c&d agricultural products group: fueling dual circulation and serving to enable the agricultural product supply chain -尊龙凯时人生就博官网登录
date: 2022-01-12 | source：c&d inc.
as scheduled, the seventh wu xiaobo year-end show kicked off on december 30, 2021. in his speech entitled foresee 2022: a new way forward in the k-type era, wu put forward a foresight of the era that "supply chain warfare will determine the winner."
the china-us trade frictions and the impact of covid-19 on global trade have posed the challenge of profound adjustment to china's industries and supply chains, forcing chinese enterprises to break out of their original development models and seek new business growth points and achieve transformation and upgrading.
c&d inc., as one of the first national demonstration enterprises for supply chain innovation and application, keeps innovating and making breakthroughs in the supply chain transformation of multiple industries by virtue of the highly innovative product system of "lift supply chain services," thus building up strengths in the business fields of steel, pulp and paper, automobile and agricultural products, and establishing business relationships with more than 170 countries and regions. the supply chain business of its agricultural products group (after this referred to as c&d agricultural products group) is also an industry case in wu's sharing.
having been dedicated to the industry for nearly two decades, c&d agricultural products group keeps pursuing a global presence of its agricultural product supply chain business. it has become the largest global resource allocation purchaser of several imported grain categories in china. notably, in the wake of the escalated china-us trade friction in 2018, c&d agricultural products group persisted in enriching and optimizing its global grain source channels, whereby in a span of two to three years, its proportion of us sources dropped from nearly 50% to 15%, in contrast to the total annual operating volume of international business jumping from 5 million tons to 25 million tons. this performance is a manifestation of c&d agricultural products group's corporate responsibility to serve china's food security and reflects its relentless efforts to constantly deliver global high-quality agricultural products to the consumer market at home.
china's top priority is to safeguard food security for its 1.4 billion people. as proposed in the outline of the 14th five-year plan, active international cooperation will be carried out on major agricultural products to diversify import sources, thus creating an enabling environment for cultivating large international grain merchants and agricultural conglomerate companies.
in the international business of agricultural products, a supply chain is an organizational form for efficient coordination throughout the cultivation, procurement, processing, marketing, service, etc., of agricultural products, which links all production and marketing segments. in the face of the intensifying challenges of de-globalization and the impact of the covid-19 pandemic, the active participation of supply chain enterprises in stabilizing and optimizing the global agricultural product supply chain can effectively facilitate the smooth circulation of the food industry chain.
the early 21st century saw c&d inc. set foot in the supply chain business of agricultural products and embark on the journey of globalizing agricultural products by establishing a us branch in chicago across the pacific ocean in 2008. c&d agricultural products group has now located its core procurement channels in main global grain-producing areas such as the belt and road, south america, black sea, and europe, as well as branches in russia, brazil, and ukraine to build and continuously expand its global agricultural product procurement channel network.
the abundance, quality, and stability of grain sources are important factors influencing agricultural products' international supply chain business. aiming at strengthening the control of upstream supply resources and establishing differentiated competitive advantages, c&d agricultural products group establishes not only long-term strategic partnerships with large international grain merchants but also makes in-depth arrangements in foreign grain-producing areas by directly cooperating with local farmers, grain collection stations and leading enterprises, to master the source of supply resources and obtain the initiative of procurement.
logistics is an important part of the supply chain business and a key step in connecting the supply and demand sides. upon launching the international supply chain business, c&d agricultural products group has gradually positioned the key logistics node resources in important production areas and marketing areas for agricultural products worldwide through integration, time chartering, and cooperation. in this way, a relatively perfect international logistics network system has been established, equipped with a professional international food transport chartering team. up to now, c&d agricultural products group has reached its charter rate of over 50% and provides various modes of transportation, thus strongly supporting a stable and flexible global business presence.
in response to the impact of the escalating china-us trade frictions on the international supply chain of agricultural products since 2018 and to create a global supply system, c&d agricultural products group has taken rapid actions to turn crises into opportunities and made great efforts to expand grain source channels in other grain-producing regions worldwide, achieving a three-fold rise in the total annual operating volume of international business along with a 70% drop in the proportion of us sources in two to three years. moreover, 2021 recorded a new all-time high of about 30 million tons in total operating volume.
currently, c&d agricultural products group has established absolute dominance in several product areas such as corn, sorghum, barley, peas, rapeseed, rapeseed oil, rapeseed meal, sunflower meal, and fishmeal, becoming one of the top 3 global resource allocation purchasers of relevant import categories in china.
being one of the domestically leading enterprises of agricultural industrialization, c&d agricultural products group serves as an important leader and model in building the entire agricultural industry chain. according to the latest document issued recently by the ministry of agriculture and rural affairs, "we should guide the leading enterprises to arrange facilities for breeding and research, processing and transformation, storage and logistics, and port and terminals in important areas of agriculture globally, to improve their capacity and technological control of key industries." the policy calls for "accelerating integration, connection and enhancing influence" and has enabled c&d agricultural products group to develop the business with new ideas under the policy guarantee.
c&d agricultural products group now keeps making a presence in the upstream and downstream of the whole industry chain, integrating resources and creating added value by leveraging various advantages such as diversified and stable global supply of goods, complete and flexible international logistics system, professional foreign localization team, and mature international agricultural products trading model. with a business scope covering oil and oilseeds, feed ingredients, foodstuffs, agricultural supplies, timbers, etc., c&d agricultural products group provides customers at home and abroad with comprehensive one-stop services, including raw materials procurement, import and export customs clearance, warehousing and logistics, oem, marketing and settlement, technical support and financial instruments, in marching towards the developing aim of becoming a famous "international grain merchant."
c&d agricultural products group enjoys a robust global grain supply system and a perfect international logistics network, enabling and guaranteeing high-quality and abundant products to the domestic market.
according to the national bureau of statistics data, given china's grain production, 2021 saw a total national grain output of 1,365.7 billion jin, up 26.7 billion jin or 2.0%. the annual grain output reached a new high and remained above 1.3 trillion jin for seven consecutive years, realizing absolute food security. in the meantime, the ministry of agriculture and rural affairs stressed the need to make food production a top priority.
agriculture is the foundation of a country, and only when agriculture leads a good life can the country thrive. the continuing population growth will lead to a further increase in food demand, so china should still firmly seize the initiative in food security. moreover, along with the rising material living standards, residents have shifted their demand from "eating full" to "eating well," which has posed higher requirements for the variety of food production and supply in china.
with an ongoing global layout of agricultural products business, c&d agricultural products group has taken the initiative to integrate into the "dual circulation" development pattern. c&d agricultural products group has continuously explored new products, markets, and models to effectively allocate resources in the international supply chain of agricultural products.
by taking serving the chinese consumer market as its important mission, c&d agricultural products group has long been committed to remedying the shortcomings in the supply of domestic beans, oilseeds, and other products, providing more high-quality products to serve china's consumer industry, and helping more people upgrade their dietary consumption structure.
in addition, c&d agricultural products group has spent years specializing in the research and development of the demand for agricultural products in the asian market, creating a demand system for the whole of asia. rooted in china, c&d agricultural products group has now formed a global presence consisting of branches in many key regions such as south korea, japan, taiwan, and southeast asia, as well as corresponding localization management teams, to effectively serve both domestic and international markets with the balanced allocation of agricultural resources, cater to the evolving and changing consumption needs of asian people and empower more people with a more enjoyable life.
embarking on the new journey with new start, c&d agricultural products group will continuously pursue professionalism and build and expand a "cooperation ecosystem" with complementary resources. by insisting on integrating into the new pattern of dual circulation development with a global vision, we will seize the new market opportunities of rcep and enhance the value of supply chain services, to firmly move towards the five-year strategic planning goal of "becoming a leading and internationally competitive operator of the agricultural product supply chain in china." we will also set out a new path of the era for the high-quality development of international agricultural conglomerate companies and satisfy people's growing demand for a better life with high-quality products.
