| In 2001, I shared the same vision with the founding management team, and considered there was huge potential for the wine industry in the PRC. Therefore, supporting by the abundant wild mountain grape resources at Changbai Mountain, we founded Tonghua Tongtian Winery Company Limited. The Company achieved remarkable growth within a few years, and became one of the wine producing enterprises with greatest growth potential in the PRC.
As one of the largest sweet grape wine producers in the PRC, we have been focusing on innovation during the past few years to improve economic efficiency, with an aim to enhance the competitiveness of our core operations. We accelerated our pace in structural reform and technology advancement. As such, we witnessed further consolidation of our operations and our profitability was also improved significantly. In the meantime, we also created a business model involving government authorities, market participants, leading enterprises and farmers, which allowed us to develop in a rocket speed, rapid pace and swift rhythms. The Company rapidly became the leading enterprise in the development of green products at the regions where it is operating.
We insist on a two prong principles of developing products with traditional features from innovative technologies. With the unique mountain grapes growing at Changbai Mountain as the raw material, we successfully researched and developed over 30 different wine products under the "Tongtian" (「通天」) and "Tongtian Hong" (「通天紅」 ) labels. Since these products were launched into the market, they have been popular and widely recognized by the consumers at large.
Despite the global economy remains weak, emerging markets worldwide has experienced fairly healthy economic growth. Benefitting from the prosperous economic development and the policy boosting domestic demand, the PRC domestic market maintained strong growth, leading to the increasing domestic consumption of grape wine products. Leveraging upon the Group’s strategic production expansion plans, strong distribution network and flexible marketing activities, the Group remains abreast with the market trend and has laid solid foundation for the healthy development of its overall business.
Looking ahead, the Group remains optimistic about the prospects of the PRC’s economy and is confident of ample opportunities in the PRC grape wine market. The Group will continue to expand sales networks, especially in the second and third-tier cities, by stepping up its investments in advertising, marketing and promotion to explore the market potential further. The Group will proactively identify merger and acquisition opportunities so as to solidify its business foundation and bring better return to the shareholders of the Group.
Finally, on behalf of the Board, I would like to express my sincere appreciation to our shareholders, investors, business partners and customers for their continued support. I would also like to thank our senior management team and all staff for their unfailing hard work and brilliant contributions for the past few years.
Chairman and Executive Director
Wang Guangyuan
23 August 2011 |
