It's just that in addition to the state-owned enterprises, foreign capital has also penetrated into this huge market. In the edible oil market, soybean oil occupies half of the country, which can be described as a battleground for soldiers.

In the 90s of the last century, as one of the earliest grain and oil varieties in China, the soybean market was gradually opened to foreign investment in the 90s of the last century, and world-class grain merchants, including ADM, Cargill and Yihai Kerry, increased their soybean trade in China.

Since the United States is very developed in agriculture, to what extent? More than 75% of the beef comes from large cattle farms, and the number of these cattle farms is generally 300,000-500,000 heads, which is unimaginable in China.

The same is true when it comes to soybeans. The United States has achieved mechanized large-scale production, coupled with its use of genetically modified technology, the cost of soybeans is far lower than the international level, and it is definitely good quality and low price.

With the opening up of China's soybean industry, domestic oil mills have generally adopted the method of joint ventures or entrusted imports with these large grain merchants in the face of high-quality and low-cost international genetically modified soybeans. With the rapid expansion of domestic demand for soybean oil and other products, domestic soybean crushing enterprises have begun to build and expand factories, and the sites have chosen to be in the coastal zone, and while enjoying imported soybeans to earn high profits, they have gradually abandoned the Northeast soybean channel.

It is precisely by following the business rules of survival of the fittest that China's soybean industry gradually declined and was slowly replaced by imported soybeans.

After the genetically modified soybean successfully squeezed into the Chinese market, because it has controlled the upstream of raw materials, according to the principle of capital profit-seeking, foreign capital has targeted China's soybean oil processing industry.

At that time, soybean oil processing products were undoubtedly in the golden period of rapid development. On the one hand, the needs of the market, with the development of the economy, China's demand for edible oil is rising; On the other hand, cheap imported soybeans reduce production costs. As a result, oil extraction companies have made good profits.

Driven by profits, China's oil extraction companies began to expand with the help of bank funds. However, while depleting domestic soybean stocks, it has also pushed up soybean futures prices.

At the beginning of 2004, when U.S. soybeans were on sale. China's soybean inventory is basically zero. After learning that China's purchasing delegation would go to the United States to purchase soybeans in March 2004, the capital of the United States began to sharply raise the price of soybeans, publicizing a large-scale reduction in soybean production in South America, and the price of soybeans on the Chicago Board of Trade rose from $220 a ton to $391 a ton, a 15-year high.

Faced with a 15-year high price, the Huaxia buying group finally signed a purchase contract to buy about 3 million tons of soybeans from the United States. But immediately after leaving the United States, international soybean prices plummeted, falling as high as $125 a tonne.

There is no doubt about it. It has taught Huaxia another vivid lesson.

The heaviest losses are those oil extraction companies that follow suit. Based on speculation and the demand for turnover inventory, these edible oil companies in China have bought a large number of soybean forward futures contracts, which directly led to the signing price of most of China's import orders in 2004 to maintain at 4,000 yuan a ton.

Only later it turned out that everything was a trick of American capital. There was no widespread decline in soybean production in South America, which was almost the same as the previous year. Instead of reducing soybean planting, U.S. soybeans have increased by 2 million acres from the previous year, and expectations for an increase in U.S. soybean production have suddenly swelled sharply.

Exactly. Soybean futures prices plummeted, and the decline in seaborne prices accelerated the decline in soybean prices. The soybean oil extraction industry, which is still in its golden period. Due to the misjudgment of the price of soybean futures, it immediately entered a cold winter.

Originally, if this kind of thing is boiled, the cold winter will pass, after all, the market of edible oil in China is still beautiful.

However, Huaxia's commercial banks once again played the role of excellent businessmen. Looking at the vitality of oil extraction enterprises, the vitality is greatly damaged. There were problems such as price wars in edible oil, and the payment for domestic oil extraction enterprises was greatly tightened, and the capital chain of oil extraction enterprises was in trouble.

A large number of companies defaulted on their contracts and were forced into bankruptcy because they could not get paid for the soybeans from the bank and could not pay for the soybeans. Only one year. More than 1,000 soybean crushing enterprises in China have either closed down or acquired mergers.

According to the statistics of 2010, China's 97 large-scale soybean processing enterprises, of which 64 have foreign investment background, the actual processing capacity of more than 50 million tons, accounting for 85% of the domestic total.

"The edible oil market is not easy to mix, right? Not to mention that foreign capital controls soybean oil, and other fields are also controlled by powerful state-owned enterprises, so it is difficult for you to have an advantage in price, right? After Ye Zhengzheng learned of his intentions, he was not very optimistic.

"I don't plan to challenge state-owned enterprises, I plan to enter the soybean oil market. The price of soybeans in the Northeast is indeed a little higher, but now people are paying more and more attention to the quality of life, and many people have scruples about genetically modified food, so non-genetically modified soybean oil has a good market prospect. Long Xingsheng shook his head and explained his intentions.

"Isn't your real estate very good? Why do you want to enter the edible oil market? Ye Zhengzheng hesitated for a moment, but still expressed his disapproval more tactfully. In fact, it is not without an arrow, and he really can't find any good companies in this field.

"It's not the same anymore, and while house prices are still rising, it's getting harder and harder to sell. If the house is pressed in your hand for a day, you will have to pay the bank an extra day of interest, and this risk is accumulating, so you naturally have to choose other developments. Long Xingsheng looked up at the blue sky, his eyes were a little embarrassed.

In this industry for more than ten years, he also wants to build Longteng into a century-old store. It's just that Huaxia doesn't allow him to be so capricious, and after the house price is copied to a certain extent, it is destined to become this bubble.

Since real estate has kidnapped the local government, this housing price will not fall off a cliff, but it will be fatal to them. It could take decades to digest, so much so that he had to find a new way out.

"If you say that, you shouldn't be just a little bit of a fight this time, right?" Ye Zheng looked at his side face and found that this person looked a little heavy.

"I want to build the largest soybean production base in Northeast China and the largest non-GMO production plant, do you want to do it with me?" Long Xingsheng turned his head, his eyebrows raised slightly.

"I can't afford to play it, at most I'll help you sell it and give some to my members!" Ye Zhengzheng picked up the teacup and shook his head with a wry smile.

"Good! So happily decided, we will set up a sales company in Nanhai at that time, and this sales will depend on you! Long Xingsheng stretched out his hand and patted Ye Zhengzheng's shoulder, and said very proudly.

Ye Zhengzheng was stunned, and soon came back to his senses. This person came to listen to his opinion, and it was clear that he had already decided to enter soybean oil, and this was to open up the sales of the product to find himself.

Burst! Fooled!

(To be continued.) )