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Another Coca-Cola bottling plant opens in China's Xinjiang
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A new Coca-Cola bottling plant opened in northwest China's Xinjiang Uygur Autonomous Region Wednesday, a further step to tap the vast Chinese market, just a day after a similar facility opened in eastern Jiangxi Province.

The new plant in the regional capital of Urumqi, or the 38th facility to bottle Coca-Cola products in China, was established as a joint venture between China National Cereals, Oils & Foodstuffs Imp. & Exp. Corp. (COFCO) Coca-Cola Beverage Ltd. and Xinjiang Youhao Group.

COFCO Coca-Cola Beverage Ltd. is a joint venture between COFCO and U.S.-based Coca-Cola Company. The U.S. beverage giant will hold 35 percent of the new bottling plant in Xinjiang.

"This 210 million yuan (30.9 million U.S. dollars) investment in Jiangxi and Xinjiang represents the Coca-Cola system's strong commitment to China and to consumers throughout China including in the less developed areas in central and western China in creating job opportunities and building a better community," said Muhtar Kent, chairman and chief executive officer of the Coca-Cola Company.

"Our business in China grew 19 percent in 2008 and China is now our third largest market. By opening new plants in Jiangxi and Xinjiang, we will be able to increase our geographic presence, enhance our competitive edge in China and support local community development by sponsoring jobs, local procurements, and education," he said.

Covering about 133,000 square meters, the Xinjiang plant is designed to produce of 200,000 tonnes of beverages annually.

"Currently, the company employs more than 400 people and expected to create more than 5,000 job opportunities in the future," said Chen Hongbing, general manager of the new plant, or the COFCO Coca-Cola Beverage (Xinjiang) Ltd..

The annual per capita consumption of Coca-Cola products in Xinjiang is 11 bottles, while the China average is 28 bottles, according to statistics provided by the Coca-Cola Company.

The two new facilities are part of Coca-Cola's recently announced two-billion-U.S.-dollar investment package from the end of 2008 to 2011 in China, which is aimed at bolstering further growth in one of the world's largest and fastest growing beverage markets, the company said.

Earlier on Tuesday, another new bottling plant, the 37th facility to bottle Coca-Cola products in China, opened in the eastern city of Nanchang, capital of Jiangxi Province.

Costing 100 million yuan (14.7 million U.S. dollars), the COFCO Coca-Cola Beverage (Jiangxi) Ltd. is due to create 424 new jobs and an additional 4,000 jobs with local suppliers.

The plant has an annual capacity of almost 500 million bottles, and will serve 44 million people in the province.

(Xinhua News Agency June 24, 2009)

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