Chapter 450: This Is a Struggle for Pricing Power (First Update)
Under the couch, let others sleep soundly. ”
In fact, this sentence is not only understood by Chinese, but also by South Koreans.
Every move of the Chinese ginseng industry affects the nerves of South Korean participating enterprises. The "Ginseng Industry Revitalization Project" led by Jiagu has just begun, and it has already alerted the biggest international competitors to take action.
In a joint venture trading company between Japan and South Korea on Hong Kong Island, Park Chan-young and Ishida Komatsu sat opposite each other, frowning at the materials in their hands.
"It's Gaya again!" said Park Chan-young through gritted teeth.
Park Chan-young clearly remembers how Gagu shattered his dreams in the cold winter of '04.
Tempting Chinese ginseng farmers to grow a large amount of ginseng at a high price, and then refusing to accept ginseng on the grounds that the so-called heavy metals and pesticide residues exceed the standard, completely suppressing the price of ginseng into the price of radish, and then frantically buying cheap and high-quality ginseng.
- If Katani does not intervene, it will be a big victory for Japanese and South Korean enterprises.
But Jiagu's acquisition of the city shattered their wishful thinking. Ordinary quality ginseng is okay, but at that time, nearly 40% of the high-quality ginseng production capacity was controlled by Jiagu in one fell swoop, resulting in their raw material purchase plan far from meeting expectations.
What's more, this not only shattered Park Chan-young's dream of promotion, but also equivalent to making a wedding dress for Gagu and cultivating a terrible competitor.
What's even more annoying is that Jiagu is behind the scenes, hyping up the conspiracy of Japanese and South Korean companies to control the ginseng market. Since then, South Koreans have become less popular in Kyrgyz province, especially in Wanliang Township, the largest ginseng market.
At present, the spokespersons of South Korean participating companies in China for the purchase of ginseng do not dare to take the initiative to admit that they bought it for South Koreans. In order to ensure the procurement of raw materials, the South Korean Ginseng Corporation had to set up a joint venture trading company with its counterparts in the island countries, merging the channels of the two companies to import ginseng from Hong Kong Island for re-export.
Park Chan-yong, who was stationed on Hong Kong Island, has been following the Jiagu Group in recent years. Compared with Jiagu's shine in the grain, oil and food business, Jiagu's ginseng industry seems to be insignificant. But Park Chan-young saw very clearly that Gagu was just accumulating strength, just by looking at its growing ginseng planting base.
Now, the moment has finally arrived. Jiagu will lead the Chinese ginseng industry on the road to revitalization, which has made the whole of South Korea restless.
......
On the other side, Ishida Komatsu has a completely different mentality.
Although he attaches great importance to the "ginseng industry promotion project" led by Gagur, he is not as heavy as Park Chan-young.
Although the island country is a country with a tradition of ginseng consumption, the ginseng produced in the island country is called stick ginseng, but the production is very small, and most of the ginseng depends on imports.
Therefore, the ginseng industry in the island country mainly serves domestic consumption. Ginseng is mainly used in two aspects, one is the preparation of Chinese medicine, which is the main direction of use of ginseng. The second is the health food represented by oral liquid - in the island country, the most popular ginseng products are concentrated products, which are mainly purchased for middle-aged people over 50 years old, and women account for the vast majority, because the main purpose of ginseng procurement is to improve health.
The revitalization of China's ginseng industry will certainly have a great impact on the ginseng industry in island countries - the import volume of ginseng in island countries has reached more than 1,000 tons, and 92% of the ginseng produced in China is used in pharmaceuticals and beverages at low prices.
But at the end of the day, the impact is more directly reflected in the cost of imports. It's just a big deal to spend a little more money, and it doesn't seem so difficult to accept when you think about the greater pressure from South Korean counterparts.
Ishida Komatsu even had time to think about how to get in touch with Kaya and reach a new cooperation.
Glancing at Park Chan-yong, who had a solemn face, Ishida Komatsu said with some schadenfreude: "The Chinese are very moving! It seems that the international ginseng industry pattern will change greatly." ”
Park Chan-young's face darkened even more when he heard this.
It's not that he doesn't know that Ishida Komatsu wants to see the excitement, but what he said is exactly what he, and even South Koreans, are most worried about.
As the two largest ginseng producers, China and South Korea together account for about 95% of the world's total fresh ginseng production, and South Korea is also the main competitor of the Chinese ginseng industry in the world.
Chinese ginseng is mainly exported to Asia, and South Korean ginseng exports are also mainly in the Asian market, or mainly in the Chinese market, and the export market is highly overlapping.
Although up to now, although China has the name of a big country in the ginseng industry, it does not have the benefit of a strong country in the ginseng industry, and there is a huge disconnect between ginseng production and output value - the output value of ginseng in Chinese only accounts for 10%~20% of the global ginseng output value, while the output value of South Korean ginseng is only 10-15% of China's, but the output value is nearly 3.5 times that of China. It's an absolute winner.
But if anyone dares to ignore China because of this, they will not know the height of the sky.
In the international ginseng brand market, through the use of capital, technology and brand advantages, the South Korean ginseng industry has been widely recognized by the international market, and has initially grasped the pricing power of the international ginseng industry.
Now, Chinese has clearly adopted the same ginseng strategy – the government attaches great importance to and actively encourages the ginseng industry to become bigger and stronger, and relevant policies and regulations have been introduced to stipulate market entry standards...... Most importantly, the Chinese have also pursued a brand strategy that has given the South Korean ginseng industry a taste of great sweetness.
"This is clearly a battle for pricing power in the ginseng industry!" Park Chan-young said silently.
The South Korean government, business circles, and academic circles not only vigorously promote the taste and quality of "Korean ginseng", but also deliberately package South Korea as the "birthplace" and "suzerain" of ginseng, so that international people think that Chinese ginseng is "pirated" and inauthentic, and it has lost its original international market step by step.
Now, the Chinese side is actively responding to the war. South Koreans are well aware that a war for the pricing power of the ginseng industry is about to start between the two major ginseng producing countries, and this will be an all-round contest of capital, technology and management.
But Park Chan-young's heart seems to be covered with a layer of haze.
The awakened united Chinese are truly awe-inspiring. Just like industry, Western industries generally cannot be transferred after they are transferred to China, and Chinese enterprises that have mastered core technologies, with huge productivity and markets, can often achieve high, medium and low-end all-in-one.
Returning to the ginseng industry, Kagok's technical ability in high-quality ginseng cultivation even gave Park Chan-young the illusion that if Gagu wanted to, it could make high-end ginseng products into cabbage radish prices.
Park Chan-young shook his head and threw the nonsensical idea out of his mind. After all, ginseng cultivation is regional, and it is difficult to change the resource scarcity attribute of ginseng.
In that case, let's go to war!
Like kimchi, ginseng is an important business card of South Korea and must not be missed.
Park Chan-yong calculated that South Korea already has a huge first-mover advantage, and now it is adopting a strategy of "attacking and defending" -- "seizing the beach" in the Chinese market, and the pricing power of the ginseng industry must belong to South Korea.
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