△Panorama of factory area of Heilongjiang Hongzhan Biotechnology Co., Ltd.

△ Alcohol transportation trucks are fully loaded and ready to go.

Accompanied by blaring of horns, specialized vehicles loaded with 33 tons of fuel ethanol drove out of the factory area of Heilongjiang Hongzhan Biotechnology Co., Ltd. dispatched to various parts of the country.

"Around 25 vehicles were dispatched every day. Last year, our total output value was RMB 3.32 billion. In the first quarter of this year, the output value increased by more than 10% year-on-year." said Zhang Daojin, Vice General Manager of Heilongjiang Hongzhan.

In October 2019, Heilongjiang Hongzhan’s corn fuel ethanol project with annual output of 300,000 tons was completed and put into operation, effectively promoting the structural adjustment of local agricultural cultivation and the deep integration of the primary, secondary and tertiary industries. Since the commissioning of Heilongjiang Hongzhan, more than 1.1 million tons of corn were processed on average every year. A total of 3.3 million tons of corn were processed and 1.7 million tons of local corn were purchased from 2020 to 2022, which increased the income of the farmers by RMB 40 per ton, and increased the income of the farmers by RMB 68 million over the past three years. Due to the high demand for corn, the scope of purchasing corn was expanded to seven counties and cities, such as Huannan County, Huachuan County, Tangyuan County, Boli County, Yilan County, Qitaihe City, Hegang City, which realized the deep processing of the grain in situ, enhanced the additional value of the corn, and led to the high-quality development of the grain trade enterprises. The implementation of the project not only resolves the problem of the sale of nearly a million tons of corn in Huannan County, but also creates a tax revenue of RMB 140 million a year.

Heilongjiang Hongzhan is both "bride" and "matchmaker". In 1 month after Heilongjiang Hongzhan’s corn fuel ethanol project with annual output of 300,000 tons was put into production, LongYuan Biotech came to Heilongjiang Hongzhan from Shandong, with its pharmaceutical intermediates project with annual output of 5,000 tons. RMB 220 million was invested in the project, mainly used for constructing 8 pharmaceutical intermediates production lines and ancillary facilities. After the project is completely put into production, 10,000 tons of ethanol, 5,000 tons of furfural will be used every year, to achieve an output value of RMB 1 billion, profit of RMB 260 million, taxes of RMB 130 million, the placement of 200 jobs, indirectly providing job opportunity for more than 1,000 people. This year, Huanan LongYuan Biotech Co., Ltd. invested RMB 1 billion in the construction of the project of diethyl methylphosphonate, which is expected to reach annual output value of RMB 3.2 billion after it is put into operation.

By coincidence, Dinuo Pharmaceutical also come with its intermediates project, in the name of Heilongjiang Hongzhan. Dinuo Pharmaceutical’s intermediates project is planned to be invested by a total of RMB 1.16. Currently, RMB 1.07 billion are invested, 8 production workshops are fully completed, and 4 production workshops are put into trial production.

"At present, we have completed the trial production of cardiovascular series of products and contrast agent series of products. We come here to have a "big tree" to rely on. In the end of the year, it is expected to achieve annual output value of billions of yuan," said Chen Liming, Director of the General Manager's Office of Heilongjiang Dinuo Pharmaceutical Co., Ltd.

Dinuo Pharmaceutical’s intermediates project will be fully completed in 2026, with 13 production workshops, 16 warehouses, with an annual output of 5,000 tons of pharmaceutical intermediates, such as contrast agent series, cardiovascular series, antiviral series, etc. It is expected that the annual output value can reach more than RMB 1 billion, with an annual profit of RMB 220 million, and an annual tax revenue of RMB 0.8 billion.

With the  steady supply of raw materials of "close neighbors", we can save costs and develop business without constraints. Heilongjiang Longteng’s soybean protein powder project has also become the Heilongjiang Hongzhan's "neighbor". The project is funded by Guangdong United Foods, with a total investment of RMB 0.4 billion. In Phase I of the project, one protein powder production line with an annual output of 15,000 tons will be constructed. In Phase II of the project, one protein powder production line will be newly built, which increased the production capacity to 100 tons per day; 4 cornmeal production lines with an annual output of 12,000 tons will be newly built. At present, Phase I of the project has been put into production, Phase II of the project will be started in July. After the project is fully put into operation, it is expected to achieve an annual production value of RMB 700 million, profit of RMB 140 million, taxes of RMB 0.7 billion, and to provide more than 110 long-term employment opportunities.

So far, a fine chemical industry base with Heilongjiang Hongzhan as the leader has risen in Huanan Economic Development Zone.

"The high degree of correlation and strong matching between the projects, forms a good situation under which various projects are easy to be established and implemented, thus forming an industry chain. This gives our maximum confidence to attract large and strong resources in next step," said Liu Chengqiang, Director of the Project Office of Huanan County.

In the future, Huanan County will continue to carry out the "1 generates N" upgrading action of the projects in park. Taking fuel ethanol project with an annual output of 0.3 million tons of Hongzhan Group as a driving force, and relying on ethanol project, RMB 0.4 billion will be invested to build corn germ oil project with an annual output of 0.3 million tons, RMB 0.2 billion will be invested to expand Phase II of the cogeneration project in Economic Development Zone. We will focus on the extension of the industry chain of ethanol and derivatives, mainly introducing pharmaceuticals, chemicals and printing and dyeing projects, In addition, relying on the “new hope” biological feed project, we will focus on the development of livestock and poultry (such as swine, cattle, sheep) farming and deep processing industries including, and the creation of a whole industry development chain of corn, to promote the high-quality development of the economy of our province by means of the development of bio-economy, hence contributing Huanan’s power to enhancing the development of Heilongjiang.