Photo: courtesy of CFLD

The supply chain smart industrial park built by McDonald's China has officially settled in Hanxiao New Industry City in Central China's Hubei Province, after McDonald's China and its four major suppliers signed contracts with the local government in Xiaonan District, Xiaogan City and China Fortune Land Development Co (CFLD) on December 18th. 

The McDonald's Supply Chain Smart Industrial Park, with a planned area of over 300,000 square meters, is expected to be completed and put into operation in 2023, with an annual output value of nearly 1.5 billion yuan. With the arrival of McDonald's and its core suppliers, it will continue to attract both upstream and downstream enterprises in the urban food and dining supply chain.

The project first took shape in 2019, when McDonald's China and its suppliers met with the China Fortune Industry Development team during a site selection and inspection process. Based on the project location requirements, the CFLD Team quickly tailored a comprehensive solution for the project. CFLD has been deeply involved in Wuhan Metropolitan Area for many years. As the operator of the Hanxiao Industrial New City, CFLD focuses on building an urban food industry cluster, which is highly compatible with the location needs of McDonald's China and its suppliers.

"The settlement of this project is the first time that CFLD has explored the cooperation among leading supply chain companies to sign contracts. It is an innovative practice for building industrial clusters. We will work with McDonald's and its partners to create a high-quality industrial ecosystem and build a global market in Xiaogan, while establishing an urban food industry cluster." said Zhao Wei, Executive President of CFLD.

Two of the world's Fortune 500 companies, namely McDonald's, Tyson, and the leading food company Bimbo, as well as two companies in the industry, Xiahui and Zidan will join the supply cain park, integrating the world's leading equipment, technology and technology to create a green and smart supply base, covering McDonald's core production and processing. It will also establish an entire supply chain of food research and development, logistics and packaging.

"CFLD's deep understanding of the location of the food industry impressed us. The overall development planning of the park further strengthened our confidence in the project's development." said Weibo Shen, vice president of McDonald's China Supply Chain division.

McDonald's is a world-renowned catering service brand, with nearly 40,000 restaurants all over the world. Tyson is one of the world's leading chicken, beef, and pork producers and suppliers, and is a strategic partner of McDonald's and many other international catering brands and leading retail companies. Bimbo is an international leader in the bakery industry and a world-leading bakery manufacturer.

Both Xiahui and Zidan are industry leaders. Xiahui is a joint venture established by SF Holdings and Havi Corporation of the United States. It has more than 40 years of experience in cold chain logistics and is the setter of supply chain management standards. Zidan is a domestic A-share listed company, and is a leader in the industry that is wholly-owned by Zijiang Enterprise that is specialized in food paper packaging printing.

The five companies are expected to invest a total of 1.5 billion yuan ($229 million) into the smart supply chain park. 

As a leading new industrial city operator in China, CFLD has built a set of core competence-driven industrial development ecosystems supported by the team, incorporating capital and technology based on 18 years of development experience. It continues to introduce advanced industries to the cities, providing a full range of services from site selection to industrial development.