Chapter 626 - Investment Seeks to Cross the Shanhaiguan

Northeast China, Soybean Deep Processing Industrial Park, Hailun City, Black Province.

Colorful flags and red silk hung all over the office area of the industrial park, and there were reporters carrying cameras at the scene, as if they were recording important events.

In fact, it is indeed an important event for the Black Province.

This is the third expansion of the soybean intensive processing industrial park in Hailun City - following the construction of the first industrial park focusing on the production of soybean milk and soybean milk powder, fermented and non-fermented soybean products, the second industrial park focusing on the production of soybean granular protein and nutrition bars, and the third industrial park focusing on soybean polysaccharides, dietary fiber and other soybean nutrition and health products in the country.

In terms of the industrial structure of Hei Province, the soybean intensive processing industry has become a pillar industry. The release of the third industrial park is a major positive, so much so that the soybean sector in the stock market has also seen a daily limit.

In this wave of investment, ADM is the brightest cub among them.

After the hearing, the U.S. International Trade Commission issued a preliminary ruling, finding that the U.S. soybean protein industry had not been materially harmed, and that there were problems with the causal relationship, and recommended that the anti-dumping investigation on China's soy protein products be terminated and no anti-dumping measures should be taken.

Well...... ADM did not dispute the preliminary ruling, in contrast to the joint venture between ADM and Jiagu and Jiusan Group in China to produce high-end products such as soy isoflavones, soybean oligosaccharides, and soybean fiber.

Interestingly, with the exception of the United States, where industries have been transferred, this is a very happy investment.

For ADM, although it has ceded some of its benefits, it has successfully joined the supply chain of Jiagu's high-quality soybeans and has gained a foothold in the growing Chinese consumer market, which has reduced the pressure of a thorn in the back.

For Jiagu, the introduction of advanced soybean deep processing technology, and ADM has stable sales channels and consumer groups in the United States, compared with Chinese soybean protein has more congenital conditions, joint venture production is also acceptable.

Local governments are even happier. No matter how much money Jiagu has, it is also meat in the pot for them, and game outside are two different concepts. Attracting foreign investment, even more than 30 years after the reform and opening up, is much better than private investment.

This can be seen in the fact that Luthor, senior vice president of ADM, was surrounded by enthusiastic officials after signing the investment agreement.

Of course, this is also related to Qi Zheng and Tian Renli of the Jiusan Group deliberately ceding the propaganda stage to ADM, and the two avoided interviews with reporters in a low-key manner, looking at the chatty and laughing Luther, tasting the taste of victory without pressure.

"It's hard to imagine how often ADM puts advanced technology into joint ventures, especially in foreign joint ventures. Tian Renli smiled.

"Multinational corporations are just after money, and if you can get them money, they will listen to you. Qi Zheng said very calmly, what he is pursuing is no longer pure profit.

"We used to want to give money, but no one wanted it. ”

"That's what you want to use now for more money in the future, and reduce the amount of money people make. ”

"What about Kaya's approach?"

"Use the money now to exchange it for more money in the future, and help them earn more money. ”

Tian Renli laughed, and in an instant, he said with emotion: "If we had said this a few years earlier, people would have just regarded it as a fart." These transnational capitals, if they don't have the same strength, they can't wait to make all their money......"

He was genuinely emotional.

In the past, Jiusan Group did not want to cooperate with large multinational grain merchants to introduce international advanced soybean deep processing technology, but few companies agreed that even if it was a second-class technology, it would have to pick and choose, and even if it was a joint venture, it would not let the Chinese side participate in substantive management.

As it is now, ADM only owns 50% of the joint venture plant, but since the supply of raw materials is still firmly in the hands of Jiagu, the Chinese side has a real say in the joint venture plant.

In the final analysis, it is strength that determines the right to speak.

Even the "green revolution" of China's soybeans, which has only released part of its potential, has injected a boost into China's soybean industry.

It is difficult to say that the United States' cancellation of the anti-dumping charges against China's soybean protein is not related to the news that Jiagu announced the joint promotion of "Jiadou 13" in the Russian Far East.

When the comprehensive promotion of "Jiadou 13" is completed in China and the Russian Far East, the soybean output that can be supplied independently in China will surely exceed 50 million tons.

Of course, 50 million tons cannot satisfy the growing appetite of the Chinese people, but no matter how much, there is no need.

Quite simply, plus stocks, not just soybeans, there is a complete surplus of food all over the world. China exports so many commodities every year and earns back a huge amount of foreign exchange, so it has to go to the international market to buy other people's things, otherwise it can only lend them to the Americans.

As far as soybeans are concerned, China has purchased soybeans from the United States on a large scale for so many years, and the United States has also planted a large number of soybeans, which is equivalent to being tied to us. If the U.S. doesn't sell, they'll have to rot in the warehouse, and if we don't, we'll probably have to bear the price of meat skyrocketing.

But before, this containment was more one-sided. We are overly reliant on U.S. soybean imports, and despite overproduction, multinational grain traders have occasionally sat on the ground to raise prices to make more profits. Once affected by changes in the international political landscape, China's soybean trade gap is not easy to make up.

And having an independent output of 50 million tons means that if the United States does not export, it can easily make up for it by increasing Brazil's imports; if they discuss and do not sell, although it is not enough to consume their own seeds, it is a big deal to let the pigs eat almost and eat less, so that they will not be powerless to deal with it.

Well, such an extreme situation is almost impossible. But to keep international soybean prices from the ground is a major win for us.

For example, ADM still wants to fight for a controlling stake in the investment negotiations, but Jiagu Agriculture and Animal Husbandry has disclosed a pig feed with domestic soybean meal as one of the main raw materials, and the efficient conversion efficiency has made the national pig industry look sideways, and ADM has become obedient later.

Tian Renli wanted to laugh when he remembered the righteous and stern declaration of the person in charge of agriculture and animal husbandry in Jiagu: "We don't just do it for the sake of benefits. At home, we do have competition with our peers. But, again, with the size of China, only the Chinese themselves can feed themselves, and if we can't feed ourselves, no one in the world can feed us. In this case, we are more cooperative than competitive. We at Kaya always hope that everyone can live a life of eating meat freely......"

The people who eat melons may be moved, but Tian Renli, who is always more rational than emotional, can see at a glance that Jiagu's move is tantamount to raising the competitiveness of domestic soybeans by a notch.

Consumers are more likely to get GMO-free products, including but not limited to meat, eggs and milk, especially in Europe. Now feeding livestock with non-GMO soybean meal can also improve the conversion rate of animal protein, that is, reduce the cost, since then domestic soybean meal and imported GMO soybean meal have opened a position.

ADM didn't dare to dwell on it, seeing that China's soybean competitive advantage is getting bigger and bigger, it is always easier to buy tickets on the ship first than later.

As for why Chinese soybeans are so good?

Don't ask, if someone can feel the rich aura concentration of the Jiagu soybean breeding base, there will be no doubt.

An old fritter in the soybean industry like Tian Renli just wants to look up to the sky and laugh: the sky is a good reincarnation, who can spare whom?

In the 80s of the last century, China was still the world's major soybean exporter, and it was in competition with the U.S. soybean industry in the international market. The U.S. Soybean Association opened an office in China to promote U.S. soybeans and soy products, which at the time was considered a fool's errand.

The American Soybean Association's approach is to promote the "soybean meal corn-type animal diet" among Chinese feed companies and farmers on a large scale, and let practitioners see the advantages of this feed formula through breeding trials. The results are known to everyone – to this day, the "soybean meal corn-type diet" is still commonly used in the feed and farming industries.

The Americans taught the Chinese a set of more efficient methods of using feed, and at the same time drove the demand for soybeans, and when Chinese soybeans inevitably could not meet the demand, importing American soybeans was a matter of course.

If you don't blow it or black it, Lao Mei can become the world hegemon, and her eyesight and ability are all online.

It's just that Jiagu is even more scoundrel, and while opening the "soybean green revolution", it has also established an advantage in quality, and it is stunned that the containment force of domestic soybeans has really been established.

Tian Renli is about to retire, and he can see the revitalization of domestic soybeans before he retires, and his career can be described as no regrets.

ADM is the first multinational company to enter the soybean intensive processing industrial park in Hei Province, and the world's soybean protein production leaders such as DuPont and Island Country Fuji Co., Ltd. have also expressed interest in joint ventures.

Not to mention, a number of local soybean deep processing enterprises are also gearing up, preparing to innovate technology and increase investment in Hei Province.

Tian Renli commented: "In recent years, there has been a saying that 'investment is not in Shanhaiguan', but in my opinion, it is not possible. ”

"Investing in Shanhaiguan is a false proposition. Qi Zheng shook his head and said.

Such a saying is spread in the domestic investment circle, that is, "investment can not go to Shanhaiguan, investment can not go to Yunnan-Guichuan, investment cannot go to Taihang Mountain, investment cannot reach Ningzanggan".

There seems to be a consensus in society that the investment environment in the Northeast is not good enough, so don't go.

In terms of Jiagu's experience, to be honest, there is indeed a gap between the Northeast and the Mainland.

For example, if you want to build a factory, but the construction company tells you that you can't start construction in winter, so the construction period is a few months longer than in the south; after the factory is built, you find that your production line can only run at 20 degrees, so you need a lot of money to keep warm; your factory needs to use trucks to transport raw materials and finished products, but every winter the roads are icy, although the government de-icing is timely, the overall efficiency is still much lower than in the south......

You find that although the salary is as high as in the South, the talent is more willing to stay in a place where the seasons are like spring, and you want to supply the market nearby, but there are more Siberian bears than people, and there are more people in the North than money, and the island market cannot enter at all, and South Korea is your biggest competitor......

The profit-seeking nature of capital determines that it can only flow to places with vitality and prospects.

The reason why Qi Zheng said that it was a false proposition was that the environment in the Northeast was even worse than that of the war-torn Black Africa? Even the Black Africa had domestic capital bets, and no one would invest in the Northeast?

As for the administrative efficiency that many people criticize, Qi Zheng took a deep breath, pointed to the huge soybean industrial park and said: "As long as there is a new economic growth point, everything will be solved." ”

Tian Renli laughed twice and said sincerely: "You are right. ”

When it comes to flexibility, domestic cadres are actually the most flexible.

If the mind is not emancipated, the temptation is great.

For example, in the soybean deep processing industry, when the potential of the pillar industry is shown, the Hei Provincial Government has set up a special leading group to promote the work and plan and cultivate the whole soybean industry chain as a key industry.

In the words of a high-ranking official in Hei Province, that is, as long as Jiagu is at ease to do agriculture and industry, the rest of the chores will be handed over to them, and the government will never hold Jiagu back.

This is not just talking, the government's service hall has been opened to the entrance of the industrial park, including taxation, industry and commerce, safety supervision, health and other departments, and it is easy to go out.

Of course, Kaya also lived up to expectations. The soybean industry alone has pulled up the GDP of the province by several percentage points, and has created greater and greater marginal benefits every year - the intermodal transportation system with the Russian Far East has improved the logistics infrastructure in Northeast China; the use of excellent agricultural production conditions has narrowed the gap in production efficiency and increased the attractiveness of investment; and more exchanges have broken the relatively closed local cultural environment, which is a virtuous circle......

Even if it is a local industry, Jiagu has broken the curse of "investment cannot be in Shanhaiguan", but has become "investment in Shanhaiguan".

What makes Tian Renli admire to the bone is that it is a blessing for ordinary people to form such a huge economic influence in an industry. In the northeast, in addition to the soybean industry, there is another industry shining - the ginseng industry.

Speaking of this, Tian Renli turned to look at Qi Zheng and said with a smile: "Dong Qi, your ginseng industry is also booming this year, I have to order a few good ginseng sticks in advance." ”

Qi Zheng smiled understandingly, then sighed lightly, and said: "Lao Tian, it's not that I'm stingy, it's okay if you want to say one or two, no matter how much you say, I can't do anything." ”

Tian Renli instantly understood: "Someone else asked you?"

Qi Zheng glanced at him, and said in a fluttering tone: "How rare, who doesn't want good ginseng from last year?"

......