Chinese food group invests in non-fried noodle production

By Jennifer Phang

- Last updated on GMT

Related tags Nutrition

Hao Ji Group invests in instant non-fried noodles
Hao Ji Group invests in instant non-fried noodles
Sichuan-based Hao Ji Group is investing 60bn Chinese yuan (US$9.45m) to boost noodle production at two main sites to a capacity of more than 700,000 tonnes of noodles with up to 12 varieties of Chinese grains.

Managing director Yanjun Bo, said that the investment in the Jiu Jiu Food Company would significantly increase its annual, “non-fried”​ instant noodle output.

Part of the investment will support the fire production of non-fried instant noodles with five different types of Chinese grains, Bo said, to produce up to 600,000 tonnes annually.

Over RMB10bn (US$945,000) has been used to set up a production plant in Chengdu Hi-tech park, which is set to reach a production capacity of 120,000 tonnes of instant noodles annually by June next year. This plant will make use of 12 varieties of Chinese grains.

The rise of non-fried instant noodles

As Asian interest in nutrition and healthier eating has risen, so too has the interest in non-fried instant noodles.

Responding to this trend, Hao Ji Group has been developing non-fried noodle products that can be conveniently cooked in eight minutes, even though non-fried accounts for only about 5% of the instant noodle market in China, according to Bo.

Instant noodle hugeness

The instant noodle market in China is estimated to be worth US$6.5bn, according to India-based research company, RNCOS. It is also forecast to grow at 13% to reach US$11.7bn in 2014.

Shushmul Mahesewari, CEO at RNCOS told that instant noodles are the largest segment of the fast food sector in China.

“It is the fastest growing segment too. This is probably due to strong economic growth with more young professionals in China,”​he said.

Mahesewari highlighted research that showed the instant noodle segment will continue to be strong, as most working professionals find it a convenient way to eat after long work days.

Bo said: “We would like to promote China’s instant food products to the world.”

Bo said the company was looking to expand into Southeast Asia as well, in a range of health and nutrition food products, in addition to convenience foods.

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