No one could have imagined that under the relatively severe and tense situation of rice procurement in Hunan Province, the two responsible persons of the National Grain Rice Industry and the Yihai Rice Industry, which are rivals to each other, would get together to drink and chat.

But under the aggressive offensive of Jiagu Grain and Oil, such a scene looks extremely natural.

"Jiagu Grain and Oil clearly wants to lose money first, and then start making money after we clear the field......," said the person in charge of Yihai Rice.

The person in charge of the national grain and rice industry squinted at him when he heard this, and said that this method of "cleaning up the portal" by controlling prices was not the most slippery thing to play with Yihai Kerry? Who has been adopting the strategy of "losing money in the first two years and starting to make money in the third year", and has no points in his heart?

"I'm afraid, I'm afraid people won't lose money!" said the person in charge of the national grain and rice industry.

The person in charge of Yihai Rice Industry was stunned for a moment, and then sighed with affection: "Yes, Jiagu Grain and Oil's leading advantage in the rice business is too obvious!"

The person in charge of the national grain and rice industry also sighed.

It is not that they are popular, but that the whole rice industry chain built by Jiagu grain and oil has increasingly shown its strong power.

Generally speaking, the biggest advantage of the national food group is still at the policy level. Out of consideration for food security, the state will continue to provide preferential policy support to the production bases and processing plants under the Guoliang Group. The advantage of Yihai Kerry lies in their market experience.

But in the rice industry, Jiagu rarely has both.

For example, in Hunan Province, taking the opportunity of heavy metal pollution remediation, Jiagu grain and oil even received more preferential support than the National Grain Group.

They already have a premonition that the rice industry south of the Yangtze River will eventually be "monopolized" by Jiagu grain and oil.

Of course, this "monopoly" does not mean absolute control of the market, but crushing on scale.

"Don't look at the fact that Jiagu grain and oil is currently purchased through a third party in Hunan Province, but I am sure that soon, Jiagu will promote their large-scale order planting model and further control the grain source!" said the person in charge of Yihai Rice.

Isn't this how their rice processing factories in the main grain-producing areas of the south have fallen into the dilemma of no rice processing step by step?

Domestic rice cultivation is relatively complex, lacks scale, and rice varieties are also very different. Even two farming families that are neighbors to each other grow different varieties of rice.

For example, in order to produce rice of uniform purity on millions of acres of farmland, tens of thousands of families must be cultivated and harvested in a unified manner.

In addition to Jiagu Agriculture.

Although domestic land policies make it difficult for food companies to directly hold land upstream, it doesn't matter, Gia Gu Agriculture has formed alliances with thousands of cooperatives in Jiangyou Province who are rice growers, in Sioux Province, who are fruit farmers, and in Northeast China, who are soybean and rice farmers, by working with local governments and banks to give cooperatives loans at lower interest rates......

With such a network of planting bases, Jiagu Grain and Oil has mastered high-quality and stable grain sources. Yihai Kerry and Guoliang Group are not unable to purchase rice, but the supply is extremely unstable, and the quality is different, and the cost is far behind.

"I have received the news that Jiagu grain and oil and railway group cooperation to open a green channel for the whole country, Jiagu rice was approved by the Ministry of Railways as a national railway system exclusive products, and Guangzhou Railway and other 18 railway bureaus signed product supply and marketing contracts, become China's railway special, direct supply, special rice designated production enterprises. The person in charge of the national grain and rice industry said bitterly.

"......," the person in charge of Yihai Rice opened his mouth, "which means that it has completely opened up the traffic bottleneck?"

Logistics is an extremely important part of food products. Whoever minimizes logistics costs, or has a priority in logistics during the peak consumption season, will be able to take the initiative in the competition.

Through mergers and acquisitions, Jiagu Group has a huge fleet and warehousing network, and has its own operating outlets in hundreds of cities across the country. Now that the railway channel has been opened, it is like a tiger with wings.

Even, "Jiagu's move is aimed at the grain-producing areas in the northeast?"

"What do you say?"

The two looked at each other and smiled wryly.

Seeing that the main rice-producing areas in southern China are already dominated by Jiagu and the Huanghuai region is a battle between princes, Guoliang Group and Yihai Kerry have targeted the rice production base in the northeast region, where rice quality is high.

However, it is conceivable that as Jiagu Grain and Oil increases its investment in the Northeast region, the competition is bound to intensify.

To say that Jiagu does not have many rice planting bases in the Northeast, why are the two so jealous?

"Actually, what I envy the most is the rapid expansion of Jiagu's rice deep processing capacity!" said the person in charge of the national grain and rice industry with a sip of wine and a loud voice.

And the person in charge of Yihai Rice Industry on the opposite side also thinks so.

Where is the strongest point in the Jiagu rice industry chain? Some people say it is the front-end planting base, while others say it is the transportation chain.

But if there were two people to choose, they would choose the processing capacity.

Jiagu's kind of play that can be purchased at a high price, but is not afraid of weak profits, and can sell some products below the market price to quickly open up the market is too cool!

You know, rice is still the main source of income and profits of domestic rice processing enterprises, domestic rice deep processing is generally in the initial stage, often resulting in domestic rice mills meager profits or even in a state of loss, including the national grain rice industry and Yihai rice industry enterprises are in urgent need of finding more profit growth points.

Taking Guoliang as an example, although the rice business is one of the most traditional businesses of Guoliang, Guoliang Rice has not been expanding the domestic market for a long time. Because as of now, the rice sector of the national grain is still not profitable.

After all, the domestic supply of rice is in a state of equilibrium, there is no need to import, and the state has a very strong control over rice, which belongs to the policy city. Rice prices are under control, processing capacity is excessive, and most rice enterprises can only rely on processing rice into rice for sale, operating at a small profit.

For example, Beidahuang Rice, the second largest rice enterprise in China, has an annual processing capacity of more than 2 million tons of rice, but last year it actually produced only more than 400,000 tons of rice, and one of the main sources of profits was actually the railway freight subsidy given by the state finance.

The first rice enterprise Jiagu grain and oil is completely different.

Due to the nature of rice bulk agricultural products, the larger the processing scale, the lower the cost, and the processing volume is large enough to meet the requirements of deep processing of rice by-products. Small-scale enterprises do not have the funds to do deep processing of rice, and they do deep processing because of the small amount of by-products, and they cannot make money.

Only after processing rice into rice, extracting rice bran oil from rice bran, using rice husks to generate electricity, and processing rice starch, like Jiagu Grain and Oil, can there be sufficient economic benefits.

The birth of Jiagu rice oil fully proves that the profits of rice deep processing are very large, and rice enterprises can only stand out in the rice market by making innovations.

"Now it seems that we are in full bloom in rice, flour, miscellaneous grains and other businesses, it is better to focus on a staple food industry like Jiagu, and create a complete chain from seed research and development, improved seed promotion, order planting, order acquisition, processing and sales, and form an unshakable leading edge," said the person in charge of Yihai Rice.

Both are well aware that the rice industry is a much larger market than edible oil consumption. Although the investment is large, the profit is thin, and the time to effect is long. But as long as you can occupy a certain share, the benefits will also be amazing.

How do you catch up? This is a problem that both of them face.

And the two don't know that Jiagu Grain and Oil, which has a big lead in their eyes, will continue to expand their advantage.

......