The company expects to spend approximately $103.5 million over the next 12 months on several projects, including:
An $18-million cold-chain logistics distribution center in Henan province that will provide logistics services to customers when it opens sometime before June, offering 27,000 square meters of space.
A similar $48-million logistics facility in Hebei province that will offer temperature-adjustable warehouse, processing, distribution and quality-control center that is expected to be in operation by the fourth quarter of 2013.
A chilled and frozen food processing and distribution center near Shanghai that will be built in three phases at a final cost of $87.5 million. The first phase, including a processing center, logistics center and business complex, opened in February 2013.
The company expects demand for its pork products to continue to remain strong through the rest of the year. As of March 31, Zhongpin had annual capacity of about 684,000 metric tons of chilled and frozen pork, 176,000 metric tons of prepared pork products, 20,000 tons of pork oil, among other related offerings.
