Organic farm ledger: how long can the huge subsidy model last?
when Shanghai, the suburb of China's most populous city, often modifies recycled materials, professional organic farms appear to produce clean and fresh vegetables. There is no doubt that it has immeasurable business prospects, but this organic road is not smooth, at least for now. When professional organic farms appear in the suburbs of Shanghai, the most populous city in China, to produce clean and fresh vegetables, there is no doubt that it has immeasurable business prospects, but this organic road is not smooth, at least for now
on July 19, sitting at a small conference table in the experimental base of Shanghai kaitaiyu Culture Development Co., Ltd. (hereinafter referred to as kaitaiyu company) in Jinshan District, hewenhui, chairman of kaitaiyu company, was calculating the market capacity of organic agriculture. According to his estimation, Shanghai has a potential market sales of 15billion yuan of organic vegetables
at the same time, Jiang Hong, CEO of Duoli farm, another local organic farm in Shanghai, is worried about a difficult problem: how to expand the market of organic food. Generally, the middle value is good
two years ago, kaitaiyu company, which was originally engaged in the research and development and sales of fish species, was located in a 1200 Mu organic planting and breeding base under the outskirts, which is 30 or 40 kilometers away from the center of Jinshan District, Shanghai, but the base is still under fallow and construction. Dolly farm, which makes the sample in the shape of "t"
and has so far had two rounds of private equity financing, seems to be China's largest organic agricultural company. In addition to sitting on 1750 Mu and 1620 Mu organic vegetable planting bases in Pudong and Chongming, Dolly farm has more than 10 planting bases in Heilongjiang, Ningxia, Zhejiang and other places.
Jianghong on first finance and economics He said that although the supply and demand of Duoli farm is basically balanced at present, with the rapid expansion, the production capacity of organic vegetables next year will be 3 ~ 4 times larger than this year, so it is very urgent to expand sales
according to our investigation, in addition to sales, from the investment of organic agricultural products to planting, to product research and development and promotion, as well as the business model, there are questionable points. This organic road under the aura of huge potential market is not easy to go
the cost of the organic kingdom is hundreds of millions
it seems that the organic farm is the same as the ordinary vegetable field, and then the cost is amazing
according to the national standard for organic products (gb/t19630.) issued by the General Administration of quality supervision, inspection and quarantine and the National Standardization Administration, Organic agriculture refers to the planting industry in which synthetic fertilizers, pesticides, growth regulators and livestock and poultry feed additives are completely or basically not used in production, but organic fertilizers are used to meet the nutritional needs of crops, or organic feeds are used to meet the nutritional needs of livestock and poultry
the above standards also stipulate that organic production needs to be carried out under appropriate environmental conditions. Organic production bases should be far away from urban areas, industrial and mining areas, traffic trunk lines, industrial pollution sources, domestic garbage, etc
many experts interviewed by this newspaper said that the places where organic products can be grown in Shanghai are very limited, which is also the reason why organic production enterprises have established bases in the suburbs far away from the city center
under the environment of soil, air and water pollution, how to build an organic kingdom as isolated as possible is the challenge that every organic product planting base faces, and it is also the heaviest investment
get on the bus from Lujiazui, and you can reach Datuan Town, Pudong New Area in about an hour. The 1620 Mu organic vegetable planting base of Duoli farm is here. Just last month, it was rated as a national AAA scenic spot, and tickets will be charged for every visitor to the park
because it is noon, there is no working figure in the field, but this does not mean that manual links can be lacking. Zhang Tonggui, the founder of Duoli farm, said that mechanization has made irrigation and disinsectization unnecessary, but weeding requires more hands, because chemical herbicides cannot be used. At present, the production department of Duoli farm, which is specially responsible for seedling raising, weeding and harvesting, has a total of more than 100 planting workers. According to the calculation of more than 800 greenhouses in the Pudong base of Duoli farm, an average worker needs to take care of the vegetable cultivation in about 8 greenhouses
there are white plastic greenhouses and artificial watercourses everywhere in the farm. Except for a few vegetables with strong anti pollution, most of them grow in greenhouses. The temperature in some greenhouses has reached more than 50 degrees Celsius, which can be used to kill pests
according to Zhang Tonggui, Duoli farm has invested 250million yuan and 300million yuan in Pudong New Area and Chongming base respectively, while he Wenhui plans to invest 100million to 200million yuan in Jinshan base. Before planting organic vegetables, it is necessary to let thousands of acres of land rest for organic transformation
he Wenhui's method is to fallow for a year, plant legumes to make the soil grow green manure, fallow for a year, and irrigate the farmland to 50 cm, so that pests can become food for aquatic animals. Duoli farm is realized by planting legumes for pollution control and no tillage
unlike the organic soil, the prevention and control of air pollution cannot be done once and for all. Although dolly farm responded with greenhouses, a staff member of China Green Huaxia organic food certification center told this newspaper that greenhouses cannot isolate the air, but must establish isolation belts to prevent the drift of polluted air
on the irrigation water source of farmland, in order to improve the river channel and save natural rainwater, Duoli farm has invested 66 million yuan and built an artificial wetland to realize irrigation water filtration. He Wenhui plans to build a reservoir with a volume of 200000 cubic meters near the organic greenhouse, which is not a small investment
the staff of the above Zhonglv Huaxia organic food certification center told this newspaper that after the enterprise believes that the soil, water and air of the base basically meet the national organic standards, it will submit a certification application report to the nationally recognized organic certification body. He said that only enterprises that meet the production standards of organic agricultural products can be certified, and all enterprises that have passed the organic certification must carry out another 2-3 years of conversion period according to the growth time of crops to ensure the stability of organic production
during the transition period of several years after being certified, the vegetable production in the base should be carried out in strict accordance with the production standards of organic food, such as the absolute prohibition of the use of pesticides, fertilizers, hormones and other synthetic substances, and the products produced during the transition period must be marked with organic conversion food, not organic food
in the account book of building the organic Kingdom, the number of funds invested is constantly increasing
during the two years, he Wenhui has invested about 17million yuan in Jinshan base, and it is too early to talk about profits at present. Although dolly farm has received a total of $40million in the previous two rounds of financing, it is still in the third round of financing and intends to be listed
according to Jiang Hong, the profit margin of organic vegetables is not high under huge investment. At present, the profitability of Duoli farm is more than 20%. He said that with the increase of member size every year, the cost of unit members will decrease and the profit margin will increase accordingly
Jiang Hong further explained that due to the need to replace chemical pesticides with artificial weeding, the price of planting organic vegetables is twice as high as that of ordinary vegetables, but the cost is also nearly twice as high. Therefore, the profit margin is not much higher than that of traditional vegetable planting
in order to speed up profitability, Duoli farm is expanding its business beyond vegetable planting. In addition to the ticket revenue from the national AAA agricultural tourism scenic spot approved by its Pudong base, the development of agricultural real estate, such as the establishment of rural hotels, training centers, restaurants and so on, to increase revenue is also what it is considering or planning
in the Pudong base of Duoli farm in Shanghai, there is a self-service hot pot set meal of 400 yuan/person. Zhang Tonggui told this newspaper that 5% - 10% of the planting base developed by Duoli farm in Chengdu is used for agricultural tourism the temptation of tens of millions of subsidies and research difficulties although Duoli farm claims that the planting profit rate of organic vegetables is not higher than that of traditional planting, according to the relevant policies of Shanghai Municipal Agricultural Commission, economic and Information Commission, Quality Supervision Bureau, science and Technology Commission and other departments, the production enterprises of organic agricultural products can receive rich subsidies
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