Thailand's richest individual, Senior Chairman of Charoen Pokphand Group, Dhanin Chearavanont, recently visited Muyuan Foodstuff Co., Ltd. The visit featured Mr. Chearavanont and Muyuan's Chairman, Qin Yinglin. The image was sourced from Muyuan's official social media account.
The journey for Qin Yinglin from a pig farm in Neixiang County, Nanyang City, Henan Province, to a publicly listed company spanned 22 years. An additional 12 years passed from listing on the Shenzhen Stock Exchange to the recent listing on the Hong Kong Stock Exchange. On February 6th, Qin Yinglin, the wealthiest person in Henan, rang the bell at the Hong Kong exchange, marking Muyuan's listing there and completing its 'A+H' share structure.
The listing ceremony was a rare public appearance for Qin Yinglin, his wife Qian Ying, and their son Qin Muyuan, who currently serves as Vice President of Muyuan Group. Yang Xiaoping, Senior Vice Chairman and CEO for China of Charoen Pokphand Group, was also present. Charoen Pokphand Group, the business empire of Thailand's wealthiest family, the Chearavanonts, was the largest cornerstone investor in Muyuan's Hong Kong listing.
Muyuan has grown to become the largest pig farming enterprise in China and globally. Qin Yinglin and Qian Ying have consistently ranked as Henan's richest individuals. On the latest Hurun Rich List, their fortune was estimated at 187 billion yuan, placing them 16th nationally, just ahead of Wang Ning's family, founders of Pop Mart, with 182 billion yuan.
While pig farming is a common income source for many in China, among 20 million farming households, Qin Yinglin stands alone in achieving a hundred-billion-yuan fortune. Many farmers exit the industry during price cycles or see limited profits. Following the Hong Kong listing, Qin Yinglin's new ambition is international market expansion.
With backing from Thailand's richest, Muyuan is targeting opportunities in Southeast Asia. Muyuan priced its H-shares at HK$39 per share, raising a total of HK$10.47 billion. The company stated that 60% of the proceeds are earmarked for exploring overseas opportunities and expanding its business footprint. Thirty percent is allocated for technological innovation across the entire industry chain over the next three years to strengthen competitiveness in breeding, smart farming, nutrition management, and biosecurity. The remaining 10% is for working capital.
At the listing ceremony, Qin Yinglin stated that the Hong Kong listing initiates Muyuan's internationalization process, aiming to strengthen its core business leveraging international platforms. Compared to the significant first-day gains seen recently for other new listings in sectors like consumer goods and semiconductors, Muyuan's stock performance was stable, closing up only 3.90% on its debut. This is linked to the current downtrend in pork prices. Despite the Spring Festival period typically being a peak consumption season, Muyuan's average selling price for commercial hogs in January was 12.57 yuan per kilogram, down 16.92% year-on-year.
However, Muyuan's cornerstone investor lineup was notably strong. The largest subscriber was Charoen Pokphand Foods, investing approximately HK$1.56 billion. This company belongs to the Charoen Pokphand Group of the Chearavanont family. Charoen Pokphand Group has core businesses in agribusiness and food, wholesale and retail, and telecommunications and television, with operations in over 100 countries. It is also one of China's largest feed producers and pig farming and slaughtering enterprises, making it both a partner and competitor to Muyuan. In 2023, Charoen Pokphand attempted an A-share listing for its pig farming business but withdrew the application amid industry losses due to low prices. Its substantial investment in Muyuan suggests that sometimes a competitor can be the most knowledgeable and optimistic about a company's prospects.
The second-largest cornerstone investor was Wilmar International, subscribing approximately HK$546 million. Wilmar is a major global agribusiness group owned by the family of Malaysian tycoon Robert Kuok. Other cornerstone investors included entities linked to state-owned enterprise Sinochem Group, Henan Agricultural Investment Group, Fidelity基金, RBC Global Asset Management,知名私募Gaoyi Asset Management, Ping An Asset Management, Dajia Life Insurance, and an investment vehicle associated with the family of He Xiangjian, founder of Midea Group.
Having secured the top position in domestic pig farming, Muyuan presented international growth opportunities to investors. The company highlighted that chilled fresh pork consumption in China remains low compared to developed countries, indicating significant market potential. Furthermore, rising disposable incomes in Southeast Asian countries like Vietnam, Thailand, and the Philippines are driving gradual growth in per capita pork consumption. Muyuan is already exploring overseas markets, having formed a strategic cooperation with BAF Vietnam Agriculture Company Limited to provide services like piggery design and smart farming. On February 3rd, Muyuan attracted attention with a specialized recruitment drive for Vietnam, offering annual salaries between 300,000 and 500,000 yuan for positions like overseas project manager and planning designer.
Charoen Pokphand Group's role extends beyond being a cornerstone investor, potentially supporting Muyuan's overseas expansion. Interactions between the two companies increased in 2025, culminating in a strategic cooperation agreement signed in August. In November, Dhanin Chearavanont visited Muyuan's R&D center in Zhengzhou. During high-level discussions in October, both parties explored collaboration opportunities in other countries. Charoen Pokphand indicated it had established project foundations and gained policy support in some overseas markets and expressed willingness to collaborate with Muyuan, introducing its advanced multi-story farming technology to build a global industrial layout.
Profit exceeded 15 billion yuan last year. As of the close on February 13th, Muyuan's A-shares stood at 45.35 yuan per share, down over 20% from the peak in September 2025. Its H-shares closed at HK$39.2 per share, flat with the issue price and representing a 23% discount to the A-shares. Despite a generally vibrant Hong Kong capital market, short-term investors showed limited enthusiasm for Muyuan, primarily due to the industry being at the bottom of the 'hog cycle'.
Muyuan's latest 2025 performance forecast indicated an expected net profit between 15.1 billion and 16.1 billion yuan, demonstrating strong profitability albeit down 14.12% to 19.45% year-on-year. Broken down by quarter, net profit in Q3 2025 was 4.797 billion yuan, down 53.62% year-on-year. Q4 net profit was projected between a loss of 373 million yuan and a profit of 627 million yuan. Muyuan pointed out that hog price volatility is a systematic risk for the entire industry, an uncontrollable external factor for all producers. For the full year 2025, Muyuan's average selling price for commercial hogs was approximately 13.5 yuan per kilogram, down about 17.3% year-on-year.
Pig farming, while seemingly low-barrier, experiences intense supply and demand fluctuations due to its fragmented and highly散户-dominated nature. This creates the notorious 'hog cycle,' often described as 'one year of profit, one break-even year, one loss year,' compounded by challenges like disease outbreaks, environmental regulations, land access, and funding.
This scenario is familiar to Qin Yinglin. Over its 33-year history, Muyuan has navigated multiple hog cycles. After listing on the Shenzhen exchange in 2014, the company faced a weak cycle, with net profit plunging 73.6% that year, prompting inquiries from regulators. In 2020, due to factors like African Swine Fever and environmental policies, pork prices soared. Benefiting from prior investments in farming technology that helped prevent ASF, Muyuan capitalized on the high prices, achieving a record net profit of 27.45 billion yuan.
However, as players from sectors like steel trading and real estate entered the market, prices fell rapidly. The industry quickly entered a period of overcapacity. In 2023, Muyuan reported its first annual loss since listing, amounting to 4.263 billion yuan. Around the same time, Charoen Pokphand voluntarily withdrew its IPO application. Wens Foodstuff Group, controlled by Wen Pengcheng, the former richest person in Yunfu, Guangdong, reported losses of 6.39 billion yuan. The family of Lin Yinsun, former richest in Jiangxi, saw their company, Zhengbang Technology, change hands after expanding capacity just as prices collapsed.
Now, a new cycle adjustment is underway. Industry leader New Hope Group mentioned in an investor briefing in November 2025 that hog prices had fallen rapidly since Q3, pushing the entire industry from profit to loss. This was primarily due to a high breeding sow inventory in November 2024, leading to a peak in market supply currently. New Hope noted that prices around 11 yuan per kilogram had caused widespread losses across the industry, including for major players. Companies unable to sustain losses would be forced to sell off assets, accelerating market consolidation. For large-scale enterprises with strong cash flow, this consolidation phase could ultimately be beneficial in the long run.
The second generation, born in the 1990s, steps into the spotlight. Each deep adjustment in the hog cycle has presented an opportunity for Qin Yinglin to lead Muyuan in counter-cyclical expansion. In 2014, Muyuan's commercial hog output was only 1.859 million heads. By 2018, it exceeded 11 million heads, and in 2025, it reached 77.981 million heads, securing its position as the leading pig farming giant nationally and globally.
An early institutional investor in Muyuan noted that during the industry's toughest times, when others struggled, Qin Yinglin expanded capacity against the cycle. This counter-cyclical strategy is not blind expansion. Qin Yinglin has shared that even when funds were tight, he always ensured there was 'money for fuel.' Industry analysts suggest that surviving the cycle bottom requires ample cash flow and financial reserves, coupled with measured expansion to avoid over-aggression.
Another key to Qin Yinglin's success is continuously improving technology to reduce farming costs. As of October 2025, Muyuan's complete cost for hog farming was approximately 11.6 yuan per kilogram. Comparatively, Wens' comprehensive cost was around 12 yuan/kg, and New Hope's was around 12.2 yuan/kg. The institutional investor added that thanks to industry-leading cost control, 'Muyuan can profit when others lose money and earn significantly when others make modest profits.'
In recent investor communications, Muyuan stated that long-term profitability is based on achieving cost leadership for supernormal profits, rather than betting on future price movements. Cost advantage is seen as the foundation for stable and positive long-term operating performance.
During a recent year-end financial program, Qin Yinglin recounted his motivation for entering pig farming: poverty during high school led him to suggest his family raise pigs for income. They started with 20 pigs, but 19 died, resulting in significant losses and feelings of guilt. Determined to succeed, Qin Yinglin declined a guaranteed university placement to attend Henan Agricultural University. He also persuaded a female classmate to study veterinary medicine, planning for one to focus on farming and the other on disease prevention. That classmate became his wife, Qian Ying. In 1992, they resigned from government jobs and returned to their hometown to start a professional pig farming business.
Capitalizing on the previous hog cycle's peak, Qin Yinglin and Qian Ying have been Henan's richest individuals since 2017, surpassing the 100-billion-yuan wealth threshold in 2019. They have also been significant donors, contributing a cumulative 1.2 billion yuan to support Westlake University, co-founded by their fellow Henan native, former Tsinghua University Vice President Shi Yigong.
Now, their son, Qin Muyuan, is increasingly visible. Public information and financial reports show that Qin Muyuan, born in 1995, has held positions including President of Muyuan's Slaughtering Division and President of Muyuan Meat Food, and currently serves as Vice President of Muyuan Group. He directly holds 11.0989 million shares of Muyuan, with a market value exceeding 500 million yuan. Speaking at a rural revitalization forum in late 2025, Qin Muyuan stated that pig farming is a trillion-yuan market with room for increased集约化. Benchmarking against world-class standards, he identified a potential profit improvement of 300 yuan per head.
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