However, in order to protect the interests of farmers and increase their enthusiasm for farming, it is impossible for farmers to make losses after a year of farming, so the government will balance this basic pricing.

And this so-called balance is to subsidize food prices.

For example, the market purchase price of new corn that year was 7 cents, but this price might cause farmers to lose money.

If it is not based on calculation, the grain depot's purchase price for new grain would be 8 cents or even 9 cents.

In addition to the market price of 7 cents, the rest of the 8 cents or 9 cents is subsidized by the government.
Therefore, the quota or share for purchasing new grain at a subsidized price is very important for these commercial grain companies.

Those commercial grain companies that have the power to sell these new grains can then purchase large quantities of grain from farmers at lower prices.

For example, the market price was 7 cents that year, and other commodity grain purchasers also purchased grain at 7 cents. However, because a certain commodity grain company could put the grain it purchased into a grain warehouse with a subsidized price, the price it purchased grain from farmers could be higher than 7 cents, for example, up to cents.

Don't underestimate the price difference of 5 cents. A difference of 1 cents per kilogram in the total price of 5 kilograms of grain will result in a difference of 500 yuan.

500 yuan is just the cost of a meal for a rich person, but for a farmer it may be the price of grain for half an acre of land.

Generally speaking, if you plant one acre of corn, the yield is about 1000 kilograms, which means that 1 kilograms of corn require 10 acres of land.

Generally speaking, in Haizhou City in the north, the average number of acres of land cultivated by farmers is more than 10 acres. If all of them are planted with corn, the price difference will be nearly 5000 yuan.

The amount of arable land varies in different places because of different population sizes, so the amount of arable land per capita is limited and varies.

The amount of arable land is much less than that in Mawang Town, so the per capita arable land of some farmers is just one acre, and some are even less than one acre.

But in Mawang Town, the per capita arable land can reach 8 to 10 acres.

Moreover, Mawang Town is all plains with fertile land, which is very suitable for growing all kinds of crops.

This is an important reason why Mawang Town has become one of the largest grain production, fine processing and rough processing sites in the vicinity of Haizhou City.

After figuring out the situation, Lu Chuan and Wang Zhaokai began to investigate the three commercial grain companies that had long-term cooperation with Mawang Town Grain Depot.

These three commercial grain companies are all registered in Haizhou City, but in fact their main business battlefields are all in Mawang Town.

However, because it is the off-season for grain purchasing, there are only one or two people at the grain purchasing points of the three companies in the town. When Lu Chuan and others were sent to observe, they found that there was nothing special.

"Director Lu, I think there may not be much to come from investigating here. We have asked these people, and they are all here to look after the shop. They basically don't know the company's operating conditions. Now is not the peak season for income in DY City, and there are very few people in the company here."

Wang Zhaokai asked someone to disguise themselves and inquire about the situation, asking whether they would accept grain and what the price was. It turned out that the people here knew nothing and just stood there watching.

"I think I should talk to the nearby farmers, especially some of the large growers and cooperatives in Mawang Town, which should have cooperated with these grain companies. Maybe they know something about the situation."

Although Mawang Town is not very close to Haizhou City, there are many large grain growers here, and the income is actually quite good, so the economic conditions in Mawang Town are relatively good. In addition, due to the large grain production, there are also many grain processing enterprises in the town.

In recent years, Haizhou City has vigorously developed the real economy and has also provided strong support to grain processing enterprises in Mawang Town, attracting many enterprises for investment.

Although Mawang Town is a town, it is not small in scale and can be said to be comparable to an average small county town.

Through the information we learned from the grain depot, we found that some of the large grain growers in Mawang Town are actually cooperatives.

Some of these cooperatives are contracted by locals, while others are invested and built by outsiders.

In fact, they rent the land from farmers at high prices, form a long-term leasing relationship, and then uniformly plant certain cash crops.

Although the price of leasing land is relatively high, because otherwise people will not rent the land to you, the economic cooperative will not be able to lease a large amount of land and form large-scale planting.

For these planting economic cooperatives in rural areas, large-scale planting and mechanization to reduce labor costs are the only ways for them to make money.

In addition, large-scale planting will naturally produce a large amount of grain, so the rise and fall of grain prices will have a great impact on them.

In comparison, Wang Zhaokai and his colleagues believe that these large-scale grain growers and rural economic cooperatives should be more familiar with the situations of these commercial grain operating companies.

Northern Cooperative.

"They are just those commercial grain companies, right? They seem to be doing big business, but in fact they don't buy our grain, and we don't have any cooperation with them."

"That's not right. I heard from the people at the grain depot that these companies sell millions of tons of grain to the grain depot every year. If they don't cooperate with you, where do they get all this grain?"

The other person smiled, with disdain in his eyes.

"As the saying goes, sparrows don't pee in the house. Everyone has their own way. Those companies all have connections. They can have good relations with the grain depot, so they don't care about our grain. To tell you the truth, the grain collected by the planting cooperatives in our Mawang Town is sold to other places."

"The grain warehouse in Mawang Town is huge. We can't get in, and they don't look down on us retail investors."

Revitalize cooperatives.

"We don't really know how they do it. Those companies are actually shell companies with no one there. We have never seen them collect grain, and they don't accept our grain either. But I heard that they have a very good relationship with the grain depot, so they can sell their grain to us even though we can't."

"We sell our grain to the neighboring county. The grain depot in the neighboring county said that we have a few long-term cooperative grain merchants in the south who will come to buy our grain. We sell it to them every year."

Zhangcun Cooperative.

"Hello, we are from the Public Security Bureau. We would like to ask you about some matters concerning the grain collection at the Mawang Town grain depot..." (End of this chapter)

Tap the screen to use advanced tools Tip: You can use left and right keyboard keys to browse between chapters.

You'll Also Like