Yeast industry, as the mature and concentrated industry in the world, has the annual output of about 3.5 million tons, among which instant active dry yeast was about 1.2 million tons. There are around 300 yeast manufacturers across the world and, the top five share 70% of the market.

In 2006, China's yeast output amounted to 85 thousand tons, among which 26.7 thousand tons were exported, while imported 900 tons; the domestic consumption was about 60 thousand tons with a market scale of some RMB 1.2 billion.

China has about 18 yeast manufacturers with an annual production capacity of about 100 thousand tons; and the production capacity of 12 factories owned by Angel Yeast, Mauri and LESIFU accounts for 82% of the total, presenting a high industry concentration degree. In recent years, the leading enterprises in yeast industry successively expanded the production capacity, so China's yeast output will exceed the market demand in a short period, and the industrial competition will become more furious to some extent.

In 2006, the yeast production capacity and sales volume of Angel Yeast respectively reached 52 thousand and 37 thousand tons respectively, sharing over 40% of China's domestic market.

In recent years, the company continuously expanded the production capacity in other regions: through acquisition or construction, manufacturing bases were successively set up in Yili of Xinjiang, Chifeng of Inner Mongolia, Suixian County of Henan, Binzhou of Shandong, Binzhou of Shandong and Chongzuo of Guangxi (under construction). By 2007, the company's yeast production capacity will reach some 52 thousand tons, of which 27 thousand tons were from regions beyond Yichang.

Statistics of China's Yeast Output, 2001-2006

Statistics of China's Yeast Exports, 2001-Feb 2007

2 Overall analysis of China's yeast industry

3 Competitive advantages
3.1 Technology, marketing and scale
3.2 Trans-regional capacity expansion
3.3 Operation status of subsidiaries by region

4 Development trend of the company's business