registered capital of RMB100 million, it mainly engaged in the production and sales of environmentally friendly paper packaging materials; environmentally friendly packageing technology and environmentally friendly packaging technology development and services; import and export businesses.
1、Industry: Industrial（Manufacturing）
2、 The main business: Disposable tableware, industrial packaging of electronic products, disposable medical packaging materials and some decorative materials for different environmental purposes.
3、Qualification: National High-Tech Enterprise
4、Turnover / net profit for the latest three years: Not available
5、Analysis of the profitable points:
（1）Huge international and domestic market demand
Now there is a demand of USD300 billion of replaceable plastic package made of biodegradable material in the application of American market, the demand from China, the same demand applies on Chinese, Japanese market and European countries and regions.
Apple, Wal-Mart and other global tableware and packaging materials consumer are the targeted sales of this project and there is a huge demand than the supply. For example if the daily demand of Wal-Mart is 300 containers, it equals to a production of six production lines for ten months. Meanwhile the enterprise can not fulfill the huge requirement from Apple, Wal-Mart and Souke.
（2）Large-scale of export-oriented investment, environment-friendly industrial projects
The project is export-oriented, environmentally friendly industrial projects with a total investment of RMB630 million, covering an area of 450 acres, there are 24 tableware production lines with an annual outcome of 2.5 billion pieces of pulp tablewares. It is the largest pulp tableware manufacturers and their products are all exported to Europe, America, Japan, and Korea.
（3）Leading in the national environmental materials manufacturers.
It regulates an industrial standard for the national environmental protection material industry and its ability on craft quality control, cost management and profit is much better other national small-scale enterprises. It has achieved many national rewards such as invention, practical new model and patent of outlook and design, its products passed ISO9001 international quality certificate and ISO 14000 environmental management system certificate in 2003 and has been exported to countries including: European countries, America, Japan, South Korea and Taiwan, besides, its products has been sold to domestic large franchise supermarkets such as: Wal-Mart, Carrefour and Lotus and some big companies manufacturing instance noodle, Unify and Master Kang are two of them.
Meanwhile, the project has the world's largest production capacity of an annual 2.5 billion pieces of pulp tableware. Pricing based on its scale and leads its competitors.
By adapting semi-automatic equipment for its production, more than one hundred products for different usages are producing by one set of equipment and different models to adapt the diversified demands of market.
（4）Development of new product
The company is currently developing biodegradable and recyclable wall materials and the revenue of each ton is more than RMB0.16 million, it’s value-added are 10 times of its packaging materials for now and with dozens of times of profit comparing to the packaging materials. The company started to produce since 2010, the monthly profit is more than RMB2 million. According to the plan, two workshops will be invested each year and the month profit is more than RMB4 million.
（5）The company is enjoying a tax exemption policy: free for three years, pay two years and get one half free.
6、The type of investment: Strategic investment.
7、Usage of funds:The raised capital is not less than RMB1 billion, and was mainly used for:
(1)Expansion of production capacity and get large orders from overseas
Now the company owns 1,000 acres of lands and plans to construct 16 workshops in three phases (96 production lines). In which a total investment of RMB400 million will be invested for Phase I engineer and 48 production lines of manufacturing environmentally friendly packaging materials will be built. After the completion of all projects, all of its finished products are exported to Europe, America, Japan, Korea and other countries and regions, it can achieved an annual sales income of RMB680 million, a profit of RMB190 million and a tax revenue of RMB85 million.
(2)Plans to establish five domestic sales&marketing centers
(3)Establish a corporate high-end brand image
(4) Implementation of cost saving plan, the acquisition of foreign environmental pulp production line
We are making a calculation based on a demand of 5,000 tons of pulp for each workshop, a pulp cost of more than RMB2000 per ton can be saved, each production line can save more than RMB1000 and the total profit can be increased by 60-80%.
