Tongwei: The shrimp specialty plate will be rezoned and will focus on the Beibu Bay Area

Text/Figure Aquatic Frontier Tang Dongdong

At the end of 2018, Tongwei Co., Ltd. re-demarcated some markets with a "focus" thinking, among which the shrimp special material area led by Liu Mingfeng was adjusted from the large geographical span in the past to focus on the Beibu Bay Area market, that is, focusing on the development of three markets in western Guangdong, Guangxi and Hainan. A few days ago, the author interviewed Liu Mingfeng, president of Tongwei's shrimp special material area, to understand his planning for the new area.

<b>Liu Mingfeng, president of Tongwei shrimp special material area</b>

<b>The shrimp specialty plate re-demarcates the market</b>

<b>The focus will be on the Beibu Bay Area</b>

<b>Aquatic Frontier: I heard that the Tongwei shrimp special ingredient plate has made some adjustments? </b>

<b>Liu Mingfeng:</b> In the past, the production bases I was responsible for included Hainan Haiyi, Zhanjiang Haiyi, Zhuhai Haiyi, Zhuhai Haiwei, Jieyang Haiyi and Fuzhou Tongwei, with a relatively large geographical span. In October 2018, according to the instructions of the headquarters to focus on the market, our shrimp specialty plate positioning focused on the development of the Beibu Bay area, that is, the production bases under my current jurisdiction are Hainan Haiyi, Zhanjiang Haiyi, Zhuhai Haiyi, Maoming Tongwei, Nanning Tongwei; on the one hand, it is easy to manage, on the other hand, we believe that the Beibu Bay Area is a market with great potential for the future development of special fish feed, which is equivalent to an advance layout.

<b>Aquatic Frontiers: What do you see as the development opportunities for Tongwei in the Beibu Gulf regional market? </b>

<b>Liu Mingfeng:</b> Recently, the focus of my phased work has been on Guangxi, and Tongwei has done well in Guangxi in the past, but in recent years it has basically stood still. Now if you want to quickly break through and achieve the goal of being the first in the regional market, due to the large-scale demolition of cages, you will indeed face some pressure in the short term. However, we have calculated that the Guangxi market is promising.

At present, the aquaculture area of Guangxi Shantang Reservoir plus pond is about 1.2 million mu, and the market capacity of aquatic feed in Guangxi in 2018 is about 450,000 tons, and the feed used in cage culture is 150,000-200,000 tons, that is, the Shantang Reservoir plus pond only uses 250,000-300,000 tons, indicating that the feed feeding amount per mu is less than 0.3 tons. According to the feeding level of Guangdong, the general amount of feeding per mu is 1.5-2 tons. If the amount of feeding per mu in Guangxi can be increased to 1 ton, the market capacity is very considerable. However, this takes time, fast and slow based on our initiative to change and driven by profit.

I believe that aquaculture in Guangxi is mostly more expensive because of its proximity to the consumer market, and with the withdrawal of cages, it will prompt everyone to strengthen the development and utilization of Shantang reservoirs and ponds. In the process, we jointly promote changes in the market by exporting product solutions and technical services. Therefore, I am very optimistic about the development potential of the Guangxi market, and it should be said that the next three years will be a golden period.

At present, in addition to maintaining the development of conventional fish feed in Guangxi, we focus on promoting the market development of special aquatic products, such as raw fish feed, fork tail feed, yellow jaw fish feed, California perch feed, etc.

<b>Aquatic Frontiers: Is Barsha Fish Feed Considered? </b>

<b>Liu Mingfeng:</b> There is also consideration, at present, our feed technology is mature, not only the meat of the basha fish raised with our material is white, even if the meat is yellowed with other people's materials, it can also be restored to white in less than a month by using our product technology. The production of Basha fish feed, we plan to put all of them in Maoming company.

<b>Doubled sales in three years</b>

<b>2019 continues to move forward strongly</b>

<b>Aquatic Frontier: What are the highlights of the shrimp specialty plate you are responsible for in 2018? </b>

<b>Liu Mingfeng:</b> In 2018, the sales volume of the plate I was responsible for increased by about 15%, and the compound growth rate for three consecutive years was more than 20%, which doubled compared with before I took over, mainly because of the organic integration of technology, marketing and service, and the synergy was generated after the synchronous force, so that the system had support, not like before it felt powerful.

Last year's highlights are specific: <b>One is to continue to build product strength</b>, from raw material procurement, formula technology, processing technology and other aspects of continuous strengthening, so last year, whether it is shrimp feed or marine fish feed products, the expression of the aquaculture effect at the terminal is very ideal.

<b>The second is that we designed a special line workshop for grouper material in Hainan Haiyi</b>, although grouper material was only really launched in August last year, but the amount was very rapid, less than half a year sales of more than 1,000 tons, to obtain a very good effect of word of mouth, can be described as a hit, 2019 is expected to exceed 6,000 tons of problem is not a big problem.

<b>The third is our in-depth promotion in the service sector, which organically combines service and marketing and implements integrated operation. </b>Judging from the results, the sales volume of animal insurance has doubled, and customer satisfaction has increased significantly.

<b>Aquatic Frontiers: Tongwei mentioned the "Hainan model" a lot during this time, what can you learn from it? </b>

<b>Liu Mingfeng:</b> The "Hainan model" we are talking about refers to Tongwei's livestock and poultry feed in Hainan, which has increased significantly in sales and profits for three consecutive years, becoming a dazzling star within Tongwei. There are several main aspects that can be learned or learned: one is a high degree of familiarity with the market; the second is to be sure to do the top five in the market is the best network customers; the third is in the marketing, the tone should be led by us, not followed; the fourth is through product differentiation, to achieve the experience of maximizing the benefits for farmers.

<b>Aquatic Frontier: Is there any plan to build a new production base in the shrimp special material area? </b>

<b>Liu Mingfeng:</b> In order to realize the grand strategy of development in the Beibu Bay Area, we intend to build a factory in Yangjiang, and the first phase of the project is scheduled to be put into operation on August 31 this year. This factory is positioned to make shrimp feed, special fish feed, the first phase of the project is expected to be put into production no more than 2 years after full load. Previously, we did not have a corresponding production base in western Guangdong, we needed to ship from Zhuhai, Yangjiang factory after put into operation, will effectively improve our layout in the market, and can reduce the corresponding transportation costs of 30-50 yuan / ton.

<b>Aquatic Frontiers: What are your development goals for the new precinct in 2019? </b>

<b>Liu Mingfeng:</b> We have set a sales target to increase by 30-40%, and at present, the new areas are all old production bases, and it is still very difficult to achieve substantial growth, but we are very confident. First, based on the first three years from the product strength, service power, marketing power and other aspects of a lot of solid basic work, the second is that in 2019 we will continue to maintain the initiative to attack and strong breakthrough of the barbaric growth ideas.

There are several aspects of the specific incremental space: first, from the perspective of Zhuhai Haiyi's current channel network, team strength, product effect, etc., it already has the conditions for rapid growth; second, after we adjust the maoming Tongwei leadership team, coupled with the investment of resources, it will be based on sales growth, and it is expected that aquatic materials will double or even double the increase; third, in 2018, we have realized the integrated operation of Zhanjiang Haiyi and Zhuhai Haiyi, and from the current information collected and locked sales, zhanjiang Haiyi shrimp feed is expected to increase by 50% this year. Fourth, the entire Guangxi market is personally led by me, using the process standards, service levels and Guangdong model of shrimp special materials to make freshwater fish feed, and proposing to achieve a sales target of 100,000 tons in no more than 3 years. Therefore, 2019 is a very critical year, whether the breakthrough determines the development of the next few years, so my main energy now is to focus on the Guangxi market; fifth, for the shrimp market on Hainan Island, when everyone is not very optimistic, we have increased the investment in it in the opposite way, in 2018, the sales volume of TongweiJiahai shrimp has increased by about 20%, and we will continue to maintain it this year.

In addition, this year, our precinct plans to set up a small team to explore the circulation of aquatic products to serve and support the development of special fish feed in the precinct.