Yunnan Hougu Coffee Company

Hougu Coffee (后谷咖啡) is China’s first local coffee brand and the only coffee company in China to hold the prestigious title of a Chinese Well-Known Trademark for the entire coffee industry chain. Established in 2007, with a registered capital of 329 million yuan, the company currently employs over 2,000 people. Hougu Coffee has become a national leader in intelligent manufacturing in the coffee sector and exports its products to more than 50 countries and regions worldwide, including the United Kingdom, United States, South Korea, and Singapore.

Since 2009, Hougu Coffee has developed a 33,000-ton instant coffee production line, ending Europe’s monopoly on coffee production equipment. The production cost of the entire instant coffee equipment is just one-third of the cost in Europe.

In 2016, Hougu Coffee achieved total assets of 8.546 billion yuan and sales revenue of 5.078 billion yuan. By the end of 2016, the company had cultivated over 270,000 acres of coffee, involving more than 60,000 households and contributing to the livelihoods of over 300,000 people in the coffee production, operation, and sales sectors.

On February 20, 2017, during the global promotion event “Charming Yunnan, Shared by the World”, Wang Yi, the Chinese Foreign Minister, praised Hougu Coffee for its outstanding quality, declaring it to be the best coffee he had ever tasted during his worldwide travels.

Company Information

• Brand Name: Hougu Coffee (后谷咖啡)

• English Name: Hogood Coffee

• Industry: Coffee

• Founded: 2007

• Founder: Xiong Xiangren (熊相人)

• Parent Company: Dehong Hougu Coffee Co., Ltd. (德宏后谷咖啡有限公司)

Founder: Xiong Xiangren

Xiong Xiangren (熊相人) is the current Chairman of Dehong Hougu Coffee Co., Ltd. and the inaugural President of the Asia Coffee Industry Association. With over 30 years of experience in the coffee industry, Xiong has dedicated his career to the research and development of China’s coffee industry.

Milestones

February 2017

During the “Charming Yunnan, Shared by the World” global promotion event, Wang Yi, China’s Foreign Minister, praised Hougu Coffee and stated: “I just had a cup of Hougu Coffee. This coffee, I am not exaggerating, is the best coffee I’ve ever had after traveling the world and trying coffee from all over the globe.”

September 2017

At the BRICS Summit held in Xiamen (厦门), Hougu Coffee was selected as the official coffee served during the event.

Product Introduction

Instant Coffee Raw Materials

• Freeze-dried Powder (冻干粉): Freeze-dried granules are made by using the vacuum freeze-drying principle. The coffee is frozen at low temperatures, and its water content forms fine ice crystals. Under high vacuum conditions, the ice sublimates, leaving behind micro-holes in the coffee granules, similar to a sponge, which allows for excellent solubility.

• Re-polymerized Granules (复聚造粒粉): This method involves a process where centrifugal extraction is used to separate the oils from the coffee extract. The liquid extract is filtered and concentrated, and the oils are separated before being reintroduced to the soluble coffee powder. This method enhances the aroma and flavor, creating what is known as aromatic coffee.

• Spray-dried Powder (喷雾干燥粉): Spray-drying is a common technique for producing instant coffee. The coffee liquid is atomized and mixed with hot air, causing the moisture to evaporate rapidly, resulting in the dried product.

Hougu Coffee Product Overview

Freeze-dried Instant Coffee Pure Powder (冷冻干燥速溶咖啡纯粉)

Panda Freeze-dried Coffee (熊猫冻干咖啡) uses high-altitude Yunnan small beans (云南小粒咖啡豆) and undergoes an extraction process followed by freeze-drying, producing pure coffee.

Spray-dried Instant Coffee Pure Powder (喷雾干燥速溶咖啡纯粉)

Hougu Black Coffee (后谷黑咖啡) is made from Yunnan small beans (云南小粒咖啡豆), extracted and then processed using spray-drying, resulting in pure coffee.

Hougu Coffee Instant 3-in-1 (后谷咖啡速溶三合一)

Made with Yunnan small beans (云南小粒咖啡豆), this coffee undergoes roasting and extraction and is then mixed into different flavor formulas.

Hougu Coffee Beverage Series (易拉罐、PET瓶)

Ready-to-drink coffee beverages.

Hougu Coffee Premium High-altitude Roasted Beans (后谷咖啡特高海拔烘焙豆)

Yunnan small beans (云南小粒咖啡豆) grown at altitudes over 1600 meters (1600米以上), with an AA grade designation.

On February 20, 2017, Wang Yi (王毅), China’s Foreign Minister, praised Hougu Coffee (后谷咖啡) after tasting the premium high-altitude beans: “The coffee I just had is called Hougu Coffee (后谷咖啡). I’m not exaggerating—it’s the best coffee I’ve had in all my global travels, tasting coffee from different countries.”

Achievements and Honors

• 2012: Hougu Coffee (后谷咖啡) was recognized as a China Well-Known Trademark (中国驰名商标) by the State Administration for Industry and Commerce (国家工商行政管理局).

Brand Strategy

Hougu Coffee (后谷咖啡) follows a three-pronged development strategy:

1. First Strategy: Optimizing coffee raw material bases to increase yield per acre, targeting an income of 100 billion yuan (100亿元) for 2 million coffee farmers (200万咖农).

2. Second Strategy: Accelerating the development of deep-processed coffee products, aiming for an annual import-export value (年进出口额) of 500 billion yuan (500亿元).

3. Third Strategy: Implementing a brand marketing strategy (品牌营销战略) to achieve an annual domestic sales revenue (年销售额) of 1 trillion yuan (1000亿元) in the coffee market.

Brand Philosophy

• “Hou” (后): In ancient China, emperors were referred to as “Hou,” symbolizing elegance and nobility.

• “Gu” (谷): In Taoism, “Gu” (谷) represents “Dao” (道), which is eternal and indestructible. Hougu Coffee (后谷咖啡) follows the principles of “Dao” (道), with a mission to benefit the people and foster the flourishing of China’s coffee industry.

Brand Mission and Spirit

• Mission: To help local communities achieve a prosperous life and spread the aroma of Hougu Coffee (后谷咖啡) around the world.

• Spirit: Gaining through dedication and returning the wealth to the community after success.