600-800 million yuan will be invested to collect scattered official Jun kiln wares in private hands, and the research association will set up a company to revitalize the related assets.
The Jun Porcelain Official Kiln of the People's Republic of China specifically refers to high-quality Jun porcelain works invested by the state, operated by the government and created collectively from 1958 to 1988, which were mainly produced in the State-owned Porcelain Factory of Yuxian, No.1 Jun Porcelain Factory, No.2 Jun Porcelain Factory and Dongfeng Porcelain Factory. These works carry the craft standards and diplomatic memories of a special historical period, but have been scattered in the hands of private collectors for more than 30 years, lacking systematic collection, authoritative appraisal and sustainable operation mechanisms. Henan Jun Porcelain Culture Research Association, as a provincial industry association, is seeking co-initiators to jointly set up an operation company, complete the systematic collection of core high-quality works with funds of 600 million to 800 million yuan, and realize the asset value through the dual-track path of public welfare endorsement and commercial operation.
I. Pain Point: The "Red Official Kiln" Scattered Among the Public Lacks the Assetization Channel
The historical value of the Jun Porcelain Official Kiln of the People's Republic of China is clear — in the 1950s, in accordance with Premier Zhou Enlai's instruction that "Jun porcelain production must be restored", the state invested in the construction of four major porcelain factories in Yuxian, Henan Province, to restore the long-discontinued Jun porcelain firing techniques. Its high-quality works once undertook the functions of earning foreign exchange through export and serving as diplomatic gifts. However, the current core contradiction lies in: the collections are highly scattered, the authenticity identification relies on empirical judgment and lacks unified standards; transactions are dominated by single pieces, which cannot form a large-scale asset package; the public welfare attribute is separated from the commercial value, and collectors have strong willingness to hold but the liquidity is weak. After long-term tracking and evaluation, the Research Association believes that the capital demand for completing the systematic collection of core high-quality works circulating in the market is about 600 million to 800 million yuan.
II. Solution: Priority of Standards, Collection and Right Confirmation, Corporate Undertaking
The Research Association's path is divided into three steps. The first step is to give priority to standards and appraisal. The Specification for Appraisal and Rating of Red Jun Official Kiln Works (T/JCWH 001-2021), led and drafted by our association, was released on the National Group Standard Information Platform on June 29, 2021, and implemented on July 15. Its drafting units include Henan Yujun Jun Porcelain Culture Co., Ltd., Xuchang Chinese Jun Porcelain Collectors Association and other institutions. It is the only group standard in this field at present, which provides the basis for appraisal and rating for collection. The second step is capital collection and digital archiving. Use the cooperative funds to buy out the ownership of the target collections from large collectors and channels, and simultaneously complete the digital archiving and judicial appraisal filing of each collected work to form traceable asset package data. The third step is corporate undertaking. The Research Association and the partners jointly contribute capital to set up an independent project operation company. The collections are injected as the core assets of the company. The Research Association contributes with its brand, academic standards, appraisal system and industry resources, and the partners contribute with cash.
III. Business Model: Public Welfare Fund Amplifies Credit, Commercial Operation Forms a Closed Loop
On the public welfare side, relying on the "Special Fund for the Protection and Inheritance of the Jun Porcelain Official Kiln of the People's Republic of China under China Cultural Heritage Protection Foundation" initiated and established in July 2017, and the special fund established in Henan Charity Federation in the same year, part of the collection and protection costs are covered through tax incentives for public welfare donations and government cultural support funds, and the academic status and public awareness of the collections are improved by means of museum loan exhibitions and public art museum touring exhibitions. On the commercial side, the project company carries out businesses including special exhibition halls and ticket sales, development of limited-edition replicas and cultural and creative derivatives, display and leasing of enterprise clubs, and special auctions in the secondary market. When the collection scale reaches a certain level and the cash flow is stable, the project company can seek to be acquired by a state-owned cultural tourism group, or realize capital return by issuing cultural financial products after asset packaging.
IV. Team Background and Current Progress
Henan Jun Porcelain Culture Research Association is a provincial social organization approved by the Henan Provincial Department of Civil Affairs, with the Henan Provincial Department of Culture and Tourism as the competent business authority. It has long been focused on academic research of Jun porcelain culture, standard formulation and heritage protection. The Research Association has organized many "Exhibitions of High-quality Works from the Jun Porcelain Official Kiln of the People's Republic of China" to Macao and other regions, and has established the first national Red Jun Official Kiln Operation Center (Zhumadian). At present, the project is in the preparation period of non-corporate operation, no project company has been established, and there is no traditional financing round. What the Research Association is looking for are co-initiators who are willing to jointly establish the project company — the Research Association is responsible for the appraisal standards, collection screening and industry resource integration, the partners are responsible for capital investment, and the new company is responsible for asset revitalization and commercial realization.
This article is confirmed by Henan Jun Porcelain Culture Research Association, and the data and industry judgment are subject to the evaluation of the Research Association. For project cooperation, you can contact the Research Association for further communication.