Specialized Marketing Mission to Kunming,16 – 21 September 2012

1. INTRODUCTION

Yunnan Province is the fourth largest Muslim Community Province in China and has huge business potential in the Halal food sector. Malaysian Exporters Association is organising its first Specialized Marketing Mission on Halal Food Business Opportunities to Kunming, the capital of Yunnan Province from 16-21 September 2012.

2. OBJECTIVES OF THIS MISSION

• To obtain first hand information on the practical aspects of doing business with Muslim Community in Yunnan Province
• To explore business opportunities, establish business networks, create awareness and promote Malaysian made products
• To meet potential Muslim business partners in Yunnan Province
• Arrange one on one meeting with Halal food and cosmetic business people

3. MALAYSIAN DELEGATION

• Mr. Hussaini Bin Zaini, Senwill Cosmetic Manufacturing Sdn Bhd, Penang
• Ms. Clarine Soo, Charmss Equipment Corporation Sdn Bhd
• Mr. Nelson Wong, YLF Food Industries Sdn Bhd, Johor
• Detail list of delegates as per ANNEX I

4. MISSION PROGRAM

4.1 Detail program as per ANNEX II
4.2 Detail of Business Meetings as per ANNEX II (A)

• Detail list of the buyer during the Business Meeting as per ANNEX III.
• Total of 8 business meetings conducted during the Mission
• Pictures during the Business Meeting ANNEX II (B)

5. MISSION OUTCOME

5.1 Potential Sales

– Reported by exporters:
o Actual sales: nil
o Potential sales: over RM1.0 million
o Areas of potential business: Halal food and cosmetic products

5.2 General Comments by Malaysian Exporters

Good potential if we can create awareness of Malaysian Halal products thorough trade shows and awareness campaigns

5.3 Challenges Faced by Malaysian Exporters

The challenge to penetrate the market is how we can create awareness of “Halal Concept” to the Muslim Community and the 42 million (2000 census) Yunnan population at large.

6. CONCLUSIONS / RECOMMENDATIONS

China has over 10 million Muslims and Yunnan Province is the fourth largest Muslim Community Province in China. From the meetings with Muslim businessmen, we know that Muslims in Yunnan Province are not aware of Malaysian Halal food and cosmetic products. Therefore, there are hugh opportunities for us to introduce our Malaysian Halal products, including Halal cosmetic and skincare products to the Muslim Community in Yunnan Province. Besides the Halal food items, the awareness on the application of Halal cosmetic and skincare products, logistics and transportation of Halal items should also be addressed. Trade Show on Malaysian Halal products and awareness campaigns as advised by one of the businessmen can be considered.

If there are interests from our SMEs and with support from Matrade for reimbursement of MDG, Mexpa will consider to organize a “Malaysian Halal Products SoloShow” in Kunming.

ANNEX I

NO. OF DELEGATES:

a. Ms. Clarine Soo – Charmss Equipment Corporation Sdn Bhd
b. En. Hussaini Bin Zaini – Senwill Cosmetic Manufacturing Sdn Bhd
c. Mr. Nelson Wong – YLF Food Industries Sdn Bhd

DETAIL LIST OF DELEGATES

a. Ms. Clarine Soo Sooi Boey
Managing Director
Charmss Equipment Corporation Sdn Bhd
363-R, MK 13 Jalan Sultan Azlan Shah
11700 Gelugor, Pulau Pinang
Tel: 04 657 2823
Fax: 04 657 1823
Mobile: 012 527 9898
Email: clarine_ssb@hotmail.com

b. En. Hussaini Bin Zaini
Project Product Islamic Manager
Senwill Cosmetic Manufacturing Sdn Bhd
No 17 Lintang Beringin 8, Diamond Valley Industrial Park
Jalan Permatang Damar Laut
11960 Bayan Lepas, Pulau Pinang
Tel: 04 6266 898
Fax: 04 6266 798
Mobile: 016 524 9002
Email: projecthuss@yahoo.com

c. Mr. Nelson Wong
Export Manager
YLF Food Industries Sdn Bhd
2 Jalan Masyhur Enam
Taman Perindustrian Cemerlang
81800 Ulu Tiram, Johor
Tel: 07 8616 777
Fax: 07 8616 555
Mobile: +65 9662 7775
Email: wongn@ylfgroup.com

DETAIL PROGRAM ANNEX II
The 6 days program comprises:

Sunday 16 Sept 2012 – Day 1

09:30hrs Depart KLIA via MH 352
13:10hrs Arrival at Kunming Chanchui International Airport
14:30hrs Depart from Chanchui International Airport to Horizon Hotel
15:45hrs Check in Horizon Hotel, 432 Qingnian Road, Kunming

Monday 17 Sept 2012 – Day 2

08:10 – 09:00hrs : from hotel to Mengyisha Muslim Food Co.Ltd
09:00 – 12:00hrs : visit Mengyisha Muslim Food Co., Ltd, No.3 Block A9, Xing Chang Feng, Kunming. One on One meeting with Management Mr. Zhi HenWei and Mr. Ma LiKui
12:00 – 13:45hrs : lunch
13:45 – 14:30hrs : from Mengyisha Muslim Food Co. Ltd to Yunmu Muslim Food Distribution Co. Ltd
14:30 – 17:00hrs : Yunmu Muslim Food Distribution Co. Ltd., No. 2302 Unit 3 Block 2 Xishan Zone, Zhong Yang Li Cheng, Kunming. One on one meting with Ms. Ma Yan and Mr. Li Mingkun
17:00hrs : back to hotel

Tuesday 18 Sept 2012 – Day 3

08:20 – 09:00hrs : from hotel to Changyu Moslem Food Company Ltd
09:00 – 10:00hrs : visit Changyu Moslem Food Company Ltd, No. A2 Block A18 Guan Shang Hua Yuan, Kunming. One on One meeting with General Manager Mr. Pan Siyuan
10:00 – 10:30hrs : from Changyu to Youyang Moslem Food Co.Ltd.,
10:30 – 12:00hrs : visit Youyang Moslem Food Company Ltd, No. 10 Dian Chi Road, YangGuang Hua Yuan, Kunming. One on One meeting with Manager Mr. Ma WuYang
12:00 – 13:30hrs : lunch
13:30 – 14:00hrs : to Yunnan Haichao Group Haichao Tea Blocks Co.Ltd.
14:00 – 15:30hrs : visit Yunnan Haichao Group Haichao Tea Blocks Co.Ltd. No. 201 Xi Er Huan Road, Shi Ji Sheng Huo Shi Ji Yuan, Kunming. One on one meeting with General Manager Ms Yang Huifen and Ms. Chen Tingting.
15:30 – 16:00hrs : from Haichao group to Yunnan SIPU Investment Co. Ltd
16:00 – 17:30hrs : visit Yunnan SIPU Investment Co. Ltd., No. 625 Er Huan Xi Road, Yun Tong Ke Ji Yuan Si Pu Ke Ji, Block B Level 4, a non Muslim trading company doing business with Muslim businessmen on Halal products. One on one meeting with Mr.Zhang
17:30hrs : back to hotel

Wednesday 19 Sept 2012 – Day 4

08:10 – 09:00hrs : from hotel to Yunnan Bainilan Biology Resources Development Co. Ltd
09:00 – 11:00hrs : visit Yunnan Bainilan Biology Resources Development Co.. Ltd,a non Muslim cosmetic and health food products company. One on one meeting with Manager Mr. Yang Wansong regarding Halal cosmetic and skincare products for Muslims
11:30 – 13:00hrs : lunch
13:30 – 16:00hrs : visit Yunnan International Agriculture Expo, Kunming International Convention Centre.
17:00hrs : back to hotel

Thursday 20 Sept 2012 – Day 5

08:30 – 09:30hrs : from hotel to Yunnan Islam Economic and Trade Co.Ltd.
09:30 – 11:00hrs : visit to Yunnan Islam Economic and Trade Co.Ltd., No. 28 Wu Yi Road, Xing HuoXie Zi Luo, Level 5 No. 511 Kunming. One on one meeting with Chairman Mr. Sha Wenkun
11:00 – 13:00hrs : lunch
13:00 – 18:00hrs : visit XingLowShi Wan Wholesales Market, Cai Yun North Road,Kunming
18:00hrs : back to hotel

Friday 21 Sept 2012 – Day 6

09:00hrs : Checking out from Horizon Hotel
10:00hrs : Depart from hotel to Changchui International Airport
11:30hrs : Arrive Changchui International Airport
14:10hrs : Depart from Kunming for Kuala Lumpur via MH 353
17:50hrs : Arrive KLIA

ANNEX II (A)
BUSINESS MEETING
Monday 17 September, 9: 00 am to 11: 30 am
Company 1
Mengyisha Muslim Food Co.,Ltd
No.3 Block A9, Xing Chang Feng Kunming

Mengyisha Muslim Food Co.,Ltd was incorporated in year 2010 with paid up capital of 3 million Renmibi. This company sells all kinds of Qingzheng (Halal) foods such as Beef jerky, Bubble chicken feet, Fruit juice, and many other consumable food items.
Meeting was done with: Mr. Ma (Board Chairman)
Mr. Ma Likui (Market Manager)
Mr. Ma Yunpeng (Interpreter)
Mr. Ma Hongxi (Chairman, Yunnan Ethnic Culture Development Foundation and Muslim Foundation)
Mr. Ma Liwei (Manager)
Mr. Zhi Hengwei (Manager)
Details of Meeting: Management of Mengyisha Muslim Food Co.,Ltd is interested to try some products from our delegates provided product descriptions must be in Chinese Language.

Monday 17 September, 2: 30 pm to 5: 00 pm
Company 2
Yunmu Muslim Food Distribution Co.,Ltd
No 2302, Unit 3, Block 2, Xishan Zone Zhong Yang Li Cheng Kunming
Yunmu Muslim Food Distribution Co.,Ltd is distributing Qingzheng (Halal) foods and consumable products for Muslims. They import Qingzheng (Halal) foods, health products, condiments, cosmetics and consumable products for Muslims

Meeting was done with Ms. Ma Yan (Manager) & Mr. Li Mingkun (Market Manager)

Details of Meeting: Yunmu Muslim Food Distribution Co.,Ltd owns a 300 square meters Muslim Supermarket at Yunnan Shadian, about half an hour by road from Kunming City. Interesting discussions were done between the Management and our delegates about how to supply products to their Supermarket. Mr. Nelson Wong of YLF met the Management again on Firday morning (21/9/2012) before departing Kunming, to further disccuss their cooperation

Tuesday 18 September, 9: 00 am to 10: 00 am
Company 3
Changyu Moslem Food company Ltd
No A2 Block 18 Guan Shang Hua yuan Area Kunming
Changyu Moslem Food Company Ltd is specialized in Qingzheng (Halal) goose meat and frozen foods.

Meeting was done with Mr. Pan Siyuan (Manager)

Details of Meeting: Mr. Pan, Manager of Changyu Moslem Food company Co.,Ltd said products of our delegates are different from what they are selling. However, his company will be opening a new Muslim Supermarket at north of Kunming City and will consider to sell many other new products. Therefore, he can consider to import our delegates products to sell in this new supermarket. Mr. Pan also proposed to our delegates to consider estasblishing partnership outlet(s) at “Shuncheng Street” where over 700,000 Muslim people are living.

Tuesday 18 September, 10: 30 am to 12: 00 noon
Company 4
Youyang Moslem Food company Co.,Ltd
No 10 Dian chi Road Yang Guang Hua Yuan Kunming
Youyang Moslem Food Co.,Ltd is selling frozen foods like rice dumpling, roasted chicken sausage

Meeting was done with Mr. Ma Wuyang (Manager )

Details of Meeting: Manager Ma Wuyang said he normally buys imported food items through another company because his company does not have permit to do import. His sellable products are Qingzheng (Halal) sausage, instant noodle, beef etc.. Manager Ma Wuyang thinks that Malaysia made coffee and candy has a bright future in Kunming market.

Tuesday 18 September, 2: 00 am to 3: 30 pm
Company 5
Yunnan Haichao Group Haichao Tea Blocks Co.,Ltd
No 202 Xi Er Huan Road Shi Ji Sheng Huo Shi Ji Yuan C
Yunnan Haichao Group Haichao Tea Blocks Co.,Ltd sells tea and beef.

Meeting was done with Ms. Yang Huifen (Manager) & Ms. Chen Tingting (Marketing Manager )

Details of Meeting: Manager Ms. Yang Huifen said their company has own contract suppliers. Instead she assisted to introduce Malaysia Parkson Board Chairman Mr. Zhang and Manager Mr.Yuan to our delegates. She suggested that our delegates should explore to introduce products to our Malaysian owned Parkson outlet in Kunming.

Tuesday 18 September, 4: 00 pm to 5: 30 pm
Company 6
Yunnan SIPU Investment (Group) Co.,Ltd
No 625 Er Huan Xi Road Yun Tong Ke Ji Yuan Si Pu Ke Ji Building B level 4
Yunnan SIPU Investment (Group) Co.,Ltd is a Muslim company. They sell tea, furnishing, and so on.

Meeting was done with: Mr. Zhang (Board Chairman) & Ms. A (Arab National)

Details of Meeting: Mr. Zhang said their company sells tea and furnishing products and does not consider import products from our delegates because based on delegates’ promotional materials, he doesn’t see the advantage of delegates’ products because of pricing, packing, as well as product descriptions are in English. Mr. Zhang advised: if our delegates wish to enter Yunnan market, firstly they should cooperate with importers to organize a trade show to provide awareness of Qingzheng (Halal) food and cosmetic products.

Wednesday 19 September, 9: 00 am to 11: 00 am
Company 7
Yunnan Boni Biological Resources Science Co.,Ltd
No 1 Level 3 Kuo Xiang Road Economy Developing Zone Kunming
Yunnan Boni Biological Resources Science Co.,Ltd is a non-Muslim company developing and selling cosmetic and health food.

Meeting was done with Mr. Yang Wansong (Manager) & Mr. Zhou Lingxian (Board Chairman)

Details of Meeting: Manager Mr. Yang Wansong briefed our delegates about Yunnan cosmetics market environment. There are a lot of different brands of cosmetics in Kunming and according to Mr. Yang the market is quite saturated. Mr. Yang indicated that he has interest to import raw materials and semi-manufactured goods from our delegates.

Thursday 20 September, 9: 00 am to 11: 00 am
Company 8
Yunnan Islam Economic and trade Co.,Ltd
No 28 Wu Yi Road, Xing Huo Xie Zi Luo level 5 No 511 Kunming

Yunnan Islam Economic and Trade Co.,Ltd is a Muslim food company selling Qingzheng (Halal) foods, health foods, farm products and tea.

Meeting was done with Mr. Sha Wenkun (Board Chairman) & Guan Kunying (Manager)

Details of Meeting: Chairman Sha said their company sells tea and Qingzheng (Halal) foods. He suggested that if Malaysian companies are interested to penetrate into Yunnan Provice’s Muslim Community market, we should organize trade shows on Qingzheng (Halal) food and cosmetic products as well as conduct frequent awareness campaigns in Kunming

ANNEX II (B)
PICTURES TAKEN DURING BUSINESS MEETINGS

ANNEX III
LIST OF BUYERS

No Company Details Business Interest Representative

1 Mengyisha Muslim Food Co., Ltd
No.3 Block A9, Xing Chang Feng
Kunming
Halal frozen foods & Coffee
Mr. Zhi HenWei
Mr. Ma Yunpeng
Mr. Ma LiKui

2 Yunmu Muslim Food Distribution Co Ltd
No. 2302 Unit 3 Block 2, Xishan Zone Zhong Yang Li Cheng, Kunming Yunmu Muslim Food Distribution Co Ltd

Candy, Halal health food & Halal cosmetics
Ms. Ma Yen
Mr. Li Mingkun

3 Youyang Moslem Food Company Ltd
No. 10 Dian Chi Road, YangKuang Hua Yuan, Kunming Youyang Moslem Food Company Ltd

Coffee
Mr. Ma WuYang

4 Changyu Moslem Food Company Ltd
No. A2 Block 18 GuangShang Hua Yuan Area, Kunming,
Halal frozen foods
Mr. Pan Siyuan

5 Yunnan Haichao Group Haichao Tea Blocks Co.Ltd., No. 202 Xi ErHuan Road, Shi Ji Sheng Huo Shi Ji Yuan
Coffee
Ms. Yang Huifen
Ms. Chen Tingting

6 Yunnan Boni Biological Resources Science Co.Ltd. No. 1 Level 3 Kuo Xiang Road, Economy Development Zone, Kunming
Halal Cosmetic products
Mr. Yang Wansong