In 2013, China-Japan relations fell into an all-round deterioration, falling to the lowest point since the establishment of diplomatic relations between China and Japan, and even since the end of World War II.

The reason for this was that in the middle of last year, under the impetus of the increasingly arrogant right-wing anti-China forces in the island countries, the prime minister of the island countries decided to buy Diaoyu Dao in the name of the government and formally implement the so-called "nationalization" of Diaoyu Dao.

In January this year, more than 10 fighter planes of China and Japan confronted each other over the East China Sea, the closest the two sides have come to war since the Diaoyu Islands dispute broke out.

Not long ago, China's navy dispatched missile destroyers and frigates to return home through the open waters off the coast of Okinawa and patrol the waters near China's Diaoyu Islands...... Tensions between the two sides continue unabated.

The overall deterioration of relations between the two countries has also had a tremendous impact on the economic and trade relations of the two countries. Among them, Jiagu, one of China's largest exporters of agricultural products to the island country, is naturally the first to bear the brunt.

However, Qi Zheng, who was at the helm of the giant ship Jiagu, was not in a hurry, and he was stunned to inspect Jiagu Agriculture's soybean spring plowing plan this year before returning to the headquarters to hold a meeting.

At the meeting, Qi Zheng listened to Zhong Huazhi, the person in charge of Jiagu International, introduce the new situation of trade with Japan.

“...... So far, the Ministry of Health and Welfare has increased the frequency of surveillance and inspection of our exported pork to 50%, and at the same time increased the import tariff rate of our pork to 50%, and for our non-GMO soybean import testing, the pesticide residue limit standard has been further revised, which can be called the world's most stringent pesticide residue ratio standard......" Zhong Huazhi said with a frown.

Qi Zheng raised his eyebrows and sighed secretly: What should come is always coming.

It is not uncommon or strange to say that island countries have created obstacles to China's agricultural exports.

The most typical is the "Positive List System of Agricultural Chemicals for Food Residues" implemented by the island country in 06.

Before the implementation of the "Positive List System", PICs had only set 9,321 limit standards for 255 kinds of veterinary drugs and feed additives and 186 kinds of food and agricultural products. After the implementation of the "Positive List System", the limit standards are 3 times, 1.4 times and 5.6 times of all the previous regulations, and for those who do not set a limit standard, the "uniform standard" is implemented, that is, the content shall not exceed 0.01 ppm (0.01 mg/kg).

You must know that China has only formulated 477 residue limit standards for 137 pesticides and 658 residue limit standards for 98 veterinary drugs, which is very far from the "Positive List System" of island countries.

There is no doubt that this is a great technical barrier to China's export of food and agricultural products to Japan!

For general producers, in order to meet the requirements of technical barriers to trade in island countries, new manpower and new equipment must be invested to meet the requirements of standards, and expensive testing and certification fees need to be increased, which greatly increases the cost of export products, and finally reduces the comparative advantage of agricultural exports.

But there are always some high-standard producers who are not afraid of fire refining real gold.

For example, Kagaku.

Jiagu's technical standards for agricultural products are based on international standards, and have been improved by 30%~50%, and based on the production mode of the whole industry chain, the quality and safety system is also guaranteed, naturally, Jiagu has become a new star in the domestic export of agricultural products to Japan.

"What was the scale of our exports to Japan last year?" Qi Zheng asked after listening carefully to Zhong Huazhi's introduction.

The scale of Jiagu's exports to Japan is increasing day by day, and he really doesn't know the latest business data, and you can't expect the helmsman of a giant with hundreds of billions of revenues to know every business data well.

Zhong Huazhi blurted out: "The two largest agricultural products we export to Japan are still non-GMO soybeans and pork, of which, last year, we exported 500,000 tons of soybeans, 160,000 tons of pork, as well as rice oil and other products to Japan...... The total export scale is close to 16 billion yuan. ”

Hearing this data, Qi Zheng touched his chin and suddenly understood why the island country's restrictions on Jiagu agricultural products were becoming more and more stringent.

Since Jiagu built the world's largest non-GMO soybean production base in Northeast China and the Russian Far East, it has gradually formed an independent trading system for non-GMO soybeans and grasped the market pricing power and discourse power.

Since 2010, the number of non-GMO soybeans imported by the island nation from Jiagu has increased year by year, reaching a new high last year. At the same time, the island country consumes more than 600,000 tons of soybean protein every year, and in the soybean deep processing industry alliance in Jiagu, soybean protein exports have occupied 55% of the market share in international trade, and two-thirds of the soybean protein imported from China by the island country.

The situation with pork is even more exaggerated.

Previously, 45% of the pork in the island countries relied on imports from the United States, Canada, Mexico and other countries, with an import volume of more than 700,000 tons, but this is not the same nature as Jiagu pork at all.

The price of imported pork from the United States in the island country is only about 30 yuan/catty, and the import price of Jiagu pork has reached 29 yuan/catty, and the price in the island country is the same as that of domestic pork, reaching 60 yuan/catty.

The trick is that at the same price, the better quality of Jiagu pork is stunned to overwhelm the domestic pork of the island country, and the consumers of the island country, who have always preferred domestic products, have broken the success of Jiagu pork - after all, the taste buds will not deceive. At the same price, the support for domestic products can't bear the pursuit of food by foodies.

"If I'm not mistaken, the profit from trade with Japan last year was about 3.6 billion yuan. Qi Zheng asked suddenly.

"3.63 billion yuan. Zhong Huazhi added.

It is worth mentioning that at least two-thirds of the more than 3 billion yuan belongs to excess profits.

The problem is that excess profits are not generated out of thin air, and if Jiagu earns it, the island country must have suffered a loss.

The interest groups of the island nation are not inactive. For a long time, the sampling inspection of Jiagu's agricultural products has been the strictest. It's just that the biggest reason for island countries to refuse China's agricultural imports - health quality problems are not good for Jiagu at all.

At present, Sino-Japanese relations have entered the most tense moment, and the containment of Jiagu's exports has become logical.

Qi Zheng pondered for a moment and then asked, "How big is the loss you expect?"

Zhong Huazhi said bitterly about Jiagu International's speculation: "If the trade barriers against us are not improved, the scale of exports to Japan will drop by at least 60% this year, and the decline in profits will only be greater......

Taking Jiagu pork as an example, the island country has added 25 items in a frenzy on top of the original 425 testing items, resulting in the cost of testing rising to 70,000 yuan;

For Jiagu's non-transshipment soybeans, tariff escalation and tariff quotas go hand in hand – the tariff rate on non-transshipment soybeans imported from the United States is 15% lower than that of Jiagu, and three groups, including the Island Soybean Association, have even issued notices demanding that the quantity of Chinese soybeans imported without any safety and quality problems be controlled – is simply a discriminatory barrier.

Of course, in terms of rice and dairy products, which are the most strictly controlled, the island countries have not set up any barriers to Jiagu's Xianming rice and Jiagu milk - even if they are set up, they are useless, and Jiagu has not opened up the export of these two resources to Japan on a large scale.

Qi Zheng sighed, a little distressed.

Although it is enough for a country to set up targeted trade barriers against a company, even in special circumstances, it is enough for him to be proud for a minute.

However, billions of dollars of fat have been "clicked" by the islanders, and it will be painful for anyone to change.

Qi Zheng didn't have a heartache for long.

Not because he treats money like dung, but because he knows that since he has chosen to grab the super-profits of trade with Japan, he will have to bear the risks of friction between the two countries, which in the final analysis has never been just an economic issue, but also a political one.

However, being able to understand does not mean that Jiagu can swallow this breath.

Since it's not purely economic, it's even better. Jiagu looked at the power of Japanese grain merchants in China, and it was not a day or two.

Qi Zheng turned his gaze to Wang Yuye, the big housekeeper on the other side: "What is the direction of the company's counterattack?"

"Imported soybeans from Japanese grain merchants. Wang Yuye spat out a few simple words.

Qi Zheng laughed knowingly.

When the domestic soybean revitalization plan was successfully implemented, there was an issue that was put on the forefront. With the increase in the self-sufficiency rate of domestic soybeans, the amount of imported soybeans has definitely declined.

So, who will be the biggest victim?

And this question has naturally been answered after the overall deterioration of Sino-Japanese relations.

If the state takes action, it will be too petty, but if it is Jiagu who makes the action, who can say anything to a "victim"?

......