Extraordinary GeniusChapter 726 – Agricultural Industry Plan
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The people below were not willing to go ahead, but they hadno choice. Xu Changyou was too overbearing. However, because of Xu Changyou’sdomineering character, the negotiations went smoothly.
Li Mingde was in-charge to negotiate with the smallfactories. He knew most of the leaders from the factories. He knew which ofthem were capable and who were the useless ones.
Li Mingde persuaded those who were capable to stay on as theperson-in-charge of this branch factories. They might even have the opportunityto be transferred to Bing City in the future. They might also get some companyshares as rewards. As for those useless leaders, Li Mingde persuaded them toget a transfer using their connections. Otherwise, they might be fired afterthe factories were acquired.
Bing City Machinery Company promised that they will not fireanyone without valid reasons. But these smaller factories do not have problemsafter all these years as a state-owned enterprise? If Bing City MachineryCompany really wants to investigate into these factories, these people mightnot only get sacked. They might even be arrested for corruption!
While the negotiations were ongoing, the ProvincialGovernment were discussing how to reorganize the provincial resources to set upcompet.i.tive companies, and how can these companies improve the province’seconomy.
……
“Our Longjiang Province is an agriculture province, and weshould merge all our agriculture resources to set up an Agricultural FoodCompany. This is to our advantage.” Niu Jun, the Director of the Provincial Departmentof Agriculture, said.
Someone immediately objects. “Agricultural Food Company? Areyou kidding? Don’t think this will work just because someone suggested this.Although we are an agriculture province but don’t forget there is still aMinistry of State farms and land reclamation. This company should fall underthe jurisdiction of the Ministry of State farms and land reclamation.”
“We should set up a company of this nature. But this companyshould be under the Provincial Government.”
The ones who rejected were deep in thoughts. If this companywere to fall under the Provincial Government, then the farms will be under thecontrol of the Provincial Government instead of the Department of Agriculture.This way, the Provincial Government’s income will increase!
This was a good idea. It would be indirectly taking backcontrol of the farms from the Department of Agriculture. But will the higher-upsagree?
“Tell me more about the plans for this company. What will itbe dealing with, and how will it be managed?” Xu Changyou was very interested.This seems to be a great idea.
“In the US and Australia, they do have such agriculturalproducts companies. When I visited the US last year for a study visit, Ilearned their operating models. After I came back, I came up with an operatingmodel that would suit our farms.”
“We can sign contracts with the farms and ask them to plantthe crops we wanted. For example, we can purchase the corns and wheat from thefarmers and process it before we export to Russia. Even if it were a simpleprocess of drying the crops, we would be able to get a share of the profits. Wecan even process the crops to oil or flour, and we can export it to the rest ofChina.”
“Our province has a big food processing factory, but theirproducts are limited. They are good at pork-related products and are one of thebest in China. However, they are not very good when it comes to otherproducts.”
Xu Changyou asked. “Are you talking about Tai Hua ProcessFood Company?”
“Yes. Their Tian Peng Pig and animal feeds are the best inChina. Now, they are also producing pork-related products, like ham and cannedpork, and are the best in China. But there are so many other processed productsfrom the agricultural industry. For instance, we can produce other types ofmeat, like beef or chicken, products. We have an advantage over them as we canorder straight from the state farmers or build chicken or cow farms. These meatproducts are very popular in the market.”
“Our province also has more than one dairy products factory.We can merge these factories together to form a big dairy products factory. Wealso have a big forest in our province. There are many valuable items, likepine nuts, hazelnuts, etc. from the forest. We can purchase these items in bulkfrom the farmers and package them to sell to other places.”
“I even have an idea that will let us see the resultsearlier. But that might be slightly against the regulation. We can cultivatethe wasteland ourselves and set up a gigantic farm.”
“Don’t talk about anything that is against the law.” XuChangyou waved his hand. “What you said is very good. How come you did notsubmit this proposal in the past?”
“This is only an idea. But there is a big problem for thisplan to work.”
“What’s the problem? Tell me, I will solve it for you!” XuChangyou was excited. They will surely find a solution to all problems. Howcome I did not notice this Niu Kun before? He is quite capable.
Longjiang Province’s agriculture industry has enormouspotential, and there is still no large-scale agriculture company in China. Ifthey could set up this company, Longjiang Province will be way ahead of otherprovinces!
This was an excellent opportunity for the province.Problems? We must overcome all difficulties to make this work!
“Money! To set up such a large-scale company, we need a lotof money. Even the Provincial Government will not have so much money to set upa company of this scale.” Niu Kun replied.
Niu Kun had this idea last year, but it was impossible toimplement. He had suggested during this meeting was to prove that he was notidling in his office, and he hopes that Xu Changyou was able to solve thisproblem.
“The amount is too much, even for the Provincial Government?How much is needed for this plan to work?” Xu Changyou frowned and asked.
“At least a few billion. If we have 10 billion, it will bebetter. We need funds to procure the crops or products from the farmers. Wealso need funds to build the processing factory. We still need some extra fundsfor emergencies, marketing, machinery, etc. Can the Provincial Government takecare of it?”
Niu Kun looked at Xu Changyou eagerly. If the ProvincialGovernment could solve all these problems, then he will get part of the credit.
At least a few billion RMB? How can the provincialgovernment afford it?
If it was only a few hundred million, the ProvincialGovernment might still have a solution. They could apply for the funds from thehigher-ups, raise the amount from the cities, etc. They could also get bankloans.
But it was impossible for the provincial government to raisea few billion.
Niu Kun’s excitement in his eyes slowly dies off as he saw Xu Changyou lowered his head. Not possible? If even the Provincial Government couldnot find a solution, then it would be impossible for this company to set up.
Seems like this idea can only remain an idea.
……
Xu Changyou returned back to his office. He thought for awhile and called Zhang Ruiqiang to come over to his office. He wants to see ifZhang Ruiqiang has any solution.
When Zhang Ruiqiang heard that the Provincial Governmentneed to raise a few billion, he was also helpless. If the Provincial Governmentdid not have the money, let alone Bing City.
But suddenly, Zhang Ruiqiang remembered someone. Maybe thisperson might have a solution.
Hmmm……. Whenever Zhang Ruiqiang encounters some problems andneeded solutions, this person will always be able to provide him with thesolutions. This person has the answer to everything.
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