2015 Agricultural Industry Chain Analysis Report December 2015 Table of Contents I. Overview ............................... ................................................. ............... 4 1, the competitiveness of China's agricultural products has been significantly lower than the developed countries such as Europe and the United States .................... ..................... 4 2, large-scale operation and industrial chain closed-loop agriculture in China is the future trend of development ............ ..................... 4 3, the domestic agricultural industry chain yet to be integrated ................... ................................................. ............ 5 II. The competitiveness of China's agricultural products is significantly lower than that of developed countries such as Europe and the United States ........................ ........ 6 1, China's implementation of the policy of temporary storage and purchase of agricultural products prices significantly higher than the international market ......................... .... 6 2, planting costs increase, the cost advantage of agricultural products no longer .................................. ............................ 9 3. To increase the competitiveness of agricultural products and to moderately scale planting is the preferred way ....... ............................... 12 III. Large-scale operation and industrial chain The closed-loop agriculture in China is not
To develop the trend .............. 14 1, rural hollowing to promote land circulation and agricultural scale operation ................... ............................ 14 2. Agriculture ushers in a double-intensive era of capital-intensive and knowledge-intensive ....... ........................................ 16 3, Industrial chain closed-loop, inspired by ABCD China's Grain Enterprise Development ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ 18 IV Agricultural industry chain yet to be integrated ............................................ .................. 22 1, China's planting industry professional service system has not yet formed ...... ...................................... 22 2, Acquisition and storage, entrance of agricultural products industry chain ................................................. ............. 25 3, from farmland to the table, looking for food consumption terminal ......................... ...................................... 28 V. Key Corporate Facts ...... ................................................. .......................... 32 1, Stanley: Transformation of agricultural service providers, relying on channel advantages to grasp the grain entrance
........................... 32 2, Xiangyu shares: rooted warehousing and logistics, fast copy Songnen mode ..... .................................... 34 Lowest Purchase Price Policy and High Cost of Planting Weakened International Competition for Chinese Grain Force: Since 2004, China has implemented the policy of purchasing the lowest price for main agricultural products such as rice, wheat and corn in order to maintain the enthusiasm of growers and ensure the national food security.
The policy made the domestic grain prices significantly higher than the international market prices and transformed our country from a grain exporter to a net importer.
However, the rise of manpower costs and the abuse of chemical fertilizers have led to the increase of planting cost in our country in recent years and weakened the international competitiveness of grain in our country.
At present, the labor cost of unit planting cost in our country is nearly 20 times that of the United States, and the cost of fertilizer is three times that of the United States.
Under the background of accelerating land transfer, large-scale and intensive planting is the only way for agricultural development in China. By the end of 2014, land transfer area reached 403 million mu, accounting for 30% of the contracted land area.
Large-scale planting helps to reduce manpower costs, mechanical use costs, purchase costs of agricultural resources, etc., to improve plantation efficiency and profitability.
The scale of the agricultural integration industrial chain is huge: there is an urgent need for specialized agricultural service organizations in the country to raise the planting level by providing planting technical services and machinery rental services.
The scale of China's warehousing is seriously inadequate. The construction of a new grain storage facility is an important start for the acquisition and processing of grain in the future.
The profitability of individual grain processing sectors is modest, and profitability can only be increased through the integration of industrial chains or scale-up.
We estimate that the scale of the agricultural integration market in northeast China (excluding Inner Mongolia) is nearly 600 billion yuan and the profit scale is about 80 billion yuan.
Taking the country's cereal acreage of 94.6 million hectares in 2014 as a whole, the overall market size in the domestic market is estimated to be 3,000 billion yuan and the total profit margin is 420 billion yuan.
Capital intensive is the development direction of agriculture in the future. The four grain merchants of the whole industry chain provide reference for the development of China's agricultural enterprises.
In the future, the agricultural development will become large-scale, mechanized and high-tech, which will require a lot of capital investment. Therefore, agriculture will become a capital-intensive industry.