Also talking about capital cross-border agriculture

Agriculture is a dialogue between life and life. The splendor of life needs to wait quietly. It is not advisable for capital to pursue rapid wealth creation by copying profit models in other fields.

Evergrande recently announced a high-profile move into modern agriculture. The planned investment of hundreds of billions of yuan covers grain and oil, animal husbandry, dairy and other sectors. Judging from the grain and oil products that have been launched, they are still aimed at "green" and "organic", and the "sky-high price", which is several times higher than the market price, clearly indicates that it is going to take a high-end route. At present, Evergrande is focusing on recruiting agricultural professionals while embarking on the construction and merger of production bases. Evergrande's move has once again sparked a heated debate about whether Evergrande's "farming" can be successful and why capital favors agriculture.

From raising pigs in WISCO to Lenovo growing and selling kiwifruit, from JD.com growing rice to Minsheng Bank selling tuna, all kinds of capital have rushed to "beach" agriculture in recent years, "blooming" from the coast to the mainland. "Rural Capital" is not only involved in traditional cultivation and breeding of fruits and vegetables, livestock and poultry, but also favored by ecological, leisure, sightseeing agriculture, biotechnology promotion and agricultural products processing. The actions taken include the acquisition of grain processing enterprises in major grain producing areas, the establishment of orchard bases with farmers, the construction of farms, the acquisition of pig farms, and so on.

Why are all kinds of capital keen on cross-border agriculture while operating the main business? Although this does not rule out the helplessness that "the price of one kilogram of steel is not worth four taels of pork", judging from the reality of China's agricultural development, it should be encouraged by various policies to strengthen agriculture and benefit farmers and rich farmers, and be optimistic about the future development of China's agriculture, so that they do not want to miss this rare development opportunity and investment opportunity. Moreover, from the history of agricultural development in developed countries, when agriculture develops to a higher level, the entry of industrial and commercial capital and financial capital is the trend of the times.

Capital can promote the transformation and upgrading of agriculture. Although the policy system of strengthening agriculture and benefiting agriculture and the framework of agricultural development have been basically established, the vitality of agricultural development is still insufficient, and the outflow of the three major elements of "land, labor and capital" is still prominent. The advantage of capital, in addition to capital, but also gathers talent, management, technology and so on, which can bring more efficient production mode to traditional agriculture. In particular, the ability of capital to combine management and technical elements, as well as modern organization, is precisely the weak link in China's agricultural development, and it is also the most important thing for agricultural producers and operators to learn.

Capital can also do harm to agriculture. Because the development of agriculture is different from the production of steel and the construction of buildings, it faces living objects. The growth of life needs a process, and agriculture is destined to be a long-term industry. But capital is profit-seeking and eager for rapid value-added. After entering the field of agriculture, will it occupy farmland in the name of agriculture to develop non-grain and non-agricultural industries, threaten national food security and harm the interests of farmers? Will it be under the banner of "green" and "organic", but in order to pursue a rapid return on investment, or violate the natural laws of biological growth, or relax the requirements and control of product quality, increase the risk of food safety incidents? Will it be in pursuit of high profits, with its strong financial strength to manipulate prices, increase the risk of changes in the agricultural market?

It is important to keep in mind that agriculture has never been a profiteering industry, it is still a relatively weak industry. Moreover, agriculture is a dialogue between life and life, and the splendor of life requires waiting, underestimating various risks, and people who want to pursue rapid wealth creation by copying profit models in other areas, please consider carefully whether they want to come in or not.