Shoe Giant AOKANG Enters The Vaccine Industry

2008/5/29 16:28:00 8

AOKANG, the largest private shoe making enterprise in the country, entered the army pharmaceutical industry and established Hong Wah biological products company.

Hong Wah is mainly producing rabies vaccine and epidemic cerebrospinal meningitis vaccine. Now it is making production approval, and it plans to start mass production next year, Wang Hailong, AOKANG group propaganda department, said.

Hong Wah's rabies vaccine has an annual output of 10 million people and a total of 20 million people.

Wang Hailong further indicated that AOKANG group regarded biomedicine as the second industry outside the footwear industry, hoping it could become a new profit growth point.

Rabies vaccine is one of the most commonly used vaccines in China, only after influenza vaccination.

Jinyuan securities reported that in 2007, 10 million rabies vaccines were sold in China, with an annual sales volume of 400 million yuan.

With the growing demand for rabies vaccine in recent years, there has been a gap in supply. Taking this opportunity, "we hope to become the largest supplier of rabies vaccine in China."

Wang Hailong also revealed that the products of Hong Wah's bio products are mainly for procurement within the national plan, so that stable orders can be placed.

In 2007, the supply of Chinese epidemic cerebrospinal meningitis vaccine was 40 million, with sales amounting to 100 million yuan.

With the increasing trade friction between Chinese and Western shoemaking enterprises, many small and medium-sized companies in Zhejiang and Guangdong have closed down.

Coupled with rising raw material costs, electricity shortages and the appreciation of the renminbi, many shoemaker manufacturers have had to pform to other industries.