In recent years, a small county in eastern China has made remarkable strides in developing a thriving bakery industry through a cluster-based approach. After “Zixi Bread” was approved as a collective brand in 2018, a bakery technology development company was established to advance brand development and operations.
Zixi County, with a population of 100,000 in Fuzhou, Jiangxi province, has achieved a significant feat. Over the past 30 years, it has nurtured more than 40,000 bakers and opened 16,000 bakeries nationwide. The county’s bakery industry now has an annual output nearing 30 billion yuan ($4.14 billion) and boasts well-known brands like Bao’s Pastry and Zankee.
Despite being surrounded by mountainous terrain, which covers 80% of its land, Zixi County has managed to build a robust bakery industry. The initial development relied heavily on the expertise of local skilled individuals, such as Zhang Xiewang.
Zhang, who attended skill training sessions while in the military, retired with his comrade Hong Tao in 1987. They pooled 10,000 yuan to open their first bakery in Yingtan, Jiangxi province. After overcoming initial challenges, their business thrived, prompting them to return to Zixi and open more bakeries with their earnings.
Their success inspired many friends and relatives to seek their guidance. Zhang and Hong welcomed them, sharing their knowledge and skills freely. Within a few years, they had trained over 100 apprentices, including the parents of Bao Caisheng, the founder of Bao’s Pastry.
Zixi’s bakers initially operated family-run bakeries, which were easier to establish. However, they faced challenges in securing funding, acquiring skills, and generating profits. Xu Quanlong, who expanded his bakery business to Hangzhou and Kaifeng, returned to Zixi to establish a bakery training center at the county’s invitation. He has since trained over 10,000 bakers.
To boost the bakery industry, Zixi County has implemented strategic measures. These include inviting successful entrepreneurs to set up training centers, establishing industry standards, and encouraging financial institutions to provide loans to small and micro businesses.
The county views the bakery industry as a key economic driver and has created a dedicated bakery industry development office to support growth. “In recent years, branded bakery products have become mainstream. To embrace this trend, we need to focus our efforts,” said Zeng Changhua, head of the development office.
Zixi holds regular bakery industry forums, festivals, and events to promote new products and facilitate industry exchanges. It has also established a bakery industrial park, which includes a meat floss processing plant and a premix flour factory, serving over 300 bakeries within a 300-kilometer radius. Other supporting enterprises, such as chocolate and frozen goods producers, have joined the park.
“The cluster-based approach allows efficient supply and better cost and quality control,” Zeng said. “With improved product quality, we are confident in our brand’s development.”
The bakery industrial park features standardized factory buildings where workers perform designated roles, from shaping dough to slicing bread. Real-time footage of various store locations is displayed on a large screen in an office, where data on ingredients, production, logistics, and sales are monitored.
“We keep a clear record of bread circulation from the production line,” said Qian Haihua, general manager of the bakery technology development company. By analyzing sales data, the company accurately gauges market trends to guide production and product design.
“The bakery industry sees rapid product renewal. We phase out three to five slow-moving products every month,” Qian told People’s Daily.
Leveraging data support, Zixi’s bakery industry integrates online platforms, retail stores, customer services, and modern logistics to improve the supply chain and services through intelligent upgrades.
“The bakery business in Zixi has grown from nothing to a major industry, initially driven by local entrepreneurs and later expanded through public services and a supportive environment,” said Zeng. “Now, with the bakery industry as a backbone, we aim to explore synergies with organic agriculture, cultural tourism, and other related industries.”