Where will the grain dryer industry go after the agricultural machinery purchase subsidy is cancelled?
Release time:
2021-11-12
Recently, the Ministry of Finance and the Ministry of Agriculture and Rural Affairs jointly issued the "Supplementary Notice on the Management Measures for Agricultural-related Transfer Payment Funds" (Cainong [2019] No. 98), which clearly stated that the implementation period of a number of subsidy funds such as "agricultural machinery purchase subsidies" will be until 2023. Before the expiration, the Ministry of Finance will jointly evaluate and determine whether to continue to implement them. A stone stirs up a thousand waves. Whether the grain dryer, which has attracted much attention in recent years, can continue to enjoy the agricultural machinery purchase subsidy has become the focus of attention of many practitioners. As a grain dryer practitioner for many years, I would like to talk about my personal views on this.
Recently, the Ministry of Finance and the Ministry of Agriculture and Rural Affairs jointly issued the "Supplementary Notice on the Management Measures for Agricultural-related Transfer Payment Funds" (Cainong [2019] No. 98), which clearly stated that the implementation period of a number of subsidy funds such as "agricultural machinery purchase subsidies" will be until 2023. Before the expiration, the Ministry of Finance will jointly evaluate and determine whether to continue to implement them. A stone stirs up a thousand waves. Whether the grain dryer, which has attracted much attention in recent years, can continue to enjoy the agricultural machinery purchase subsidy has become the focus of attention of many practitioners. As a grain dryer practitioner for many years, I would like to talk about my personal views on this.
Agricultural machinery purchase subsidies are an important part of the national policy of strengthening agriculture and benefiting farmers. Since its implementation in 2004, it has been implemented for 16 years. Since the implementation of the agricultural machinery purchase subsidy policy, it has promoted the rapid growth of the national agricultural machinery industry, and the level of agricultural mechanization has continued to improve, playing an important role in ensuring national food security and increasing farmers' production and income. In 2011, grain dryers were included in the list of agricultural machinery purchase subsidies, and since then the grain dryer industry has also ushered in a historically rapid development period. For a long time, my country's grain dryer industry has been a niche industry, and the few domestic grain dryer manufacturers maintain the balance of supply and demand in the domestic market. Since grain dryers have enjoyed subsidies for the purchase of agricultural machinery, the industry has developed rapidly, and domestic grain dryer manufacturers have sprung up like mushrooms after rain. Traditional manufacturers have continued to expand their scale, and other industries have also transformed and entered. For a time, the grain dryer industry has become the fastest-growing sector in the agricultural machinery industry for several consecutive years.
It must be said that the inclusion of grain dryers in agricultural machinery purchase subsidies has rapidly promoted the popularization and promotion of grain dryers across the country, and the mechanized drying rate of grain in my country has also been greatly improved. However, negative reports caused by the inclusion of grain dryers in agricultural machinery purchase subsidies have also been repeatedly exposed. In the early years, some bad manufacturers used improper means to obtain grain dryer purchase subsidies, but they did not focus on the innovation and development of grain dryer products, but spent their minds on how to cut corners, reduce costs and embezzle national subsidies. Its sales staff deceived farmers into buying its products at low prices or even for free, but the grain dryers could not be used and were abandoned in large quantities. As a result, the state subsidy is lost, and the user gets a pile of scrap metal without any practical effect. In recent years, the state has continuously strengthened the review and accountability system for agricultural machinery purchase subsidies, which has curbed the subsidy-collecting behavior of some bad merchants to a certain extent. However, due to the favorable policy of grain dryer agricultural machinery purchase subsidies, a large number of enterprises have poured into the grain dryer industry, and the number of domestic grain dryer manufacturers has doubled several times. In addition, a large number of enterprises without technical strength have adopted inferior and low-priced products to impact the market. Since 2018, the grain dryer industry has encountered a cold winter, and the sales of various manufacturers have fallen sharply. In addition, with the announcement of the cancellation of agricultural machinery purchase subsidies, the domestic grain dryer industry will usher in a major integration.
The state policy on the purchase subsidy of the grain dryer industry can only be a short-term stimulus policy under specific historical conditions. In the long run, relying on market competition can better promote the healthy development of the grain dryer industry. The iron must be hard, and whether an enterprise can win the trust of customers and operate well for a long time depends on the company's own products. Since its establishment 21 years ago, Zhengzhou Wangu Machinery Co., Ltd. has always focused on the technical research and development and product manufacturing of grain dryers and dregs dryers. Over the past 21 years, the dedicated Wangu people have won praise in the industry with their practical actions and products. Relying on independent innovation and industry-university-research cooperation, Zhengzhou Wangu Machinery has obtained a series of product-related patent technologies in the field of grain dryers, and continuously improved the technical level of grain dryer-related products. Relying on the company's perfect quality management and after-sales service system, with the help of a nationwide marketing network and Internet platform, Wangu products have been built and applied in more than 20 provinces across the country, and exported to overseas markets such as Southeast Asia, South Asia, Eastern Europe, and Central Asia.