1. Definition and classification of condiment industry

(1) Definition of condiment industry

Condiments refer to supplementary foods that can increase the color, aroma and taste of dishes, stimulate appetite, and are beneficial to human health. Its main function is to improve the quality of dishes and satisfy consumers' sensory needs, thereby stimulating appetite and improving human health. Broadly speaking, condiments include salty agents, sour agents, sweeteners, umami agents and spicy agents, such as salt, soy sauce, vinegar, monosodium glutamate, sugar, star anise, fennel, pepper, mustard, etc. kind.

According to the "National Economic Industry Classification and Code" formulated by the National Bureau of Statistics, the condiment industry is classified into the condiment and fermented products manufacturing industry (National Bureau of Statistics code C146) under the food manufacturing industry (National Bureau of Statistics code C14).

(2) Main product categories in the condiment industry

According to the classification of the Bureau of Statistics, the condiment and fermented products manufacturing industry can be divided into three categories: MSG manufacturing, soy sauce, vinegar and similar products, and other condiments and fermented products. The relevant classification diagram is shown below.

Chart 1: Schematic diagram of the classification of condiments and fermented products manufacturing industries

2. Analysis of the policy environment of the condiment industry

1. Relevant laws, regulations and applicable standards for the condiment industry

The main laws, regulations and applicable standards in the condiment industry are as shown in the following table:

Chart 1: Comparison of MSG product ingredients

2. Analysis of development plan of condiment industry

Among the industry development plans, what involves the condiment industry is the "Twelfth Five-Year Plan for the Development of the Food Industry" issued by the Development and Reform Commission of the State Council and the Ministry of Industry and Information Technology on December 31, 2011. According to the plan, during the "Twelfth Five-Year Plan" period, the development focus and direction of my country's fermentation industry are: striving to increase the proportion of non-grain raw materials and reduce the consumption of corn and other grain raw materials. Actively develop new products with high added value, accelerate the development of special enzyme preparations for the food industry with independent intellectual property rights, and moderately develop fermentation methods to produce small varieties of amino acids (except lysine and glutamic acid) and new enzyme preparations (except glucoamylase and amylase) ), polyols, functional fermentation products (functional sugars, fungal polysaccharides, functional red yeast rice, fermentation antioxidants and complex functional ingredients, active peptides, microecological preparations), etc.

The development goals are: by 2015, the total output value of the fermentation industry will reach more than 460 billion yuan, with an average annual growth rate of more than 15%; cultivate 5 fermentation industry enterprises with sales revenue of more than 10 billion yuan, and more than 10 fermentation industry enterprises with sales revenue of more than 5 billion yuan. Fermentation industrial enterprises; the proportion of non-grain raw materials has increased from 5% to about 15%; the proportion of high-growth, high-value-added fermentation products represented by functional sugars, polyols, enzyme preparations, etc. has increased from 60% to more than 70% , the proportion of MSG, citric acid and other products dropped from 24% to less than 18%.

3. Analysis of the condiment industry industry chain

The industrial chain of the condiment industry is similar to the food manufacturing industry chain. The upstream mainly uses soybeans, corn, wheat and other grains as the main raw materials, and is made through fermentation, drying, brewing and other processes; the midstream mainly includes MSG, soy sauce, vinegar and other various products. Class condiments; the downstream includes catering industry, food processing and household consumption according to different consumption terminals.

Chart 1: Condiment industry industry chain

4. Analysis of the development status of the condiment industry

1. Large market space

According to statistics, the annual global condiment turnover is as high as 240 billion US dollars, accounting for about 12% of the food industry. It is a typical "small product, big market". At present, the total output value of my country's condiment industry is nearly 200 billion yuan (equivalent to US$33 billion), accounting for less than 15% of the world's total condiment market. Compared with the total scale of the world's condiment industry, the development gap of my country's condiment industry is obvious. It can also be seen from this that there is huge development potential in China's condiment market.

2. Obvious regional characteristics

Since the condiment industry is characterized by "separation of princes and regions as kings", many brands can only cover their respective regional markets, and the industry lacks strong national brands. Therefore, the condiment industry is recognized as one of the few unfinished businesses. Market-consolidated industries. According to data from the China Condiment Industry Association, sales in 2012 were 205.877 billion yuan. There were more than 999 companies above designated size in the condiment market, and the market concentration of the top ten companies was less than 35%. As the largest soy sauce condiment manufacturer in the country, Haitian’s sales revenue only accounts for about 7.66% of the national condiment sales revenue.

3. Foreign companies actively expand

The rapid development and huge market prospects of China's condiment market have made China's condiments an important battlefield for many companies around the world to seize. The world's multinational companies put forward the slogan "If you want to dominate the world, compete in China first" at the Shanghai Fortune Forum. Therefore, in recent years, foreign multinational companies have continued to enter the domestic condiment market. Today, domestic condiment companies that have been invested or fully acquired by foreign investors account for half of the domestic companies.

For specific content and latest data, please refer to the "2015-2020 China Condiment Industry Market Demand Forecast and Investment Strategic Planning Analysis Report" released by the Qianzhan Industry Research Institute.

5. Analysis of the Five Forces Competition Model of China’s Condiment Industry

(1) Analysis of suppliers’ bargaining power

The upstream of the condiment industry is mainly grain products such as soybeans, corn, and wheat, and some are meat products. The raw materials required for condiment production account for a small proportion in the upstream, and the degree of homogeneity of upstream products is high. Therefore, the upstream has a high degree of homogeneity. Strong bargaining power.

Chart 1: Analysis of the upstream bargaining power of the condiment industry

(2) Summary of competition situation

Based on the above analysis, the competition in various aspects is quantified, with 1 representing the largest and 0 representing the smallest. The competition in the domestic condiment industry is as shown in the figure below.

Chart 1: Conclusion of the five forces analysis of the condiment industry