Mar 24, 2023|
JD.com Empowers Farmer-Entrepreneur to Achieve RMB 100 Million Yuan in Annual Sales of Tan Mutton
by Vivian Yang
The recent growth of the sheep industry in Ningxia has paved the way for an increasing number of Gen-Zers to return to their hometowns and become actively involved in the integration of traditional sheep farming practices with emerging sales channels. Leveraging e-commerce and logistics infrastructure and technological resources, the production of Tan mutton has become more standardized with strict quality control measures to be offered to the market, including on JD’s online stores.
The Ningxia Hui Autonomous Region in China is home to a highly regarded breed of sheep, commonly referred to the Benchland Sheep, also known as the Tan Sheep. Known as “Blue Blood among all sheep,” these remarkable creatures are raised on a diet of Yellow River water and saline-alkaline grassland, resulting in meat that is exceptionally tender and delicious, with a notably low fat content and a subtle aroma.
To date, JD.com has lent its support to more than 30 Tan mutton merchants on its online supermarket platform, offering comprehensive services ranging from marketing and logistics to supply chain technologies and beyond. As a result of this support, total annual sales of Tan mutton surpassed RMB 200 million yuan in 2022, with an impressive two-year compound growth rate of nearly 30 percent.
An increasing number of young villagers have discovered that involvement in the Tan sheep industry offers greater financial rewards than city-based employment, providing tangible proof of JD’s rural revitalization initiative – – “March to Rich Plan.”
In addition to its support of the Tan sheep industry, JD.com has leveraged its advanced digitally intelligent supply chain to bolster over 2,000 industrial belts and hundreds of agricultural production zones across the country, enabling modernization of production methods and brand-building efforts. The ultimate aim of this endeavor is to cultivate a virtuous cycle of high-quality products, enhanced consumer demand, and a sustainable increase in farmers’ incomes.
The succulent mutton hailing from the region nestled in the northwest of China and surrounded by deserts on three sides was handpicked as a staple ingredient for China’s state banquets hosted during the G20, BRICS, and Shanghai Cooperation Organization summits. However, the delicacies produced in this region have historically been challenging to access for people residing in other parts of the country.
A decade ago, local farmers found themselves restricted to selling their sheep solely within their immediate vicinity resulting in inconsistent and often fluctuating income due to the fluctuating pricing of lamb and varying purchase rates from year to year.
Over the course of the past five years, e-commerce has emerged as a powerful tool for connecting farmers with enterprises for collaborative efforts on sheep breeding, meat processing, transportation, and more. As a result of this surge in connectivity, Tan sheep has experienced a surge in popularity among consumers throughout China. JD’s support to Xigouyan village is a case in this point.
“I have a stock of 10,000 sheep this year, and the sales contract was signed a long time ago,” said a farmer surnamed Ma from this village.
“Nowadays, I no longer worry about where or how to sell my sheep. Instead, I can focus solely on raising high-quality sheep and earning a comfortable profit. In good years, I can earn 1 million yuan.” he added.
Ren Jie, the founder of the mutton brand “Tan Sheep Fresh”, is one of the buyers of Ma and his fellow villagers’ sheep. Ren is among the pioneering merchants who set up flagship stores on JD.com in the early days to directly sell Tan mutton to consumers.
After graduating from college, Ren made the decision to return to his hometown in Ningxia, where he established an e-commerce business in 2014 with the intention of introducing the region’s unique agricultural specialties to consumers across the nation. To his amazement, the Tan mutton offering in his online store enjoyed unprecedented success, netting him over 800,000 yuan in just six months stint.
Ren established his brand in 2018 and his business took off on JD.com, exceeding annual sales of 100 million yuan and boasting an impressive annual growth rate of 30 percent over the past three years. Previously, the peak sales season for Tan mutton was confined to the winter season. However, with the assistance of JD Logistics’ cold chain delivery system, Ren’s business has experienced a surge in year-round sales, making his mutton accessible to consumers throughout the year.
Ren’s support for the local community earned him the affectionate nickname of “Mr. Tan Sheep” among the locals, who are grateful for his support.
Read more about JD’s “March to Rich” initiative that has helped hairy crabs, premier rice and more agricultural products to be marketable.
Nov 7, 2024|
CIIE 2024: JD.com to Expand Imports of Specialty Brands, Strengthen Healthcare Partnerships, and Enhance Logistics
At the 7th China International Import Expo (CIIE) on November 5, JD Super, the supermarket division of JD.com, announced a major initiative to broaden its selection of imported specialty. Over the next three years, JD Super plans to introduce over 1,000 new international brands to meet the increasing demand for high-quality, diverse imported goods.
Meeting the Growing Demand for Quality Imports
According to JD Worldwide’s “White Paper on 2024 China Cross-Border Consumption Trends,” more than 80% of Chinese consumers are interested in imported products, with many prioritizing authenticity, quality, and fast delivery. In response, JD has significantly expanded its range of international offerings. During the ongoing Singles’ Day Grand Promotion, sales of cross-border products have surged, with more than 600 brands experiencing a sales increase of over 100% compared to last year.
Strengthening High-Quality Food Partnerships
Demonstrating JD.com’s commitment to sourcing high-quality products, JD Super signed a new procurement agreement at CIIE with Huadong Foods and Teys, a major Australian beef brand under Cargill. Under this agreement, JD Super and Huadong Foods will procure $50 million of Teys beef throughout 2025. This partnership underscores JD’s strategy of collaborating with trusted suppliers to provide high-quality, affordable beef to Chinese consumers.
Delivering Authentic Global Goods Efficiently
JD Logistics has built a robust logistics network that spans bonded, direct mail, and overseas warehouses, facilitating fast deliveries of imported items across categories such as electronics, fashion, beauty, food, and baby products. In many major cities, delivery times have been reduced to under 48 hours.
For instance, JD Super’s partnership with Raub of Malaysia enables the import of Musang King durians, which are harvested at peak ripeness and air-shipped with cold chain logistics for delivery within 24 hours. Additionally, JD.com also secured an early supply of Chilean cherries, available since October, which can be delivered in as little as 30 minutes in many areas through JD NOW, its on-demand retail service.
JD.com’s “JD National Pavilions” program, which features over 150 country-themed flagship stores from more than 70 countries and regions, continues to be a cornerstone of its import strategy. Supported by embassies and reputable organizations, this initiative offers Chinese consumers access to premium products and cultural experiences from around the world. In April, JD launched the JD National Pavilion of Mali, introducing popular items like shea butter and garnering over 40,000 followers.
Expanding Healthcare and Logistics Partnerships
JD Health is also making strides at CIIE by strengthening partnerships with leading global healthcare companies, including Merck, Bayer, and Roche. As “China’s premier online health access point,” JD Health is committed to integrating digital and physical healthcare resources to improve access and convenience for patients.
Key collaborations include initiatives with Haleon to promote brain health and anti-aging for the “silver economy,” with MSD China on a digital diabetes management model, and with Teva Pharmaceuticals to provide patient education for conditions such as tardive dyskinesia (TD) and Huntington’s disease (HD).
On the logistics front, JD Logistics announced plans to double its overseas warehouse space by 2025 and expand its network of bonded and direct mail warehouses. JD Express now serves over 60 countries, enhancing cross-border delivery efficiency and supporting both brands and consumers.
Through these efforts, JD.com reaffirms its commitment to sourcing and delivering authentic, high-quality imported products to Chinese consumers, supported by an advanced supply chain that ensures a superior shopping experience.
(vivian.yang@jd.com)
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