The rise of nanometers

Chapter 121 Integration and Mergers

June 28th.

At this time, the price reduction promotions of international dairy companies were included in the anti-dumping investigation.

The four major grain groups ABCD quietly increased the prices of soybeans, corn, alfalfa, and feed. In a short period of time, the prices of these commodities soared by about 20 to 40%.

In particular, the price of international soybeans controlled by ABCD has soared from about 3,600 Chinese yuan per ton to about 4,700 Chinese yuan per ton.

Similarly, the price of international high-quality alfalfa powder has soared from the previous 2,200 to 2,400 Chinese yuan per ton to 3,000 to 3,200 Chinese yuan per ton.

The price of corn increased from 1,750 to 1,900 Chinese yuan per ton to 2,200 to 2,300 Chinese yuan per ton.

Soybeans and corn are important raw materials for oil and feed, so many remaining oil-extracting companies and feed processing companies feel malicious.

In order to cope with rising prices in the international market, these companies have to look for alternative suppliers while increasing their domestic procurement of raw materials.

Under this situation, domestic prices of corn, soybeans, and alfalfa have also risen. Domestic companies controlled by ABCD are also grabbing raw materials, further raising the prices of domestic raw materials.

Xiao Yuan, who had just returned from an inspection trip to the three northeastern provinces, received feedback from the market research department as soon as he returned to Quancheng, Shandong Province.

"Mr. Xiao, the prices of international soybeans, corn, and alfalfa powder have soared very high recently, and the supply has decreased a lot." The person in charge of the market research department submitted a detailed investigation report.

Xiao Yuan browsed through it silently: "Domestic purchase prices have also increased?"

"Yes, the ABCD gangsters headed by Yihai Group are aggressively raising prices in the market to purchase raw materials. Others are speculating on hot money and are also hoarding it."

"Milk prices have plummeted, meat prices have plummeted, and feed prices have skyrocketed. Is this an attempt to strangle the domestic breeding industry? How will COFCO respond?"

"COFCO is currently increasing its stockpiling, releasing some of its corn and soybean stocks, and at the same time lowering the purchase and storage prices."

Xiao Yuan put the report aside and asked his assistant: "Decai, how much did we harvest from the first crop of pasture?"

Assistant Su Decai hurriedly replied: "At present, the 57,000 acres in Lingnan and Southwest China have received various types of fresh forage, about 130,000 tons, of which one-third is used to make green storage materials, and one-third is used to make hay powder. .”

"In addition, the feed factory purchased 350,000 tons of corn straw and sugarcane bagasse in Guangxi Province for use in making green stocks and hay meal."

Xiao Yuan turned on his office computer and called up the feed company's internal reports.

At present, Fengmin Agriculture's main feed production area is in Shandong Province. After the first crop of pasture was harvested this year, a total of 312,000 tons of fresh pasture were harvested from the self-operated 124,000 acres of pasture; the pasture, wheat straw, and Corn stalks and sorghum stalks totaled 1.86 million tons.

Usually, 2 to 3 crops of pasture can be harvested in North China, while 3 to 4 crops can be harvested in the South.

Fengmin Agriculture's current feed inventory, including previously imported and reserved feed, includes 820,000 tons of hay powder, 1.03 million tons of green stock, 220,000 tons of refined feed, and 40,000 to 80,000 tons of fresh grass in dynamic reserves every day.

As for breeding companies, the number of dairy cows in stock has reached a new high. There are 38 dairy breeding bases across the country with a total of 297,000 cows of various types.

There are 632,000 beef cattle, 57,000 sheep, 386,000 goats, 1.049 million pigs, and 47.39 million various poultry.

With such a large scale of breeding, about 40,000 to 50,000 tons of various types of forage and feed are consumed every day.

According to this consumption, if the forage feed produced by Fengmin Agriculture itself was not taken into consideration for the winter in the north, the breeding scale could be doubled.

Xiao Yuan asked Li Qiuying, the vice president in charge of feed: "How much production can our transformed fields produce in this year's autumn harvest?"

Li Qiuying took out a research report: "As of now, the area of ​​pasture we hold is 181,000 acres. The area of ​​transformed fields that have been transformed is 56,000 acres. It is expected to be increased to 200,000 acres before September. about."

"It is estimated that the last crop, including the autumn sweet potato harvest, will total 1.8 to 2 million tons of fresh feed. Adding in the various straws that can be purchased in the south, our various feed stocks before winter will reach 4.5 to 5 million tons. Ton."

A reserve of this size can completely double the scale of Fengmin Agriculture's breeding in the northern region.

At present, Fengmin Agriculture in the north mainly breeds cattle and sheep, and in the south it mainly breeds pigs and poultry. The cultivation of feed crops in the south in winter has not been greatly affected. It can satisfy the needs of the southern farms and at the same time supply part of the feed. To Northern Breeding Farms.

Xiao Yuan discussed with several vice presidents for a long time, and then asked about the situation of Beidahuang Group in the Northeast.

The cooperation between Beidahuang Group and Agricultural Reclamation Group has so far transformed 19,000 acres. With the expansion of the desalination fleet, it is expected that the scale of transformed saline-alkali land in the Northeast will reach about 240,000 acres before September this year.

Xiao Yuan told his assistant: "We can hold on, but those retail investors and small farms certainly can't. Contact Beidahuang and Deyi to make preparations."

The so-called two-pronged preparation is through merging local dairy companies and contracting farmers.

At present, Yiyi has merged with four local dairy companies in Shandong Province, Hebei Province, and Henan Province; Beidahuang Group has also merged with five local dairy companies in Northeast China and eastern Mongolia District.

Fengmin Agriculture is also taking intensive actions. Taking advantage of the plummeting milk prices and rising feed prices, it is increasing its milk purchase while integrating farmers.

Cangzhou, Ji Province.

As the area closest to Dongying, it is also the area where Fengmin Agriculture has developed the fastest.

In Nanpi County on the east side of the South Canal.

More than fifty milk farmers were invited to the breeding base of Fengmin Agriculture by a business manager of Fengmin Agriculture.

Farmers wearing full-body protective clothing and masks, led by business manager Yang Xiaofeng, visited the Nanpi dairy breeding base and the beef cattle breeding base next door.

“Everyone raises dairy cows, and I don’t need to tell you what the current market situation is.”

There is really no need for Yang Xiaofeng to explain. Due to the plummeting price of foreign imported milk powder, the purchase price of domestic milk companies has also been reduced, and the quality requirements for raw milk are also constantly increasing.

After all, Meng Yang and Yili have nothing to do now. If problems with dairy products are found, they will definitely be beaten by the Farm Reclamation Alliance. Time Information's cloud inspection spot checks, but spot checks on market dairy products every three days. In this kind of limelight, the previous All kinds of plans that secretly change the concept have to be restrained.

On the other hand, the increase in the price of breeding feed has increased the costs for farmers.

Domestic small farms are generally in a state of loss. If the milk war does not end, they will suffer heavy losses.

"Manager Yang, does your company want to buy our cattle?" A big man with big muscles and round waist asked directly.

Yang Xiaofeng said with a smile: "Our company is not unkind. Now we have three options for you. One is to sell the cows to us, the other is to join our company's breeding farm, and the third option is for you to become a member of the Farm Reclamation Alliance. Sign up with farmers.”

"What's the difference between joining and signing a contract?" another short man asked in confusion.

Yang Xiaofeng explained the difference between joining and signing.

To join is to bring cattle into a dairy farm owned by Fengmin Agriculture, and you can get dividends without having to worry about things.

As for the contract signing, with the support of the Agricultural Reclamation Alliance, the farmers will set up their own breeding farms and carry out centralized breeding, and the Agricultural Reclamation Alliance will provide corresponding technical guidance.

Farmers who have signed a contract can only sell milk to members of the Farm Reclamation Alliance and accept the quality supervision of the Farm Reclamation Alliance.

Of these three plans, the first one was a one-time deal. Six of the farmers who felt they could not survive and did not want to continue raising dairy cows sold 143 cows to Fengmin Agriculture.

About half of the remaining farmers choose the franchise plan, and the remaining 24 households plan to form joint farms and become contracted raw milk suppliers of the Farm Reclamation Alliance.

These farmers have no choice. Now they can only obtain low-price feed and stable and advanced breeding technology within the system of the Agricultural Reclamation Alliance.

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