Jinli Food Safety announced that it has signed a cooperation agreement with the Taiwan Fruit and Vegetable Export Industry Association to ensure a stable supply of fruit and vegetable raw materials during the rapid growth of its operations.
Jinli Food Safety (7743), Asia's first mass-produced HPP additive-free cold-pressed vegetable and fruit juice professional food factory, today announced the signing of a cooperation agreement with the Taiwan Fruit and Vegetable Export Industry Association to ensure a stable supply of vegetable and fruit raw materials. Yin Hao, general manager of Jinli Food Safety, said that the Thai factory is expected to complete mass production in the second quarter of next year, with a production capacity that is 2.5 times that of Taiwan. It will create dual production bases in Taiwan and Thailand to lay out overseas markets.
Liao Riching, chairman of Jinli Food Safety, said that cold-pressed vegetable and fruit juices are closely linked from raw material quality, production season scheduling, formula design to production process, and establishing a stable and large-scale supply system of high-quality raw materials is an important foundation for expanding the scale of operations and future growth.
Jinli Food Safety has purchased Taiwanese fruits since 2020, including 26,511 tons of guava, citrus, pineapple, mango, etc., with an average daily usage of more than 9 tons. The establishment of strategic cooperation with the Fruit and Vegetable Association is expected to improve the flexibility of raw material procurement and production season scheduling, allowing more distinctive Taiwanese fruits and vegetables to be transformed into higher value-added products through Jinli Food Safety's manufacturing technology.
Yin Hao said that Jinli Food Safety's revenue in the first half of the year reached 365 million yuan, an increase of 20.7% over the same period last year, of which the export market accounted for about 30% of the revenue. He bluntly said that the overseas layout is about to enter the stage of bearing fruit, and the domestic sales and export markets will account for about 50% in the future.
The Thailand factory built by the Thai subsidiary for about 200 million yuan is expected to be mass-produced in the second quarter of 2027. The strategic benefits of the Thai factory are two major aspects: "raw material advantage" and "international layout." Thailand is rich in tropical fruit resources, and setting up factories there is closer to fruit-producing areas, which will help increase flexibility in raw material selection and procurement, and expand the flexibility in the development of new cold-pressed vegetable and fruit juice products.
He pointed out that Jinli Food Safety’s Asian layout focuses on Japan. In the past, exports to Japan faced exchange rate and tax issues. The tariffs alone for Taiwanese factories exported to Japan were 7 to 16% higher than those sold in Southeast Asian countries. In the future, the Thai factory can not only take advantage of local tropical fruit raw materials, but also be a big help in expanding the Japanese market.
Private-label juice has been distributed to more than 1,000 small stores in Japan this year, and will enter large stores next year. Revenue is expected to grow several times more. The European and American markets have been entered through the global strongholds of American mass merchandisers. Currently, they have entered the bases of American mass merchandisers in the United States and Canada. This year, they will focus on the European market to maintain operational growth momentum.
