Chapter 616: When Chinese Soybeans Hit the Market (1/2)

"We have signed soybean supply agreements with 112 soybean processors, all of which are large factories with an output value of more than 100 million yuan. The selling price of soybeans is based on the price of soybeans from the state reserves, and the price is 4,900 yuan per ton according to the principle of increasing the protein content. In this way, based on market transactions and based on the principle of high quality and high price, cooperatives and processing enterprises have established a mutually beneficial cooperative relationship, and truly formed a community of interests...... "Wang Yuye, general manager of Jiagu, held the report in his hand and did not open it, but repeated it to Director Hu of the National Development and Reform Commission.

The National Development and Reform Commission is not the competent unit of Jiagu, but for the first wave of harvest since the implementation of the domestic soybean revitalization plan, Deputy Director Hu, who strongly promoted the plan, can be said to be one of the people who is most concerned.

Therefore, he listened very carefully to Wang Yuye's active communication.

When he heard the price, Deputy Director Hu raised his eyebrows: "4,900 yuan/ton......? Is it reasonable?"

Don't get me wrong, it's not that he's too high, on the contrary, he thinks it's too low.

According to data provided by the National Grain and Oil Information Center, the arrival price of imported soybeans has fluctuated around US$610 per tonne in recent months, and domestic oil mills can pick up the goods at a price of about US$710 per tonne, which translates to about 4,400 yuan, according to data provided by the National Grain and Oil Information Center.

It seems that the price of Jiagu soybeans is still nearly 500 yuan higher than that of imported soybeans, but you must know that this wave of early-maturing soybeans is high-protein non-genetically modified soybeans, even in the world, it is 10% ~ 30% more expensive than genetically modified soybeans.

Deputy Director Hu is worried about whether Jiagu is trying to promote domestic soybeans, which is depressing the income of soybean farmers.

Wang Yuye smiled: "No, this price is formulated based on the interests of all parties, and it also ensures the competitive advantage of domestic soybeans, let me give you a detailed introduction." ”

"You say. Deputy Director Hu nodded.

"Generally, the production cost of domestic soybeans is mostly 2700~3100 yuan per ton, and if you add the cost of renting land, it is close to 4000 yuan in many cases. As a result, growing soybeans in China is often a loss-making business. Wang Yuye first suppressed and then raised: "In addition to improving the quality and efficiency of production, the most obvious service function of the cooperative is to reduce costs." ”

"The unified purchase of means of production can save 15%-20% of production costs, which is reflected in the Jiagu soybean cooperative, which has been reduced by at least 500 yuan/ton; ”

"In this way, the production cost of our high-protein soybeans is about 2,300 yuan per ton, but don't forget, the yield has also increased by more than 100 catties per mu, although the price has not risen much, but the sugarcane farmers have increased their income by 80%. ”

Deputy Director Hu nodded again and again.

In international trade, price is king.

Why are imported soybeans invincible? The difference in production costs speaks for itself.

The difference in production costs is related to both the fact that "productivity" lags behind people and the huge subsidies from the government.

Domestic soybeans fight for scale and subsidies, and they must not be able to fight for the United States. The only thing that can be done is to find a way to cooperate and unite in terms of yield.

Luckily, there is Kaya!

Although the highest-yielding and high-oil variety "Jiadou 13" has not yet fully transformed the yield increase potential into actual productivity, the outbreak of soybeans in the south alone is enough for Deputy Director Hu to see the contribution of Jiagu to the increase of domestic soybean production in terms of varieties and cultivation techniques.

Jiagu is now basically reducing the production cost of high-protein soybeans in Gui Province to the average level of the United States, while the immature high-oil soybean "Jiadou No. 13" has a higher degree of supporting machinery and a more obvious increase in production, and its production cost is further reduced.

"Moreover, the slightly lower pricing is also conducive to processors buying domestic soybeans. Wang Yuye added, "In other words, it is conducive to strengthening the domestic soybean industry alliance." ”

Deputy Director Hu rubbed his chin and said, "You're right. ”

God knows, at a time when the production of domestic soybeans is expected to "skyrocket", in order to encourage the use of domestic soybeans, there were calls within the National Development and Reform Commission to learn from Thailand's measures such as "every ton of imported soybeans must subscribe to one ton of domestic soybeans".

Who knows that Jiagu waved his hand, only to reduce the cost of soybean production, and slightly make a profit on the selling price, without too many official incentives, soybean processors are flocking to domestic soybeans.

To be honest, if the price of Jiagu soybeans is a little higher, will there be a shortage of buyers? No.

But can there be hundreds of buyers to pick from? Not necessarily.

Now Jiagu has easily picked out hundreds of buyers with an output value of more than 100 million yuan, and with the vision of Deputy Director Hu, he naturally realizes that this is not only a partner of Jiagu, but a soybean industry alliance that is growing around Jiagu.

How to confront the industrial chain like an "aircraft carrier" of foreign capital?

Jiagu gave his own answer: the "small sampan" such as the small-scale farmer production of a family and the soybean-processing company that was like a straggler slowly united to form our "soybean aircraft carrier" - Jiagu is the flagship of the fleet.

Deputy Director Hu thought more far-reachingly: "Jiagu, are you planning to fight for soybean pricing power?"

Changes in the domestic soybean industry – scientific and technological progress has increased soybean yields, farmers have strengthened cooperation and alliances, and soybean processing companies are no longer fighting each other – all seem normal when they are separated, but when combined, there is a faint glimpse of Jiagu's ambition to take the initiative in soybean pricing.

"That's right. Wang Yuye was blunt.

Deputy Director Hu's eyelids were jumping: "This step is very difficult to take." ”

"It's really hard to walk. We are the world's largest importer of soybeans, but we don't have any pricing power. The reason for this involves complex issues such as the post-World War II international order, the international monetary system centered on the US dollar, WTO rules, and the global agricultural futures market. In the domestic market, the interest game between foreign capital, state-owned assets and private capital is also intertwined. Wang Yuye paused and wrote lightly: "We don't expect to achieve it overnight, but now is the best time." ”

Deputy Director Hu couldn't help but groan, his thoughts turned around, and he asked, "I heard that Qi Dong is working hard in South America now?"

"Well, domestic arable land resources are still limited, and we must learn to integrate global agricultural resources. Wang Yuye said it as a matter of course.

"You guys are attacking in all directions!" Deputy Director Hu sighed.

This reminded him of the country's oil strategy.

China's oil and soybean industries are very similar to twin brothers – they are highly dependent on foreign countries, and for a long time, the main sources of imports were concentrated in a certain region, and they were heavily passive in the pricing game.

But oil is much more important than soybeans.

After more than ten years of efforts, the country's oil imports have gradually "broken through". Today, China can import crude oil from dozens of countries or regions, covering the Middle East, Africa, Russia and South America, building a diversified oil import pattern, and at the same time vigorously improving crude oil reserves and refining capacity in China to provide guarantee for national energy security.

Soybeans, on the other hand, were previously hung from a tree in the Americas (the United States, Brazil, and Argentina). It is also the rise of Jiagu that has made efforts in China and the Russian Far East to save some face.

"Is there anything I can do?" Deputy Director Hu has always expressed full respect for Jiagu, who took the initiative to "wade through the water".

"There really is. Wang Yuye smiled slightly, "Some things, such as improving the productivity of domestic soybeans, promoting the establishment of a joint procurement mechanism to enhance the overall bargaining power, and establishing a diversified import pattern...... Jiagu can take its own time, but there are some things that can only be led by the government, such as the authoritative soybean information release center. ”

The pricing game is not just about production, authoritative "China data" is also a key part.

Looking at the losses suffered by China's soybean industry, "information asymmetry" is an important factor causing various tragedies - relying only on the "flickering" of the United States, it will fall into the pit in minutes.

Therefore, in order to compete for soybean pricing power, China needs a unified and authoritative soybean information release center, which can timely understand and accurately judge the dynamic changes and medium and long-term trends of market information such as supply, demand and influencing factors of the global soybean industry, so as to provide a basis and reference for the government to formulate industrial management policies, producers to adjust production plans, traders to adjust business strategies and consumers to adjust consumption expectations.

Deputy Director Hu smiled: "The hero sees the same thing, we happen to be building a more complete soybean public information service system, starting with the release of this year's national soybean production situation." ”

"Publish it now?" Wang Yuye was surprised.

"The on-schedule bumper harvest of soybeans in Guizhou Province has given everyone confidence. Moreover, we also want to see how much of an impact the 'leverage effect' of China's new 10 million tonnes of soybeans can have on the global soybean trade pattern. Deputy Director Hu laughed twice.

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