Chapter 367 Oil palm; Chuxiong; New Year

Benefiting from biodiesel, Southeast Asian oil palm plantations have been a hot spot for investment in recent years.

Just in July, South Korea's Samsung Electronics acquired 2.5 hectares of existing oil palm plantations, mainly for the production of biodiesel.

And even earlier, investments in oil palm plantations were countless.

Many people attending the meeting thought that the suggestions given by Chen Yanqiu were feasible.

Guo Yang also felt that there was nothing wrong with it.

Gao De then said: “Wilmar has also had several oil palm projects in Indonesia in recent years, but they have not been very smooth.

As Wilmar expanded its supporting oil palm plantations, relations with local communities became strained.

Nineteen local social groups filed a complaint with CAO, claiming that Wilmar Group had destroyed forests and reclaimed wasteland without authorization.

The current CAO ruling is very unfavorable to Wilmar, and it needs to bear compensation for the ecological environment.”

Wilmar Group's Indonesian palm oil project has received considerable international attention, and Guo Yang has also heard of it.

“It is not advisable to build an oil palm plantation from scratch,” Gaode suggested. “It is more reasonable to follow Samsung’s example and buy oil palm plantations that have not yet started production.”

"No." Guo Yang shook his head. "My opinion is to buy those old plantations."

“The old plantations are not profitable,” Gao said. “The old varieties have low yields and it’s difficult to make a profit.”

Guo Yang smiled and said, "In addition to replenishing the crude palm oil channel, buying a plantation also helps us obtain land and plant new varieties."

The Democratic Republic of the Congo is the main development direction of Jiahe Oil Palm, and Southeast Asia is just to make Wilmar uncomfortable.

Moreover, the enthusiasm of Chief Eddie of Equatoria Province exceeded his imagination.

“I think it’s feasible,” Chen Yanqiu said. “Wilmar only has 300 million mu of oil palm plantations, and most of them are acquired through acquisitions.”

"Okay, it's settled. Qiu, you will be responsible for this matter."

Guo Yang paused and looked at Gao De again.

"The cotton purchase and futures market will probably be another tug-of-war. You should arrange for people to follow up. As for Cargill, just ignore it for now and focus on polishing its own products."

"We can't always be led by the nose."

"As long as we are strong and control risks, no matter how the external changes happen, Jiahe will not be affected."

The meeting lasted for several days and many detailed work arrangements and deployments were made.

During this period, Chen Yanqiu's position also changed and he no longer served as Director of International Grain Trade.

Instead, he serves as the new president of Golden Harvest International.

The positioning of Golden Harvest International has also changed: a unified overseas procurement, allocation, investment and development platform for agricultural and food businesses.

Major product lines include grains, oilseeds, cotton, forage and marine.

Through a global integrated network layout, agricultural products are transported to all parts of the world, and a complete logistics system is established between global grain production and sales areas.

Jiahe Grain and Oil is mainly responsible for domestic business.

At this point, Jiahe has formed a matrix of Jiahe International, Tianhe, Fengkai and Quanwang in its external system.

Chen Yanqiu had been traveling to various places before, such as St. Louis in North America, Santos in Brazil, Rosario in Argentina, Constanta in Romania...

Due to the increase in domestic soybean production, the world food trade pattern has undergone major changes.

First, the trade route was changed, which caused great harm to the national grain and the four major grain traders.

But South America is still an important agricultural production area, producing seeds, pesticides, fertilizers, food... Tianhe cannot give up this market.

As for North America, whether or not it can get out of the "GMO" crisis, it cannot change its status as a major consumer country.

Therefore, transit bases must be established at key logistics nodes in South America, North America, Europe, and Africa.

Chen Yanqiu has been following up on this aspect, but now he has a different view on the shipping industry.

“Now is not a good time to acquire the shipping industry. Although the shipping industry is difficult, it will only become more difficult in the next few years due to sluggish demand.”

"There are only two central enterprises in China that have transoceanic routes, and both are losing money. The entire industry is losing money."

"The Baltic Dry Index (BDI) has been rising in the first half of the year, with the highest point being 11793."

"Now it's only over 600 points, a drop of nearly 95%."

"The sea freight rate for coal from Qinhuangdao to Guangzhou has plummeted from 6 yuan per ton in June to 160 yuan per ton."

"Coupled with the shortage of cargo, many ships have anchored outside the port waiting for cargo."

After listening to this, Guo Yang could only sigh that the current situation is difficult and that now is the time to enter the so-called cycle.

We built a large number of ships in the past few years and are now starting to repay the debt, which will take several years to repay.

After thinking for a while, Guo Yang said, "For ocean shipping, we should continue to cooperate with Huaxia Ocean Shipping, but for inland shipping, we have to have our own fleet as soon as possible."

Domestic sales will definitely be the focus in the future, but the focus may shift from previous imports to future imports.

Other companies may not look down on the domestic export potential, but as long as the yield per unit area increases significantly again, large-scale exports are only a matter of time.

River transportation is definitely the most economical mode of transportation. Even the more distant Hongqi River requires inland waterway transportation.

Guo Yang is really unfamiliar with shipping. If he hadn't been studying all the time, he would even know nothing about it.

Therefore, this matter had to be handed over to Chen Yanqiu, "Just consider this as your last job at Jiahe Grain and Oil!"

"Row."

Chen Yanqiu nodded heavily.

In the two years since he came to Jiahe, he has received unprecedented attention, which makes him eager to throw himself into his new job immediately.

...

After New Year’s Day, the festive atmosphere becomes stronger.

More and more migrant workers are returning to their hometowns.

"Maintaining growth, maintaining employment, and expanding domestic demand" is the theme of this period.

Among the country's investment in stimulating domestic demand, 3500 billion yuan will be invested in ecological environmental governance.

Afforestation is one of the key points.

The subsidy for afforestation has been increased to 100 yuan per mu, and the country plans to afforest more than million mu of land throughout the year.

The Three North Shelterbelt Project in the north and the barren mountains and slopes in the south are all covered by this subsidy.

The Xanthoceras sorbifolia and Leprosy tree energy forests in Jiahe came at the right time, and the mobilization of villages across the Hexi Corridor once again reached a climax.

Mobilization of migrant relocation, land transfer, industrial planning, afforestation preparation...all work is proceeding in an orderly manner.

However, what moved Guo Yang the most was that a special guest came to Jiahe: Zhang Shizhong from Chuxiong Forestry Bureau of Yunnan Province.

It is reported that apart from the fanatical state leader Yang Hongwei, Zhang Shizhong was the main driving force behind the rapid implementation of Jiahe's project in Chuxiong.

a few days ago.

Zhang Shizhong came to the northwest for the first time and experienced the severe cold there.

The air conditioning at Jiahe’s headquarters was turned on high, but he didn’t want to stay in the office and often went to the countryside with his staff.

It’s so cold, I’m shivering!
Fortunately, Jiahe gave him a thick, long black down uniform. Each of Jiahe's managers had one, and they wore it when going to the countryside, which was very warm.

For three consecutive days, he witnessed the intense work at the Jiahe construction site.

He was also moved by the sea buckthorn forests in the Gobi Desert.

Planting trees, he is good at it!
"Director Zhang, go back to Suzhou, the boss is back." Yang Heng shouted a little helplessly. Director Zhang is very good at going to the countryside, and he is on par with the boss. He has hardly rested in three days.

Hearing this, Zhang Shizhong immediately said, "Okay, let's go back quickly."

More than an hour later, Zhang Shizhong finally met the boss of Jiahe.

A tall young man.

"Hello, Mr. Guo."

"Hello, Director Zhang. I've been out for the past two days. I'm really sorry for my neglect."

At this time, Guo Yang was also looking at Zhang Shizhong. He was not tall, had a dark face, a sturdy build, and walked very fast.

"It's me who came here uninvited and caused you trouble." Zhang Shizhong said.

"Let's go inside and have some tea."

Guo Yang led Zhang Shizhong into the office. The water had just boiled for a while, just right for making tea.

After sitting down, Zhang Shizhong said, "Mr. Guo, this time we are still talking about afforestation of leprosy trees. This national policy is an opportunity."

"One million acres is not a small amount."

Guo Yang placed the brewed sesame tea in front of Zhang Shizhong. The latter took a sip and his expression visibly relaxed for a moment.

"But I know Jiahe still wants to acquire land in Panxi." Zhang Shizhong said disdainfully: "Let alone other things, when it comes to afforestation, Chuxiong is miles ahead of Panxi!"

"For the remaining area, Jiahe should not go to Panxiong, but develop it all in Chuxiong!"

Guo Yang drank his tea slowly. He had just returned from the source of the Heihe River at the northern foot of the Qilian Mountains.

“Can 100 million mu of Chuxiong be planted in one year?”

"I'm not bragging," Zhang Shizhong said. "In the past eight years, Chuxiong has planted nearly 400 million mu of trees, an average of 50 mu per year."

“We don’t have 100 million mu a year, but with Jiahe’s capital investment, 100 million mu is definitely not a problem.”

"Mr. Guo, you know about the migrant workers returning home." Zhang Shizhong said, "This is a good opportunity. Chuxiong has the organizational and mobilization capabilities, but Panxi definitely doesn't!"

Guo Yang pondered and said, "Some steep slopes on high mountains are not suitable for economic forests. Can Chuxiong complete the transfer in a short period of time?"

"Yes, absolutely!"

"I can guarantee that!"

Zhang Shizhong's voice was so loud that it could be heard from far away across the office.

"I have worked in the Forestry Bureau since 1973. I have traveled all over the mountains and ridges of Yizhou. I have worked as a driver, a lumberjack, and a manager of a county forestry company. I know all the areas in Chuxiong that are suitable for afforestation and transformation."

"I am where I am today because of the good work done in afforestation."

"In 2000, Chuxiong was awarded the title of "National Advanced Afforestation Unit" by the Ministry of Forestry; in 2004, it was awarded the title of "National Advanced Unit for Closing Mountains and Cultivating Afforestation";
In 2006, it was again rated as a "National Advanced Afforestation Unit" by the National Green Committee and the State Forestry Administration.

Zhang Shizhong recounted Chuxiong's achievements in afforestation one by one, which is indeed worthy of praise.

Although this honor is awarded many times every year, it is not easy to obtain.

At least Panxi can't produce these.

They are both dry and hot river valleys, and afforestation is equally difficult. Chuxiong can do it, but Panxi cannot. This is the gap.

Guo Yang asked: "Excuse me, how old is Director Zhang this year?"

"56." Zhang Shizhong said, "You don't have to worry about my retirement, and Jiahe doesn't have to worry about who the governor of Chuxiong will be."

"The greening mission does not change with the change of leadership. Greening and afforestation have been passed down from generation to generation. This is a tradition that Chuxiong has maintained since the 90s."

Guo Yang sipped his tea and pondered.

The original preference was for Panzhihua because of its transportation bottleneck and economic conditions, and it did not have any advantages in afforestation.

Chuxiong has accumulated a lot of technical experience in afforestation in the past two or three decades. Any old farmer you pick up in the mountains may be an expert in tree planting.

Facing Zhang Shizhong's expectant gaze, Guo Yang still did not give a positive answer.

"Director Zhang, it's not that I don't believe you."

Hearing this, Zhang Shizhong was a little disappointed, thinking that the trip would have been in vain.

In recent years, there have been few companies willing to invest in afforestation, let alone a huge investment like Jiahe.

Chuxiong really needs this investment.

Zhang Shizhong stopped drinking tea and said, "Ah, Mr. Guo, I'm sorry to bother you this time. Now the 100 million mu of Chuxiong will be organized."

In the energy forest base in Chuxiong, a model of cooperation with the government and farmers is adopted.

"Director Zhang, don't be impatient. I haven't finished yet." Guo Yang smiled and offered another cup of tea.

"One million mu is just the first phase. In fact, Chuxiong can complete 100 million mu this year, and Jiahe can also take it. The only thing is that the survival rate of the afforestation must be guaranteed." Zhang Shizhong was very happy. Afforestation in the dry and hot valley is indeed difficult. For those who don't know the business, the survival rate can be as low as 200%.

But Chuxiong is not among them.

"Mr. Guo, don't worry. As long as Jiahe can pay the 400 yuan per mu planting fee promised according to schedule, 200 million mu will definitely not be a problem!"

“Money is definitely not an issue.”

"it is good."

Zhang Shizhong suddenly became full of energy again. He received 400 yuan from Jiahe and 100 yuan in subsidies from the government, a total of 500 yuan.

If 200 million acres are completed, that would be 10 billion yuan!

In addition to mining and energy, when will Chuxiong have such a large investment in agriculture!
This does not include the supporting factories!
Zhang Shizhong came here with trepidation and returned to Chuxiong with excitement.

When he announced the news in the state, people in the state regarded him as a hero.

Barren hillsides, poor ravines, and the road to wealth.

Migrant workers returning home have once again become popular. If they cannot go out, the only places where they can make a fortune are those mountains and those lands.

Guo Yang is not so optimistic about Chuxiong's acceleration.

The dry and hot valley literally means hot and dry, with little precipitation and severe soil erosion.

The most important thing for planting leprosy trees here is irrigation with water to help them take root.

Guo Yang was not sure how Chu Xiong planned to solve this problem, but Jiahe certainly could not just sit there and do nothing.

Some necessary irrigation facilities and equipment need to be prepared, such as high-lift pumps, pipelines, and even the construction of irrigation stations...

As the year draws to a close, Jiahe is still busy and can't stop at all.

But there is also a smile in the busyness.

Not only were dividends paid in advance, but two more employees were also allocated housing this year.

"Fuck! Fuck! Fuck!"

"Awesome, I just want to ask, who else?"

In the seed production fields of the southern breeding base, the cotton and soybean seeds were still growing vigorously. Suddenly, a young man stood up and shouted.

"Cheng Di, what's the matter? Why are you so excited?"

"My quota for housing has been confirmed, and the headquarters has also transferred the money for employee dividends today!" Cheng Di said loudly, fearing that the people around him couldn't hear him.

A suite!
cut!
In fact, he doesn't even look down on it.

He cares more about the identity and recognition of achievement, so he shouted out loud.

But others were not as calm as him.

"Depend on!"

"Brilliant!"

"congratulations."

"Shit, I have to treat you to dinner!"

"Please, please."

Dr. Cheng Di, 31, has only been working for two years after graduating from his doctorate, but long periods of exposure to the wind and sun have tanned his young face.

There is a saying in the breeding industry: "Breeding in the south is difficult and troublesome."

The seeds are continuously reproduced between their native habitat and Hainan, and breeding researchers, like migratory birds, travel thousands of miles back and forth between their native habitat and Hainan.

At the Jiahe base in Nanfan, more than 100 scientific researchers are stationed there all year round to carry out scientific research and breeding work.

Everyone gets dividends, but only a handful of people get houses.

He achieved this achievement not because he bred any particularly amazing varieties.

Rather, it was because he was doing a thankless job: quantifying the characteristics of each variety for agricultural producers to choose from.

For example, the variety introduction page on Tianhe’s official website is almost entirely based on the data he provided.

In recent years, in addition to the company's representative varieties, the breeding team has also achieved many results.

However, the promotion effect was poor.

Cheng Di, who had studied abroad, easily found the problem. People in China like to turn breeding into scientific research.

This is actually a commercial project.

However, most domestic breeders have been confined to the pseudo-theory of hybrid advantage groups for decades.

Some professors have fallen far behind the times. They make combinations based on blind guessing and select varieties mainly by visual inspection. They even teach analysis of variance in the field statistics course.

People who don’t understand think that people become more powerful as they get older.

I don’t know probability statistics, linear algebra, statistical software, quantitative genetics and population genetics, and I don’t use breeding databases…

This should actually be the world of young people.

One time, he overheard his colleagues chatting, and a school teacher personally complained that domestic horticultural breeding relies on stealing.

Without Tianyu and Xianyu, domestic corn varieties would not even be able to surpass Zhengdan 958.

Fortunately, Tianhe is not like this.

There are mostly young people here, and the institute's director Bi Qiang and the boss are also very willing to accept new things.

It is with their long-term and unremitting support that Tianhe’s commercial breeding platform has been gradually completed.

...

In Henan Province, Zhou Hongwei, regional manager of Denong Agricultural Materials, has been on vacation recently, but he cannot stay idle and has been visiting, observing and communicating.

The domestic agricultural input environment is quietly changing.

Traditional credit sales and extensive management have led to increasing pressure on debts and inventory.

"Those with insufficient content are cheap, but I am not sure about the effect and law enforcement environment, and those with good quality are too expensive."

“We know the effects of the new product, but it’s too expensive and we can’t sell it.”

This is the subconscious and first reaction of many dealers and retailers.

But Zhou Hongwei knew that this was a paradox. In fact, the product was not good enough.

Can ordinary people really not accept the high prices?
not necessarily!

Tianyu No. 1 and Xianyu 335 are sold by the number of pieces, and the price of fifty or sixty yuan has exceeded the price bottom line of many people.

There is also this year's Quanwang insecticide, the price of a small bag is almost 10 yuan, which is beyond the reach of many people.

These are all happening, and behind them are the products that can solve problems and bring real value to farmers.

So it’s not the product that is expensive, it’s your perception that it is cheap; it’s not the farmers who think it is expensive, it’s you as the distributor who think it is expensive!
"It's a worthwhile trip!"

He felt that the visit during this holiday was very meaningful and that his consciousness and thinking had been sublimated.

If you put aside the low-level price competition and keep persisting, you will gain another sky.

This is true for both seeds and pesticides.

He understood the strategic thinking of the top management.

However, there are still problems. There is still much room for improvement in reducing inventory and improving the management of agricultural inputs channels.

After returning home in the afternoon, Zhou Hongwei wrote down the problems he found and prepared to raise them at the meeting.

I was writing enthusiastically when the phone rang.

"Old Zhou, you will get one of the rooms allocated this year."

"Okay, eh? House?" Zhou Hongwei didn't react at first and asked uncertainly, "Is there a share for me?"

"Yes, there are many places available this year, including for mid- and senior-level positions."

So, there was one more family in this world who was happy because of their house.

...

Jiuquan, International Hotel.

Jiahe distributed more than 2000 houses this year. Of course, not that many people actually showed up, and many people chose to exchange the money for cash.

The housing prices in Jiuquan have gradually become one of the most concerning issues for Jiahe employees.

Compared with the national housing prices, Guo Yang's solution is to increase coverage.

We don't want everyone to own a house, but we should gradually strive for a ratio of 1% to 2%.

We must always maintain this hope so that employees have the motivation to work.

After distributing dividends and houses, and a brief annual meeting, it’s basically time to take a vacation.

Guo Yang also plans to take a break, go back to his hometown, and then go fishing in the south, or go ice fishing in Altai.

However, a phone call disrupted his schedule.

"Come to Beijing with Qin Lijun." Director Liu of the Crop Production Management Bureau said concisely.

Guo Yang thought something big had happened, "What's going on?"

“This year’s No. 1 document.”

"Gia Ho can be involved in this!?"

"Don't hesitate if I ask you to come." Director Liu scolded with a smile, "We also spent the Spring Festival in Beijing. The tickets for the gala are ready for you."

"..."

Guo Yang was not really interested in the party, but Document No. 1 was quite important.

I just can't figure out what he can do.

Without delay, Guo Yang immediately prepared a bunch of gifts, big and small. Qin Lijun was also in place, and the two of them flew to the capital at full speed.

After resting one night in the hotel, I rushed to the Ministry of Agriculture the next day and met Director Liu.

"It came pretty quickly."

"The leader has given the order, so how dare I delay?"

Director Liu nodded. "Okay, come sit in my office for a while, I'll call someone over."

Guo Yang was a little confused. Shouldn't Document No. 1 be discussed in the conference room? But he didn't ask any more questions.

After waiting in Director Liu's office for a while, three more people came in, two of whom Guo Yang knew.

Zhuang Yihui, chief agronomist of the Crop Protection Center;
Xiao Le, Department of Plantation Management;

After being introduced, I found out that the remaining person was Tan You from the Policy and Regulations Department.

After several people found a chair and sat around Director Liu, the latter said, "The main content of Document No. 1 has been determined."

"But there are still a few details that need to be improved, including land fallow for water conservation and land transfer..."

Jiuquan has experience in leaving land fallow and saving water, and no one in the country can compare with Jiahe in terms of the area of ​​land transfer.

These two tasks are not difficult for Guo Yang and Qin Lijun.

There was no need for them to rush here just for this matter.

After in-depth communication, we learned that this time it also includes the creation of high-yield grain, cotton and oil fields, rural financial reform, and a new western development project in the second half of the year.

These three items are extremely important to Golden Harvest.

The first two are nationwide, but Golden Harvest can play an important role in both.

But the most important thing is the Western Development Project, which can be simply summarized in three words: railways, roads and infrastructure.

Infrastructure includes new energy sources such as wind power and solar energy, and the main controversy is whether bioenergy should be included.

(End of this chapter)