Chapter 272: The Four Grain Merchants who are losing ground(1/2)
At the beginning of the new year, Syngenta brings good news one after another.
Not only are super seeds sold well overseas, but pesticide sales have also reached a new peak.
Due to the impact of last year's locust plague and geopolitical conflicts, food shortages have become increasingly serious. In order to protect demand, many countries have pressed the pause button on food exports.
Therefore, when Chinese companies began to send warmth to their doorsteps, the welcome they received was particularly warm.
Who would reject super seeds that are more productive and cheaper than Western genetically modified seeds?
All countries have become accustomed to buying seeds from the West. In other words, customers have been well educated, so now there is no psychological burden to switch to a seller with better quality and lower price.
During this period, Wang De welcomed people at the headquarters, met with trade teams from one country after another, and negotiated one order after another.
Today, he met with a trade group from the Lamu region, headed by agricultural enterprises from Samba and Tingen countries.
After sitting down in the conference room, Wang De began to introduce various super seeds with ease.
The other party listened carefully, nodded and talked from time to time, and seemed very satisfied.
He had seen this kind of reaction from customers a lot recently, and he couldn't help but smile happily, feeling that this wave of orders was stable.
However, when the customer question time began, the first question asked was somewhat surprising.
"Mr. Wang, we are very interested in super seeds, but what we urgently need now is fertilizer. We hope to negotiate a large long-term supply order."
Wang De never dreamed that such a big pie could fall from the sky. He couldn't help but be slightly startled. Then he thought of the recent situation, suddenly realized it, and felt ecstatic.
He nodded hurriedly and said: "No problem, we have whatever you want."
Then he showed a meaningful smile: "Even if the fertilizer is not produced in China, we can still provide it."
The other party was also stunned, and quickly said: "We don't mind where the fertilizer comes from, as long as it is chemical fertilizer, but it would be best if it comes from China."
"Of course, what we mean is that the outer packaging is the best in China." The other party emphasized the words outer packaging.
Wang De chuckled: "Of course, what is sold from Huaxia is naturally packaged by Huaxia. As for the chemical fertilizers inside, as long as they are of high quality and low price, who cares where they come from. Syngenta is also an international agrochemical company.
We have a global supply chain system, and some of the raw materials come from all over the world, which is normal."
The other party instantly beamed with joy: "Great, it seems that buying fertilizer from you is the right choice. The quantity we need is very large, and the time is very tight. Only an international giant like you can meet this demand."
The two parties looked at each other and smiled, and began to sign the contract with great understanding.
This order that fell from the sky may be Syngenta's largest fertilizer order in recent times, and it was won without any suspense.
Wang De knew very well that this was a windfall, which could be regarded as taking over the country of the Bear.
For a long time, Mao Xiong Country has been known as the world's largest fertilizer exporter due to its rich natural gas supply, accounting for one-fifth of the world's potassium fertilizer supply.
The potash fertilizer provided by Baimao Country also accounts for 18% of global production. The two together provide nearly 40% of global fertilizer production, making it the world's largest fertilizer exporter.
Since the beginning of the geopolitical conflict, the Woolly Bear Country has closed its door to fertilizer exports. Immediately afterwards, the Fertilizer Trade in the White-haired Country also encountered difficulties.
With international grain prices soaring and the world's major grain exporting countries temporarily withdrawing from the supply pool, Samba and Tingen immediately sensed business opportunities to make money and are preparing to actively expand production to fill the supply gap.
Many agricultural enterprises in the two countries have also begun to increase production in new production areas that do not grow much food all year round. In addition to the sugar cane and soybeans that were often grown in previous years, they also planted a lot of other crops such as wheat, and they went all out to seize the opportunity.
Global grain market.
Therefore, when the world's two largest fertilizer supply pools suddenly cut off supply, they were instantly dumbfounded.
After all, if you want to expand grain production and achieve large profits at this time, the most critical point is chemical fertilizers.
Take the country of Samba for example. Among the 85% of fertilizer imports, about a quarter comes from the country of the woolly bear.
Suddenly, the supply pool of chemical fertilizers in this part of the country was cut off, and agricultural production capacity lost the support of chemical fertilizers. Even if the production area expands, the output will be worrying. It is really beyond the capabilities.
It's not like they haven't considered other agrochemical giants, but Eagle Country itself is a major agricultural country and has also been affected by the suspension of fertilizer supply. These companies have already exhausted their production capacity just by making up the difference for Eagle Country, and they can't take care of the mold country at all.
Come.
At this time, Syngenta from the East naturally has a sufficient supply of fertilizers.
At this time, China is the country with the greatest shortage of chemical fertilizers. It is already a major producer of chemical fertilizers. However, with the recent close cooperation between Syngenta and Mao Xiong, they are acting as second-tier dealers in fertilizers, buying the fertilizers from Mao Xiong into the country and transferring them to China.
Together, and then sold to large agricultural companies in various countries, it is also a lucrative business.
After all, Fertilizer from the Bear Country is no longer exported, but it is not that it has completely ceased production.
With such a huge production capacity, it is impossible to completely stop it for a while, and we can only find new ways out.
Syngenta has strong strength and sales channels all over the world, so it is undoubtedly the best dealer choice.
Nowadays, the global fertilizer market is experiencing a huge price increase. The price has increased several times. It is simply the easiest job in the world to earn the price difference just by sitting down.
****
Eagle Country, Wisconsin.
In a spacious conference room at Cargill's corporate headquarters.
As the head of one of the world's richest families, Wallace is currently having a video conference with the CEOs of the other three major grain merchants.
However, the atmosphere in the entire venue was a bit depressing, and everyone's expressions were very heavy, which showed that the topic discussed was not so relaxed and pleasant.
Ms. Margarita, the president of Louis Dreyfus, has black hair and dark eyes and a somewhat fiery personality. Seeing everyone in the venue fall into silence, she suddenly said displeasedly: "Gentlemen, this is just a temporary defeat. Why are you all so dejected?"
This is not like the behavior of men from the Eagle Country."
As she spoke, she turned to Wallace and asked in a stern tone: "Mr. Wallace, I don't understand why, under the current situation, Cargill claims to withdraw from the Bear Country and stop all business and investment. This is not obvious.
Give the market to China’s COFCO Group?”
"If it were a listed company like AMD and Bunge, I wouldn't be surprised. After all, they are responsible for the short-sighted board of directors. But you, Cargill, are a family company. There is no need to look at anyone's face to do something so stupid.
It’s really hard for me to understand the decision.”
Wallace blushed and was about to retort.
Margarita looked at Bunge's CEO again: "I understand that Bunge is a listed company and needs to be responsible to its shareholders, but it shouldn't be so short-sighted. Your reneging on your word in the Philippines has completely offended the members of the Philippine Alliance.
, pushed them to Syngenta and COFCO, and now Chinese companies have spread their branches there, and they are not far away from completely replacing us."
Bunge's CEO looked as normal and said with a smile: "It's as if you have never done this kind of thing. They are all big companies. It is a normal business behavior to cancel the contract for the sake of profit."
Margarita sneered: "The behavior of handing over customers to competitors may indeed be normal at Bunge. If it is at Louis Dreyfus, what use is the person in charge who does such a thing and cannot deal with the consequences?"
, I will definitely be fired."
"You," the CEO of Bunge twitched his face a few times, snorted coldly, and gave up his defense directly. He also knew in his heart that going back on one's word in the mall was nothing, but being unable to deal with the consequences and causing the customer to go to the opponent could only explain himself.
is incompetent.
However, who knew that Syngenta would pop up? If there were no super seeds, wouldn’t the Philippine countries have to swallow their anger and be manipulated at will? How could they shut out Bunge so confidently?
He couldn't help but feel a surge of hatred towards Syngenta and Sanqing.
"Okay, actually our losses are not as big as you think," AMD's Patricia said: "Thanks to the global food shortage, the revenue of our four companies actually increased significantly last year, and the increase was more than
40%, our AMD even reached 54%.”
"Grain trade is a long-term matter. Losing the markets in the Philippines and the furry bear country is just a temporary gain and loss. Please don't take it to heart."
Wallace suddenly asked: "What if it's not a temporary gain or loss?"
Patricia was at a loss for words. AMD is also a listed company. She is just a professional manager. If she improves her performance during her tenure, it means she has completed the task. If it is not a temporary gain or loss, it has nothing to do with her.
Bunge CEO's expression suddenly changed: "No, I just learned the news that many agricultural companies in Samba and Tingen have bought Syngenta's seeds and fertilizers."
"Fake!" Margarita couldn't help but swore: "What the hell is going on? Isn't Lamou your back garden? This can also allow Chinese companies to succeed? Why? I need a reason!"
The CEO of Bunge had an ugly face: "The reason is of course because of chemical fertilizers. Mao Xiong has banned the sale of chemical fertilizers to all Western countries. They don't have enough chemical fertilizers now. If they can't buy enough chemical fertilizers, their output will be greatly reduced, so they asked Xianzheng
Naturally, Dalmai’s fertilizers and super seeds are sold in bundles.”
“Why are there not enough fertilizers?”
"Why else?" Wallace also saw the company's internal email and said with a strange expression: "Of course it's us behind them who are greedy and want to expand production massively. Taking advantage of countries such as Tianzhu and Mao Xiong to ban the sale of grain,
So as to seize more market in this food shortage."
Margarita was immediately speechless.
In fact, most of the agricultural companies in the Lamu area are controlled by the four major grain merchants and all have their investments. The ability to do this kind of thing must be related to the decision-making of the branch companies.
It is not ruled out that some small agricultural companies also want Syngenta's super seeds and fertilizers, but the quantities are certainly not that large.
However, after all, the four major grain merchants are only shareholders, and it is difficult to participate in daily decision-making at all times. Moreover, Syngenta is an agrochemical company, selling seeds, pesticides and fertilizers. It has a customer relationship with agricultural companies and does not constitute competition at all.
No, I was stabbed in the back by my own company without paying attention.
Patricia thought about it seriously and said with a wry smile: "Actually, they did the right thing. They are indeed short of chemical fertilizers. If we don't contact Syngenta, the reduction in grain production will also be a huge loss for us. What do you think?"
Bunge CEO Tan Tan said: "I don't care. Bunge is a listed company and always puts the interests of shareholders first. Besides, we haven't withdrawn from the market of furry bears yet, so there's no harm in buying their fertilizers."
Wallace frowned and said, "Aren't you afraid of being punished for buying fertilizers and grains?"
Bunge CEO picked up the coffee on the table, took a leisurely sip, and said with a smile: "Then it's time for me to take the blame. As long as the company is willing to provide a satisfactory compensation, even if I am fired by the board of directors, I will only
I'll accept it. Isn't that what professional managers do? What do you think, Patricia?"
The corner of Patricia's mouth turned up, and she smiled knowingly: "AMD also intends to continue the food business in the Bear Country. If I am dismissed, I can take time to spend with my youngest son. He is only eight years old and needs maternal love."
time."
To be continued...