Chapter 132: Feel proud and ready the bow
Two new corn varieties, Xianyu 335 and Tianyu No. 1, brought unexpected surprises to Xu Xiaoxue.
She had a hunch that these two varieties had great potential.
If both were not ridiculously expensive, they would be the only new corn varieties that could threaten the status of Zhengdan 958 in the future!
But it’s too expensive!
Tianyu No. 17 is 70 yuan per kilogram, and Xianyu 335 is 60 yuan per kilogram.
It is several times that of Zhengdan 958! The price of Zhengdan 958 is only 6-9 yuan/kg!
Zhengdan 958 is one of the rare excellent varieties in Chinese corn production, and is affectionately called 'lazy corn' by farmers.
Passed national approval in 2000, and quickly expanded from the Huang-Huai-Hai region to the Northeast region with its advantages of density tolerance and high yield.
Last year, in 2004, the national planting area exceeded 40 million acres, and it still maintains a high growth trend.
The promotion speed is so fast and spans a long time, which is rare in history.
He is the well-deserved domestic corn overlord in Xu Xiaoxue’s mind.
The reason why Zhengdan 958 is called ‘lazy corn’ by farmers is because it has simplified cultivation techniques and few agricultural measures.
After sowing the seeds, farmers can go out to work and do business, and then wait for the good harvest in the autumn.
At the same time, its seed production advantages are also very obvious. In Hexi region, the yield per mu can reach 400-500 kilograms, and the highest can even reach 600 kilograms.
Created huge profits for seed production manufacturers.
Generally speaking, Xu Xiaoxue believes that there is no variety that can replace Zhengdan 958.
Although Xianyu 335 and Tianyu No. 1 are excellent, Zhengdan 958’s status in the hearts of farmers is too deep.
Many farmers go to seed stores to buy seeds, just a few words.
Is there 958? Which brand?
But she felt something strange. After thinking for a while, she realized that there seemed to be a lot of people buying Tianyu No. 1 in the stores she went to in the past two days.
......
Ronghua Seed Trading Company,
Zhao Hua looked at the sales statistics coming from the sales department, and both Chihong No. 1 and Tianyu No. 1 exploded!
March is not over yet, Ronghua’s sales have reached nearly 100 million!
Breaking 100 million is a sure thing!
Ronghua has reached new heights!
He had to lament how wise his decision was a year and a half ago.
Around October 2003, he personally went to Jiuquan.
After some competition, he became the distributor of Tianhe Seed Industry in Shandong Province. From then on, it laid the foundation for Ronghua’s today’s take-off.
Since China's accession to the WTO, with the liberalization of the seed industry market, foreign-funded seed companies have successively chosen to establish joint ventures in the mainland to build factories, breeding research and development centers and bases.
With substitutes, Seed Comprehensive Trading Company is gradually abandoned by the market.
Ronghua also lost its agents at Syngenta and Sennis Seeds at that time.
Having been wandering for half his life without meeting the Lord,
until he met Tianhe.
From the doubts at the beginning, to the anxiety after signing the contract, the Red No. 1 bell pepper really took off in the market.
Nowadays, in vegetable greenhouses across Shandong Province, bell peppers as big as a fist grow in the greenhouses, like a shy girl hiding among the leaves.
A tricycle was transporting the picked bell peppers to the market. The pepper farmers were weighing the scales and counting the money, with happy smiles on their faces.
A spark of fire in the wind can start a prairie fire,
The sycamore tree grows strong and attracts the phoenix.
Zhao Hua felt that he had introduced Golden Phoenix.
Red No. 1 is a male sterile strain. In the past, this was an area where vegetable seed industry giants such as Sennis and Syngenta had a technological monopoly.
But now Tianhe can also use sterile lines to produce first-generation hybrids.
It breaks the current situation of domestic production of large-fruited sweet pepper varieties relying on imported seeds from abroad.
Shandong Province’s vegetable seed market share has been occupied by foreign investment for most of the year.
Taking Shouguang as an example, the current annual transaction volume of the Shouguang seed market is around 600 million yuan, but foreign seeds account for more than 400 million yuan, and there is an upward trend.
Yangzi is targeting the high-end vegetable seed market.
The seeds have strong anti-virus ability, high vegetable yield and good quality, and can be sold at a good price.
Vegetable farmers also value this the most. It doesn’t matter whether you are a ‘foreign seed’ or a ‘local seed’, or which country the seed is from. As long as you can make money, you can grow whichever variety is good.
Foreign seeds have brought benefits to farmers, which is a good thing.
However, after foreign investors controlled the market share, they significantly increased seed prices.
For example, foreign seeds already account for 100% of the market in varieties such as colored peppers, cherry tomatoes, and thornless cucumbers. Seeds are extremely expensive!
The phenomenon of one gram of gold per gram of seed is common, which makes farmers helplessly pay excessive seed costs.
For example, bell pepper seeds cost about 1 cent for foreign companies to produce, but they can be sold for 1 yuan in the Chinese market, which is more expensive than gold.
Some other well-known tomato seeds sell for more than 100 yuan per gram.
The market has been monopolized and farmers are forced to accept it.
But starting from the end of 2003, Chihong No. 1 entered the market in Shandong Province, priced at 19.9 yuan per pack and 20 grams per pack.
Tianhe has completely learned the strategies used by foreign seed companies to enter the domestic market.
Implement low-price strategies or even free strategies to promote seeds, let farmers see the effect first, and then expand the promotion.
He just managed to break out of the foreign monopoly!
Be able to act as a vanguard in resisting foreign investment and cut off foreign investment bit by bit.
Zhao Hua felt very proud and proud.
After the initial promotion, Chihong No. 1 has raised its price several times since last year, with the price of each pack of seeds rising to 198 yuan.
The seed production cost of Chihong No. 1 is about 0.12 yuan/gram, which is higher than that of foreign investment.
But the research and development costs are extremely low!
Tianhe Seed Industry is totally justified in fighting a price war with foreign investors!
The market share is being seized bit by bit, and foreign-invested seeds such as Saint Nice and Rick Swann are extremely uncomfortable.
There is no choice but to lower the price.
The industry is full of joy and reports are spreading.
“Foreign seeds have lowered their proud heads.”
“Bell pepper breeding has reached the peak of world breeding.”
“Red No. 1 sweet pepper has defeated foreign brands.”
Domestic vegetable breeders are also encouraged.
But no one likes a price war.
What's more, after many years of foreign investment, the domestic production and marketing system has long been improved. In addition, foreign investment also has accumulated category advantages in tomatoes, radishes, Chinese cabbage, cabbage and other vegetables.
No matter how much Tianhe launches a price war, it cannot defeat foreign investment.
It is better to rely on high profits, accumulate strength, and then choose good opportunities.
But Chihong No. 1 still has unparalleled advantages, excellent quality and lower price.
In the first quarter alone, the sales of Ronghua Chihong No. 1 exceeded 15 million yuan.
Zhao Hua sees further,
In May this year, the Shouguang Vegetable Expo will be held, and Tianhe's new vegetable varieties, tomatoes, carrots, etc. will also participate in the exhibition.
Ronghua’s growth momentum is far from over.
And vegetable seeds are just appetizers, Tianyu No. 1 is the staple food.
Since the beginning of the spring broadcast, Tianyu No. 1, represented by Ronghua, has been extremely popular.
In recent years, the corn planting area in Shandong Province has been around 43 million acres, and the annual demand for corn seeds is about 130 million kilograms.
This is an extremely huge market,
and Tianyu No. 1 is obviously competitive.
The selling price of up to 70 yuan per kilogram fully demonstrates the manufacturer's confidence.
This is the most expensive corn seed sold this year, bar none!
The high selling price means not only high profits for the manufacturer, but also extremely generous profits for the dealers!
The profit from the distribution of Tianyu No. 1 exceeds 30%, which makes Ronghua do his best to promote Tianyu No. 1, including promotions in stores and loudspeakers on tour buses to the countryside.
Coupled with the temptation of a yield of 1.5 tons per mu, and word-of-mouth from farmers who tried planting last year.
Tianyu No. 1 also exploded.
March is not over yet, the seed sales of Tianyu No. 1 in Shandong Province have exceeded more than 1.1 million kilograms, and the sales amount has reached more than 78 million yuan!
As the summer corn sowing time (April-June) approaches, seed sales are still extremely explosive.
At the same time,
Guo Yang, who was far away in Jiuquan, saw the news of the listing of Xianyu 335.
I can’t help but sigh,
DuPont Pioneer, the ‘seed king’ that has been dormant in China for 18 years, has finally taken action.
(End of this chapter)