Chapter 258 Seed Industry Ranking
A new breeding trend has been set off in the domestic corn breeding industry a year or two ago.

The high yield of Tianyu No. 1 brought a new breeding idea.

Whether it is using the concept of high density and high yield, or using the parent material of Tianyu No. 1 for imitation and innovation.

It is an improvement for the domestic seed industry.

Beijing.

A selection event organized by the China Seed Association has just concluded.

After summarizing and comparing indicators such as scale, profitability, growth, innovation and the construction of a seed quality assurance system, it went through the procedures of enterprise application, provincial preliminary review, indicator evaluation, industry mutual evaluation and expert review.

The top 2006 Chinese seed companies in are freshly announced!

From the first selection in 2002, 2004, to 2006.

China's seed industry has clearly undergone earth-shaking changes.

All the municipal and prefecture-level seed companies have disappeared.

Some star companies that once ranked among the top 50 seed companies have also been merged and acquired.

The most eye-catching thing is that Tianhe Seed Industry ranks first with an undoubted advantage!

And it is the first one with a huge gap!

Sales reached 60 billion yuan in just three quarters!

The gap with the second place China Seed Group is nearly ten times!

After the list was released, the corporate representatives and experts attending the meeting couldn't help but breathe a sigh of relief and frequently looked at Tianhe Seed's seat.

Envy, jealousy, all kinds of emotions are mixed. Because Tianhe Seed Industry's market share has increased significantly, many companies have experienced stagnation or even decline in performance.

When the final list was announced, the president of the Seed Association gave his evaluation of Tianhe Seed Industry.

"Tianhe Seeds not only increased farmers' income, but also brought innovation to the development of the breeding industry and expanded the entire seed market on its own."

"In the domestic corn seed market, the total annual sales of all companies last year was only a few billion yuan, but this year it easily exceeded the 10 billion yuan mark."

"In the vegetable seed market, Tianhe Seeds has a market share of 7%, and has become a pioneer in resisting foreign seeds."

"In the field of wheat seeds, Tianmai No. 1 has greatly promoted the commercialization of wheat seeds."

"In terms of annual operating income, Tianhe Seed Industry is the leader..."

"At present, the value of the national seed market is close to 500 billion yuan. With the increase in the commodity rate of seeds and the price ratio of seeds to grains, it is expected that by 2010, Huaxia Seed's market share is expected to reach 1000 billion yuan, with a gross profit margin of more than 40%."

...

The media and representatives of various seed companies attending the meeting had different reactions.

The selection of the top 50 Chinese seed companies is an assessment conducted in accordance with the spirit of the Ministry of Agriculture and has a high influence both at home and abroad.

At the same time, it is also an indicator for some foreign-funded enterprises to select partners.

Basically, multinational seed companies now only cooperate with the top ten companies.

In a small circle, several corporate representatives surrounded a plump woman, who was a representative of China Seed Group.

Because of her status and good looks, she received considerable attention in this selection activity.

"Boss Xia, this is only the third term and your Huaxia Seed Group has been brought down. How do you feel about that?"

Xia Cui smiled charmingly and said, "Isn't this quite normal? Who can compare with Tianhe Seed Industry's indicators?"

The others looked at each other.

Someone joked: "This is not like your style, Mr. Xia."

Xia Cui said seriously: "Tianyu No. 1 has indeed ushered in a new era. We are convinced!"

In fact, no one disagreed.

However, many people were overwhelmed by Tianhe Seed's overwhelming lead.

"It's quite magical when you think about it. When the selection was made in 2002, there was no company with a net asset of more than 10 billion yuan or annual sales of more than 5 million yuan."

"Now the world has changed!"

"While the leading companies were still aiming for 5 million or 10 billion, Tianhe Seeds reached 60 billion in just three quarters."

"How can one compare this?"

Xia Cui stood in the crowd, looking at a familiar figure not far away, and called softly, "Yan Qun!"

Following her gaze, everyone also looked over, to the most eye-catching guy in the audience today.

There is no one who doesn't know him.

Yan Qungang, dressed in formal attire, just finished communicating with the leaders of the association and the Ministry of Agriculture and was about to leave.

Suddenly he heard someone calling him, so he stopped and took a closer look at Xia Cui. She had an elegant figure, but Yan Qun could feel that she was still aloof in her bones.

He walked closer, and the crowd naturally made room for him, but Yan Qun did not move closer.

"Hello, President Xia." Yan Qun said with a smile, nodding to the others.
Xia Cui folded her hands in front of her chest, looked at Yan Qun with a complicated expression, and said, "Now you are in the limelight!"

Yan Qun said: "That's all thanks to the company."

Before coming to Tianhe, Yan Qun was just a senior executive of a branch of China Seed Group, but he could only be considered a middle-level backbone in the entire group.

There is a clear gap in status between her and Xia Cui.

Today, Yan Qun, the second-in-command of Tianhe Seed Co., Ltd., has become a big boss in the domestic seed industry.

Especially in terms of seed production base and production management, Tianhe's output can expand so quickly and so stably.

Its practical style has made it famous in the seed industry.

Compared with Xia Cui, the two of them have already taken on different positions of attack and defense.

Thanks to the company? That was just his humble way of saying it.

Someone invited: "Mr. Yan, do you have any idea of ​​coming to Xinweimai?"

Xinweimai Agriculture Company is a Changsha-based enterprise and also a major shareholder of Longping High-Tech.

However, just a month or two ago, New VTM sold a lot of shares to Limagrain of France.

Limagrain is one of the top five multinational seed companies in the world, with businesses covering field seeds and vegetable seeds.

This move also allowed Longping High-Tech to enter the corn seed field, which was a business gap.

Yan Qun shook his head. "Now is the peak period for seed processing. I have to rush back to organize production."

Xia Cui frowned and said, "Are you in such a hurry? Don't you even have time to have a cup of tea and chat together?"

"Maybe next time. I'm in a hurry to catch a plane. I've been really busy lately."

Someone nearby said sarcastically, "It's impossible that you can't spare any time at all. You must be looking down on us!"

"Everyone is familiar with the flights to Jiuquan. I also want to go to Jiuquan. The nearest flight is still four or five hours away."

"Haha... Tianhe is so high and mighty now that he doesn't bother to associate with people like us."

“Others just want to talk to the head of the Ministry of Agriculture.”

"That's not true. Tianhe Seeds is now pursuing an internationalization strategy, and its competitors are all multinational seed companies!"

Yan Qun raised his eyebrows, wondering if these people were crazy. How could they throw dirty water on Tianhe?
He glanced at Xia Cui and saw that she looked normal. He breathed a sigh of relief and said to the crowd:

“It’s really busy!”

"I came here on my boss's private plane and can take off back anytime."

Then he nodded slightly and left.

Everyone was stunned, and with the instigation of some people with ulterior motives, the complaints against Tianhe became louder.

Xia Cui calmly observed the actions of large seed companies such as Longping High-Tech, Denghai, and Fengle in the crowd.

When it comes to sowing discord, several large companies have rarely been united.

All of this also did not escape the eyes of the Ministry of Agriculture.

As the world's largest agricultural country, China has the largest number of seed companies in the world, with more than 2700 state-owned seed companies alone.

In the past, none of these companies had a market share of 10%, and under the squeeze of multinational giants, they have lost most of their market share.

"Increasing industry concentration and integrating and restructuring to grow stronger is the only way out."

And now Tianhe has done it.

This is still not the limit for Jiahe, and Muhe Agriculture and Animal Husbandry did not sign up for this selection.

But the Ministry of Agriculture is aware that the sales of alfalfa seeds far exceed those of Tianhe Seeds.

The combination of the two, with market share, scale and strength, can be called the aircraft carrier of the domestic seed industry.

Even compared with the rest of the world, it is only slightly inferior to a few seed companies.

Against the backdrop of foreign giants preying on China's seed industry, Tianhe Seed is currently the only seed group company in China that can withstand the impact of foreign companies.

And has gradually begun to recover lost ground.

The reshuffle in the seed industry has just begun.

...

Two days passed.

The selection results of the top 50 seed companies soon came into the public eye through the media.

Related information has appeared in print media and on the Internet.

Ordinary people in the city don’t pay much attention to the specific list of this kind of selection. At most, they just look at the top few, or see if there are any familiar names.

But for large-scale growers, agricultural inputs distributors, and seed companies in the industry, Tianhe’s rise to the top is another huge boost to its brand image.

There are countless stories of bumper harvests brought by Tianhe Seed Industry, and those who boarded this ship early have already made a fortune.

This also makes the promotion of Tianhe Seed Industry's new seeds extremely simple.

Tianhe Seed Industry is busy all year round, guiding farmers in sowing in the spring, guiding farmers in field management in the summer, and purchasing and sorting seeds in the autumn and winter.

80% of the company's scientific and technological personnel and employees spend 8 months a year providing scientific and technological services in rural fields.

Moreover, as time goes by, various high-yield planting models have been explored in various places, and Tianhe has promoted various technologies to thousands of households.

Share summaries with each other and explore more productive paths.

Therefore, every field demonstration held by Tianhe can attract a large number of farmers to come and watch and learn.

According to rough statistics, Tianhe serves more than 10 million domestic farmers every year.

Farmers have gained huge benefits through scientific farming and the use of improved seeds, and Tianhe has also gained rich returns and a long-term market. Today, Tianhe Seed Industry has reached the top.

Upon hearing the news, Tianhe's R&D and technical staff were instantly filled with indescribable excitement.

This honor belongs not only to the company, but also to every silently dedicated technician.

Even the farmers feel proud of it.

Now, not only have Tianhe’s seeds become “fashionable seeds” among farmers, but the company has also become a household name in rural areas.

Compared with the excitement at the grassroots level, the top management of Tianhe Seed Industry seemed very calm, or were actively preparing for battle.

After Yan Qun returned to Jiuquan, he immediately reported the situation on the scene to Guo Yang.

It would be a lie to say you are unhappy.

But after a brief celebration, Guo Yang quickly calmed down his excitement.

Tianhe has many enemies.

Many seed companies still hold the idea of ​​"it is better to be the head of a chicken than the tail of a phoenix". Tianhe's continuous mergers and acquisitions have frightened many companies.

Local government protectionism is also extremely serious, which restricts the integration and reorganization of Tianhe Seed Industry.

Although it seems that one company is the only dominant player, in fact, the domestic seed industry has long been turbulent with undercurrents and internal conflicts.

The international environment is also complex.

International seed and agricultural giants such as DuPont Pioneer, Syngenta, Monsanto, Limagrain, BASF, Bayer, and Dow have entered the Chinese market.

Although the country is completely self-sufficient in hybrid rice and wheat seeds.

But from vegetables and flowers to cotton, soybeans and corn, foreign seed companies are encroaching on the market one by one.

Moreover, in the head-on confrontation with foreign capital, the shortcomings of China Seed Industry became more and more obvious.

The Ministry of Agriculture is also aware of this.

Therefore, senior management was sent to Jiuquan to inspect Tianhe Seed Industry's research and development breeding, seed production, seed processing and packaging.

Fan Jian, vice minister of the Ministry of Agriculture, said:

"Foreign agricultural giants are like eagles, while thousands of domestic seed companies are sparrows. The most important thing in the fight between sparrows and eagles is to integrate the power of sparrows."

"In order to cooperate with the implementation of the national seed project, the Ministry of Agriculture has proposed a plan to implement the Hundred Regiments Campaign, focusing on supporting large seed industry groups."

"But we can't do forced pairing or bundled patchwork. We can only merge and integrate based on strength."

“The goal is to make Tianhe the “leader” in the domestic seed industry, with the strength to interact with multinational companies.”

For a long time, the few listed seed companies have only raised funds through the capital market, but their business has been lukewarm.

All the listed companies put together are not worth even one-tenth of any multinational capital.

Mergers and expansions are even more difficult.

Now that Tianhe Seed has broken through the siege, the Ministry of Agriculture will naturally provide strong support and use this catfish to accelerate the integration of the domestic seed industry.

“Big fish eat small fish, fast fish eat slow fish, sharks eat sharks.”

This is what Guo Yang understood.

...

By mid-October, the temperature difference between morning and evening in Jiuquan became more and more obvious.

In the seed processing center of Tianhe Seed Industry, large-scale seed processing equipment is running rapidly.

Once the corn seeds enter the entrance, it only takes one hour for 1 tons of corn seeds to be automatically dried, wind screened, gravity selected, graded, coated and packaged.

At this time, Guo Yang appeared at the door of an agricultural supply supermarket in Shouguang, Shandong Province.

Next to him is Yuan Wenwu, the general manager of Denong Agricultural Supermarket, with a firm face and a calm expression between his brows.

In the past two years, Denong Agricultural Products Supermarket, which was once in the midst of the bankruptcy crisis of Delong Group,
After Tianhe continued to invest 2.5 million yuan, not only were the original 600-plus supermarkets revitalized, but more than new stores were also steadily developed in the surrounding major agricultural provinces.

Guo Yang stepped into the door of the agricultural supply store, which was about 100 square meters, not very big.

The shelves are filled with all kinds of pesticides, fertilizers, and agricultural supplies.

Supermarket clerks in uniform are busy.

Having just unloaded a truckload of fertilizer into the warehouse, they split up into several groups and went to their respective marketing posts step by step.

Farmers go in and out of the supermarket in groups of three or four, purchasing their favorite agricultural products.

"Hey, brother, you must pay attention to the ratio when spraying pesticides!"

"I know. This isn't the first time I've bought medicine from you."

After the old farmer left, the clerk looked at Guo Yang. He was wearing a suit and tie and did not look like he was going to buy agricultural supplies.

But the clerk still asked: "Handsome man, what do you want to buy?"

Guo Yang smiled and said, "Just take a look."

"How about I show you around?"

Guo Yang didn't expect the clerk to be so enthusiastic. It might be because there were not many people at the moment, but Guo Yang still shook his head.

"I don't buy it."

After a casual look around, Guo Yang walked out and drove to the local distribution center office with Yuan Wenwu.

Denong agricultural supplies supermarket is the most critical link in Jiahe’s modern rural logistics system.

The products distributed include six categories: fertilizers, feed, seeds, pesticides, agricultural films, and agricultural machinery.

Currently, Tianhe holds 99.34% of the shares, and the remaining 0.66% is held by the Shandong Provincial Agricultural Technology Station.

After sorting out the group's financial planning, Guo Yang asked Denong agricultural supplies supermarket to expand in major regions across the country.

But I was shocked by the number of plans.

If the layout of 10 major agricultural provinces is to be completed, the number of Denong agricultural supplies supermarket chain stores must reach 10000.

To complete the nationwide layout, at least 20000 stores are needed.

Assuming an investment of 1 yuan per store, the total investment for 20 stores would be 1 billion yuan.

Guo Yang took a sip of the black tea brewed by Yuan Wenwu, and for a moment he was a little uncomfortable with the taste of real tea.

He pondered for a long time.

Guo Yangcai said: "We will continue to open agricultural supply supermarkets in other provinces, and we will achieve the goal of building 2010 supermarkets before 1."

"Will there be no problem with personnel?"

Yuan Wenwu smiled and said, "We haven't expanded much in the past two years, and the existing management system has been improved a lot. As for agricultural technicians, Tianhe Seed Industry has no shortage of them, and we also have managers who really understand agricultural input management."

Guo Yang had forgotten about Tianhe. Tianhe's technical service system was established earlier than that of the pesticide and fertilizer company.

"Then do it!"

Yuan Wenwu said: "There is another problem. Apart from seeds and agricultural machinery, there is currently a lack of well-known and competitive fertilizers, pesticides, feed and agricultural films."

“Producers of high-quality products adopt exclusive distribution and have signed exclusive regional distribution agreements with local distributors.

At the same time, distributors and retailers are worried that Denon will take their jobs, and manufacturers are worried that a huge retailer will control the fate of suppliers.

"Therefore, the massive expansion of Denong's agricultural supply supermarkets and the promotion of the Denong brand will certainly encounter more resistance from upstream and downstream of the agricultural supply chain."

Guo Yang raised his eyebrows, "Quanwang should launch bio-source pesticides next year."

“It’s too expensive, and farmers are not very receptive to it.”

Guo Yang couldn't think of any good ideas for a moment. This was a project that required long-term investment, and the construction of a huge network required huge financial support.

But with the financial support of Jiahe, Tianhe’s seeds and Fengkai’s agricultural machinery attract customers, and biological pesticides will also be available in the later stage.

Luo Potassium’s fertilizer can also be introduced after it goes into production. In short, the future operation of the agricultural supply supermarket is still guaranteed.

“Just do it first, and then solve the problems one by one when they arise.”

"it is good."

Yuan Wenwu has devoted a lot of effort to Denong agricultural supplies supermarket. After the collapse of the Delong Group, his small team has been trying to find ways to save the supermarket.

That period of time was equivalent to working for free.

Fortunately, Tianhe joined the game in the end.

The acquisition cost 1.08 million yuan and the revitalization cost 2.5 million yuan, far exceeding the initial expectations.

He knows what it means to be rich and powerful.

The Delong Group is nothing more than a paper tiger playing the capital game!

Guo Yang didn't care about Yuan Wenwu's thoughts. The domestic economy had developed rapidly in the past two years, and Jiahe had also stood on the wave of the times.

This gives him the confidence to accelerate expansion and carry out heavy asset operations.

Once the industrial chain is completely opened up, Jiahe can respond to competition by optimizing management and reducing costs.

During these two days at Denong Agricultural Materials,
Guo Yang also moved around, meeting people and attending meetings every day, and became familiar with the management of the agricultural supplies supermarket.

I also got some understanding of the business situation.

In some villages where vegetable greenhouses are concentrated, such as Shouguang, the operating income of agricultural supply supermarkets with good business income can reach 150 to 200 million.

The gross profit margin is mostly between 25% and 30%.

After deducting operating costs, the net profit margin is between 3% and 5%, and only a few companies are in a loss-making state.

The overall situation is still very healthy.

After inspecting the agricultural supplies supermarket, Guo Yang took Luo Xiu to the production base of Fengkai Agricultural Machinery in Weifang.

Due to Weifang's huge industrial advantages, it remains Fengkai's main tractor and large machinery production base.

The Northwest Factory originally wanted to rely on Jiugang for development, but Jiugang could only produce some low-end products and could not support a complete agricultural machinery industrial system.

As a result, the existing tractor production line at the Northwest Factory can only barely maintain operation.

Under the decision of Fengkai's new general manager Pu Fei, the Northwest Factory is currently more focused on the production of special supporting machinery for crops such as forage and corn.

After Guo Yang arrived at the base, in addition to the routine inspection of the company and the condolences to the employees.

He even stayed by the production line for two or three days and witnessed the birth of 220 Cheetah series tractors.

Silently, two hundred tractors were transformed using natural energy.

Subsequently, this batch of tractors were sent to the northwest one after another.

(End of this chapter)