Against the backdrop of China's comprehensive rural revitalization strategy, Yum China actively responded to the national call by launching the Daylily (Huanghuacai) Industry Support Project in Datong, Shanxi in 2023. This project aims to integrate distinctive rural agriculture with modern supply chains. Datong, widely known as the "Hometown of Daylily," boasts a cultivation history of more than 600 years. By establishing partnerships with local agricultural enterprises, we introduced Datong daylilies into Yum China's supply chain and supported our partners in upgrading and modernizing their industrial value chains.
At the early stage of collaboration, our value chain partners focused mainly on primary processing. To empower their growth, Yum China provided comprehensive support across key segments of the value chain. Our food safety and quality experts conducted on-site visits to production areas, assisting in the implementation of deep-processing technologies and enhancing operational and management capabilities. Meanwhile, our R&D team leveraged restaurant usage scenarios to develop diversified application concepts for daylilies, helping to unlock greater product value and extend the industry chain.
Since the project's inception, Yum China has integrated Datong Daylily into our product innovation pipeline. We launched the seasonal product "Chaoshan-style Beef Ball Porridge with Daylily", marking an initial exploration into commercializing regional specialty ingredients. In 2025, we further expanded the application scenarios for daylily sauce. We conducted innovative trials with daylily rice-mix sauce in limited-time menu items and explored launching daylily-themed cultural and creative products at KFC restaurants in Datong to share the story of this agricultural product.
Through ongoing technical support and stable procurement partnership, the project has advanced our partner's production capabilities and product diversification, while generating opportunities for sustainable revenue streams across the value chain. This has gradually established a virtuous cycle where market demand drives production, which in turn empowers rural development.
