Hongyun Group Presents New Product

Source from:  Xinhuanet.com 03/02/2006

Hongyun Group in southwest China's Yunnan Province - the second largest Chinese tobacco manufacturer - presented to the domestic market a new cigarette product of the famous Yunyan brand family, known as Ruyi Yunyan (Desirable Yunnan Tobacco), in what appears to be a first step in the development of competitive cigarette brands following its incorporation two months ago. In November 2005, Qujing Cigarette Factory and Kunming Cigarette Factory - both key cigarette factories based in Yunnan - merged to form Hongyun Group, with an annual cigarette production capacity of 2.4 million cases (120 billion cigarettes), only after Hongta Group. With a history of nearly 50 years, Yunyan is well known as a representative cigarette brand in China, particularly in Yunnan. In 2005, the output and sales volume of Yunyan reached 620,000 cases (31 billion cigarettes). It is a major generator of taxes and profits for the tobacco industry of Yunan. The presentation of Ruyi Yunyan to the market as a first new product of Hongyun Group seems to be a tactic of Hongyun Group to develop future markets. According to top leaders of Hongyun Group, the number of members of the Yunyan brand family will be gradually reduced to some six over the next three to five years. In a future period of time, Hongyun Group will mainly focus its energy on the development of high-grade cigarette products, and strive to develop big competitive cigarette brands each capable of generating over 10 billion yuan (over 1.23 billion U.S. dollars) in taxes and profits annually. Enditem