The rise of nanometers

The establishment of the Agricultural Reclamation Alliance has had a huge impact on the domestic dairy industry.

Dairy companies in various places have different reactions. Local small and medium-sized dairy companies are unable to fight against the Agricultural Reclamation Alliance, so they either choose to join the Agricultural Reclamation Alliance or seek their own blessings.

However, entry into the Agricultural Reclamation Alliance is not casual. For example, companies that have experienced major food substandard incidents cannot apply to enter the Agricultural Reclamation Alliance.

The so-called major food substandard incident naturally refers to incidents similar to melamine-tainted milk. Basically, more than half of the domestic dairy companies have won the bid.

Even dairy companies that are not involved cannot easily enter. They must meet some basic conditions. The dairy products standards announced by the Farm Reclamation Alliance are further farming standards based on the European standards.

For example, the protein content is required to be no less than 3.3 grams per 100 grams of milk; the total number of bacterial colonies is less than 30,000 per milliliter; the milk fat content is greater than 3.7%; and the number of somatic cells in raw milk must be less than 40,000 per milliliter.

There are also new mandatory antibiotic projects, which must ensure that the antibiotic content in milk is zero; adjust the freezing point detection standard to -0.51 ~ -0.55 degrees Celsius; increase the nitrate content, aflatoxin content, and microplastic particle content detection.

These standards are mandatory. If you cannot even meet these standards, there is no need to consider applying to join the Agricultural Reclamation Alliance.

As for whether dairy companies can do it, some companies are not unable to do it, but deliberately do not improve. The dairy products they export to Hong Kong and abroad are all in line with international standards, which are significantly higher than domestic standards. It’s just a matter of choosing to treat them differently.

If anyone has purchased milk from the two major factories, they will find that they are playing a word game and deliberately replacing the protein content per hundred grams with per hundred milliliters.

From the perspective of ordinary people, 3.2 grams per 100 grams and 3.2 grams per 100 milliliters are exactly the same.

But in fact, milk is slightly denser than water. 100 ml of pure milk weighs about 103 grams, which means that the protein content in 100 ml of pure milk is only 3.1%.

This is just a microcosm.

Since they wanted to pretend to be dead, Huang Xiuyuan let them die completely.

For domestic individual dairy farms, the Farmers Reclamation Alliance plans to adopt an integrated approach to eliminate small-scale free-range dairy farming.

Deyi, Wandashan, and Fengmin Agriculture will merge retail investors in a planned manner to form centralized large-scale breeding. For dairy farming that requires relatively high professional skills, retail investors are indeed unable to keep up with the times.

It is difficult for retail investors to do just scientific feeding, let alone abusing antibiotics, adding high-nitrogen compounds, etc. Driven by interests, human nature is the most unable to withstand the test.

The benefits of concentrated farming are not only to improve the quality and safety of milk, but also to reduce unit labor costs and breeding costs.

In fact, the labor costs of some dairy farmers are very uneconomical in the free-range state. They may seem to be making some money, but in fact, their returns are obviously not as good as those of workers in dairy farming companies.

According to Fengmin Agriculture's investigation results in various parts of Shandong Province, domestic dairy farmers are not having an easy time due to the impact of last year's poisoned milk incident and the recent poisoning incident.

Compared with the average salary of 3,000 to 4,500 in milk companies, the profits of individual dairy farmers are not high, and they may even face losses.

In addition, some employees of dairy farming companies, who hold company stocks, can receive dividends every quarter, which is also a considerable amount of income.

After all, large-scale milk farming companies are much stronger than retail investors in facing various risks.

Faced with the strong Fengmin Agriculture and the Agricultural Reclamation Alliance, many dairy companies are already looking for a way out, especially dairy companies that are not on the blacklist. They are mainly considering joining the Agricultural Reclamation Alliance.

The dairy companies on the blacklist are not sitting still.

The blacklisted dairy companies, led by Meng Yang and Yi Li, have secretly contacted each other to discuss how to deal with the Farm Reclamation Alliance and the Suiren Company behind it.

Mongolian area, return to Sui.

This city, known as the Dairy Capital, is home to the two largest dairy companies in the country. Inside the headquarters office building of Meng Yang.

A middle-aged man wearing glasses and looking polite asked with his legs crossed: "Mr. Yang, how do you plan to deal with the farm reclamation?"

"Mengyang has never been afraid of challenges, and we have reached a preliminary agreement with COFCO to sell 28% of our shares to COFCO." Yang Yingjun replied calmly.

In response to this answer, Wei Min raised his glasses: "Mr. Yang, are you sure? COFCO may not take action. After all, Beidahuang Group and Suiren Company are behind the reclamation. They are not easy to mess with."

"So what?" Yang Yingjun still didn't show any fear.

Wei Min reminded: "Mr. Yang, don't be too confident. I have read the introduction of Suiren Company's saline-alkali land transformation. In addition, they can produce their own fertilizers and control the water supply. When the cost of domestic feed will drop, imported forage may not be able to compete." other side."

"Then what's Mr. Wei's advice? The other party has blacklisted us, so there's no way we can cooperate." Yang Yingjun mocked.

Wei Min narrowed his eyes and said: "There is an obvious loophole in the cooperation framework of the Agricultural Reclamation Alliance, that is, two-thirds of the saline-alkali land they help farmers transform is still controlled by the farmers themselves."

"Are you planning to..." Yang Yingjun reacted.

Wei Min nodded: "We can set up a feed processing company, increase the purchase price of forage, attract farmers to sell forage to us, and directly lend chickens to lay eggs."

“Will this trigger counterattack from the Farmers’ Alliance?”

"What are you afraid of? The fight has started now. There is no need to worry. We have not broken any laws anyway." Wei Min's strategy can indeed suppress the Farm Reclamation Alliance.

After weighing the pros and cons, Yang Yingjun took the risk and decided to set up a feed processing company to seize two-thirds of the transformed saline-alkali land.

The two companies secretly discussed the joint plan, and then planned to form their own standards alliance to benchmark the standards of the Agricultural Reclamation Alliance.

Just raising the standards does make them very painful, because raising the standards means that costs will also rise, and Tetra Pak will already make half of the profits.

Now the standards have to be raised again, further increasing production costs.

But now it’s impossible not to improve the standards, because another subsidiary of Suiren Company, Time Information, often inspects products on the market.

In the past, it was possible to cheat, but now at this critical moment, if you cheat and the Farmers Reclamation Alliance seizes the opportunity, it will definitely be a fatal crisis.

Yang Yingjun and Wei Min were bleeding. Once this standard was raised, their profits were only 40 to 60% of the previous level.

But in order to maintain the market, they must invest in order to fight against the menacing Farm Reclamation Alliance.

On the other side, after discussions between Yang Yingjun, Wei Min and others, they also realized another problem, which was the discomfort of having packaging technology controlled by Tetra Pak.

In a box of milk, at least 50% of the profits are earned by Tetra Pak. In the past, when there was no Farm Reclamation Alliance, their small life was quite nourishing. Now facing the competition from the Farm Reclamation Alliance, they still have 50%. The profit is now only 20% to 30%.

If something goes wrong again, Meng Yang and Yi Li may not be able to bear it.

The choice before us now is either to negotiate with Tetra Pak and let the other party reduce part of the charges; or to find alternatives and force Tetra Pak to reduce prices.

Neither of these choices is easy.

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