2009 was an interesting year.

The declining economic situation abroad and the economic recovery at home have made Jiagu's fields of agriculture, animal husbandry, grain and oil full of uncertainties.

The situation of pig breeding is changing, and it is still unknown who will be able to win the hegemony in the future; and in the grain and oil market, a number of grain and oil giants have also begun to compete with each other.

According to the ranking of domestic oil processing enterprises disclosed last year, the top ten are Jiagu Grains and Oils, Yihai Kerry, Jiusan Oil, Guoliang Group, Cargill, Noble Group, Bunge, Huifu Group, Bohai Group, and Louis Dreyfus, which just happen to be half Chinese and foreign.

At the same time, because of overcapacity, the state issued the "Guiding Opinions on Promoting the Healthy Development of the Soybean Processing Industry", which clearly stated that it is necessary to support national soybean processing enterprises and strictly control soybean processing capacity. This year, while small and medium-sized private oil processing enterprises were eliminated, the power of foreign oil processing began to be compressed.

On the one hand, with the increasing influence of foreign capital such as Yihai, Cargill, and Bunge on the domestic grain and oil industry, the state's intention to support the expansion of central enterprises such as national grain and national grain reserves to counter foreign investment has been very obvious. The rapid rise of Jiagu grain and oil in the oil industry has also received the attention and attention of the state.

On the other hand, there is policy bias. In the "Notice on Doing a Good Job in the Purchase of Rapeseed in 2009" issued by the state, it is stipulated for the first time that enterprises can participate in the purchase of the market, and the state finance will give certain subsidies. But there is not a single foreign-funded company in this list of more than 100 companies, and Yihai Kerry is no exception.

In fact, although with the intervention of Jiagu, less than half of the oil processing capacity controlled by foreign capital, Yihai Kerry still occupies almost 40% of the market share in the edible oil field by virtue of its early start, which has almost touched the monopoly ceiling. Domestic public opinion is constantly worried about its threat to grain and oil security.

......

"Yihai Kerry is undoubtedly feeling the pressure, and I've heard that they are already in talks with Goldman Sachs, Da Mo and BOC International to start preparations for an IPO on their China business, which will be on Hong Kong Island, and the timing is said to be 'the sooner the better'. Wang Yuye said to Qi Zheng, who returned to the headquarters.

Unlike Qi Zheng, who spends at least half of the year "inspecting" the industry, Wang Yuye sits in the company every day and leads the overall situation. For example, a big move by its direct competitor Yihai Kerry seeking to go public naturally can't hide it from him.

"Yihai Kerry wants to transform from the 'roots' to deal with the aggressive offensive of us and the National Food Group, as well as the unpredictable risks in policy!" Qi Zheng reacted instantly, and knew Yihai Kerry's thoughts at a glance.

As the most successful foreign-funded grain company in localization, if Yihai Kerry is listed on Hong Kong Island, it will naturally transform the company into a domestic enterprise, which will not only get rid of the title and restrictions of "foreign investment", but also contribute to the stability of China's business and reduce the policy resistance that may be encountered in China.

It's a pity that Yihai Kerry is really unlucky.

Qi Zheng had the impression that around the same time and space, Yihai Kerry also had a plan to list on Hong Kong Island, but because of the downturn in the stock market, it finally had to choose to run aground.

Jiagu does not have a "butterfly effect" on the stock market, so it is likely that Yihai Kerry will repeat the mistakes of the past.

However, this does not mean that Yihai Kerry has given up on tactical competition. Wang Yuye said meaningfully.

Qi Zheng raised his eyebrows slightly: "What kind of moth is Yihai Kerry going to come out of?"

Wang Yuye smiled faintly: "What other means can I use to continue to use price leverage!"

Don't look at Wang Yuye's easy talk, but Yihai Kerry is so handy at playing.

Its most visible campaign was last year.

We all know that at the beginning of last year, the subprime mortgage crisis was hidden, and commodity market prices were bullish all the way, and the same was true of soybean oil, which soared by nearly 30%.

Under the huge pressure of costs, domestic grain and oil enterprises are clamoring for price increases.

At that time, Arowana submitted an application to the National Development and Reform Commission for a price increase, and it was successfully approved. However, after the price increase was approved, Arowana has been standing still, although other edible oil companies have a lot of complaints, but they do not dare to act rashly Arowana is the overlord of the domestic edible oil field after all, its every move will directly affect the trend of the market.

It was not until the Mid-Autumn Festival peak season that the subprime mortgage crisis began to break out and the international soybean raw material prices began to fall, and Kerry Grains and Oils suddenly announced that the price of its Arowana was lowered across the board, involving multiple product lines such as soybean oil, rapeseed oil and blended oil, a drop of more than 10%.

The people of Arowana said that this price reduction is because of the cost reduction, and it is a responsible business practice to reduce the price of products in a timely manner.

At a glance, well, there is nothing wrong with this, the cost has been reduced, and the price of the product has also been reduced, a proper "conscience" enterprise.

But if you look at the industry as a whole, it's an uproar.

After all, before the high cost of soybeans, the industry leader Arowana does not increase the price, we naturally do not dare to act rashly, brand awareness has not been compared with others, if the price is higher than others, is not the market handed over? Therefore, we endure the status quo of losing 200~300 yuan for every 1 ton of soybean oil squeezed, and see who breaks the game first.

After the country's soybean prices fell, domestic edible oil companies were not very happy, because the soybeans they used at that time were purchased at a high price.

But the price reduction of Arowana is undoubtedly worse, making it difficult for them to bear, which means that they have to sell at a lower terminal price, which leads to a greater crushing loss.

In this way, many crushing companies have been forced into an embarrassing situation. The price increase can't go up, and the price reduction doesn't dare to follow the trend rashly. Between the advance and retreat, a large part of the market was lost, and Arowana took the opportunity to expand its territory.

Of course, this trick is very effective for those crushing companies that are not strong or can not judge the economic situation, but for giants like Jiagu with the whole industrial chain of soybean planting and processing, it is also an opportunity to make a fortune Jiagu grain and oil share in the edible oil market is after this more than Fulinmen.

So afterwards, the Arowana was also quite depressed. Its market share has expanded, but it is the first, and the increase in share is not obvious. On the contrary, Jiagu Grain and Oil, which has become the second largest edible oil merchant in China, has taken advantage of the situation to greatly shorten the distance with himself;

Of course, Wang Yuye and Qi Zheng both know that this is also Jiagu covering the entire soybean industry chain, and there is no fear to follow the pace of Arowana in order to make a fortune, which once again explains that its own strength is fundamental.

"In recent years, the state intends to reduce the influence of foreign investment in the oil industry, and the development momentum of Arowana has been affected. Yihai Kerry's all-foreign capital attributes determine that he must take the road of marketization, so Arowana has shown his sword again!"

The background of Wang Yuye's remarks is that since May, the price of raw materials has risen sharply. Arowana, which is extremely sensitive to the market, immediately took action and took the lead in revealing the news that it would increase its price by 10%.

Fu Linmen, which has always been keeping an eye on Arowana, couldn't hold back this time, and the price of the whole line immediately increased by 10%~15%. And Jiagu Grains and Oils, which ranked second, was calm and calm, and has not yet expressed its position.

The imminent edible oil war has begun.

......