Earlier there were media reports that in March last year, reports on the integration of the three major grain and oil central enterprises had been reported to the State Council. According to the plan, the integration is mainly based on China Grain Reserves, and the Huafu Group and China Storage Cotton are equivalent to being merged and purchased. However, the integration of China's grain reserves, Huafu Group, and China's reserve cotton basically stagnated in the second half of last year. As an important carrier of the state's regulation and control of the grain market, in recent years, China's grain reserves have been considered as not really playing a good role. According to public reports, during the summer grain purchase period in 2010, the purchase price of wheat in China Reserve Grains in Anhui, Shandong and other places increased by approximately 10% year-on-year, far higher than the policy purchase price set by the National Development and Reform Commission. To this end, the National Development and Reform Commission, the National Grain Administration, etc. conducted a series of joint investigations on China Grain Reserves last year. The relevant departments also requested that “China Grain Reserves shall fully suspend all other purchases and sales activities other than those directly related to reserve handling rotationâ€. "Because of illegal acquisitions and even price hikes in the summer grain acquisition last year, it was detrimental to the image of policy reserve grain companies and business operations were halted. This may be the most critical factor in the consolidation of China's grain storage." CIC Advisor Food Industry Zhou Siran, a researcher at the China Economic Times, analyzed that at the same time, the resistance of competitors in the grain sector is also a difficulty in the integration of Sinograine Grains and Huafu Cotton. He believes that the restructuring of central SOEs mostly follows the concepts of "strong alliances," "strong and weak," and "integration of industrial chains." If the three major grain and oil companies have successfully integrated, the scope of business of China's grain reserves will expand dramatically and expand into food. , Warehousing, processing, trading and logistics of oil, sugar, meat, and cotton. This puts heavy pressure on the development of other companies. It is worth noting that China Storage Cotton and Huafu Group did not perform positively in the process of integration and promotion. “The Sino-Canadian Cotton has not originally been merged with China Grain Reserves, and we have not seen any arguments. As for the Huafu Group, we (who) originally talked to it, but we have not yet reported to the State-owned Assets Supervision and Administration Commission of the State Council. The matter does not and is also the SASAC thing, and our company has no relationship." Cheng Bingzhou said. Three major grain and oil central enterprises will be integrated or will be postponed With regard to how to integrate central SOEs, the current attitude of the relevant departments is undergoing some changes. During the "two sessions" this year, Wang Yong, director of the State-owned Assets Supervision and Administration Commission of the State Council, said that the new round of central-level enterprise restructuring will not aim at quantity, and more emphasis will be placed on the quality of the integrated enterprise. The integration of enterprises must be implemented with factors such as quality, the stage of development of the company, and the optimization and development of its own resources. This formulation is obviously different from the 100 targets that the State-owned Assets Supervision and Administration Commission of the State Council has emphasized before the integration of central enterprises by the end of 2010. Will the consolidation of the three major grain and oil central enterprises continue in the future? Cheng Bingzhou told the China Economic Times reporter: “The government must make companies bigger and stronger in decision-making, strong alliances or complementary advantages. The SASAC has not asked us to do anything. That is the government’s business.†Zhou Siran believes that from the perspective of the state controlling scarce agricultural resources to maintain market stability, it is highly probable that the three major agribusiness enterprises will continue to be integrated, but it is expected that the future will be affected by changes in the positioning of China's grain reserves and restructuring of the SASAC. The core position of China's grain reserves will be greatly affected. In an interview with the China Economic Times, Ma Wenfeng, an analyst at Beijing Oriental Agri Consulting Co., Ltd., said that China’s agricultural production resources are limited. If the supply and demand of agricultural products (000061) are completely placed under market economic conditions, the price of agricultural products will fluctuate significantly. . "The integration of grain and oil companies should conform to the economic laws, and resources can be shared in the circulation field. There should be special agencies to ensure the stability of supply and demand of domestic agricultural products." In Ma Wenfeng's view, although there are some problems in the work of China Grain Reserves, overall, its benefits outweigh the disadvantages. Through its policy of purchasing and stocks, grain prices are relatively stable. In the main agricultural product reserves, the importance of cotton and sugar is lower than that of grain. What kind of institutions will be set up to manage the reserves of major agricultural products in the future? Although related to national policies, on the whole, grain companies will be the mainstay. “Before, the State-owned Assets Supervision and Administration Commission of the State Council has actively promoted the integration of the three major grain and oil central enterprises with grain storage at the core. Its purpose is to ensure national food security and stabilize the market. However, the State Council’s SASAC's change of thinking on the new round of central government restructuring means that China’s grain reserves The integration of the three major grain and oil central enterprises will be postponed. Zhou Siran said. 45Gsm Fast Dry Paper,Quick Dry Sublimation Paper,Fast Dry Sublimation Paper,Fast Dry Heat Transfer Paper GREEN-LIFE PAPER LTD , https://www.sjgreenlife.com