How can Fengxian in Dongfang Meigu become the capital of cosmetics industry

The factories of major daily chemical enterprises appear on a large scale. In the laboratories and factories of these enterprises, the production lines are very busy. Even during the Spring Festival holiday, the brand live broadcasting rooms of some daily chemical enterprises are still in full swing.

This is Fengxian, Shanghai. As one of the five new towns, Fengxian new town has been listed in the Shanghai urban master plan (2017-2035). Fengxian is re entering people’s sight with a new attitude. Dongfang Meigu, which gathers a number of representative cosmetics enterprises from China and abroad, such as Shiseido, Nu Skin, Melaleuca, cosmetic, yingtefeler, doterry essential oil, Galan group, Shangmei group and Mary Daijia, is the key industry built by Fengxian.

three industries of Oriental beauty Valley

“Oriental beauty Valley” is an industrial brand focused on building since 2015, mainly focusing on the beauty and health industry. Through the concept of “cross-border and even boundless”, integrate the cross-border industries such as headquarters economy, cultural creativity, tourism and leisure, e-commerce, sports, financial services, fashion industry and luxury goods to form a “beautiful and healthy industry alliance” with beautiful and healthy industry as the core and symbiosis and win-win of various industries, so as to form a “beautiful and healthy industry alliance” covering the whole region, integrating all functions and supporting the whole industry “Urban industrial ecosystem” with full factor service.

Dongfang Meigu Enterprise Group Co., Ltd. told the first financial reporter that as the “capital of China’s cosmetics industry”, after nearly seven years of development, Dongfang Meigu’s brand value has exceeded 28.7 billion yuan. At present, it focuses on the development of three major industries – cosmetics industry, biomedicine industry and food industry. In terms of cosmetics industry, Shiseido, Nu Skin, Melaleuca, cosmetici, yingtefeler, duoteri essential oil, Galan group, Shangmei group, Mary Daijia and other cosmetics enterprises at home and abroad have gathered in the region. The scale of cosmetics is nearly 70 billion yuan, and the industrial output value of Enterprises above designated size is nearly 40 billion yuan; There are 82 licensed production enterprises, accounting for 35% of Shanghai, and 21 enterprises above Designated Size, accounting for 31% of Shanghai. One of the three masks in China’s market is from the eastern US valley. The industry scale continues to grow and is moving towards the “world cosmetics capital”.

In terms of biomedical industry, as the core bearing area of Shanghai’s great health industry, the region has gathered a number of leading enterprises in the biomedical industry, such as shangsheng Institute, Laishi blood, Yaoming biology, Pasteur Institute of Chinese Academy of Sciences, Hehuang pharmaceutical, Shanghai Pharmaceuticals Holding Co.Ltd(601607) , Kaibao pharmaceutical, Shanghai Rightongene Biotechnology Co.Ltd(688217) , Yizhong biology, etc. there are more than 180 biomedical enterprises in the region, and 39 enterprises with an output value of more than 100 million yuan, There are five enterprises with more than 1 billion yuan, covering biological products, traditional Chinese medicine, medical devices, in vitro diagnosis, API and many other fields. In March 2020, Dongfang Meigu was identified as one of the five “characteristic parks of biomedical industry” in Shanghai by Shanghai municipal government. In terms of high-end food industry, Guangming, white rabbit, Guansheng garden, senfeng garden, Shanghai Milkground Food Tech Co.Ltd(600882) and other well-known enterprises have also gathered in the region, and the food industry continues to grow. In addition, pet medical service platform – xinruipeng group, zebrafish Biotechnology R & D and application organization – Shanghai huantezhi fish superior inspection and other enterprises have settled in Dongfang Meigu, and the connotation and extension of Dongfang Meigu’s beautiful health industry have been continuously expanded.

“1 + 3 + X” mode

“We see the importance of scientific research and supply chain construction in the daily chemical industry. Operators need to master technology and strict production to control product quality. We have our own scientific laboratory and Science Park factory, and our project in Fengxian is a very important backing.” Liu Ming, vice president of Finance and economics group, told reporters.

Shangmei Group originated in 2002. It has many well-known brands, such as Hanshu, Yiye, red elephant and so on. Shangmei group carries out multi brand layout, multi-channel sales and all media marketing. Its main business includes the production and sales of skin care, mother and baby, washing and care and other categories. It has built two scientific research centers and two supply chains in China and Japan.

In the laboratory of Shangmei group, the first financial reporter saw that it subdivided the analysis laboratory, pilot laboratory and new product incubation center according to the business segment. The formula will be formulated by the central laboratory, the formula stability test will be carried out by the analysis laboratory, and the raw material laboratory is responsible for the selection of raw materials. The first and second phases of Shangmei science and technology park cover an area of 150 mu, with a daily output of 1.5 million bottles. It has production and storage equipment and management system to open up production, storage and logistics.

It is reported that Nu Skin, Melaleuca, cosmesch, yingtefeler, doterry essential oil and Galan group have also settled their factories and other related businesses in Fengxian, Shanghai. After nearly seven years of development, there have been 723 industrial entity enterprises and 4000 beautiful health brands rooted here. The number of Oriental beauty Valley cosmetics enterprises accounts for more than 1 / 3 of Shanghai, forming a large-scale beautiful health industry cluster in China.

Why do many daily chemical enterprises choose to settle in Dongfang Meigu in Fengxian?

In the interview, the first financial reporter learned that the development of an industry needs a complete promotion system. Fengxian District government proposed the top-level design of “1 + 3 + X” to build Oriental beauty valley. “1” refers to Dongfang Meigu Promotion Office; “3” are Oriental Valley Research Institute, Oriental Valley Group and Oriental Valley Industry Promotion Center; “X” refers to x functional projects such as Oriental Meigu service platform and laboratory. By giving full play to the role of “one office, one institute, one department and one center”, an industrial development promotion mechanism led by government departments, market-oriented operation of state-owned companies, joint cooperation of industrial enterprises, integrated development of industry, University and research, and multi-point force of functional platform will be formed.

In addition, there are a series of favorable policy support. In September 2017, several opinions on promoting the development of Shanghai’s beauty and health industry were issued, with Oriental beauty Valley as the core, and put forward a number of policies related to the cosmetics industry; The action plan for high quality development of Shanghai cosmetics industry (2021-2023) was released in 2021, which provides guidance and support for the development of Oriental Meigu cosmetics industry. Fengxian is also the only area enjoying the superposition of port and Zhangjiang policies, which has great policy attraction to cosmetics related enterprises.

With the support of all parties, the performance growth of the enterprise is also obvious. Galan told the first finance and economics reporter that in Fengxian, Galan grew from nothing and from small to large – from the old plant with only 800 square meters in Qianqiao to the current new plant put into operation; The production lines of skin care factories have increased from the original 15 to 37, and the production capacity has increased from 430 million pieces / year to 720 million pieces / year; The production lines of the cosmetics factory are increased from the original 2 to 6, and the production capacity is increased from 9 million pieces / year to 18.6 million pieces / year; The production line of mask factory has increased from 1 to 4, and the production capacity has increased from 82 million pieces per year to 330 million pieces / year. The newly renovated Jialan quality inspection center has two floors and six professional laboratories built in accordance with CNAs National Laboratory Standards.

future plans

Public information shows that in 2021, the tax revenue of Fengxian District was 62.5 billion yuan, a year-on-year increase of 35.1%; The commodity sales of Dongfang Meigu reached 35 billion yuan, a year-on-year increase of 9.1%; The total industrial output value of strategic emerging industries was 81.84 billion yuan, a comparable increase of 15.6%.

In 2021, the core area of Oriental beauty Valley achieved a total industrial output value of 8.13 billion yuan, a year-on-year increase of 12%; The above designated output value was 7.56 billion yuan, a year-on-year increase of 10.4%. The total tax revenue was 2.31 billion yuan, a year-on-year increase of 6.4%.

As one of the “five new towns” that Shanghai will focus on during the 14th Five Year Plan period, Fengxian new town will further improve its energy level and build a highland of characteristic industries, and the brand of “Oriental beauty Valley” will be further launched. Fengxian new town adheres to the investment attraction concept of “project is king”, pays attention to strengthening the chain, extending the chain and supplementing the chain, and focuses on strengthening the industrial ecosystem of Oriental Meigu; Implement the gold rush project to promote the new track of science and technology enterprises and the listing of large-scale and high-quality enterprises of small and medium-sized enterprises; With the advantages of 4000 brands of Dongfang Meigu, we can buy and sell all over the world, drive consumption by terminals, and build a cosmetics consumption city demonstration area. At present, Fengxian new town has made every effort to promote the construction of major transportation infrastructure. The construction of S3, g228 and fengpudong bridge has been started. Minpu third bridge, Jinhai highway, Puwei highway, Wangyuan road Forest Avenue and S4 South Bridge exit comprehensive interchange have been completed and opened to traffic. Shanghai’s first BRT Fengpu express and Nantuan express have been put into operation, creating a more convenient transportation environment for the eastern beauty valley.

Dongfang Meigu Enterprise Group Co., Ltd. said that in the future, it will seize the strategic development opportunities such as new town construction and digital river and sea, formulate a series of development plans, vigorously develop new formats and new models such as online new economy, build a number of new scenes of digital virtual reality, and expand and strengthen the “digital river and sea” industrial cluster, Build Shanghai’s first digital international industrial urban area with full penetration of urban power, and realize the digital promotion and unlimited development of limited resources, networking and unlimited development of unlimited resources. We will build a beautiful and healthy whole industry chain platform and accelerate the building of high-quality industrial clusters. Introduce and cultivate leading enterprises, improve the industrial chain, “Oriental beauty Valley” is beautiful and healthy, and form a 100 billion industrial level. Guide Meigu enterprises to accelerate technological innovation, business type innovation, management innovation, business model innovation and organizational mode innovation. Focus on the needs of enterprises, increase the investment in public service-oriented functional platforms, and focus on the construction of public technology platforms, industrial incubation platforms, talent exchange platforms, high-standard GMP workshops and other functional platforms. Introduce well-known scientific research institutes and hospitals, actively promote the strategic layout of affiliated hospitals of scientific research institutes in Fengxian, and realize the coordinated development of industry, University, research and medicine.

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