Special Report on China’s Seed Industry

August 2007 | 125 pages | ID: S5B5F4D9F2CEN
Beijing Orient Agribusiness Consultant Co., Ltd

Abstracts

Background of the Research

Beijing Orient Agribusiness Consultant Limited is a specialized agricultural consultancy firm. Ever since its founding, BOABC has strictly adhered to the criteria and standardized operation practice by international agricultural consultancy businesses, dedicated to informational services in agriculture, market research and business studies, providing our clients with specialized, in-depth strategic and tactical consultancy services.

In the past eight years, BOABC has successfully served domestic and overseas clients, including world famous agricultural business, comprehensive business chambers, financial investment institutions, agricultural and related bodies, embassies and large-scale domestic agricultural enterprises, with our multi-field, multi-layered services. Many of our clients are leading enterprises in various fields of agriculture. 30 out of the world top 500 enterprises are regular subscribers of the information products of BOABC.

Seeds of agricultural products are the most important agricultural production material at the upper reaches of the production chain of agricultural products. Quality seeds play an important role in increasing the agricultural output and improving product quality. Seed industry commands the leadership of agricultural competition. Nowadays, all countries are stepping up their efforts in seed science and technology research, promoting the development of the seed industry, and making it an important measure for agricultural development through government intervention. China is an important agricultural country. The annual seed usage amounts to over 12 billion kg. Market capacity for seeds in 2006 should exceed 30 billion RMB yuan. The huge market potential has made China’s seed industry an ever-important focus of attention of capital investors.

High gross profit rate, sparse competition, numerous small-scale enterprises – these are the important features of China’s seed industry. Key factors impacting on the agricultural product seed market are technology and policy, which also have profound influence on the seed industry as a high-tech industry. Great returns, enormous market, technological and policy barriers – these have made the seed industry an eye-catching sub-industry in the agriculture sector. With the penetration of foreign capitals, the enormous merger opportunities in this industry will gradually materialize. So, what is the status quo of the products of the seed market, enterprises and the policies? What has led to the current industrial pattern and what will the seed industry head for in the future?

BOBAC has invited experts of the seed market, technological experts and financial experts to an in-depth analysis of the entire industrial market, enterprises, policies, and other sectors of the industrial chain in an accurate, objective, overall and systematic manner. The analysis has given a comprehensive and detailed portrayal of the current status of China’s seed market and has given out professional viewpoints as to the future trends of the seed market in China for the reference of clients. This report falls basically into four parts. Part one introduces mainly the overall status of China’s seed market. Part two centers on the analysis of the market distribution of key seed varieties in China. Part three provides professional research conclusions and recommendations. Part four provides plenty of important enterprise studies and financial analysis, which are also found in part two. The abundant exclusive, authoritative data sets and pictures in the report also serve as great basic materials for studying China’s seed market.

This report is a precious special research report for domestic and overseas industrial investors, strategic investors, financial investors who pay great attention to China’s seed industry. It also provides great reference for the seed and related industrial magnates, research institutions, investment banks, foundations, stock agencies to get insights into the dynamic status of China’s seed industry, and serves as an important tool for decision-making for them to capture the future trends and investment opportunities therein.

Contents

I. AN OVERVIEW OF THE DEVELOPMENT OF CHINA'S SEED INDUSTRY

1.1 An overview of the development of world seed industry
1.2 The course of development of China's seed industry
1.3 Main features of China's seed industry
1.4 Main segment markets of China's seed industry

II. CURRENT STATUS OF CHINA'S SEED INDUSTRY

2.1 Current status of development of China's seed industry
  2.1.1 Market scale of China's seed industry
  2.1.2 Impact from the ""Seed Law"" on the seed industry
  2.1.3 Main industrial policies for the seed industry
2.2 Factors obstructing the development of China's seed industry
2.3 Analysis of the degree of concentration of China's seed industry

III. MAIN SEGMENT MARKETS OF CHINA'S SEED INDUSTRY

3.1 China's seed market for rice
  3.1.1 Main features of China's rice seed market
    a. Acreage of early rice, middle-season rice and late rice in China and their corresponding features
    b. The growing of Japonic rice and Indica rice in China and their characteristics
    c. Market features for the seeds of common rice and hybrid rice in China (2002-2006)
  3.1.2 Analysis of main markets for rice seeds in China
    a. Rice growing area in the upper reaches of the Yangtze River
    b. Rice growing area in the middle reaches of the Yangtze River
    c. Rice growing area in the lower reaches of the Yangtze River
    d. Hybrid rice growing area in South China
    e. Early rice growing area in Heilongjiang, Inner Mongolia and Xinjiang
    f. Middle-season and late rice growing area in Central China
    g. Middle-season rice growing area in Jilin and Liaoning
  3.1.3 Analysis of the production and supply of China's hybrid rice seeds
  3.1.4 Analysis of the import and export of China's rice seeds (2002-2006)
  3.1.5 Analysis of the supply-demand equilibrium for rice seeds in China
  3.1.6 Analysis of main rice seed producing enterprises in China
    a. Yuang Longping Agricultural Hi-tech Co., Ltd
      1. History and shareholding structure
      2. Main business structure of the corporation
      3. Status of subsidiary bodies
      4. Analysis of profit making capacity
      5. Analysis of the liability repayment capacity
      6. Asset management capacity
      7. Growth analysis
      8. Analysis of cash handling capacity
      9 Conclusions
    b、Hefei Fengle Seed Co., Ltd.
      1. History and shareholding structure
      2. Main business structure of the corporation
      3. Analysis of profit making capacity
      4. Analysis of the liability repayment capacity
      5. Asset management capacity
      6. Growth analysis
      7. Analysis of cash handling capacity
      8. Conclusions
      9. Business status of subsidiary bodies
    c、Hunan Yahua Holding Group Co., Ltd.
      1 History and shareholding structure
      2. Core business structure of the corporation
      3. Analysis of profit making capacity
      4. Analysis of the liability repayment capacity
      5. Asset management capacity
      6. Growth analysis
      7. Analysis of cash handling capacity
      8. Conclusions
  3.1.7 Forecasting the future trend of China's rice seed market
3.2 China's corn seed market
  3.2.1 Main characteristics of China's corn seed industry
    a. Hybrid corn growing area in China and its characteristics (2000-2006)
    b. Appraisal of new varieties of corn and characteristics in promotion
    c. Main categories of demands for corn seeds
    d. Distribution of main varieties of corn promoted
  3.2.2 Analysis of market demands for main corn seeds in China
    a. Corn growing and seed consumption in major regions in China
    b. Analysis of summer corn region in the Yellow River, Huaihe River and Haihe River plain
    c. Analysis of spring corn area in the north
    d. Analysis of mountainous corn growing areas in the southwest
    e. Analysis of the hilly corn area in the south
    f. Analysis of irrigated corn growing area in the northwest
  3.2.3 Analysis of main corn seed producing areas in China
    a. Total supply from corn seed production
    b. Analysis of seed bases in Northwest China, inc. Gansu, Ningxia, Shaanxi and Xinjiang
    c. Analysis of seed bases in Northeast China, inc. Liaoning, Jilini and Heilongjiang
    d. Analysis of seed bases in North China, inc. Hebei, Shanxi and Inner Mongolia
  3.2.4 Analysis of Corn seeds by China (2002-2006)
  3.2.5 Analysis of the supply-demand equilibrium of corn seeds in China
  3.2.6 Analysis of key corn seed producing enterprises in China
    a. Beijing Origin Seed Industry Co., Ltd.
      1 History and shareholding structure
      2. Core business structure of the corporation
    b. Shandong Dengfeng Pioneer Seed Co., Ltd.
      1. History and shareholding structure
      2. Core business structure of the corporation
      3. Analysis of profit making capacity
      4. Capital management capacity
      5. Analysis of the liability repayment capacity
      6. Asset management capacity
      7. Growth analysis
      8. Analysis of cash handling capacity
      9. Conclusions
    c. Gansu Dunhuang Seed Co., Ltd.
      1. History and shareholding structure
      2. Analysis of core business of the corporation
      3. Analysis of profit making capacity
      4. Analysis of the liability repayment capacity
      5. Asset management capacity
      6. Growth analysis
      7. Analysis of cash handling capacity
      8. Conclusions
    d、Shanxi Tunyu Seed Industry Co., Ltd.
  3.2.7 Forecasting the future trends of corn seed market of China
3.3 China's vegetable seed market
  3.3.1 Analysis of China's vegetable seed market
    a. Main features of vegetable growing in China (2000-2006)
    b. Segregated vegetable growing areas in China and their characteristics (2000-2006)
    c. Analysis of China's vegetable seed market
    d. Import and export of vegetable seeds by China (2002-2006) and main characteristics of trade
  3.3.2 Segregated vegetable seed market analysis
  3.3.3 Main future trend of the vegetable seed market in China
3.4 Analysis of other seed markets in China
  3.4.1 Analysis of China's cottonseed market
  3.4.2 Analysis of China's rapeseed seed market
  3.4.3 Analysis of the melon and fruit seed market and other seed markets in China
  3.4.4 Future trends

IV. SEED MARKET ANALYSIS OF CHINA

4.1 Cost analysis of China's seed production
  4.1.1 Analysis of new variety development by China's seed industry
  4.1.2 Analysis of production cost of rice seeds, corn seeds, etc. in China
  4.1.3 Analysis of main factors impacting on seed production in China
4.2 Analysis of factors impacting on market demands for the seed industry of China
  4.2.1 Impact from main benefit factors
  4.2.2 Impact from the price level of seed cost
  4.2.3 Impact from natural factors
  4.2.4 Impact from other technological factors
4.3 Analysis of the circulation systems of China's seed market
  4.3.1 Impact on the seed circulation sectors by national policies and legislations
  4.3.2 Key factors in the circulation of the seed market of China
  4.3.3 Future direction of the circulation of China's seed market
4.4 WTO's impact on China's seed industry

V. FUTURE TRENDS OF CHINA'S SEED INDUSTRY

5.1 Impact on demands for seeds from rice, corn, etc. growing areas
5.2 The impact from genetic modification technology on seed industry
5.3 Main future trends of China's seed industry

APPENDIX ：

Figures & Tables

FIGURES AND TABLES 1

Figure 1 Market shares of main seed markets in China (2006)
Figure 2 Growth of segregated seed markets in China (2002-2006)
Figure 3 Changes in rice growing area (99/00-06/07)
Figure 4 Rice seed market and the fluctuation of the cost (2002-2006)
Figure 5 Changes in the growing areas of early rice, middle-season rice and late rice in China (2001-2006)
Figure 6 Growing composition of early, middle-season and late rice in China (2006)
Figure 7 Japonica and Indica rice growing composition in China (2006)
Figure 8 Changes of the growing areas of main varieties of common rice and hybrid rice in China (2002-2006)
Figure 9 Common and hybrid rice growing composition in China (2006)
Figure 10 Distribution structure of main rice growing areas in China (2006)
Figure 11 Changes in demands for rice seeds and in the storage (2002-2007)
Figure 12 Market shares of main rice growing areas of China (2006)
Figure 13 Rice growing in main areas of the upper reaches of the Yangtze River (2000-2006)
Figure 14 Distribution of hybrid rice and common rice in the upper reaches of the Yangtze River (2006)
Figure 15 Rice growing in major areas in the middle reaches of the Yangtze River (2000-2006)
Figure 16 Distribution of hybrid rice and common rice in the middle reaches of the Yangtze River (2006)
Figure 17 Rice growing in main areas of the lower reaches of the Yangtze River (2000-2006)
Figure 18 Distribution of hybrid rice and common rice in the lower reaches of the Yangtze River (2006)
Figure 19 Rive growing in main areas in South China (2000-2006)
Figure 20 Distribution of hybrid rice and common rice in South China (2006)
Figure 21 Rice growing in Heilongjiang, Inner Mongolia and Xinjiang (2000-2006)
Figure 22 Distribution of hybrid rice and common rice in Heilongjiang, Inner Mongolia and Xinjiang (2006)
Figure 23 Rice growing in North China (2000-2006)
Figure 24 Distribution of hybrid rice and common rice in North China (2006)
Figure 25 Rice growing in Liaoning and Jilin (2000-2006)
Figure 26 Distribution of hybrid rice and common rice in Liaoning and Jilin (2006)
Figure 27 Hybrid rice seed growing area and changes in the output (2001-2006)
Figure 28 Output by province of main hybrid rice seeds in China (2006)
Figure 29 Changes of per unit yield of hybrid rice seeds in main provinces of China (2004-2006)
Figure 30 Analysis of the import and export of rice seeds by China (2002-2006)
Figure 31 Changes in the price level of rice seed import and export (2002-2006)
Figure 32 Supply-demand analysis of hybrid rice seeds in China (2002-2006)
Figure 33 Gross profit rates of main products of Longping High-tech
Figure 34 Changes in corn growing area in China (2000-2006)
Figure 35 Distribution of main corn producing areas in China (2006)
Figure 36 Annual changes in corn seed usage in China (2002-2007)
Figure 37 Corn seed consumption by region (2007)
Figure 38 Changes in corn growing in the Yellow River, Huaihe River and Haihe River plain (2002-2007)
Figure 39 Demands for corn seeds and market shares of the Yellow River,Huaihe River and Haihe River plain (2002-2006)
Figure 40 Changes in the growing of spring corn in North China (2002-2007)
Figure 41 Demands for corn seeds and the market share of the spring corn growing area in North China (2002-2006)
Figure 42 Changes in corn growing in the mountainous southwest (2002-2007)
Figure 43 Demands for corn seeds and market share of the corn growing areas in the southwest (2002-2006)
Figure 44 Changes in corn growing in the hilly areas in South China (2002-2007)
Figure 45 Demands for corn seeds and market share of the hilly corn growing areas of South China (2002-2006)
Figure 46 Changes in corn growing in the irrigated areas of the northwest (2002-2007)
Figure 47 Demands for seeds and market share of the irrigated corn growing areas in the northwest (2002-2006)
Figure 48 China's corn seed growing area and changes in the output (1999-2006)
Figure 49 Changes in the per unit yield of corn seeds by regions in China (2004-2006)
Figure 50 Distribution of the output of corn seeds in China (2006)
Figure 51 Changes in the corn seed growing area in the northwest (2004-2006)
Figure 52 Changes in the output of corn seeds in the northwest (2004-2006)
Figure 53 Changes in the corn seed growing area in Northeast China (2004-2006)
Figure 54 Changes in the output of corn seeds in Northeast China (2004-2006)
Figure 55 Changes in the output of corn seeds in North China (2004-2006)
Figure 56 Changes in the output of corn seeds in North China (2004-2006)
Figure 57 Import and export of corn seeds (2002-2006)
Figure 58 Price level of corn seed import and export (2002-2006)
Figure 59 Changes in the revenue of core businesses of Denghai Seed Co., Ltd.2002～2004
Figure 60 Revenue composition from core business of Denghai Seed Co., Ltd. 2002～2004
Figure 61 Corn seed output of Denghai Seed Co., Ltd. 2001～2004
Figure 62 Annual changes in vegetable growing areas in China (2000-2006)
Figure 63 Annual changes in vegetable growing areas by variety in China (2000-2006)
Figure 64 Vegetable seed cost by variety in China (2002-2006)
Figure 65 Distribution of vegetable seed market by variety in China (2006)
Figure 66 Analysis of the import and export of vegetable seeds of China (2002-2006)
Figure 67 Changes in the price level of vegetable seed import and export by China (2002-2006)
Figure 68 Changes in the cotton growing area and the total capacity of the seed market (2002-2006)
Figure 69 Changes in the rapeseed growing area and the total capacity of the seed market (2002-2006)
Figure 70 Market capacity for melon, fruit and other seeds (2002-2006)
Figure 71 Rice growing area and demands for rice seeds
Figure 72 Corn growing area and demands for corn seeds