Supply Chain Leads the Way in Food & Retail Expansion: Shaoxing Emerges as Strategic Hub

February 28, 2025

The 2025 China Chinese Cuisine Industry Report reveals that China's F&B sector is diversifying, with lower-tier cities emerging as key growth drivers. From 2023 to mid-2024, the share of F&B outlets in third-tier-and-below cities rose from 50.9% to 52.0%, supported by steady consumption growth, while demand in top-tier cities slowed.

 

In the Yangtze River Delta, Shaoxing's strategic location makes it a hub for penetrating surrounding lower-tier markets. Major food supply chains, e-commerce, and retail players are expanding here, driven by localized strategies.

 

1.  Dual Engines: Consumption Upgrade & Cold Chain Infrastructure

 

With rising competition in top-tier cities, lower-tier markets offer higher growth potential. Shaoxing's rural consumption growth has outpaced urban areas for three consecutive years, reflecting demand for premium fresh food and enhanced shopping experiences.

 

Government policies, like Shaoxing's Ten Measures for High-Quality Cold Chain Development, provide subsidies to build 10 high-standard cold storage facilities by 2025. Meanwhile, the rise of prepared meal industrial clusters has optimized supply chains, cutting costs for market penetration.

Efficiency is key customized sorting centers and regional distribution warehouses shorten delivery times and restructure costs. Cold chain logistics ensures food safety, underpinning sustainable growth.

 

2.  Infrastructure Pioneer: Forest Logistics Properties' Role in Regional Upgrade

 

Since 2018, Forest Logistics Properties has aligned with national policies, developing the 270-acre Forest Shaoxing Binhai Logistics Park to bridge infrastructure gaps.

 

3-Hour Economic Circle: Located between Hangzhou, Ningbo, and Shanghai, Shaoxing covers 40M consumers across 7 core markets. Forest Logistics Properties's  park enables same-day delivery, previously unfeasible.Gateway to County Markets: As a nexus linking Zhejiang's north  and east, brands use Shaoxing warehouses to reach counties like Zhuji 1-2 hours faster than from Hangzhou.


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Forest Logistics Properties integrates advanced logistics tech and ecosystem partnerships to empower retail, F&B supply chains, and regional economic transformation.

 

3. Beyond Space: Delivering Certainty

 

F&B and retail players face high retrofitting costs, lengthy approvals, and remote management hurdles. Forest Logistics Properties transitions from landlord to industrial service partner:


Design & Approval Support: Collaborates with design institutes to optimize layouts, reduce costs, and accelerate permits (e.g., food safety licenses).Remote Project Oversight: On-site teams monitor progress for remote clients, ensuring timely delivery.


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As retail shelves extend to counties and cold chains reach township kitchens, Forest Logistics Properties remains a foundational enabler. With nationwide projects, it replicates its "location & service & synergy" model to fuel regional upgrades.


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Committed to innovation and collaboration, Forest Logistics Properties continues to drive long-term supply chain evolution and consumption growth.