China's grain industry strategy after entering WTO

Introduction: grain industry is related to national economy and people's livelihood After entering WTO, what kind of competitors will our grain industry face? Recently, at the "WTO and China Grain Market Forum" hosted by Zhengzhou grain wholesale market, the reporter visited experts from the development research center of the State Council, the State Grain Administration and China Futures Association, as well as relevant personnel of large grain multinational companies, such as Cargill Corporation of the United States, Louis Dreyfus Corporation of France and shufulai Group Corporation, and asked them to draw pictures of "foreign competitors" Who is the leader of the international food market After China's accession to the WTO, both domestic grain management departments and grain enterprises need to observe the market competition environment from the perspective of internationalization In the international market, who is the real leader of grain industry? Cheng Guoqiang, researcher and doctor of the development research center of the State Council: after years of research and observation, I believe that it is the quartet that can lead the direction of the international grain market and formulate the rules of the international grain trade game The first is the United States, which is a monopoly superpower in the international food market The second is the Keynes group Cairns Group was an international joint food industry organization formed in 1986 by Canada, Australia, New Zealand, South America and Southeast Asia in order to fight against monopoly The common feature of these countries is that they have a certain comparative advantage in agricultural capital, and the export of agricultural products supports their domestic economic growth After China's accession to the WTO, China's grain enterprises will directly face the powerful multinational companies and highly organized industry associations from the United States and Cairns Group F2u the third party is Japan and South Korea, which are the representatives of net buyers and importers in the world food market After China's accession to the WTO, it is of great significance whether we can develop the markets of these countries well Fourth, Russia, Southeast Asia and even some European Union cities, which are similar to Japan and South Korea, often talk about market strategies: f2u experts believe that corn, wheat and soybeans will be the most impacted food varieties in China After China's accession to the WTO, the import tariff of agricultural products will be reduced and non-tariff measures will be cancelled It is an indisputable fact that the price of domestic grain is high but its quality is poor and its competitiveness in the international market is weak But from another point of view, the industry competition is ultimately the competition between enterprises It is very important for domestic grain enterprises to grow up quickly, skillfully use international rules, avoid risks in international trade, find prices and guide farmers to adjust the variety structure Zhang Hongchen, assistant general manager of Louis Dreyfus Beijing Office: the first thing to prepare for entering the international market is how to prevent risks It's not polite to say that China's grain enterprises are not very good at risk prevention at present They mainly guard against customer risk, that is, they can get the payment in time after delivery, and they will not be deceived However, we do not pay attention to the prevention of the essential risk, that is, price risk, which is very large in the international market How to prevent price risk? Futures and options are usually used in the international market From the practice of our company, it is very successful One of the important functions of futures is to hedge against the risk of price change in the spot market; the other is to discover the price, which has a guiding role in the spot market The option is a kind of trading right on the futures, which can play the role of avoiding risks that the futures sometimes can not play Li Bo, chief agent of the Beijing Office of the French shufulai group company: not long ago, we invested in an agricultural network, the century agricultural network This is an important strategy for us to deal with China's accession to the WTO Through this network platform, we can provide Chinese customers with market information, understand our enterprises, and achieve goals that are difficult to achieve by other means Most importantly, through century rural network, we have built an e-commerce platform for international trade transactions, which can greatly improve the efficiency of the company, save a lot of costs, and enter the era of paperless trading The international market is not a free market Now many people think that after China's accession to the WTO, "foreign rivals" can, with their own strength, run rampant in China's grain market, which is wrong Experts believe that the international food market is not a free market It has a set of rules If we are familiar with the rules, we can negotiate with our foreign counterparts at the negotiating table on an equal footing, rather than standing face down Chang Qing (vice president of China Grain Industry Association and chairman of Jinpeng futures brokerage company): in 1990, I went to Japan and found that the rice in Japan was very expensive, so I tried to sell the Chinese rice in Japan I was busy for a year, but I found that a grain of rice didn't go in The way people use it is technical barriers Japan is a member of the WTO The Japanese government has made full use of the rules of the WTO by means of technical barriers to protect the domestic market For example, Japan has formulated the food hygiene law, the plant epidemic prevention law, and the Livestock Infectious Diseases law If they do not meet the legal standards, you are illegal and cannot enter their market Cheng Guoqiang, researcher and doctor of the development research center of the State Council: when foreign competitors take restrictive measures against your market competition, you must study the rules, use the rules to negotiate, and take anti restriction measures against multinational companies This is mainly based on the fact that the basic framework of the WTO's agricultural agreement has two basic functions On the one hand, it pursues free trade and hopes that all countries can open their markets On the other hand, it also considers the issue of fair trade, which can control the huge subsidies provided by the developed countries' agricultural sectors at a reasonable level and avoid their distorting effects on the international market But to do this, our government and enterprises must learn to negotiate F2U