On January 14, twin groups and juxing agriculture and animal husbandry held a signing ceremony for the strategic cooperation of piglet and breeding pig procurement in 2022. The twin group said that in 2021, it will achieve 11.65 million pig listings, 800,000 pigs in partnership, and more than 6 million pig seedlings will be purchased in 2022.
The twins have a strategic procurement cooperation with Superstar Agriculture and Animal Husbandry
On January 14, twin groups and juxing agriculture and animal husbandry held a signing ceremony for the strategic cooperation of piglet and breeding pig procurement in 2022. He Min, President of Feed and Service Product Line of Twins Group, and Duan Lifeng, Chairman of Superstar Agriculture and Animal Husbandry, signed a strategic cooperation agreement on behalf of both enterprises. At the meeting, the two sides also conducted more in-depth discussions and exchanges on the strategic cooperation of feed OEM.
In 2021, the twin group will achieve 11.65 million pig listings and 800,000 pigs in partnership. With the continuous development of the pig breeding business of the Twin Group and the in-depth promotion of cooperative pig breeding, the demand for pig seedlings is increasing. In 2021, in addition to the supply of pig seedlings in its own sow farms, the Twins Group purchased 5 million pig seedlings from external pig seedling strategic partners.
Recently, the twin group released an invitation letter for the 2022 piglet supplier strategic cooperation meeting, inviting 100 sow farms with a scale of more than 800 heads to sign a strategic cooperation agreement in 2022. According to the plan, in 2022, the twin group will purchase more than 6 million pig seedlings.
Zhengbang Technology signed a strategic cooperation agreement with Shuanghui
On the evening of January 14, Zhengbang Technology issued an announcement that the company and Shuanghui Development signed the "Shuanghui Zhengbang Strategic Cooperation Framework Agreement", and the two sides reached cooperation in point-to-point direct supply of pigs, the establishment of supply chain cooperation mechanism, and strengthening of pig purchase and sales cooperation. The first phase of cooperation is 3 years and is valid from January 1, 2022 to December 31, 2024.
It is reported that Shuanghui Development is the largest pig slaughtering and processing enterprise in the mainland, mainly engaged in pig slaughtering and meat processing, as of October 2021, it has an annual slaughter of more than 23 million pigs and an annual production capacity of more than 2 million tons of processed meat products. It is worth mentioning that according to the announcement, before the signing of the framework agreement, Zhengbang Technology and Shuanghui Development have not directly purchased and sold pigs in the past three years.
"Zhengbang and Shuanghui respectively have the advantages of the domestic first-class pig industry chain and the domestic top meat processing advantages, the two sides are strong and powerful, the resource advantages are complementary, will smooth the upstream and downstream of the industrial chain of both sides, greatly enhance the added value of products, the industrial development of both sides will make new breakthroughs and create new brilliance." Zhengbang Technology said.
Separately, the so-called "pig point-to-point direct supply", that is, Shuanghui development to open up a green channel, 24 hours a day to give priority to the acquisition of Zhengbang Technology's direct supply of pigs; Zhengbang Technology should set up a farm matching with the development of Shuanghui slaughter as a base, give priority to the supply of Shuanghui development, and ensure the quality and quality of the supply of pigs, pig weight in 80-140 kg / head, to ensure that the quality and safety of pigs meet the requirements of national and industry standards, in line with the requirements of shuanghui development procurement standards. The two sides agree on the supply, price, transportation mode, etc., to achieve point-to-point direct supply.
It is not difficult to imagine that peer-to-peer direct supply can minimize many intermediate transaction links and reduce the cost of both parties to the transaction. "At present, the two sides have signed a strategic cooperation framework agreement to achieve point-to-point direct supply, and there was previously a 'pig dealer' between the company and Shuanghui. There is no middleman to earn the difference, if the direct delivery can basically determine that the company will sell at least 1 cent / kg more, because the existing standard of intermediary fees is almost 1 cent / kg. Zhengbang Technology once pointed out.
In addition to point-to-point direct supply, the two sides will also strengthen cooperation in the purchase and sale of live pigs, and strengthen capacity matching and connection.
Specifically, when the price of pigs is depressed, Shuanghui Development can moderately increase the procurement of pigs in Zhengbang Technology on the basis of adhering to the market-oriented, and has the right to enjoy all the relevant pig sales preferential policies of Zhengbang Technology; and when the market price is high, Zhengbang Technology can moderately increase the supply of pigs for the development of Shuanghui on the basis of adhering to the market-oriented basis.
At the same time, according to the needs of The Development of Shuanghui, Zhengbang Technology provides relevant information in the pig breeding process to Shuanghui Development; according to the needs of Zhengbang Technology, Shuanghui Development timely notifies Zhengbang Technology of the relevant settlement data delivered by Zhengbang Technology after pig slaughter.
This undoubtedly enhances the ability of both sides to resist risks. For Zhengbang Technology, Shuanghui Development, as the largest pig slaughtering and processing enterprise in China, is an absolute "high-quality customer", and the signing of the agreement provides a certain guarantee for the performance of the enterprise at the bottom of the cycle. "The pigs supplied to Shuanghui are mainly matched according to their needs to match the pigs of the corresponding weight segment, according to the communication between the two sides in the recent period, it is expected that the first period will be mainly in South China (Guangdong, Guangxi), East China (Jiangxi, Hubei) to start direct delivery, it is expected that each region will not be less than 50,000 heads / month per year." Zhengbang Technology said.
For Shuanghui Development, holding hands upstream at the time of the current low volatility of the pig cycle also locks in the supply quality and cost optimization of the future when the pig price is high.
Makihara signed a strategic cooperation agreement with Shuanghui
In addition to Zhengbang, Makihara also signed the "Shuanghui Makihara Strategic Cooperation Framework Agreement" with Shuanghui Development this month. The strong combination of pig breeding and slaughtering will give full play to the advantages of the industry, relying on the purchase and sale of pigs, improve the industrial chain, upgrade the value chain, open up the supply chain, improve product quality, efficiency and market competitiveness, and achieve win-win cooperation and high-quality development.
At the signing ceremony, Wang Chengqi, deputy director of the Department of Agriculture and Rural Affairs of Henan Province, said: "Shuanghui deep ploughing slaughtering and processing is the largest meat processing enterprise in China; Makihara deep ploughing pig breeding is the largest pig breeding enterprise in the country. The signing of the strategic cooperation agreement between the two sides is an important page in the milestone of enterprise development. It is hoped that Shuanghui and Makihara will continue to optimize the cooperation mechanism and create a model of win-win cooperation. ”
In this strategic cooperation, Shuanghui Development has opened up a green channel, implemented 24 hours a day, and prioritized the acquisition of Makihara shares for direct supply of pigs, and the two sides agreed on supply, price, transportation mode, etc., to achieve point-to-point direct supply. When the price of pigs is low, Shuanghui Development can moderately increase the procurement of pigs from Makihara shares on the basis of adhering to the market-oriented; when the market price is high, Makihara shares can moderately increase the supply of pigs for the development of Shuanghui on the basis of adhering to the market-oriented basis. At the same time, the two sides share pig breeding and relevant settlement data after slaughter.
"The signing of a strategic cooperation agreement between Makihara and Shuanghui Development is a big step in the development of both sides and a big step in the transformation of the industry pattern. For the two enterprises, the industrial layout of Makihara and Shuanghui is focused on Henan, through strategic cooperation, it can effectively achieve complementary advantages, further reduce the cost of both sides, improve the competitiveness of enterprises, but also conducive to controlling quality from the source, enhancing the ability of both sides to resist the risk of market price fluctuations, and stabilizing operating profits. Huarong Rongda futures pig researcher Shi Xiangying analyzed.
Source: Agricultural Treasure Book Xinmu Network Comprehensive Twin Group Public Account, China Fund News, Surging News, etc