Shandong local autumn fertilizer sales shrink, "guerrilla" wins over "regular army"

It is now late October, and all winter wheat planting has come to an end
.
Recently, the author communicated with distributors in Wulian County, Shandong Province, and everyone agreed that the sales of compound fertilizers this fall is the most bleak season in recent years
.
Dealers at all levels have high inventories, and some village-level sales outlets have not even opened
.
Compared with the same period last year, the sales of distributors at all levels have decreased by at least 40 to 50%
.
As soon as the top dressing is over every summer, the manufacturer will hold a variety of promotional meetings to encourage everyone to get the goods
.
This year, some manufacturers offered higher promotional offers than any other year.
Many distributors took the stocks according to the stocks in previous years, but they were tightly trapped.
The high inventory has become a heavy burden for everyone
.
Severe decline in demand for fertilizers.
First of all, farmers' willingness to invest is greatly reduced
.
First, due to the continuous drought in recent years, the demand for chemical fertilizers has shrunk
.
The drought that lasted this spring and the price of peanuts last year were at a low level in recent years, and the sales of compound fertilizers in Wulian County severely shrank in the spring
.
The summer top dressing market is also affected by the drought, and the amount of top dressing has decreased a lot
.
It was hit by drought twice in a year, the enthusiasm of farmers was seriously frustrated, and distributors also lost confidence
.
The wheat sown area has been greatly reduced this fall
.
Second, the construction of water conservancy facilities is seriously lagging behind
.
The worse the water conservancy facilities and the lack of irrigation conditions, the more serious the reduction of wheat sown area
.
In water-deficient mountainous counties like Wulian County, the spring drought caused wheat production to decrease or fail for three consecutive years from 2013 to 2015
.
The disparity between farming discounts and working income has caused more and more young generations to give up farming
.
Third, the current low prices of agricultural products are also an important reason to discourage farmers' enthusiasm for farming
.
The price of corn in the same period last year was 2.
20 yuan per kilogram, and this year it was around 1.
60 yuan.
Farmers’ willingness to invest has declined.

.
Fourth, due to the downward pressure on the economy, some high-priced agricultural products that sold well in the past have been affected.
The income of farmers is not optimistic.
In addition, the problem of wage arrears for migrant workers is still serious, which will inevitably affect farmers’ investment
.
Second, the land adjustment policy of the local government has affected the sales of autumn fertilizer
.
Farmers in many villages in Wulian County have received notices from the local government, requesting that some contiguous arable land is not allowed to grow wheat this fall, in preparation for a large-scale transfer in the coming year
.
As for what will happen in the coming year, everyone is puzzled
.
Finally, the construction of a local expressway and the widening of a provincial road started at the same time, and large tracts of arable land were requisitioned
.
The price of compound fertilizer is hovering at the bottom.
The current actual sales price of compound fertilizer has been the lowest in recent years, and the high inventory will inevitably affect the winter storage and the stocking of the next spring
.
Because farmers are busy in autumn or work outside, they have less idle time at their disposal and fewer group-buying activities.
At the same time, in autumn, there is no phenomenon of wholesale and retail upside down bundling sales in spring
.
For many years, compound fertilizers have been sold in bundles with ammonium bicarbonate and urea in many domestic markets.
Distributors deliberately increased the price of compound fertilizers, and ammonium bicarbonate and urea were sold upside down, which led to false high prices
.
The more sluggish the market is, the easier it is for prices to become a vane for farmers to buy
.
The worse the market is and the greater the pressure to survive, some people will lose their moral bottom line and push some low-priced products with large price differences and poorer quality to the market
.
The more farmers lose confidence in farming, the less they pay attention to the quality of fertilizer products
.
In this environment where bad money drives out good money, low prices cater to the needs of some farmers
.
Affected by fake and low-priced fertilizers, branded fertilizers are difficult to sell, and dealers have to reduce inventory risks at the expense of their own profits
.
The regular market was disrupted by "Fitto".
A dealer in Jijie Town, Wulian County reported that he has more than 30 village-level retail outlets.
The outlets with the most sales in previous years were able to sell more than 30 tons of compound fertilizers this season, but this year they sold the most.
6 tons, one-fifth of the same period last year
.
There are many retail outlets with sales of only two or three tons, and some retail stores simply give up sales
.
The chaotic channel is an important reason why the sales of these regular sales points have fallen sharply
.
The "guerrillas" who walked the streets and alleys promoted gifts and used "Fatto" to clear the way to fight a price war
.
Many farmers don't look at the quality or brand when buying fertilizer, but first look at the gifts
.
"What is the gift for buying fertilizer?" The gifts have changed from small items of three yuan and five yuan to expensive rice cookers and electric sprayers
.
Whoever has a lot of gifts and expensive gifts will sell the compound fertilizer, and the market is seriously distorted
.
What is "Fatto"? People in the market who specialize in "speaking of the media to find a husband's house" for fertilizers and earn a certain commission from them.
Some call them "Fatto" and some call them "brokers
.
" These people specialize in selling fertilizers within the neighborhood of the village or their relatives and friends
.
They generally claim that they are friends and relatives with the owner of a certain agricultural resources business or a certain fertilizer factory, and they are selling a good fertilizer, which is not only cheap, but also of high quality
.
They enter the house for publicity, registration, contact wholesalers for delivery, deliver goods to inform people to receive them, and help wholesalers collect payment and pay for the goods
.
After the fertilizer was sold out, they received a certain amount of intermediary fee
.
"Fituo" has a great impact on formal agricultural supplies stores.
If things go on like this, it is estimated that many terminal retailers will be forced to transform
.