Shandong Manufacturing opens up a new path for the coffee industry without relying on innate planting endowments

Shandong does not produce a single coffee bean, but it has firmly established a place in the global coffee industry chain. From handling overseas raw beans at Qingdao Port (HK6198) to establishing the world's largest single unit instant coffee production base in Zouping; From nearly 98% of instant coffee production lines in China originating from Shandong equipment, to complete sets of equipment exported to multiple countries, supporting 10% of global instant coffee production capacity. Without relying on innate planting endowments, Shandong has embarked on a path of industrial breakthrough through a complete industrial system and continuous technological innovation, which is a beneficial exploration for cultivating new quality productivity in the province.

Building an industrial foundation and transforming logistics flow into industrial increment. Industrial development does not rely solely on resource endowments. Shandong has a strong industrial foundation in all 41 major categories, including mechanical processing, chemical equipment (850102), and automatic control, laying a solid foundation for the research and development of coffee deep processing equipment. Relying on the advantage of Qingdao Port (HK6198) opening up to the outside world, overseas coffee beans continue to flow into Shandong, and the "front port, back factory" model connects the key links of raw material transportation and deep processing. The Zouping instant coffee project has been put into operation, with an annual production capacity equivalent to 5 billion cups of coffee, achieving a closed loop of import and processing. Based on its location and industrial advantages, Shandong has transformed the port's circulation advantages into tangible industrial advantages, and built a complete coffee industry ecosystem on the northern land.

Innovate to break through the deadlock and seize the competitive advantage of segmented tracks with domestic equipment. Core equipment is an important support for the industrial chain. In the past, the production of instant coffee in China was highly dependent on imported equipment, with high costs and long cycles (883436), which constrained the development of the industry. Zouping Enterprise has overcome difficulties and achieved domestic substitution of equipment through technological breakthroughs. Nowadays, the complete production line manufactured in Shandong not only supports most of the domestic instant coffee production capacity, but also exports to countries such as Vietnam, Indonesia, and Russia. Compared to imported equipment, domestically produced equipment has outstanding cost-effectiveness, significantly reducing production costs for domestic enterprises. The enterprise has not stopped here, continuing to tackle high value-added equipment such as cold extraction and freeze-drying, coffee liquid, etc., transforming into a process technology and overall solution service provider, and mastering competitive advantages in segmented fields through technological iteration.

Chain extension promotes the advancement of industries towards high added value. Manufacturing advantages are just the starting point. Only by working together with trade, production, and consumption can we unleash greater potential in the industry. At present, there are 11500 coffee related enterprises in the province, and the upstream trade equipment, midstream deep processing, and downstream consumption (883434) markets are developing in synergy. The Jinan professional procurement platform radiates throughout the province, and the multi-level consumption (883434) market provides a broad scene for the industry. At the same time, we should also be aware that Shandong has strong processing and manufacturing capabilities, but there is still a need to cultivate national local coffee brands. Based on the industrial layout of the whole province, we need to not only continue to strengthen equipment research and development and process output, but also make up for the shortcomings in brand cultivation and standard construction, and promote the upgrading of the industry from OEM production to value output.

Resource endowment is a bonus, while practical innovation is the real strength. The "Lu" journey of a cup of coffee reflects the unique confidence of Shandong manufacturing. Not relying on natural resources, relying on industrial accumulation, technological breakthroughs, and chain collaboration, constantly opening up new industrial tracks. Continuously strengthening the advantages of segmented fields, supplementing and extending chains, will inject sustained development momentum into the development of new quality productivity in the province. (Written by Zheng Beibei in Liaocheng, China)

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