Category: Money tips Release Date: 2006-02-24
Source: World Bank-based investment
With the international crude oil prices in recent years, sustained high Kai, oil prices and energy issues are hot in today's economic and financial problems. Almost certainly, energy and other resources is impeding the rise of China and other newly developed countries, a major obstacle to high oil prices might in the future for a long time troubled by China's economic development. One solution is to vigorously develop fuel ethanol, it was estimated that 1 ton of fuel ethanol requires about 3.2-3.3 tons of maize, the demand is huge, as the country of "sustainable development" strategy, enjoys popular support, corn ethanol's environmental effects will also increasingly being taken seriously, the country's producers of corn ethanol subsidy policy is taken to ensure that corn-based ethanol production. As the largest developing country, China now has nine provinces promote the use of fuel alcohol. As fuel ethanol use and popularity of the value of corn will be further reflected. We can also venture to guess, like the low price of crude oil, like the era gone forever, as the ethanol feedstock - corn to the low prices will also not be a thing of the past. Investors are advised to focus on our well-deserved share of the leading corn seed corn industry leading R & D 600371G Arima strength G Arima (600,371): The company is China's well-deserved leading corn seed, there are three breeding centers, five breeding stations and 48 pilot stations, 18 million mu of breeding production base. Annual production of hybrid maize processing capacity of 100 million kilograms, the scale is another Denghai kinds of corn seeds to cultivate business sector 1.7. In order to enhance the company's market share and profitability, the company relies on its strong research and development, strengthening of new products and new technology development, a total commitment to national or provincial scientific research and pilot projects 37 to complete the seven new varieties of corn, validation work, new purchase of two maize varieties, wheat varieties 1, cooperative development of cotton varieties 1. Wuxi University of Light Industry of them carried out in cooperation with the "deep processing of corn a comprehensive high-tech" study, the technology is relevant experts as the "Chinese corn deep processing technology revolution", the company has the largest number of corn deep processing of new technology ownership or right to use the , will be applied to the company built years 20 million tons of corn comprehensive processing project, finished products can be used for ethanol production and feed processing. The project is near completion, the company's performance will grow substantially.
Substantial increase in corn demand for development of the industry prospects with China from a net exporter of corn to a net importer of the obvious signs of change, corn value needs to be redefined. After 1998, the international market demand for corn growing much faster than other food crops, maize has become the world's largest crops. And Asia a maize production, consumption and import trade of the most active areas. About 70% of the world's corn exports to Asia. Information: At present, China's livestock industry growth of 5% per year to require an annual corn supply capacity growth of 4%, but grew by only about 2% per year. This contradiction between supply and demand in the near future will be to change the current pattern of buying and selling an important driving force. According to the U.S. Department of Agriculture most recent data show that China's ending stocks of corn consumption is nearly 18% of this security alert criteria. This is an expert on a lot of corn the next few years China will arrive at a net exporter into a net importer of corn, the fundamental basis. As China's economic strength, the consumer has improved continuously, the people of the needs of agricultural and sideline products, especially eggs, meat, fish, increasing demand for oil as the main raw material of corn feed consumption rise is inevitable. Once China has completed a net exporter to net importer by the change, then the international market price of corn will significantly uplift. Meanwhile, the corn deep-processed products in recent years, continuous innovation, and corn growing number of industrial transformation, a corn processing industry, mainly downstream textile, automobile, food, medicine, materials, and many other industrial chain of the corn economy is booming. At present, the corn deep processing products have been developed from the original four-level to 5 level, with the level of deepening the products can be processed more and more of the higher value-added. Jilin Province, deep-processing products, including fuel ethanol, edible alcohol, corn gluten meal, modified starch, lysine, glutamic acid, protein feed, fiber feed thousands of varieties of corn deep processing market space and development prospects are even brighter. Therefore, we have reason to believe that the prospects for the future development of G Arima will be very broad.
Holdings of major shareholders active in agriculture flagship universal anchor is a major shareholder of Universal Sannong Lu Guanqiu controlled subsidiary of Universal Group, a major subordinate. Wanxiang Group, as China is one of powerful private enterprises, has been focusing on industrial integration through the capital market to grow, so Universal's businesses are to maintain a high growth, universal and more emphasis on the acquisition of market share and growth prospects. Universal Sannong after the White G Arima Wanxiang Group Finance company, a subsidiary of Beijing to the G Arima Denon producing 130 million yuan of liquidity for the 2006 special of breeding maize seed acquisition, this accomplishment growth in the first half of the company's performance - the first half of the company to achieve the main business income 341,297,286.38 yuan, an increase of 61.39% over the same period last year; to achieve net profit of 12,352,209.02 yuan, an increase of 50.89 percent over the same period last year. Wanxiang Group strongly supported the company's development, and therefore reluctant to change because of stock to reduce the company's control, are willing to pay in cash when the stock reform, so the company price its program to send 8.62 yuan for every 10 shares and 0.37 shares, converted down, roughly equivalent to send 1.17 yuan per share in cash. Universal commitment to share the same time, three agricultural reform and if it shares lower than 7.5 yuan, Universal will be admission to increase its stake until it reaches 10% of the total share capital, equivalent to the outstanding shares after the share reform 24% of the share reform During the suspension period, universal 3 Agriculture has also acquired the company's second-largest shareholder of Shanghai Haibo Xin Hui International Trading Co., Ltd. held 21.25% stake, making up 51.2% stake, large holdings of shareholder activism is clearly in order to protect the funds for the company into its own the interests of the company's amazing growth potential follow-up. View from the secondary market trend, shares of stock changed after the strong shock, transaction returns show that institutions overweight, then sideways, poised full, at any time may break out, investors can focus on.
