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2. CHINA CANDY &
CHOCOLATE
MARKET REPORT
Beijing Zeefer Consulting Ltd.
May 2011

3. INTRODUCTION
This report discusses the candy & chocolate market in China mainly from the
following sections.
- Size of Candy & Chocolate Market in China
Based on Zeefer's China Market Size Formula, by the analysis on China candy
& chocolate market size, industry sales revenue and domestic candy &
chocolate output in 2008 - 2010, this report presents a picture of the real
development of candy & chocolate market in China and changes in the overall
market size.
- Hot Areas of China Candy & Chocolate Market
Based on the comparison and analysis on China's candy & chocolate
production and import in different provinces or cities, this report points out
those hot areas in China for candy & chocolate market deserve most attention.
- Top 10 Enterprises in China Candy & Chocolate Industry
Based on the comparison and analysis on top 10 leading enterprises in China
candy & chocolate industry in terms of sales revenue, market share and
number of employees, the report shows their positions in the candy &
chocolate market in China. Additionally, this report lists basic contact
information of the top 10 leading enterprises.
- Market Share and Market Structure of China Candy & Chocolate
Market
This report analyzes the candy & chocolate market share distribution in China
by segments based on enterprises nature (leading enterprises, foreign
enterprises, state-owned and private enterprises), imports of candy &
chocolate product and regional markets in China in terms of sale revenue,
profitability, production volume, number of enterprises and the value of
imports... The report offers data on the market shares of imported candy &
chocolate products, foreign enterprises and enterprises in other forms. It also
offers a comparison of profitability by forms of enterprise ownership, presents

4. a picture of the market share of leading enterprises and the distribution of
major regional markets in China. In addition, the report figures out the
structure and concentration ratio of the current candy & chocolate market in
China by means of Bain's Market Structure Classification and Index of CR4.
- Import and Export of Candy & Chocolate Products
In this section, the report includes the main source countries / regions of
imported candy & chocolate products for China and their market shares, the
domestic destinations of imported candy & chocolate products in China and
shares for these destinations, major export destinations (countries or regions)
for Chinese produced candy & chocolate products and shares of these
destinations, major origins of the exported candy & chocolate products and
their shares.
- Candy & Chocolate Industry Standards in China
The report lists relevant national standards and/or industrial standards
concerning candy & chocolate products generally accepted in the candy &
chocolate industry in China, including standard names both in Chinese and
English as well as their unified code numbers.
- Major Candy & Chocolate Importers in China
The report lists 10 major importers for candy & chocolate products in China
and provides their contact information such as company name, address,
website, telephone number and fax number.
- Summary on Key Statistics of the Candy & Chocolate Industry in
China
Based on the concise analysis on the sales revenue, production volume,
number of enterprises, total profit, total loss, total assets, return on the asset
and profit margin as well as other key statistics, China Candy & Chocolate
Market Report presents the current situation, the growth rate and profitability
of the candy & chocolate industry in China.

5. DECLARATION
Beijing Zeefer Consulting Ltd. and (or) its affiliates (hereafter, "Zeefer")
provide this report with the greatest possible care. Nevertheless, Zeefer makes
no guarantee whatsoever regarding the accuracy, utility, or certainty of the
information in this report. Further, Zeefer disclaims any and all responsibility
for damages that may result from the use or non-use of the information in this
report.
The information in this report may be incomplete and/or may differ in
expression from other information in elsewhere by other means. The
information contained in this report may also be changed or removed without
prior notice.

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CONTENT
CHAPTER 1 PRODUCT DEFINITION.................................................................1
CHAPTER 2 MARKET SIZE ...................................................................................3
2.1 ANALYSIS ON THE CANDY & CHOCOLATE MARKET SIZE..............3
2.2 ANALYSIS ON THE CHANGES IN CANDY & CHOCOLATE
PRODUCTION VOLUME IN RECENT YEARS ................................................5
2.3 AN OVERVIEW ON CHINESE ECONOMY................................................6
CHAPTER 3 HOT SPOTS FOR CANDY & CHOCOLATE PRODUCTS
ACROSS CHINA .....................................................................................................10
CHAPTER 4 INDUSTRY OVERVIEW................................................................12
4.1 A SUMMARY ON THE INDUSTRY............................................................12
4.2 AN ANALYSIS ON THE PROFITABILITY OF THE INDUSTRY...........13
CHAPTER 5 ANALYSIS ON IMPORT & EXPORT .........................................16
5.1 AN OVERVIEW ON THE IMPORT & EXPORT........................................16
5.2 A DETAILED ANALYSIS ON IMPORT & EXPORT OF CANDY &
CHOCOLATE PRODUCTS .................................................................................17
5.2.1 ANALYSIS ON MAJOR COUNTRIES OF ORIGIN FOR THE
IMPORTED CANDY & CHOCOLATE PRODUCTS ....................................17
5.2.2 ANALYSIS ON THE MAJOR FLOW DESTINATIONS INSIDE
CHINA ................................................................................................................19
5.2.3 ANALYSIS ON MAJOR EXPORT DESTINATIONS ...........................20
5.2.4 ANALYSIS ON MAJOR ORIGINS IN CHINA......................................21
CHAPTER 6 THE MARKET SHARE...................................................................23
6.1 ANALYSIS ON THE CONCENTRATION OF CORPORATE SALES
REVENUE ..............................................................................................................23
6.1.1 ANALYSIS ON THE CONCENTRATION OF SALES REVENUE
FROM LEADING ENTERPRISES ...................................................................23
6.1.2 COMPARATIVE ANALYSIS ON SALES REVENUE FROM TOP 10
ENTERPRISES WITH INDUSTRY AVERAGE..............................................25
6.2 ANALYSIS ON THE CONCENTRATION BY AREA IN TERMS OF THE
MARKET SHARE..................................................................................................27
6.2.1 ANALYSIS ON CONCENTRATION OF REGIONAL SALES
REVENUE ..........................................................................................................27
6.2.2 ANALYSIS ON THE CONCENTRATION OF REGIONAL
PRODUCTION VOLUME................................................................................28
6.3 MARKET POSITION OF FOREIGN ENTERPRISES AND THE TREND
IN RECENT YEARS..............................................................................................29
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6.3.1 CHANGES IN THE SHARES OF FOREIGN ENTERPRISES IN
TERMS OF THE NUMBERS AND THE COMPARISON OF FOREIGN
ENTERPRISES AND ENTERPRISES OF OTHER OWNERSHIP ...............29
6.3.2 CHANGES IN THE SHARES OF SALES REVENUE FROM FOREIGN
ENTERPRISES AND COMPARISON WITH THAT FROM ENTERPRISES
OF OTHER OWNERSHIP ................................................................................32
6.3.3 PROFITABILITY OF FOREIGN ENTERPRISES AND COMPARISON
WITH ENTERPRISES OF OTHER OWNERSHIP .........................................34
6.4 ANALYSIS ON THE MARKET SHARE OF IMPORTED PRODUCTS
AND RELEVANT VARIATIONS IN RECENT YEARS ..................................36
CHAPTER 7 TOP 10 ENTERPRISES ...................................................................38
7.1 WM. WRIGLEY JR. (CHINA) COMPANY .................................................38
7.2 MARS FOODS (CHINA) CO., LTD..............................................................38
7.3 HSU FU CHI INTERNATIONAL LTD........................................................39
7.4 PERFETTI VAN MELLE COMPANY (CHINA) ........................................40
7.5 HENAN YUDA FOODSTUFF CO., LTD. ...................................................40
7.6 NANJING STRONG FOODSTUFF CO., LTD. ...........................................41
7.7 WM. WRIGLEY JR. CONFECTION (SHANGHAI) COMPANY ............41
7.8 JIANGSU LIANGFENG FOODSTUFF GROUP CO., LTD.......................42
7.9 GOLDEN CROWN GROUP FOODS CO., LTD. ........................................43
7.10 ZHAOYUAN BITAI FOOD CO., LTD.......................................................43
CHAPTER 8 PRODUCT STANDARD SYSTEMS............................................45
CHAPTER 9 LIST OF MAJOR IMPORTERS.....................................................46
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CHAPTER 3
HOT SPOTS FOR CANDY &
CHOCOLATE PRODUCTS
ACROSS CHINA
Figure 5 Nationwide distribution map of candy & chocolate mfg. enterprises above
designated size across China
Heilongjiang
Jilin
<4
Inner Mongolia
<4 Liaoning
Xinjian 14
Hebei Beijing
11
12 Tianjin
Shanxi 12
Ningxia Shandong
5 <4
Qinghai 37
Gansu Henan Jiangsu
Shaanxi 22 Anhui 24
Tibet Shanghai
Hubei 16 31
Sichuan 17 Zhejiang
15 8 18
Chongqing Jiangxi
Hunan
8 Fujian
Guizhou 19
<4 43
1-5 1
6-9 Yunnan Guangdong 6
<4 Guangxi
107
10-39 7 10
40+ 40
Hainan
4
Guangdong, Fujian and Shandong are the major production bases for candy &
chocolate in China. From Jan. to Nov. 2010, enterprises engaged in candy &
chocolate production above designated size in the above three areas added up
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Figure 18 Changes in the percentage of numbers of foreign candy & chocolate mfg.
enterprises across China and the comparison of foreign enterprises and enterprises of
other ownership
2008 2009 2010
Percentage of foreign enterprises Changes395
in the percentage of
全国 336 437
in term s of the num ber of num bers of foreign-funded
oreign-funded 103 107 104
enterprises in 2010 enterprises
e of ownership 333
Private 161 19% 214 18% 254rivate
17%
oreign-funded 103 2% 107 1% 1% nded
104
Joint-equity 23.80% 7 227% 24% 5
Others 65 31% 72 74
Private 48% 54% 58%
oreign-funded 76.20% 31% 27% 24%
Joint-equity 2% 1%54% 58%1%
48%
Others 19% 18% 17%
2008 2009 2010
Private Foreign-funded
Foreign-funded Others type of ow nership Joint-equity Others
In 2010, among the 437 candy & chocolate mfg. enterprises above designated
size across China, 104 are foreign enterprises, accounting for about a share of
23.8% of all. In terms of the number of enterprises, there were 3 foreign
enterprises less than that in 2009, while a decline of 3.29% in terms of the
percentage that in 2009.
In terms of the number of enterprises, private enterprises and foreign-funded
enterprises are two major types of ownership in the candy & chocolate mfg.
sector across China. Since 2008, the collective market share of these two
classes has always been above 78%. Over the past three years of 2008-2010, the
number of foreign candy & chocolate mfg. enterprises had showed a
relatively stable trend at a compound annual growth rate of 0.48%, which is
lower than the industry-wide rate of 14.04%. As a result, the percentage of
foreign candy & chocolate mfg. enterprises in terms of total number of
enterprises suffered a decline of 6.86% over the past 3 years.
Table 16 Changes in number ratio of foreign enterprises in the candy & chocolate mfg.
sector in China and comparison with enterprises of other ownership types (Unit: Firm)
By ownership 2010 2009 2008
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