A KFC store in China during the Beijing Olympics. (Photo : Getty Images)
American fast food chain KFC declared a boost in sales despite of the ongoing call to consumers to ban it.
The residents of Hebei Province called on customers to steer away from eating at KFC last weekend. However, local suppliers claim that the chain is helping the economy.
An unnamed businessman claimed that his company started supplying potato chips to western fast food outlets in 2013. Since then, he has expanded to other stores like McDonald's and Pizza Hut.
He said, "Every year, we produce 50,000 tons of potato chips for nearly 70 Western fast-food brands including KFC, McDonald's and Pizza Hut." This amount will increase to 100,000 tons by 2018 because KFC will be taking up 10 percent of the market share.
He claimed that because of the large demand, they are providing livelihood to 400 employees and about 10,000 potato farmers. An average of 15 million yuan, or about $2 million, is paid to the local government in taxes.
According to the KFC website, other suppliers are Jiangsu Tyson Foods Co in East China's Jiangsu Province, Jiangxi Sunner Foods Co in East China's Jiangxi Province and Shanghai Hormel Foods Co in East China's Shanghai Municipality.
Ma Wenfeng, a senior analyst at Beijing Orient Agribusiness Consultant, said that western fast food chains contribute significantly to the local catering market because it encourages healthy competition.
In the last 27 years, KFC has employed over 300,000 personnel. McDonald's, since its establishment in 1990, built 2,200 restaurants with an employee base of 100,000.
The menu has also expanded for these outlets. KFC has added their selection and now has 60 dishes, from only 9 when they started.
Ma believes that the boycott in Hebei will unlikely ruin KFC's reputation as people will still look for food that is quickly available to them.
