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Home » City specials » Hangzhou

A panda, steamed buns and the US market

By Xu Wenwen | March 1, 2016, Tuesday | Print Edition

IN the American movie “Kung Fu Panda 3,” when the cartoon hero Po uses chopsticks to eat steamed buns, a Hangzhou-based restaurant chain magnate winced. 

“When I saw Po eating baozi with chopsticks, I knew that foreigners know very little about the food,” said Tong Qihua, founder of the GanQiShi Bao Bao chain. 

Tong is out to fill that cultural void by introducing Americans to the popular Chinese snack. His GanQiShi Bao Bao chain will soon open its first overseas branch in Harvard Square, Cambridge. Baozi are fist-size, steamed yeast buns filled with shredded meat, vegetables, or sweet pastes.

They are eaten with the hands, not with chopsticks, and are a popular quick food. GanQiShi Bao Bao, a leading baozi chain in China, operates more than 160 outlets.

The Harvard Square restaurant will be followed by a second one in the state of Rhode Island, with plans for 30 US restaurants in the next three years. “I want to open the baozi market in the US and spread the food culture there,” said Tong, adding that younger consumers will be his main target. 

Food has not been a primary commodity as Chinese companies seek to expand overseas. It is now joining more common enterprises, such as traditional Chinese medicine, martial arts training and Chinese-language education in seeking to break into markets abroad. Among the more successful ventures has been Chen Xiaowang World Taijiquan Association from Henan Province. 

The martial arts training company operates branches in over 50 countries and regions. It has trained more than 300,000 people. Two years ago, Compound Danshen Dripping Pills developed by a Tianjin-based traditional Chinese medicine company won authorization from the US Food and Drug Administration to market its products there. The pills, which are said to aid coronary arterial disease, are now sold in 11 countries. Not all of overseas ventures have been so successful. 

A few years ago, a Hangzhou-based foot massage chain opened branches in Australia, Germany and the US. It sent trained masseurs to staff the outlets. But consumer interest was limited and the field was crowded with companies offering the same service.

In the end, the Hangzhou chain had to close its shops. “Foot massage is not popular in the West, and it’s hard to start from scratch,” said Zhou Jianfu, secretary general of the Hangzhou Foot Massage Industry Association. GanQiShi Bao Bao’s Tong isn’t daunted by stories of failures.

He is convinced that the delicious flavor and texture of baozi will captivate the taste of Westerners. To ensure authenticity of the buns, his company flew in chefs from the US to train them in making baozi. Gerald Furtado, who was trained in China, now trains other chefs for Bao Bao. 

“Prior to travelling to China, I have seen and tasted some poor examples of baozi,” said Furtado. “But in Bao Bao we use fresh and top quality ingredients.” His colleague Johnny Cortes, executive chef of American outlets, said he believes “part of this business is to educate Western consumers in authentic Chinese flavors and combinations.” 

He said Bao Bao will stick to the traditional recipe because trying to adapt it to American tastes would be dishonest to consumers. Baozi fillings in America will be the same as in China, including pork, vegetarian, curry beef, bean paste and sweet potato with taro. In Hangzhou, Bao Bao baozi sell for 2 yuan (30 US cents) to 5 yuan, depending on filling. In the US, the buns will sell for US$3 on average.

Tong is setting up a modern fast casual supply-chain management model. “Everything, from the bamboo steamer to the service style, will be copied in our American outlets,” Tong said.

“I think our baozi will be well received by Westerners.” Clay Pell, an American lawyer and former White House aide, who is married to Olympic skating medalist Michelle Kwan, is optimistic about the US business. 

“Americans are very interested in high quality authentic food, and I believe it is a good time to enter the US market,” said Pell after several well-attended Bao Bao tasting sessions. Tong has one unbeatable ally on his side — a popular bun-eating panda that has already endeared itself to American audiences. “I always felt I wasn’t eating up to my full potential,” Po playfully announces in “Kung Fu Panda 3.” 

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