Recently, Baijiu enterprise has received a lot of attention for its annual salary.
Baijiu industry talent war
On New Year’s Eve, Zhu Wei, the helm of guizhouchun, Zhijiang liquor and Guizhou Qingjiu, issued a talent recruitment order in we media, mainly recruiting 50 marketing cadres, including provincial, regional and branch levels, involving markets all over the country to meet the expanding business needs; On February 1, Zhu Wei recruited the general manager of sales for guizhouchun and offered a “sky high” annual salary of 5 million yuan, which also exceeded the salary level of the general managers of many listed liquor companies.
Some insiders pointed out that Zhu Wei chose to release this recruitment information at the Spring Festival node, indicating that the enterprises under his helm will usher in business expansion in the new year and need to take precautions at the team building level.
As early as January, Guotai, Sichuan Swellfun Co.Ltd(600779) , anjiu, Xiantan and other enterprises have released recruitment information. The recruitment positions are basically sales managers with marketing experience, covering provincial cities and regions, as well as some secretarial and information technology positions, with an annual salary of up to 500000.
On February 7, the first day of the Spring Festival, Luzhou Laojiao Co.Ltd(000568) vigorously recruited reserve marketing cadres, adding fire to this year’s talent war. According to the recruitment information, the recruitment areas include Suzhou, Nanjing, Ningbo, Hefei, Wuhan, Beijing, Jinan, Chongqing, Xi’an, Guangzhou, Shenzhen, Chengdu and other key cities. The age requirements are 25-35 years old. After successful application, after six months of training, you can upgrade from trainees to city managers and then to area / theater managers, with an annual salary of up to one million.
In fact, besides real gold and silver, Baijiu and wine enterprises have already launched a more long-term investment in talent training. In 2017, Baijiu industry focused on the long-term strategic deployment of industrial development, organized the seminar on “training of young professionals in Chinese Baijiu”, and effectively promoted the cultivation of highly skilled talents.
Insiders said that in recent years, “talent strategy” has become an important development strategy of wine enterprises, and enterprises are paying more and more attention to talent training. The emphasis on talents must not be limited to the technical level, but also occupy its due weight at the sales level. In today’s increasingly fierce market competition, “talent” has become a key factor affecting success or failure.
Nowadays, Baijiu enterprises are pouring into more and more young people. On the one hand, with the transformation of the digitalization and standardization of the industry, the demand for high-quality professionals is also increasing. On the other hand, it is necessary for young people to develop the market of young people and promote the younger generation of Baijiu enterprises in all directions.
Baijiu expansion continues to
Apart from introducing talents, the expansion of Baijiu is never stopped.
On January 27, Sichuan Swellfun Co.Ltd(600779) said on the investor interaction platform that the company launched the Qionglai base project in 2018 with a total investment of 2.5 billion yuan and is expected to be put into operation in 2023. Qionglai base belongs to the company’s production and storage base. After the completion of the project, it will form an annual production capacity of 20000 kiloliters of raw wine and create more than 500 jobs.
On the same day, the two phase of Maoxiang Baijiu liquor production in Guizhou GUI Jiu group was completed and put into operation in early November 2021. The total investment of the project is 420 million yuan, covering an area of 100 mu and a total construction area of 4536 square meters. After being fully put into operation, the annual production capacity is expected to exceed 6800 tons.
On January 28, Wuliangye Yibin Co.Ltd(000858) announced that according to the company’s “14th five year plan” strategic development plan, the company will add raw wine production capacity. In order to meet the demand for production capacity growth, the company will expand and transform the koji making workshop, mainly including koji making workshop and relevant supporting facilities, which will be constructed in two phases. The total investment of the project is estimated to be 2.75 billion yuan.
It is worth noting that at the end of last year, Wuliangye Yibin Co.Ltd(000858) just announced the workshop transformation plan, with a total investment of about 84.526 million yuan.
On December 27, 2021, Wuliangye Yibin Co.Ltd(000858) announced that it had agreed to carry out capacity expansion and technical transformation of 523 workshop, with a planned land area of 33 mu. The main construction contents are new pits and relevant supporting facilities. The total investment of the project is estimated to be 84.526 million yuan (the investment amount is subject to the project bidding and final settlement).
On June 18, 2021, Wuliangye Yibin Co.Ltd(000858) 2020 general meeting of shareholders mentioned capacity construction, including:
1) increase high-quality production capacity: add 120000 tons of raw wine, with a total production capacity of 250000 tons, and continue to maintain China’s largest solid-state fermentation pure grain wine production base;
2) increase the storage capacity of base liquor: break through 1 million tons during the 14th Five Year Plan period, and continue to maintain the position of the world’s leading base liquor storage base;
3) improve the rate of famous wine: due to process reasons (grading optimization process “cutting the head and eliminating the tail”), at present, only the best part of Luzhou flavor wine is selected, and the rate of famous wine is only about 20%. Therefore, the production capacity of Wuliangye Yibin Co.Ltd(000858) is limited and scarce. (if the rate of famous liquor is increased by 1 percentage point, Wuliangye Yibin Co.Ltd(000858) can increase the supply of 1000 tons of high-quality liquor every year; if it is increased by 10 percentage points, Wuliangye Yibin Co.Ltd(000858) can increase the sales revenue of 230 billion yuan).
According to the previously disclosed data of the third quarterly report, Wuliangye Yibin Co.Ltd(000858) the revenue in the first three quarters of last year was 37.102 billion yuan, an increase of 26.84% year-on-year (compared with the same period in 2020); The net profit attributable to shareholders of listed companies was 12.544 billion yuan, a year-on-year increase of 32.11%; The basic earnings per share is 3.23 yuan.
On January 26, Kweichow Moutai Co.Ltd(600519) announced that the company would invest 4.11 billion yuan to implement the phase I construction project of Maotai flavored wine Xishui tongminba in the 14th five year plan, and the required funds would be raised by the company itself. The construction site of the project is located in Tongmin Town, Xishui County, Guizhou Province. After the completion of the project, a series of liquor can be formed, with a liquor production capacity of about 12000 tons, a koji production capacity of about 29400 tons and a liquor storage capacity of about 36000 tons. The construction period is 24 months. Back in September 2018, Kweichow Moutai Co.Ltd(600519) announced that according to the development strategy of the listed company, it was decided to invest in the construction of 30000 ton Maotai flavor series wine technical transformation project and its supporting facilities, and the total investment of the project is estimated to be no more than 8.384 billion yuan.
According to the latest announcement of Maotai, in 2021, Kweichow Moutai Co.Ltd(600519) produced about 56500 tons of Maotai base liquor and about 28200 tons of series base liquor.
At the end of last year, Luzhou Laojiao Co.Ltd(000568) announced that after the decision of the 11th meeting of the 10th board of directors of the company, it was agreed that the wholly-owned subsidiary Luzhou Laojiao Co.Ltd(000568) Brewing Co., Ltd. would participate in the bidding for the transfer of Luzhou natural resources and Planning Bureau at the public auction of Luzhou public resources trading center with its own capital of no more than 570 million yuan, The land use right in Luzhou Baijiu Industrial Park in Sichuan is about 950 mu, and the price per mu is about 600 thousand yuan, which is used for production and construction projects.
It is worth noting that recently, the State Council issued the opinions on supporting Guizhou to break a new path in the western development in the new era (hereinafter referred to as the opinions). The opinion points out that the advantage of Chishui and its main producing areas should be played in the production of Maotai flavor liquor, and the construction of Baijiu Baijiu liquor production base should be built. We will implement the equity and dividend incentive policies for state-owned science and technology enterprises. We will steadily push forward the reform of the marketing system of Baijiu enterprises. Continuously enhance the influence of China international big data industry expo, China (Guizhou) International Wine Expo, China ASEAN Education Exchange Week and other exhibition activities.
will the large-scale expansion of liquor enterprises lead to overcapacity?
On the data, the National Bureau of statistics data showed that in November 2021, the output of Chinese Baijiu (65 fold, commodity volume) was 71.5 000 liters, an increase of 0.3% over the same period last year. In 2021 1-11, the cumulative output of Chinese Baijiu (65 fold, commodity volume) was 632.4 million liters, a cumulative increase of 5.4%. In the 2015-2020 year, the output of Chinese Baijiu (65 degrees, commodity volume) reached the highest in 2016, and then decreased year by year.
The industry also pointed out that in the next 3-5 years, when most of the sauce and wine production capacity is transformed into products for listing, overcapacity can really be highlighted.
In addition, senior experts said that there would be no surplus of sauce wine in the core production areas, and the production capacity of sauce wine would reach 1 million tons around 2030, which is probably not surplus. However, judging from the development trend of the whole category of sauce wine, there is a great risk of overcapacity of sauce wine after 2030.
