We are strategically located in Yantai, a coastal city in the province of Shandong, where it enjoys moderate winter and summer. It is at the same latitude as major vine cultivation regions in France and Italy and is reputed to be the best place in PRC to grow vines due to its plentiful rain and abundant sunshine, earning the city the moniker of "Oriental Bordeaux". The industrialised production of grape wine in Yantai has been established for more than 100 years and today, Yantai is the wine hub of the PRC.
Yantai is also the only place in Asia to be acknowledged as an "International Grape and Wine City" by the International Organisation of Vine and Wine ("L'Organisation Internationale de la Vigne et du Vin" or "OIV"). OIV is an inter-governmental organisation established in 3 April 2001 with 43 member states, which deals with technical and scientific aspects of viticulture and winemaking.
Climate condition is the most important factor that contributes to the quality of grapes produced. These grapes which will be used to make wine require adequate sunshine, and suitable rainfall during the "growth" season, and consistent air temperature and little rainfall in the "harvest" season. The Yantai-Penglai region fulfills these climate requirements. Stretching into Bohai Bay and surrounded by the Shandong Peninsula and the Liaodong Peninsula, its coastal location gives it a moderate climate with no extreme temperatures during summer or winter months. In summer, there is little rainfall which is important to allow the grapes a long mature period (i.e. usually requires two (2) months of maturing period with little rainfall).
The types of soil in Yantai-Penglai include brown soil, drab soil, humid soil and sandy soil. The main type of soil is brown soil, making up 78% of total soil in the area. Soil conditions are an important factor to ensure quality grapes are produced; the soil in Yantai-Penglai has rich mineral content (phosphorus, potassium and iron) which makes it ideal for grape growing.
Such associations with Yantai has increased the market recognition of our wines, in particular our Yantai-produced range of wines under our flagship Fazenda Ohua Wine labels, as Yantai has a host of PRC-wide advertising initiatives that promote Yantai’s rich winemaking history, vibrant wine culture, thriving wine industry and wines.
With the quality of the grapes and/or wine being the key determinant of the quality of a wine product, a consistent supply of quality grapes and/or wine materials is crucial to the production of quality wine product. Our strategic location in Yantai, the grape wine hub of the PRC, allows us easy access to stable and consistent supplies of quality materials within Yantai and neighbouring grape producing region of Penglai for the production of our local Fazenda Ohua Wines.
We have established close relationships with our main material suppliers from whom we source our grapes and/or wine materials for our wine production. In addition, we have established our two (2) own vineyards in Yantai-Penglai locality since 2006 which cover approximately 5,500 Mu (equivalent to approximately 3.67 million sq m) of land area in aggregate. As such, our own vineyards further enhance our access to stable and consistent supplies of quality materials and reduce our dependency on third party supplies. Our own grape cultivation also assures us of the quality of our grape supplies as we have full control over the cultivation and harvesting of the grapes which is the most important parts of our winemaking process as it determines the quality of the grapes, and of our wines.