Chapter 344: Big Disadvantage
The middle-aged man in his forties with a sparse top of his head stretched out his hand to Li Han: "Hello, I'm Nie Caibin, CEO of Dawn Group. You may not know much, our Dawn Group is currently the largest soybean planting enterprise in China, and 90% of the soybeans in China are basically produced by our company. ”
Another young man in his thirties and polite manners then shook hands with Li Han: "Hello, I am Kong Jianhua, CEO of Hualong Enterprise, and our company focuses on soybean processing. ”
"Is it the soybean oil industry?" Li Han asked curiously.
Kong Jianhua smiled: "Soybeans are used for many purposes, not only in oil and aquaculture. Soybeans are the main source of lecithin, which is widely used in industry, hospitals, paper and tanning, and stearic acid, which is the main substance in ore flotation agents, soaps and candles. Our company is mainly responsible for this processing, and of course soybean oil is one of them. ”
Immediately, Zhou Keming added: "In addition to ordinary soybean oil, oxidized soybean oil made from soybeans is an alternative to mechanical lubricants, and soybeans can be mixed with alcohol to make artificial rubber, liquid fuels, printing inks and so on." So the uses of soybeans are very versatile, and we have to take the soybean market into our own hands. ”
Li Han nodded: "Yes, our own market, of course, must be held in our own hands." But what exactly do I need to do? ”
"Well, since 2016, we have been slowly recovering our own soybean market." Zhou Keming explained, "That year, the yield of double cropping rice in South China developed by Yuan Lao exceeded 1,500 kilograms. In this way, we can save more land to grow soybeans. The two companies of Dawn and Hualong also developed little by little from that time. But ......"
Speaking of this, Zhou Keming changed his words: "In recent years, as we have shown our ambition to regain the soybean market, the four major granaries have begun to move again. That's why we want you to work with us to reclaim this market. ”
Next, Zhou Keming briefly explained this cooperation.
Qiaokou will use some of the funds on hand in exchange for 10% of the shares of Dawn Group and Hualong Enterprises, and then assist the strategic operation of the two companies, and the three companies will join forces to take back the soybean market little by little.
In this trade war, China Grain Reserves is only playing the role of backup.
Because most of China's soybeans rely on imports, the pricing power is not in their hands, and the price is affected by large fluctuations, so China grain reserves cannot hoard soybeans in large quantities like other staple grains.
However, the financial crisis in 2008 caused global food prices to fall to the bottom, and China Grain Reserves took advantage of the time to store sufficient soybeans and soybean oil. Relying on this part of soybeans and soybean oil, it is enough to balance the four major granaries and use the soybean market to invade other industries.
Zhou Keming sighed: "But it can only be checked and balanced, and it can't be completely driven out of the domestic market." We have received credible information that the Big Four and Wall Street are preparing to once again attack the domestic soybean market and strangle the nation's nascent soybean cultivation and processing in its cradle. We need people like you to help us fight it. ”
"I see what you mean." Li Han nodded, and said with a fighting spirit: "I will definitely do my best!" ”
"Let it go, I believe that with your strength, you will definitely be able to make a lot of money in this business." Zhou Keming said with a smile, "China Grain Storage is your solid backing, although our soybeans are not much, but we will definitely be able to help." ”
As he spoke, Zhou Keming turned to Kong Jianhua and Nie Caibin: "For further action plans, you can agree with these two CEOs." This soybean war depends on the three and the three companies. ”
After saying this, the three of them left Li Han's house, and the details of the rest will continue to be discussed after signing the contract.
There is only one goal: to take back the domestic soybean market.
However, it is easier said than done.
After several years of efforts, although domestic soybean planting enterprises and processing enterprises have recovered again, 85% of the market is still controlled by foreign companies.
How easy is it to rely on 15% of the market to regain the remaining 85% of the market?
Even with the support of China Grain Reserves, it is still very difficult, which can be described as a big disadvantage.
But for Li Han, this big disadvantage is exactly what he is looking forward to.
After the three of them left, Li Han's family dared to show their heads.
"Oops......" Li Jianguo sighed as he looked at the direction in which the three of them left, "Our son is also amazing!" This is really ......" Saying that, Li Jianguo slapped Li Han on the shoulder: "The great event of the glorious ancestors!" ”
"That's it! This is a battle for your country, for the people of this country! Ye Xiaofang said happily, and Dong Yuehua also nodded in agreement: "No matter whether this matter can be successful or not, Mom is proud of you!" ”
"Your sons and daughters will be proud of their fathers in the future." Wang Man also stroked his stomach and said with a smile, "When they grow up, I will tell them how powerful their father was back then." ”
"Oh, it's not started yet, let's talk about what happened after success." Li Han was also amused, "Okay, it's almost time, let's get ready to finish eating first, I can't think when I'm hungry." ”
"Eat, eat, eat!" Ye Xiaofang rolled up her sleeves, "Today, Mom will cook a bunch of your favorite dishes!" ”
After being full of wine and food, Li Han took a bath, his physical strength and spirit returned to the best state, and he also began to think.
There are many insurmountable challenges in regaining the soybean market, the first of which is the planting problem. In fact, China's arable land is not very large if you count the population, and most of it is used to grow staple foods.
However, as the production of staple grains has become higher and higher, the state has also strategically adjusted the proportion of agricultural crops, and at the same time has subsidies for soybean planting, mainly because a large number of planting bases have been bought by foreign companies in the previous trade war.
Therefore, the solution to the problem is to rely on the resources at hand to crush these foreign companies, and then buy them back.
According to Zhou, they got "reliable information" that the big four granaries and Wall Street were on the move.
As for the practices of these people on Wall Street, Li Han is still very familiar with them, and the other party will also use the power of the state.
For example, the U.S. Department of Agriculture announced that it would reduce soybean exports this year, so that the price of soybeans would definitely soar.
At this time, the four major granaries cooperated with Wall Street giants to build warehouses, raise prices, hoard goods, and forcibly raise a ton of soybeans from 1,000 US dollars to 2,000 US dollars.
Domestic farmers and oil extraction companies are worried that the price of soybeans will continue to rise, so they can only endure the pain and buy them at a high price of 2,000 US dollars.
In this way, a company that bought soybeans for $2,000 is equivalent to a loss of $1,000 per ton of soybeans.
But now that Li Han has joined, he certainly won't let Wall Street people play these companies like monkeys. But......
"There's no leverage." Li Han sighed and thought to himself.
Although China Grain Reserve said that it would provide support, it was their "hole card", and it was a last resort, and it could not be used until it was absolutely necessary.
He has to rely on the resources at his disposal to confront Wall Street predators.
Fortunately, this time not only Qiaokou Company, but also Dawn Group and Hualong Enterprise will also support him.
"Husband~" Wang Man suddenly lay down next to him at this time, shouted to him happily, and then leaned on his shoulder, "My husband is so powerful, the country needs your help." ”
"I'm not sure if I can help." Li Han sighed and said.
"I'm a little curious, though." Wang Man leaned on his shoulder, and rubbed his little brain melon on his face, "What are you going to do?" ”
"For now...... Let's see the trick first. Li Han touched her little brain and said, "If you want to turn the tables on this big disadvantage, you can only wait for the other party to make a mistake." Until then, we have to find a way to drag it out until the other person makes a mistake. ”
Dawn produces about 15 million tons of soybeans a year, but the entire China produces only 20 million tons of soybeans a year, and the annual soybean import gap is as high as 100 million tons.
To get back to the market, you first have to raise the price of soybeans so that soybean farmers can make money.
But how to raise the price is the biggest problem.
If there is not enough production, the market price of soybeans cannot be determined, and if the market price cannot be determined, soybean farmers cannot make money, and if soybeans do not make money, there will not be enough production, and they will fall into an endless cycle.
After thinking about it, Li Han shook his head: You can't be ambitious, you have to come step by step.
The policy aspect is a matter of national consideration, and he is a businessman, so he should solve these problems from the perspective of doing business.
Thinking about it this way, Li Han seems to have found the right answer: what he wants to do is to squeeze out competitors and then merge them.
Although ABCD's four granaries control the domestic soybean market, these four companies also compete with each other, and these soybean planting bases are not the same company, but are controlled by these companies behind them, and they cannot all be of one mind.
The United States is a country controlled by capital, and everything it does is for money, and American companies are the same, they will not work together against a certain country, making money is king.
Li Han felt that he could use this to break down the plantations one by one and then buy them out: they appear to be foreign companies on the surface, but in reality they are controlled by domestic companies.
These planting bases may be wary of Dawn Company and Hualong Enterprise, but they will not be an investment company such as Qiaokou Company.
Li Han guessed that this was probably the reason why Zhou Keming asked him to cooperate.
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(End of chapter)