Overseas food operators find new appetite for China

As the coronavirus outbreak ebbs in China, overseas food companies and operators are resuming
investment in the nation, eyeing annual double-digit growth in the food and beverage market in
the coming years.
One such company is Turkey-based TAB Food Investments (TFI). It plans to expand fast food
chain restaurant Burger King, which TFI operates as an exclusive franchisee, and introduce a new
brand, the chicken restaurant Popeyes, in mid-May.
TFI has ambitious plans for both brands. Popeyes is looking to open 1,500 stores in the Chinese
mainland in the next 10 years, while around 1,000 new Burger King stores will be launched in
China, CEO and vice chairman of TFI Korhan Kurdoğlu told the Global Times on Wednesday.
TFI is adjusting its plans in China to reflect the impact of the coronavirus, but in general, the goal
is to grow market share, he said.
Other overseas food companies are also moving to invest more in China as the dining sector
rebounds. On Tuesday, Canada-based coffee-and-doughnut chain Tim Hortons said on its social
media account that it received an investment from Tencent, the Chinese social networking and
gaming giant, without disclosing the amount.
Tim Hortons also laid out an ambitious plan, saying that it will expand its outlets from the current
50 to 1,500 on Chinese market.
Some Russian food companies are also tapping the market as the Chinese government eases
restrictions on meat imports. Miratorg, the largest producer of pork and beef in Russia, delivered
200 tons of Russian beef to China, the first time that a Russian company has exported beef to
China in about seven years. All these companies believe that the potential for China's food and
beverage market is huge.
Kurdoğlu expects 15 percent annual growth in China's food and beverage market in the next few
years, which offers good opportunities for food industry players.
Zhu Danpeng, a food industry analyst, said that "there will be no problems" with the growth of
China's food market, given the country's large and still rising population, but there will be some
changes to Chinese people's dining habits after the coronavirus outbreak, as they might care more
about food safety instead of focusing on taste.
"China will undertake the responsibility of a great power, and I believe the government will
increase policy support for overseas investment," Zhu said.
Kurdoğlu said that the company has always been "comfortable" developing business in China, and
has brought China's business achievements like digital payments back to Turkey.