Agricultural harvest is a foregone conclusion, and the agricultural machinery market is promising

It has entered the harvest season in autumn harvest in winter. In late September, the author visited the three provinces of China's granary in the northeast and fully felt that this year's autumn harvest is a foregone conclusion. Farmers' income is just around the corner, and the Agricultural Machinery market is promising.

The autumn harvest is a foregone conclusion. According to the latest information provided by Xinhua News Agency, the harvest of autumn grain has reached a peak at present, and the good news of the harvest of autumn crops continues to be heard. It is reported that the total grain output in the year is expected to exceed 1.1 trillion jin, which will increase production for eight consecutive years.

The increase in farmers' income is just around the corner and the autumn harvest is good, and the price of grain has become a topic of concern for farmers. According to information from the "Heilongjiang Daily" on September 21, the current prices of the three major crops in Northeast China are showing upward trend. First, rice prices have risen. In early September, the National Development and Reform Commission announced the implementation plan for the minimum purchase price of mid-late rice in 2011, which clearly defined the minimum purchase price of japonica rice at 2.56 yuan per kilogram, 0.46 yuan more than the price per kilogram in 2010, and the lowest purchase price of japonica rice in late-night rice was 2.14 yuan per kilogram, compared with 2010. Kilograms rose by 0.2 yuan. At present, the price of new rice in Heilongjiang Province reaches RMB 6.80~7.00 per kilogram. Second, corn prices have steadily increased. Currently, due to strong market demand, corn prices in Heilongjiang province have remained stable and rising. It is understood that the purchase prices of corn in Jidong and Jixi regions were 2.24 yuan per kilogram, a slight increase from the previous period. At present, most of the regions in Heilongjiang Province are in ripening period, and some regions have begun to harvest corn. Third, soybean prices continued to rise. According to market monitoring, the retail price of Harbin Real Estate Grade III soybean oil is RMB 11.20 per kilogram, and that of Mudanjiang Real Estate Grade 3 soybean oil is RMB 11 per kilogram. The price has risen in different ranges from the previous period. At the same time, the supply of soybean meal as a feed has tightened, its price has remained firm, the profits of soybean crushing companies continue to be good, and the purchase price of soybeans has steadily risen. At present, the purchase price of soybeans in Heilongjiang Province fluctuates around 3.82 yuan per kilogram. The three major crops are also the main autumn grain varieties in the three northeastern provinces. With the recent introduction of China's minimum purchase and storage price for cotton, the current purchase price of Xinjiang's cotton has been raised on the basis of the lowest national purchase and storage price, so the steady increase in farmers' income is expected.

The bumper harvest of grain and the increase in grain prices are arguing that the increase in farmers’ income has brought great opportunities to the agricultural machinery market. However, in the process of the author's visit to the three provinces in Northeast China, the current sales of agricultural machinery in some places are not very satisfactory. According to dealers, the current market sales are not ideal for the following reasons. First, the farmers are currently busy, farmers are busy with autumn harvest and winter sowing. This proves that in many areas in the northeast, farmers or rice harvesting, soybeans, corn, rice harvesters are busy in the field; second, many areas of the second half of agricultural machinery purchase subsidies are mainly used for harvesting machinery, promote Harvesting machinery sales, but also affected the sales of other agricultural machinery. The author saw the vehicles on the Beijing-Shenyang Expressway as having significantly more vehicles for transporting harvesters than tractors. Some of them sell vehicles to the north, and some of them go to cross-area harvesting. Third, the food harvested by farmers this year has not been shot yet. With funds in hand, no new purchasing power has been formed.

Although the current sales in the agricultural machinery market are not very satisfactory, many dealers believe that since the subsidy funds for agricultural machinery purchase have been basically used up this year, there is still a process of harvesting and realizing the grain of the farmers, plus the expectation that the food prices will increase and wait for the subsidy policy to be introduced next year. Factors such as the formation of a wait-and-see atmosphere is relatively strong. The dealers will not be very optimistic about the market in the fourth quarter of this year, but are very optimistic about the agricultural machinery market in the first half of 2012. The distributors and users hope that the country will clarify the subsidy policy for agricultural machinery purchase next year as soon as possible. The subsidy funds will also be issued in advance as in 2011, and the relevant subsidy plan will be introduced as soon as possible to give the market a certain assurance. On the way back to the author, I saw that although it was not the season of sales, there were still several car transplanters shipped to the northern market, indicating that the work of dealers preparing for 2012 had started.