Chapter 345 Round after round
"Brother Yang, Brother Yang, what's wrong?"
"Huh? Oh... As soon as you said it, you thought of something, and then you lost your mind. "
Guo Yang kept the rapeseed thing in mind and asked, "Where did you just talk about it?"
Zhang Wei looked confused, didn't he just say that you were thinking about this? Something?
"I said that the income from rapeseed this year is very impressive. The current purchase price is 2.2 yuan per catty. If you harvest more than 400 catties per acre, the income per mu will be thousands."
Guo Yang looked over the rapeseed fields. In the situation here, the stalks are not high, but the branches are very dense.
“There is no problem with more than 400 kilograms. If the management is more precise, five hundred kilograms will not be a problem.”
The normal yield of rapeseed is only about 300 kilograms. Old farmers who are willing to work hard , more than five hundred kilograms is not a problem.
In the experimental fields of scientific research institutions such as the Academy of Agricultural Sciences, there are many fields with yields of more than 600 kilograms per mu.
Overall production fluctuates widely.
The normal output of Tianyou No. 6 is 400 to 600 kilograms, but the specifics need to be verified by farmers. From Zhang Wei’s perspective, it is very good.
The key is the oil extraction rate, which can reach more than 50%. Even the best peanuts cannot reach this high.
Generally speaking, one hundred kilograms of rapeseed can squeeze 40 kilograms of oil, which is considered high.
Guo Yang said: "Your rapeseed, Jiahe Grain and Oil has harvested it, and the price can be a few cents and ten cents higher than the market price."
Zhang Wei was surprised for a moment and said with a smile: "Then I'm welcome. Once the drying is done and the impurities are removed, I will send it to you immediately."
"Are there many Tianyou 6 seeds in the surrounding area?" Guo Yang pondered: "You can buy them together, and then resell them and still make a profit."
"This business can be done." Zhang Wei's eyes lit up, "Do you only want Tianhe's rapeseed varieties?"
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“Yes, the best is Tianyou No. 6.”
“That’s still a bit difficult.” Zhang Wei said: “I only know the retail investors around me, and the rest can only find Tianhe Ask for a list of major clients.”
"Hmm." Guo Yang thought for a moment and said, "Denong's agricultural materials are also entering Sichuan Province, and I will be able to get the list of retail investors next year."
Zhang Wei laughed and said, "It seems that in the future I also have to start a grain business, but chemical fertilizers are really expensive this year, and I can’t afford them for growing grains.”
Guo Yang asked: “How much does compound fertilizer cost here?”
"It's more than four thousand, and I can't buy it yet." Zhang Wei touched his head, "I'm too lazy to apply base fertilizer for rice this year."
Except for some cash crops, most farmers can't afford this price. bear.
"Are straw burning regulations strict here?"
"If I want to burn straw, my grandpa can skin me alive." Zhang Wei said with a bitter smile.
"..." I forgot about this, Zhang Wei's grandfather Zhu Youbing was the village secretary.
This is the year of the Olympic Games, and this place is located on the outskirts of the city. It is a key area for supervision. If you burn straw in a large area, something will definitely happen.
After staying in the farmland for a short time, Zhang Wei took Guo Yang and Guo Yang to the village branch.
Zhang Wei himself rushed back to the farm to use the harvester to harvest rapeseed. There were only two or three hours before dark, but he could work for a while.
Village Secretary Zhu Youbing warmly entertained Guo Yang and Luo Xiu with tea and melon seeds.
“Boss Guo, thanks to your suggestion last year, the effect of this year’s rice field hydrangea will be out soon.”
Zhu Youbing said radiantly: “The village plans to try to do it this year. "
Guo Yang gave a big thumbs up, "The name of the event is the Hydrangea Festival. From now on, when it is held every year, Shiting Village will be called the Beautiful Xin Farm."
"Hydrangea Festival? Let's just say you young people have quick minds. You have so many ideas."
Zhu Youbing took a sip of tea and said, "In this year, Zhang Wei has also been busy. After struggling with it, it was a live broadcast and a drone, but he didn’t expect it to work.”
Guo Yang smiled and said, “The times are changing with each passing day.”
After chatting with the village officials, Guo Yang took advantage of this time to make a phone call.
First, Gaode, Guo Yang talked in detail about the variables that may be brought about by rapeseed varieties.
Three rapeseed varieties were cultivated in 2006, two varieties were cultivated in 2007, and three varieties were screened and cultivated by Tianhe Academy of Sciences.
Tianyou No. 6 has the most outstanding yield and oil extraction rate.
Other varieties are slightly inferior, but they have advantages in their respective suitable production areas.
Accumulated over the past two years, the impact on rapeseed yields should already be fermenting.
So Jiahe Cereals and Oils should pay attention to rapeseed varieties with high oil extraction rates in these two months.
"Boss, the sown area of rapeseed in the south has increased this year compared with last year."
"Well, I know that there is a comprehensive subsidy for rapeseed this year." Guo Yang asked: "There is sufficient grain and oil in Sichuan Province. Right?”
“There is enough inventory across the country.”
Gaode thought that the boss was preparing to expand the price war, but did not wait for the next step.
“Boss, the grain futures position has been closed. This time the profits are huge, and a nationwide price war will definitely be no problem.”
Edible oil prices have been falling for two consecutive months, but they are still clearly at a high level.
Moreover, the smell of capital speculation is getting stronger and stronger, with ups and downs and violent fluctuations.
Guo Yang thought for a while and said: "Wait a little longer, wait a little longer, get ready over there."
From the operations in the futures market, Gaode knew that the boss's The judgment has always been that the entire market will reverse in the second half of the year.
Crude oil prices will collapse, even to the point where the old US bioenergy bill will fail.
By then, the man-made food crisis will naturally disappear and the price of edible oil will naturally drop.
Jiahe just artificially advanced this step.
After finishing the call with Gaode, Guo Yang successively communicated with Mo Congwei, Ji Zhuowen, Li Yan and others.
After confirming the number of drones in Sichuan Province, there is sufficient supply of milk in Sichuan Province, and the inspections of donated schools have been completed...
Then I felt relieved.
He had done everything he could, and he wouldn't risk the rest.
In the evening we ate firewood turkey in the yard of Zhang Wei Farm.
Simple and original method, a big black pot, a brick earth stove, wood fire, sizzling sound at the bottom of the pot, and a fragrant aroma.
The carefully kneaded special corn tortillas are placed around the pot and cooked only by the steam in the pot.
The chicken is glutinous but not woody, the vegetarian dishes are delicious, and the steamed buns on the side of the pot are soft and thick. Guo Yang ate several pieces of the corn buns on the side of the pot tonight.
"Shu Tan, no wonder Zhang Wei insists on coming back. This is much better than the Gobi Desert."
Zhang Wei didn't know how to answer this.
……
The snow in Qilian Mountain is particularly thick this year.
After entering May, the seasonal snow at the end of the ice tongue begins to melt, and most of the melted water seeps into the gaps in the snow layer, forming tiny runoff.
Then the trickles converge, flow into the river, and flow into the farmland irrigation area.
The river will become more violent in the next two months.
When the plane was hovering over Jiayuguan, Guo Yang looked down at the land and could feel the vitality brought by spring plowing.
On the way back to the company, sea buckthorn sprouts appeared, and the Hanhai kenaf was already lush.
The scene of hundreds of thousands of acres of Gobi desert turning green is quite shocking.
The 'Wo'-shaped roof farm at the group headquarters is also covered in green, and the terraced fields are filled with various crops and green plants.
Guo Yang glanced briefly before returning to the headquarters and listened to the recent work report of Tianhe Seed Industry.
Tianhe's Tianyu No. 1 seed sales have encountered some troubles, but Tiandou, Tianmian and Tianshu have remained stable.
Silage corn Tianyu No. 8, wheat Quanyousheng, and seawater rice Tianjingyan No. 1 are also expanding their market shares.
New varieties have emerged on the market: Tendou No. 6 and No. 7, rape, oil sunflower, hops...
In addition, the upward trend in the field of vegetable seeds is also obvious, and continuity has been achieved.
The product system has been built around the 10 varieties cultivated by the seed store from 2004 to 2006.
It cannot be compared with international vegetable seed giants such as Syngenta, but it is definitely second to none among domestic brands.
There is also an unexpected harvest. Due to frost damage, a large number of citrus and banana trees in the south were frostbitten and died.
This has indirectly benefited citrus nurseries in Sichuan Province and banana nurseries in Hainan.
In particular, nurseries in Sichuan Province have a production capacity of 500,000 seedlings a year, which simply cannot meet market demand.
Zhou Shu is already proposing to expand or build a new nursery base.
Even apple nurseries in the north are starting to sprout seedlings.
However, the field of fruit trees has only just started. Whether the varieties are good or not will only be known after final market verification.
I listened to the reports all afternoon, and they were basically all about performance.
But in fact, there are still many operational problems, but these are all handled by the senior management team.
Guo Yang deliberately left Qu Yang behind and made tea on the coffee table. "How is the Weiguan area?"
"I'm too busy." Qu Yang helped. Wiping the tea tray, he said: "Counterfeit seeds have appeared in every production area."
"Some seed companies are arrogantly selling branded seeds. Many have been found this year, and the higher-ups have stated that they will continue to crack down. The deck maintains a high-pressure situation. "
Guo Yang sighed while making tea: "The benefits are too great, and there will always be people who take risks. We must fight against them, but cracking down on counterfeiting is also a cover to strengthen the construction of our own seed production base. That’s the fundamental thing.”
"Mr. Yan is focusing on this matter this year." Qu Yang said worriedly: "Will there be any influence from the administrative level? Especially Zhangye."
"It's okay." Guo Yang smiled, "Zhangye can't affect Jiuquan."
"Haha, that's right." Qu Yang said with a smile: "There are still too many seed companies in the country."
As for the deck, although it is very It affected their mood, but the two of them knew it well.
The land is being improved one after another. The pollination and tasseling machine has been developed for two years. There are also prototypes of harvesters, drones for plant protection, or agricultural aircraft purchased from outside... A closed loop is forming.
It is difficult to expect to crack down on counterfeiting and eliminate decks, so we must start with internal management. If the parent materials are not leaked, how will the outside world deck the decks?
That evening, Guo Yang resumed his daily exercise.
The next few days were busy listening to work reports from various companies and giving some direction and strategic guidance.
When the company is on the right track, it should give full play to the strength of the team.
His energy and thoughts are limited, and he should think more about strategy and tactics.
But thinking this way, sometimes I still can’t help but get involved in specific matters.
The world is a huge grassroots team, and it is abnormal for the leadership of a company to be all elites.
Obviously Jiahe is normal.
It’s just that Jiahe’s fault tolerance cost is very high.
After several days of meetings, Guo Yang began to go to the countryside again to investigate the situation.
You can see him from the Dunhuang West Lake Wetland in the far west of the Hexi Corridor to Zhangye and Jinchang in the east.
During this period, the disaster that shook the earth came as planned.
Guo Yang did not mention it to anyone in advance.
But various coincidences made Jiahe's reaction extremely quick.
More than a hundred drones were quickly deployed to the front line to cooperate with the first rescue team, assisting in understanding local details and carrying supplies across mountains and ridges. Then we went deep into the hinterland to carry out wide-area inspections of the disaster situation and monitor landslides and obstructions along the coast.
Even assisted in providing emergency communication support and got back first-hand information.
Following this, Jiahe donated materials, including milk, mineral water, eight-treasure porridge, instant noodles, biscuits, bedding, tents, folding beds...
In the greetings of staff in Sichuan, Gansu and Shaanxi After fighting hard, he was sent to the front line as soon as possible.
Donations followed closely.
Jiahe donated 200 million, ranking fourth after tobacco, mobile, and power grid.
While the whole country's attention is focused on the southwest, Jiahe Grain and Oil has quietly cut prices across the board in North China, the Yangtze River Delta, and the Pearl River Delta.
In supermarkets everywhere, peanut blended oil, pure peanut oil, rapeseed blended oil, pure rapeseed oil, pure soybean oil, soybean blended oil, sunflower oil...
All have dropped significantly, There are also various promotions, and there are many products with discounts of more than 20%.
I will give it to you when you buy it. Light soy sauce, vinegar, soy sauce, chicken essence...take it away directly on site.
The price of raw materials has not dropped, and even because of the fallow period, the supply of rapeseed has been affected because one of the main rapeseed-producing areas has suffered a disaster.
Overseas, under the operation of capital, the price of soybean oil and oil continues to rise, one day at a time.
Under such circumstances, Jiahe Cereals and Oils has unreasonably lowered its prices significantly.
Competitors' response was significantly lagging behind.
Perhaps it cannot be described as lagging. It is more appropriate to describe it as dumbfounded, sluggish, and at a loss.
Half a month ago, Arowana was obviously still releasing price increase information, so Jiahe didn't follow martial ethics and took advantage of the opportunity to carry out promotions.
Why did it fall so sharply now?
Beijing, a large supermarket chain.
The edible oils of major brands are arranged in a cube shape, among which Jiahe Cereals and Oils has a large special promotion price tag in a prominent position.
This is something that people who buy cooking oil will notice at once.
And on the barreled oil, it is clearly marked as non-GMO, and there is a shopping guide responsible for promotion next to it.
An aunt who came to buy cooking oil stopped at the shelf for a while and then conscientiously chose the cheaper Jiahe cooking oil.
The shopping guide also thoughtfully gave us a small package of cooking oil.
This made the aunt smile like a flower.
Firewood, rice, oil, salt, sauce, vinegar and tea are necessities that people need every day, which determines the high level of attention that people pay to these products, especially edible oil.
A slight change in its price will make consumers worried.
Because there are so many domestic edible oil brands, it is very common for edible oil prices to increase or be promoted.
Aunts have long been accustomed to rising and falling prices.
I am also used to buying promotional oil.
In the past year or so, the price of edible oil has been rising, making consumers more sensitive.
It is clear which supermarket is having promotion and which supermarket is not having promotion.
Therefore, Jiahe Grain and Oil’s strategy of sharply reducing prices soon came into effect, and sales in the terminal market accelerated significantly.
May 25th.
One week after Jiahe grain and oil prices dropped sharply, Fulinmen’s prices also plummeted across the board.
On May 26, Luhua followed up with price cuts.
On May 27, various small brands followed suit and began to adjust prices slightly.
On May 28th, Arowana, which had been clamoring for a price increase, stopped playing the trick of raising prices and lowering prices, and generously put up a price reduction promotion sign.
But the price reduction is not as large as that of Jiahe Cereals and Oils.
For a moment, the aunts seemed to have seen the scene four or five years ago.
At that time, the price of edible oil in China was also the cheapest, maybe half as cheap as it is now.
Now the price has finally been reduced.
It’s not easy!
In recent times, in addition to paying attention to the disaster area, Guo Yang also flies to Beijing, Magic City, and Yangcheng from time to time.
While listening to the report, I also investigated the terminal market situation on the spot, almost every day on the road.
In early June, Guo Yang was watching the news on TV. Fengkai’s drones were still active on the front line.
And gradually became the darling of society.
From drought monitoring last year, to heavy rain rescue in the summer flood season, to detection and rescue in snow disasters, and now...
Fengkai drones have become more and more skilled in responding to disasters, and have received more and more attention. Favored by more and more departments.
Buzz buzz.
The phone vibrated on the table.
Guo Yang took a look and saw that it was Gao De and answered the call.
"Boss, the first batch of Tianyou No. 6 and other rapeseed varieties have been processed. The cost is really low!"
At this time, Gaode was full of confidence.
The main raw materials for Fulinmen and Arowana have been imported for a long time, and they do not have deep control over domestic raw materials.
Not to mention Tiandou No. 1, Tiandou No. 6, Tiandou No. 7 and other subdivided varieties, which have advantages in yield and oil yield.
But compared to the latest Tianyou No. 6, it is still a bit unsatisfactory.
Gaode said: "100 kilograms of rapeseed can produce 49 kilograms of oil. Even if there is no profit from futures, this price war with Jiahe will last for a long, long time."
"Ready for the number. "Really?" Guo Yang said with a smile: "Then it will drop again!"
On the second day, the aunts were surprised to find that the price of edible oil dropped again.
Compared with the peak, it has dropped by at least 30%.
The storm is about to come, and Jiahe Grain and Oil's "wolfish ambition" is clear.
This level of price reduction is already quite drastic, and many companies are wavering as to whether to follow it or not to follow it?
Compared with the rise, the fall caused significantly less public attention.
Only the cry of a small business can be found in the corner of the news.
“In half a year, our factory can only sustain losses for half a year at most. After half a year, we will have no choice but to close down.”
In the office, Amap is checking the results of recent market promotions, and the effect of increasing market share is obvious.
It shows that people are still very sensitive to prices.
At this time, the phone rang. Gothe took one look and couldn't help but laugh.
It was a call from his former colleague.
"Mr. Zhang, you are fine!"
"Gaode, does your boss know that you are engaging in a price war regardless of the cost? Don't leave in despair."
Zhang Jianhui, general manager of Fulinmen Company in Shanghai, a subsidiary of Guofang Group Greetings with guns and sticks.
Gaode was in a very unhappy mood, "I don't need to worry about it. It's still early. It can last for at least one or two years."
One or two years?
Zhang Jianhui just thought he was joking and said: "We have no one to fear in a price war."
Gaode said calmly: "I am more familiar with this than you. I was also the one who led the price war for Fulinmen to seize market share."
"Let me guess, your purchase price in the early stage should not be cheap. Are you going to lose several hundred million this time?"
Zhang Jianhui said coldly: "We'll see."
Dudu.
Gaode just stared at his phone. After a while, he received calls from acquaintances one after another, and he responded to them as if they were joking.
“There are too many inventories, and we are busy clearing them.”
“This year’s rapeseed harvest has been bumper, with production increasing for the first time in four years. Domestic soybean area is also increasing, and the inventory pressure is huge!”
"International market? Now we need to look more at the domestic market. Imported soybeans are not necessarily cheaper than domestic soybeans."
"Yes, your Arowana market share is too high. I don't want to help share some of the pressure." ”
“Hey, we are also losing money, but the company has sufficient funds and cannot stop for a while.”
After several major grain and oil companies confirmed that Jiahe Grain and Oil wanted to seize market share, they stopped being coy and responded one after another.
Arowana, Fulinmen and Luhua once again chose to adjust their prices downwards.
The oil and fat industry is a capital-intensive industry. Sometimes a price reduction of just one or two yuan can mean a loss of hundreds of millions of profits.
How many people can afford to play it all year round?
So, this is also the exclusive weapon of big companies.
In the past ten years, Arowana, Fulinmen, etc. have successively killed hundreds of small and medium-sized brands through brutal price wars.
And this time, many small brands with small profits and weak profits can only be forced to cry and get involved in the surging tide of price wars.
Edible oil is an industry with extremely low profit margins. Minus channel losses, in fact, most small brands are struggling on the edge of losing money.
However, Zhang Jianhui seemed confident when being interviewed by the media.
“We have the largest production capacity, the most complete industrial chain, and the richest and smoothest international procurement channels. It can be said with certainty that our costs are the lowest in the country.”
"Among the company's three major shareholders, National Agricultural and American ADM are both among the world's top 500 companies."
"As long as we survive the most difficult period, sunny days will come."
"The big ones are getting bigger, the small ones are getting smaller, and the last ones will withdraw from the market. The polarization is already accelerating. Whoever survives to the end will be the final winner of this battle." A marketing manager of Arowana said.
Sun Mengquan of Luhua said in a solemn voice: "This is called fighting to the death. The dispute caused by Jiahe Grain and Oil is destined to pay a heavy price."
After two sharp drops, the price The battle was at a stalemate.
Throughout June, edible oil prices remained low.
During this period, the executives of Jiahe Cereals and Oils were often chased and intercepted by reporters.
“Jiahe’s goal is to expand the brand edible oil market.”
“In the edible oil industry, we do not regard any brand as a competitor. Our common competitor is bulk oil.”< br>
Obviously, the reasons given by Jiahe are not satisfactory.
Although the international grain and oil market has experienced ups and downs, overall it is still oscillating upward.
The prices of imported soybeans and imported oil are not cheap. Now it is obvious that oil and fat companies are generally operating at a loss.
In early July, as the cost of raw materials fell, the losses of oil and fat companies were decreasing.
Magic City.
Facing the approaching Olympic Games and worrying about difficulties in purchasing goods, Fulinmen and Arowana both increased their efforts in launching terminals.
Especially Arowana, because of its status as the exclusive sponsor of the Olympic Games, it has increased market expectations.
At this moment, a new round of price war suddenly started.
(End of this chapter)