China's frozen food industry started in the 1980s, experiencing rapid development and price wars, and has now become one of the most competitive sectors in the food industry. From January to December 2006, the total industrial output value of China's frozen food manufacturing industry reached 15,601,269,000 yuan, an increase of 40.58% year-on-year; the total product sales revenue reached 15,209,649,000 yuan, an increase of 44.23% year-on-year; and the total profit reached 847,734,000 yuan, an increase of 85.09% year-on-year.
From January to November 2007, the total industrial output value of China's frozen food manufacturing industry reached 17,452,528,000 yuan, an increase of 29.93% year-on-year; the total product sales revenue reached 16,845,955,000 yuan, an increase of 26.79% year-on-year; and the total profit reached 810,273,000 yuan, an increase of 22.66% year-on-year.
From January to May 2008, the total industrial output value of China's frozen food manufacturing industry reached 9,562,015,000 yuan, an increase of 33.61% year-on-year; the total product sales revenue reached 9,169,779,000 yuan, an increase of 27.07% year-on-year; and the total profit reached 277,532,000 yuan, a decrease of 9.55% year-on-year.
In 2007, the state issued the "Hygiene Standard for Frozen Rice and Noodle Foods", stipulating that from June 2007 onwards, the sale of unpackaged dumplings, glutinous rice balls, etc., in supermarkets would no longer be permitted. This policy is conducive to the full play of brand advantages and provides an opportunity for industry consolidation. On the other hand, the high-end product market is rapidly emerging, and leading companies are gradually shifting their strategic focus to the high-end market.