Chapter 139: Happy Events (Medium Cup) (Ch 816986250)

Xiyuan Group suffered a heavy blow.
Although many European and American traders or high-end catering companies that had previously ordered glass eels from Xiyuan Group received compensation, it does not mean that everyone is satisfied with the compensation.
For example, some high-end member restaurants often have their seats and dishes reserved by guests in advance, and some reservations are even made several months later.
Now Xiyuan Group has breached the contract. They have already pre-sold the glass eel dishes. If it is just one or two customers, they can make some adjustments. The problem is that dozens or hundreds of customers have made reservations, and there is no way to provide them on time. For these high-end restaurants, this would be a blow to their reputation.
Therefore, these restaurants united and filed class action lawsuits against Xiyuan Group in the European Union and America, demanding that Xiyuan Group compensate them for a series of other losses.
On the other hand, these high-end restaurants can only hold their noses and urgently purchase glass eels from Brown Company and Hailufeng Company to avoid large-scale booking defaults.
International Trade Office of the Sales Department.
The person in charge, Huang Jiahao, has been looking at the sudden surge in orders from Europe and the United States these days. He and the sales staff in the office can only coordinate production capacity as much as possible.
Fortunately, the Spring Festival holiday is approaching, so half of the production capacity in February can be transferred for use.
As for the difference between cultured seedlings and edible seedlings, the difference is that when they leave the factory, the cultured seedlings will be fed with drugs three days in advance, so that there are obvious drug residues in their bodies, making them very easy to detect.
Edible eel fry are eel fry that do not require any medication and can be sold directly.
To facilitate identification, the three major eel fry producers all use biodegradable and safe pigments similar to pork stamps to dye the farmed fry.
Starting from January 2026, the eel fry sold by the three major eel fry producers will all be pink, and this color will also be metabolized after two or three months; the edible fry will be a natural translucent color.
If this is not done, many farms and restaurants may secretly cooperate and use the farmed seedlings as edible seedlings.
The reason why things are so complicated is, of course, to make money.
After all, people who eat eel fry are those who go to high-end restaurants to show off, and what they want is a product that is unique and can show their face.
The three major eel fry producers also followed suit and introduced the “more noble” edible glass eels to them.
Huang Jiahao was not sure whether it was good or not, but he was very clear that it was expensive. The edible glass eel cost 25,000 yuan per kilogram.
Only half a month after Xiyuan Company’s bankruptcy, the International Trade Office had already received orders for 13,528 kilograms of edible glass eels, with a total order value of 338.2 million yuan.
There is a steady stream of subsequent orders.
The International Trade Office not only received orders for glass eels, but also large orders for white truffles.
High value-added products are great.
And monopoly-type high value-added products are even more exciting.
Before I knew it, it was the end of January.
Hailufeng Company’s revenue this month hit a new high of 930 million yuan, and its gross profit reached 710 million yuan.
With this revenue and gross profit, Hailufeng Company defeated Shantou Tobacco Company with an annual revenue of 4.3 billion yuan, and became the second largest company in Shantou and the most profitable company after Tonly Electronics Holding Group with an annual revenue of 15 billion yuan.
You should know that the Tonly Electronics Group, which has an annual revenue of 15 billion yuan, only made a profit of about 300 million yuan in 25 years, which is less than the profit of Hailufeng Company in half a month.
This situation has made Hailufeng Company increasingly popular locally.
…
Jiang Miao will take time out at the end of the month to come to the company to work.
Suddenly, Li Zixuan knocked on the door and came in with a happy look on his face.
“Boss! Your and your wife’s honorary doctorates have been announced, and Lion Rock Agricultural University has also issued a notice, announcing that you and your wife have become distinguished professors and doctoral supervisors at Lion Rock Agricultural University.” He said as he handed over the printed document.
Jiang Miao flipped through the pages twice, smiled and shook his head: “In life, the most important thing is fame and fortune.”
Putting down the documents casually, Jiang Miao took out a red envelope from the drawer and handed it to Li Zixuan: “Zixuan, congratulations on your marriage to Xinyi. You should pay more attention to family harmony in the future.”
“Thank you, boss!” Li Zixuan took the red envelope with a smile.
Bang bang bang…
“Come in!”
Jiang Haibo walked in, looking exhausted: “Boss, Yingxiong Dairy has been taken over.”
Li Zixuan quickly retreated.
“Thank you for your hard work. Have a cup of tea first.” Jiang Miao poured him a cup of hot tea.
A week ago, Gannan Branch completed preliminary discussions with all parties. Shareholders of Hero Dairy also felt that Hailufeng’s offer was more appropriate, so they decided to sell all their shares to Hailufeng.
Jiang Haibo rushed over with the legal department.
Jiang Miao carefully read Jiang Haibo’s work report.
After taking a sip of hot tea, Jiang Haibo said, “Boss, through the matchmaking of Gan Province, we have repaid all of Yingxiong Dairy’s 120 million yuan debt, and paid 76.28 million yuan for the purchase of shares.”
“Yeah!” Jiang Miao nodded. He was very clear about this number, and it was consistent with the results of the previous secret investigation.
“At present, Liu Changqing, deputy manager of the Gannan branch of Yingxiong Dairy, is temporarily in charge of the management. All previous management have been dismissed and compensated according to their length of service.”
Jiang Miao pondered for a moment, pulled out a letter of appointment, and wrote down a name and position: “I am worried about relying on Liu Changqing alone, so let Xinhua resign from the aquatic product division after the Chinese New Year and serve as the general manager of Yingxiong Dairy.”
“Okay, I’ll let him know this afternoon.” Jiang Haibo nodded slightly, and then he asked, “Boss, what do you think about the development plan of Hero Dairy?”
Jiang Miao looked at the balance sheet of Hero Dairy. Its four core industries all revolve around the dairy industry, including:
Dairy cattle breeding industry: Its animal husbandry company is engaged in dairy cattle breeding. It has a large breeding farm in Jiaoqiao Town, Yuzhang City. The number of dairy cows is about 10,000, which can provide high-quality milk for dairy product production.
Forage planting industry: It owns a forage technology company. In addition to operating grass seeds, it also produces forage grass such as Guimu No. 1 elephant grass and highdan grass to ensure the supply of dairy cow feed.
Feed processing industry: It has a feed processing plant with an annual output of 60,000 tons of compound feed and various premixes to meet the feed needs of the dairy cow base.
Then comes the main business. Its dairy factory is a national second-level enterprise with advanced production equipment. It has an annual processing capacity of 10,000 tons of milk powder and 30,000 tons of liquid milk. It produces four major series of dozens of dairy products including milk powder and liquid milk.
After reading these materials, Jiang Miao shook his head and picked up the landline phone: “Hello, Han Ming, come to my office and bring the dairy-related reports.”
“OK.”
After a while.
Qin Hanming, manager of the market research department, came in carrying a pile of documents.
“Boss, general manager.”
“Sit down.” Jiang Miao poured him a cup of tea: “Didn’t I ask you to investigate the dairy industry before? Tell me about the situation in Gan Province and Lingnan Province.”
After taking a seat, Qin Hanming handed Jiang Miao a document with a label on it, and then he said, “Boss, Gan Province currently consumes 400,000 to 500,000 tons of dairy products annually, while Lingnan Province consumes 1.1 to 1.2 million tons of dairy products annually.”
“The annual output of Yingxiong Dairy is just this much. No wonder it can’t go beyond Jiangxi Province.” Jiang Miao said as he flipped through the information.
Qin Hanming continued, “The milk production of Yingxiong Dairy’s cows is average, only about 80,000 tons of milk a year, an average of 8 tons per cow per year, and the breed has not been updated quickly enough over the years, so many cows are already old.”
“You should know that the average annual output of American cows is 22 tons. Of course, American cow farming uses a lot of technology and hard work, but I won’t go into details for now. Even the more advanced breeding bases in China can produce 11 to 14 tons per head per year.”
Jiang Miao put down the document, thought for a moment, and then slowly said: “For the planning of Yingxiong Dairy, we have to start from three points.”
“First, we need to increase the yield per cow. Even if we can’t match Amelica’s 22 tons, we need to reach the domestic leading level of 14 tons.”
“Second, stop producing pasteurized milk and high-temperature sterilized milk and switch to producing milk powder, cheese, whey protein, cream and other products.”
“Third, we need to expand our layout. In addition to maintaining our production base in Yuzhang City, we need to continue to purchase new dairy cows and build breeding bases in Luling, Gannan, and Shanmei.”
While taking notes, Jiang Haibo said, “Boss, are you planning to use our feed and fodder in these three areas to facilitate the supply nearby?”
“Yeah!” Jiang Miao nodded.
After all, Hailufeng Company’s Gannan Branch has 200,000 mu of oil tea planting bases in Luling City and Gannan City, of which about 160,000 mu are forest grasslands where white clover and purple alfalfa can be planted.
There are two harvests a year, and each harvest can produce about 3,000 kilograms of fresh grass, which can be made into about 600 kilograms of hay.
160,000 acres means 960,000 tons of fresh grass, or 192,000 tons of hay, or 576,000 tons of silage per year.
Generally, a high-yielding dairy cow consumes 3 to 4 tons of concentrated feed, 6 to 10 tons of grass or green feed, and 1 to 2 tons of hay per year.
Therefore, the fodder produced by Gannan Branch can probably meet the needs of 40,000 dairy cows for one year.
Moreover, white clover and alfalfa are high-protein, high-quality forages that are not only palatable but can also increase milk production.
Although there is a great demand for high-quality alfalfa hay in China, and the import landed price can reach 3,000 to 3,500 yuan per ton, its benefits are not high for Hailufeng Company.
Because the transportation cost of hay is relatively high, it is better to use it as raw material locally to feed dairy cows and beef cattle.
Thinking of beef cattle, Jiang Miao looked up and asked, “Han Ming, what is the current domestic beef price?”
“Beef?” Qin Hanming flipped through a pile of documents and took out a market research report: “In February and March last year, the national beef purchase price rose slightly by 7%, to 58-62 yuan per kilogram. It has been fluctuating in this period since then. Until September last year, the price fell again. The current price remains between 52-56 yuan per kilogram.”
Jiang Miao tapped the table with his fingers: “This price is good, you can consider buying a batch of beef cattle.”
“What does the boss mean?” Jiang Haibo stopped writing.
Jiang Miao immediately ordered: “Let’s do this! Yingxiong Dairy’s mission this year is to purchase 40,000 dairy cows, build four large dairy farms, and related supporting factories.”
“OK.”
“Then we will build a breeding base for 10,000 dairy cows in Gongping Town, Haifeng County, which will also be equipped with a deep processing factory.” Jiang Miao then added:
“As for the beef cattle, there is no rush. I plan to let the Mo Nan branch take charge of it. After all, we grow so much soybeans in Mo Nan, and we need to consume some of them ourselves.”
For Hailufeng Company, raising dairy and beef cattle is not difficult. Jiang Miao can come up with a feeding formula with better feed-to-milk and feed-to-meat ratios at any time. Although it is still not as good as the technology and hard work of America Animal Husbandry Company, it can at least increase the annual output of each dairy cow to about 14 to 16 tons, and shorten the fattening time of beef cattle.
In essence, domestic milk and beef prices have always been higher than those in Europe and the United States, mainly due to feed costs.
Taking high-yielding dairy cows as an example, each cow needs about 15 tons of feed a year, and the total feed cost is 2,900 yuan per ton, so the total feed cost is about 43,500 yuan.
Taking other costs into consideration, the production cost of each kilogram of fresh milk will be about 4 yuan.
This price seems quite low.
However, this is the production cost of raw milk, and it still needs to go through a milk station. If it is a company-owned ranch, the cost is not much cheaper. After deep processing, it needs to be transported and sold, which will further increase the cost.
The current retail price of milk in the domestic market is 16.7 to 20 yuan per liter for pasteurized milk and 14 to 15 yuan per liter for high-temperature sterilized milk.
The gross profit margins of the three largest domestic dairy companies are 37%, 32% and 20% respectively.
Therefore, in order to compete with them, we must find ways to reduce costs and increase efficiency.
How to reduce costs and increase efficiency?
Of course, the goal is to use as little feed as possible, produce as much milk as possible, and keep feed costs down.
As long as the production cost of milk can be reduced to 2 yuan per kilogram, relying on the transportation advantages of the production area, the retail price of pasteurized milk can be 14.5 yuan per liter and the retail price of high-temperature sterilized milk can be 12 yuan per liter in Jiangxi Province and eastern Guangdong, and a gross profit of 33% can still be maintained.
When it comes to industry, sometimes one small move can have a ripple effect on the entire body.
A new variety of alfalfa and a new variety of soybean can change the domestic breeding pattern.
As for whether other companies can keep up, it is highly likely that they can, but it cannot be ruled out that some people may not be able to see the development trend of the industry and will be eliminated as a result.
Such companies that cannot keep up with the development trend of the times definitely exist.
But Jiang Miao will not choose not to develop because of this. After all, this is the normal logic of business competition.
This is also the reason why he arranged for Hero Dairy to temporarily abandon pasteurized milk and high-temperature sterilized milk.
With the launch of new varieties of soybeans and alfalfa by Hailufeng Company, the domestic breeding industry will soon undergo major changes.
At this time, Hero Dairy should focus on its layout and carry out transformation and upgrading of its production lines in advance, rather than maintaining a half-dead liquid milk market.
Once industrial upgrading begins, a large amount of high-quality, low-priced milk will flood into the market, and the market share can be regained in an instant.
It will take other dairy companies at least a year to react and start planning their feed and forage industries. It may even take longer due to various internal disputes within some companies.
You know, with the development of the times, the domestic dairy products market today has actually become a red ocean. It’s not that dairy companies have poor profits, but that the market is sluggish.
Jiang Miao discovered this serious problem when he looked through various survey reports from the market research department.
Why has the domestic dairy market shown signs of sluggishness in recent years after twenty years of rapid growth?
There are three reasons.
On the one hand, there is the issue of domestic eating habits.
On the other hand, dairy product prices are relatively high.
The third reason involves the lack of consumer spending power.
After all, if dairy companies don’t lower prices and consumers are short of money, the market will naturally be sluggish.
However, if dairy companies cut prices, they will face the problem of declining gross profit margins.
After much calculation, these dairy companies found that it is better to maintain the status quo. After all, price cuts and promotions cannot attract enough growth all at once, and will instead result in more harm than good.
This is the dilemma currently faced by domestic dairy companies.
In essence, the production costs can no longer be reduced, and the company is also facing the impact of cheap foreign dairy products.
After all, domestic dairy companies need to import 500,000 tons of bulk powder from New Zealand every year. These bulk powder bags are mainly used to produce reconstituted milk, milk powder, or directly as food raw materials for the production of products such as bread.
This shows that the domestic raw milk production capacity is insufficient.
However, due to production costs, the current scale of dairy cattle farming in China has reached its upper limit.
If Yingxiong Dairy wants to achieve success, it must rely on the technology of its parent company, increase its own breeding ceiling, and improve unit production capacity.
What’s more, Hero Dairy has a hidden advantage that other dairy companies do not have.
That is the regional industrial chain built by Hailufeng Company. This regional industrial chain will increase the income of local people. As the income increases, the consumption power of local people will also increase.
Otherwise, how can you ask an old farmer who earns several thousand yuan a year to consume a 250ml bottle of liquid milk on a daily basis? This is obviously unrealistic.
Taking Magong Town as an example, the current per capita annual income in the town can reach 20,000 to 30,000 yuan.
Under such circumstances, the consumption enthusiasm of ordinary people in Magong Town is extremely high at the end of this year. The red-heart shrimps or wild grouper that cost hundreds of yuan per pound in the seafood market at the dock are in short supply.
Also, Hailufeng Company’s live eels and premium Egyptian catfish were sold in large quantities locally.
With Hailufeng Company’s industrial layout, the income level in southern Jiangxi can be raised soon. At that time, Yingxiong Dairy will leverage the parent company’s local influence, advertising, and price advantages, and will not have to worry about not being able to sell its milk.
The industrial layout drives the overall development of the region, thereby improving the overall income level of local people, which can stimulate local consumption and sell their products.
Otherwise, if the local people’s income remains the same as before and their wallets are empty, it would be a miracle if the market is not sluggish.
This is also the fundamental reason for the current sluggish domestic market. The huge production capacity cannot find consumers, and consumers cannot afford to consume too many products because their income is too low. The inability to consume too many products leads to insufficient factory operating rates, which in turn leads to salary cuts and layoffs.
It’s a vicious cycle.
What is manifested in the market is deflation.