Chapter 429 Prepare
Xu Damao stored the photocopies and summaries of the prescriptions given to him by He Yuzhu in a special safe in the alliance office. Only a few core personnel were allowed to access them in a designated room after registration, and they were not allowed to take them away.

Knowing the importance of this item, he specially installed an additional burglar alarm system, which was linked to the nearby security post.

It seems that some of the news has leaked out.

The former factory manager of a cooperative pharmaceutical factory under the alliance privately approached Xu Damao, rubbing his hands and looking troubled: "Mr. Xu, there's something I'm not sure if I should say. A while ago, some people came to me, saying they were from a newly established 'Baicaotang' pharmaceutical company in the south, and wanted to talk to me about technical cooperation. They implied that they were particularly interested in some ancient formulas in our alliance's possession. They quoted this price." He held up two fingers.

"Two million?" Xu Damao raised an eyebrow.

The old factory director shook his head and lowered his voice: "Twenty million, to buy a few prescriptions."

Xu Damao sneered: "Quite the show. How did you reply?"

"How could I dare to agree!" the old factory manager hurriedly said. "According to the rules of our alliance, I would report this matter to you immediately. However, I think those people don't seem to be pure businessmen; there's something in their eyes that's hard to describe."

Xu Damao nodded and patted the old factory director on the shoulder: "You did the right thing. I understand. Just handle it normally on your end, and don't alert them."

After seeing off the old factory director, Xu Damao immediately summoned his assistants in charge of security and external liaison, instructing them to keep a close eye on the background of this "Bai Cao Tang" and to strengthen security at the alliance headquarters and key partner units, especially the data storage locations.

The investigation feedback came quickly: "Baicaotang" was registered in a special economic zone in the south, the legal representative was a name that could not be found, the registered capital was substantial, but the source of funds was unclear, and the business scope was broad but vague. Further investigation revealed that several foreign capital entities had changed hands multiple times, pointing to a region across the sea.

"It really was them." Xu Damao told He Yuzhu about the situation over the phone.

He Yuzhu was silent for a moment on the other end of the phone, then said, "As expected. They've suffered setbacks domestically and haven't gained any advantage in the external patent wars, so they've started to resort to underhanded tactics. What do you plan to do?"

"We'll deal with whatever comes our way," Xu Damao said calmly. "They want the formula, and they'll either try to bribe us, steal it, or something even more despicable. Bribing us is unlikely; we're unlikely to bribe anyone from the Yellow River region, but I can't guarantee it won't happen to others. As for stealing, although we're on guard, you can't guard against thieves forever. And as for despicable methods... you know very well that they have no bottom line." He paused. "Could I use Fan Hu's people?"

"We've already assigned you people, use them as you like. If you need more, we'll get you some more. Do you need official support?"

“We don’t need the official ones. They’ll talk about evidence. We’ll discuss it once we get the person,” Xu Damao said.

"You're planning to go fishing?"

"Brother, the bait you gave me is so tempting, I don't even need to fish for it," Xu Damao said.

"Okay, be careful, don't let something unexpected happen," He Yuzhu cautioned.

"clear."

Xu Damao put down the phone, his eyes darkening.

He immediately convened an emergency meeting with the security chief and the team leader sent by Fan Hu, and then Xu Damao went on a business trip.

Xu Damao had just finalized a new round of traceability contracts at the Longxi Astragalus base when he returned to the county guesthouse in the evening, and the phone in his room rang.

The caller wasn't Lao Xing or his team, but the factory manager of "Yongchuntang," a subsidiary of the alliance: "President Xu, it seems that the original process records for 'Tongbi San' archived in the factory have been tampered with."

The contents of the phone call sent a chill down Xu Damao's spine.

"Tongbi San" is Yongchuntang's signature product, which has a significant effect on rheumatic pain and is one of the targets that Xiaorizi Enterprise has repeatedly tried to imitate.

"Explain yourself clearly," Xu Damao said.

"Old Zhou from the archives took leave yesterday, and Xiao Wang, who was filling in, noticed a slight scratch on the lock of the cabinet containing the record books."

"Do you still have the prescription?" Xu Damao asked.

"The prescription wasn't lost."

"What did your CCTV cameras capture?" Xu Damao asked.

"Oh no, it's broken!"

"What? Did you report it to the police?" Xu Damao asked.

"I've reported it, and the police are investigating, but it will take some time."

Xu Damao hung up the phone, paced back and forth in the simple room of the guesthouse for a couple of steps, then suddenly stopped.

He first called Wilson in Hong Kong: "Wilson, tell your men to speed up the international patent registration for 'Tongbi San', especially in key regions such as North America, Europe and East Asia. Be quick! I suspect someone has already taken the stuff and run away."

Wilson, realizing the seriousness of the situation, immediately agreed.

Immediately afterward, Xu Damao called the alliance's secretariat in Beijing, his voice filled with barely suppressed anger: "Pass the word down to every member unit, every single one of them, to immediately conduct a self-inspection of the storage of prescriptions and process data, and strengthen security! Tell them to stop treating these old records like precious treasures! Before, when we begged them to register and file them uniformly, they all made excuses, and now look what's happened, they've gotten right to our doorstep!"

He tugged at his collar in frustration. The dry night wind from Longxi seeped in through the cracks in the window, but it couldn't dispel the suffocation in his heart.

The matter was far from over.

In the following days, bad news followed one after another.

First, news came from a long-established pharmacy in Hebei Province that their family's secret recipe for "Traumatic Injury Plaster" had been leaked.

The old shopkeeper was pounding his chest and stamping his feet on the phone, saying that his son had recently brought a "friend" back to visit the workshop.

Two days later, a Miao herbalist family in southern Yunnan who specialized in treating snake bites was robbed. Their house was ransacked, and although no money was stolen, several small notebooks containing the old man's prescriptions and medical records went missing.

The herbalist's son was so angry that he wanted to fight someone, but was stopped by the villagers.

Xu Damao called each of them one by one, and hearing their voices filled with regret, anger, or helplessness, he was so angry that he cursed on the other end of the phone.

"What were you doing all this time! Now you're in a panic?" He growled into the microphone, but had to suppress his anger and soothe the situation. "Alright, there's no use talking about this now. Quickly compile everything you can remember, the core ingredients, the key processing steps, into written documents, and find a reliable law firm to do evidence preservation! Leave the rest to the alliance."

His original plan was to stay in the Northwest for a few more days to take a closer look at the newly signed GAP bases, but now that plan has been completely disrupted.

After hastily finishing his business in Longxi, Xu Damao boarded a train back to Beijing overnight.

In the sleeper car, he was wide awake, leaning against the window, watching the dark plains rushing past outside, his brow furrowed.

These sporadic thefts, though not sophisticated in their methods and even somewhat crude, were highly targeted, specifically aimed at remedies and techniques that had been proven effective through long-term folk practice but had not yet been protected by modern intellectual property rights.

He was almost certain that the same force was behind the plundering.

The other party took advantage of the weak sense of confidentiality and legal awareness among folk inheritors, as well as the old rule that some inheritors adhere to the principle of "not showing the secret recipe to others," and made a move based on a time difference.

Upon returning to Beijing, Xu Damao didn't even go home; he went straight to the Alliance's temporary office.

The office was filled with smoke, and several core members and the legal counsel they had hired were all there, their faces grave.

“The situation is worse than we thought.” The vice president handed over a list. “According to preliminary statistics, seven similar cases have occurred in the past two weeks, involving five provinces. Although none of them are the core members’ most treasured prescriptions, they are all unique prescriptions with a certain reputation and market presence.”

The officer in charge of information collection shook his head and said, "This is only recent one. There are actually many more, and even earlier reports have nowhere to be reported."

The legal advisor adjusted his glasses: "Mr. Xu, the most urgent task is to register the patent. We must get it before the other party, at least in China. But the difficulty is that many inheritors of the formula cannot provide complete written records and experimental data that meet the requirements of modern patents, making the registration process troublesome and time-consuming."

Xu Damao took a deep drag on his cigarette and stubbed it out in the ashtray: "We have to get this done, even if it's troublesome! Organize manpower, go to each institution one by one, help them prepare their materials, and get the experimental data they need to complete as soon as possible by finding the research institutes we're cooperating with! The alliance will cover the expenses first!"

He stood up and looked around at everyone: "In addition, we should expedite the registration of the valuable ancient prescriptions we've compiled. We can't let outsiders use our ancestors' knowledge to hold us hostage again!"

A chorus of agreement rang out in the office, and then everyone began to get to work.

Xu Damao left the office and went directly to No. 95 Courtyard.

After listening to Xu Damao's story in his study, He Yuzhu picked up the phone and dialed Bai Yifeng's number.

"Old Bai, get our people on Xiao Rizi moving. Don't go straight for those pharmaceutical companies. Investigate them, arrest those who came back from China, and get the evidence by any means necessary, including the old ones."

"What about that person?"

“Send them back and let them be brought to justice.”

"Yes."

After hanging up the phone, Xu Damao said, "Brother, am I a failure?"

“The failure isn’t yours, it’s those who lack awareness of protection. They know the items are important, and if someone can’t buy them, they’ll definitely resort to underhanded methods, yet they still don’t store them properly. Who’s to blame?” He Yuzhu said.

"What if the other side really registers it?"

"There's nothing we can do about it. It's very difficult to get the patent back," He Yuzhu said.

"So we're just going to let them do this?"

“I didn’t send Lao Bai to collect evidence. I will also contact the official channels. This is a case of commercial espionage,” He Yuzhu said.

"Oh, I should have known." Xu Damao slammed his thigh hard.

"If you knew beforehand, would you have done the same thing as them and then gone to jail?"

"Why are these people like this? We offered them such good terms, but they just wouldn't do it."

"It's a matter of perspective; it takes time," He Yuzhu said.

"Time, time, by the time they realize it, it will all be gone," Xu Damao said irritably.

“Then defeat your opponent head-on. Use any business tactics you like; Xiaoman, Wilson, and Lao Bai will cooperate with you,” He Yuzhu said.

"You mean equity?"

“Yes,” He Yuzhu said.

"Row."

"Don't worry, it's not time yet. I'll let you know when it's time. You should finish what you're doing. I don't think they'll give up," He Yuzhu said.

"Then I'm going back. You need to send me some people, professionals, so that those people don't all run away."

"You can contact Fan Hu directly about this, as well as the detective agency," He Yuzhu said.

"Then I'll go back first."

"No rush, let's eat first and then leave," He Yuzhu said.

"No, I can't eat anymore, I'm leaving."

After Xu Damao left, He Yuzhu sat alone in the study for a while, then dialed a number.

"Old Fan, it's me." He Yuzhu's voice was not loud. "There's something I need to tell you."

The person on the other end of the phone listened quietly.

“Recently, there have been several cases of theft and commercial espionage targeting traditional Chinese medicine prescriptions, involving multiple provinces. There may be foreign forces involved behind the scenes, and the targets are clearly those unpatented prescriptions and unique techniques,” He Yuzhu explained succinctly. “I have already instructed my staff to step up internal security and patent squatting, and my staff are also working on other things. However, since it involves cross-border evidence collection and arrests, we need the cooperation of formal channels to solidify the chain of evidence and ultimately bring the perpetrators to justice.”

Old Fan pondered for a moment, then asked, "Do you have any specific clues or a target?"

"Yes, but it will take time. On the domestic side, I will have Xu Damao compile a detailed report on several police reports and suspicious points discovered by the alliance's self-investigation, and then forward it to Fan Hu. The focus is on those who have been frequently in contact with our personnel recently, whose behavior is abnormal, especially those who have attempted to take documents out of the country."

"Understood. We will follow up. If someone commits a crime on our territory, we will naturally handle it according to our rules."

"you sure?"

"We'll try our best."

"Heh, Lao Fan, you guys are getting worse and worse," He Yuzhu sneered.

"I can't argue with you, I'm going to get busy, bye."

After hanging up the phone, He Yuzhu let out a soft sigh of relief.

Folk methods are still folk methods; they can't solve the problem at its root.

He did it on purpose. There have been too many similar situations where people were released in the end, but the items were never recovered and the matter was dropped. This made him somewhat nostalgic for the time he came from in his previous life.

Over the next few days, things appeared calm on the surface, but undercurrents were surging beneath.

Following He Yuzhu's instructions, Xu Damao compiled the list of suspicious individuals collected by the alliance, a brief description of some of the case details, and preliminary evidence into a confidential document and handed it over to Fan Hu.

Fan Hu glanced at it, nodded, asked no further questions, and turned to leave.

Meanwhile, at several key ports of entry and exit, border inspection and national security personnel have strengthened their checks and surveillance of specific individuals.

Soon, the first person to run into the line of fire appeared.

At a border crossing in southern China, a middle-aged man attempting to smuggle a large number of handwritten notes and several packets of Chinese herbal powder out of the country was stopped.

When questioned, he initially claimed that the notes were personal research materials and local specialty gifts, but the contents of the notes involved several secret recipes and preparation methods that were clearly marked with their source (a family of herbalists), which closely matched a recent police report.

The person was detained on the spot.

At almost the same time, in a northern city, a foreigner posing as a businessman was taken into custody at his residence.

Police found unmailed envelopes containing photocopied prescriptions and several printed copies of emails exchanged with a foreign pharmaceutical company at his residence, all pointing to the theft and acquisition of specific Chinese medicine formulas.

The operation was quickly launched, and several more people were subsequently arrested.

Among these people are informants bribed with money, "scholars" who use the guise of visiting and learning to steal, and professional commercial spies.

The news caused quite a stir within the alliance and related folk heritage circles.

Some were terrified, some were relieved, and many more began to truly value the confidentiality and intellectual property protection that He Yuzhu and Xu Damao had repeatedly emphasized.

However, just as He Yuzhu had predicted, the other party did not give up.

A few days later, a well-known overseas pharmaceutical industry association issued a strongly worded statement, claiming that several employees of its member companies had been "unjustly detained" in China, and questioning the legality and transparency of the relevant law enforcement actions, implicitly suggesting that this might be a form of "commercial retaliation."

Following this, some overseas media outlets began to report on the issue, exaggerating the so-called "deterioration of the business environment" and "double standards in intellectual property protection," and some domestic media even followed suit.

The pressure began to spread to the official level.

When Xu Damao learned of these developments, he was discussing the packaging design for a new batch of traceable medicinal materials with a partner pharmaceutical company. He was so angry that he slammed the sample in his hand onto the table.

"Damn it! The thief is crying 'stop thief!' Their people came to steal things, caught red-handed, and they still have the nerve to turn around and accuse the thief?"

The pharmaceutical company manager also looked worried: "President Xu, will this affect our subsequent product exports? Some people outside love to hear this kind of talk."

Xu Damao forced himself to calm down, remembering He Yuzhu's instructions.

"What's the panic?" He took a deep breath. "We're acting according to the rules, and the evidence is irrefutable. The more they act like this, the more it shows we've hit their sore spot! We're not afraid of the export situation being affected temporarily. We can take this opportunity to strengthen our foundation in the domestic market. Once the storm passes, truly capable products will have no shortage of buyers."

Even so, Xu Damao immediately reported the latest situation to He Yuzhu.

After listening to the conversation on the phone, He Yuzhu simply said, "I understand. Don't pay any attention to these clowns. Just do your thing according to plan. All the noise outside won't change what's already happened."

His composure inspired Xu Damao.

"Understood, brother."

What Xu Damao didn't know was that after hanging up the phone, He Yuzhu contacted the person in charge he had spoken to earlier.

"Can you hear the noise outside? Can you handle it?" He Yuzhu asked.

"I will try my best."

“Okay, then you decide for yourself,” He Yuzhu said.

A few days later, an unexpected message came from Lao Fan.

On the phone, Lao Fan's voice carried a rare hint of excitement: "Zhu Zi, we've had an unexpected windfall this time."

"Oh?" He Yuzhu was also a little curious.

“We arrested people based on the list and clues you provided. When we interrogated the middle-aged man who was arrested at the southern port, he confessed a lot in order to get leniency. In addition to admitting that he was instructed to steal the prescription, he also uncovered an old case.”

"What old case?"

"Do you remember the major case of cultural relic theft and smuggling in Shanxi and Shaanxi provinces that we investigated more than ten years ago? There were several key culprits who were never caught. This kid was just an outsider back then, but he has a good memory and gave us clues about the whereabouts of one of the middlemen, known as 'Black Three.' We followed the clues, and guess what? We caught him and the stolen goods!"

He Yuzhu's brow twitched slightly: "The cultural relics case? What does that have to do with what's happening now?"

"On the surface, it seems unrelated, but after this 'Black Three' was arrested, in order to save his own life, he implicated more people, leading to the uncovering of a multi-province, over-the-counter illegal mining and smuggling network that had been operating for more than a decade. More importantly, he confessed that in recent years, many of their top-quality goods had been flowing to that island nation to the east through specific channels. Among the buyers they dealt with, several had very powerful backgrounds and were intricately connected to the capital behind some of the pharmaceutical companies we are currently monitoring."

He Yuzhu pondered for a moment: "You mean, the theft of cultural relics and the theft of medicinal formulas might be part of the same network?" "From what we can see now, at least some channels and connections are shared. Some families or companies over there are using industrial espionage to plunder our secret formulas while also continuing their looting of precious cultural relics. This time, they've hit the jackpot."

"Is the evidence conclusive?"

"'Black Three' and his subordinates gave a very clear account, including the time, place, people involved, characteristics and whereabouts of some of the cultural relics. We also seized a batch of stolen goods that hadn't yet been transported out. As for the parts involving overseas, we are coordinating through Interpol, but as you know, they are always slow and there is considerable resistance there."

He Yuzhu understood what Lao Fan had left unsaid.

When it comes to the repatriation of cultural relics, especially those that have flowed to specific regions, there are often complex historical and political factors involved. Every step, from obtaining evidence to negotiating and retrieving the relics, is extremely difficult.

"What are you going to do?"

"The perpetrators will definitely be dealt with severely according to the law. As for recovering the cultural relics," Lao Fan sighed, "we'll follow the procedures, send letters, negotiate, and go through the process step by step. However, this time our evidence is relatively solid, so perhaps we can try to exert more pressure, not only demanding the return of these newly discovered cultural relics, but also bringing up old issues and demanding that they compensate for or partially return the large number of cultural relics illegally obtained in the past."

He Yuzhu was silent for a moment, then said, “This is an opportunity. They can make trouble and turn the tables on us with their claims about the theft of medicine prescriptions. But the theft and smuggling of cultural relics is a criminal offense with the perpetrators caught red-handed and the chain of events clearly documented. We can appropriately link the two cases together and create momentum internationally, so that they can also experience the feeling of being on the defensive.”

"The higher-ups also share this idea. However, we need to be strategic in our execution to avoid giving others a handle to use against us."

What do you need me to do?

"Not for now, I'll contact you if needed."

"Row."

After hanging up the phone, He Yuzhu sighed. He never expected that a battle to protect a prescription would lead to an old case involving cultural relics from more than ten years ago, and he never expected that these two seemingly unrelated lines would actually be intertwined at a deeper level.

This gave him a deeper understanding of his opponent's greed and ruthlessness.

A few days later, official channels formally announced the preliminary results of the special operation to combat the theft and smuggling of cultural relics, specifically mentioning the involvement of foreign forces and the illegal flow of cultural relics to certain regions, using strong language.

At the same time, diplomatic efforts have begun to seriously negotiate with relevant parties on the issues of repatriation and compensation for cultural relics.

The noise from that overseas pharmaceutical industry association has indeed decreased considerably.

After all, criminal charges are far more serious than commercial disputes. They can argue that commercial activities are controversial, but it's difficult for them to openly advocate for the theft and smuggling of cultural relics.

Xu Damao breathed a long sigh of relief upon hearing the news.

"Brother, you're the one with the best ideas! Let's see how arrogant they can be now!"

He Yuzhu poured cold water on him: "It's not that I have a way, it's just a coincidence. The downlines they used are all the same group of people. Don't be too happy yet. They're just temporarily backing down, they won't give up easily. You can't let your guard down on your important business."

“I know.” Xu Damao’s smile faded. “Patent registration is being accelerated. Wilson has reported that the international registration process has also been initiated for several key formulas. Also, I’m thinking about the business competition you mentioned last time. It may require a lot of funding.”

"Use it when necessary, make a solid plan, and show it to your sister-in-law."

"clear."

There has been no further progress on the matter of the Traditional Chinese Medicine Alliance, and Xu Damao remains very busy.

One afternoon, He Yuzhu was looking at Huagao Technology's quarterly report in his study when Lao Zhao knocked on the door and came in, followed by another person.

"Zhu Zi, look who's here!" Old Zhao stepped aside.

He Yuzhu looked up and saw that the man was over sixty years old, with gray hair and a slightly overweight figure. He was wearing a worn-out Zhongshan suit and had a familiar smile on his face, but there was a lingering sorrow between his brows.

"Zhu Ziheng?" He Yuzhu was taken aback for a moment, then stood up, walked around the desk to greet him, "Old Zhu! What are you doing with Uncle Zhao?"

Zhu Ziheng quickened his pace, grasped He Yuzhu's hand tightly, and shook it vigorously, his voice tinged with excitement: "Yuzhu! Oh my, it really is you! It's been decades since we last met, and you... I thought... I thought..."

"You thought I was long gone?" He Yuzhu replied with a smile, pulling him to sit down on the sofa. "I'm tough, even the King of Hell won't take me."

Zhu Ziheng carefully examined He Yuzhu and sighed, "Yes, it's been decades. After the political climate changed, I inquired about you many times, thinking that if things really didn't work out, you could go to our country and stay abroad for a few years until things calmed down. What a pity."

"Old Zhu, you're so kind!" He Yuzhu said.

"Heh, compared to what you did back then, what I did is nothing."

“What’s past is past. You still haven’t told me how you found Uncle Zhao.”

“I encountered a problem, and someone pointed me in the right direction, which led me to you, the great master.”

"What kind of god am I?" He Yuzhu said.

"Of course it counts! You were the one who..."

“Didn’t we say we wouldn’t bring up what happened back then?” He Yuzhu said.

"Okay, okay, let's not talk about it anymore, but you have to help me this time!"

"How can I help you? Which department do you work in now? Are you involved in grain import and export?" He Yuzhu asked.

"It was a slight promotion. I'm now at the Bureau of Material Reserves, in charge of grain."

“Grain reserves? This is a crucial department related to the national economy and people’s livelihood, and this is only a slight increase? Tell me, what do you want to see me about?” He Yuzhu said.

Zhu Ziheng looked at Lao Zhao, who nodded. Only then did he slowly speak, his tone somewhat heavy: "Yuzhu, to be honest, I came here this time because I've encountered some difficulties. I wanted to ask you, my old friend and partner, for some advice."

"Oh?" He Yuzhu's expression turned serious. "Tell me, I will never refuse to help if I can."

"It's about grain," Zhu Ziheng sighed. "The largest international grain traders have been acting very strangely lately. They've been buying up grain on a massive scale in South America and Southeast Asia, driving up international grain prices. At the same time, they're putting pressure on us through various channels, demanding that we loosen some of our grain import quotas and reserve management rights. On the surface, it's about business, but their attitude is definitely hostile."

He paused, then continued, "We have conducted an internal assessment. If they continue to manipulate the market, coupled with potential natural disasters, the domestic food supply and prices may face significant pressure in the coming years. Our existing reserve system and regulatory measures are somewhat inadequate to cope with this organized and highly financialized international encirclement."

He Yuzhu listened quietly. He had already heard about the actions of the four major grain merchants through information channels in Hong Kong and abroad.

The reason I didn't pay much attention or alert the relevant departments was because my memories from my past life hadn't matured yet. I just didn't expect the other side's attack to come so quickly and so directly.

Do you understand their purpose?

"That's precisely why I've come to seek your advice, since I'm completely unsure of the situation!" Zhu Ziheng said with a wry smile.

“I suspect they’re not just after a quick buck. They want to control some pricing power, and maybe even threaten our livelihoods,” He Yuzhu said slowly.

Zhu Ziheng was stunned. A few grain merchants going against a country and even trying to affect the food supply of the entire nation was something he really couldn't believe.

"Zhu Zi, are you serious? Is it really that serious?"

"That's because you don't know their strength."

“We have conducted research on their strength,” Zhu Ziheng said in a low voice. “The four major grain traders, ABCD, control more than 80 percent of the global grain trade. They have formed a huge network from seeds, fertilizers, planting, purchasing, storage and transportation to trade. Although we also have COFCO and China Grain Reserves Corporation, we are indeed at a disadvantage in terms of the voice in the international market, especially in terms of pricing power.”

Old Zhao chimed in from the side: "Isn't this just another form of war? Using food as weapons."

"That's one way to understand it," He Yuzhu nodded. "Old Zhu, what strategies do you have in place right now?"

“The internal discussions are still ongoing.” Zhu Ziheng rubbed his temples. “Expanding the reserves is a consensus, but where will the money come from? Are the storage facilities sufficient? These are all problems. Some have also suggested taking the initiative to establish planting bases overseas or acquiring stakes in local agricultural companies to diversify risks. But this takes time and requires a lot of foreign exchange. Moreover, those people overseas have been operating for decades and their territories are secure. It will be difficult for us to squeeze in.”

He looked at He Yuzhu with expectant eyes: "Yuzhu, you have many connections and a lot of experience. Huanghe also has a lot of business and relationships internationally. Could you help us think of a way? Even just providing some information or making a connection would be helpful, giving us more options."

He Yuzhu did not agree immediately. He pondered for a moment and asked, "What exactly do you need me to do?"

"Information, accurate and timely international market information, especially the movements of those major grain traders, their purchasing activities in major producing areas, and their long-term contract arrangements," Zhu Ziheng said immediately. "If possible, through your business network, help us find reliable alternative grain sources that are not controlled by the four major grain traders. Even if the quantity is small, it can still play a supplementary and balancing role. And then there's the issue of funding."

When it comes to funding, Zhu Ziheng is a little hesitant to speak: "The country has foreign exchange reserves, but the procedures for using them are complicated, and the targets are too large. If some... well... more flexible private capital could participate in overseas agricultural investment or reserve construction in the form of commercial cooperation, it might be possible to open up the situation more quickly."

He Yuzhu understood what Zhu Ziheng meant.

Large-scale actions at the national level are easily scrutinized, necessitating the support and assistance of civilian forces.

"Regarding information channels, I can have our Hong Kong and overseas branches keep an eye out and compile reports for you regularly. We can also try finding alternative grain sources, but the results are uncertain. As for funding," He Yuzhu paused, "Huanghe can allocate a portion, operating under the guise of investing in overseas agricultural projects or establishing a joint venture with China Grain Reserves Corporation. But this requires detailed planning; we can't just blindly invest money, after all, we're not doing charity."

Zhu Ziheng was overjoyed: "That's great! Yuzhu! With your words, I feel much more at ease! We'll handle the planning, and we'll definitely come up with a feasible solution. We absolutely won't let you lose money!"

"Don't thank me so soon." He Yuzhu waved his hand. "This is a very important matter, and we must be extremely careful in handling it. I must remind you that once we start taking action, it will inevitably attract the attention of our opponents and trigger a counterattack. You must also maintain secrecy within your organization and keep a unified story."

"I understand!" Zhu Ziheng nodded repeatedly. "I'll report to the leadership as soon as I get back and set up a special task force. It'll be kept absolutely secret!"

“We must develop grain reserves, and we must do it on a large scale. Also, let me remind you that it’s not enough for grain reserves to just exist on the books.”

"I understand!" Zhu Ziheng nodded solemnly. In fact, they had already discovered the problem and were working on solving it.

After seeing off the profusely thankful Zhu Ziheng and Lao Zhao, He Yuzhu paced around the study for a few steps, then picked up the phone and called He Yaozu in Hong Kong.

"Yaozu, it's me."

"Dad, please tell me."

"Two things. First, have the Group's Strategic Development Department set up a special team to closely monitor the dynamics of the international grain market, especially the movements of the four major grain traders (ABCD), including weather, policies, purchase prices, and shipping conditions in major producing areas, and generate periodic reports that should be sent directly to me. It needs to be done quickly."

He Yaozu was somewhat surprised, but didn't ask further: "Understood. And the second one?"

"Second, we need to review the group's available funds and investment channels overseas, especially in North America, South America, Australia, and Southeast Asia. There may be some investments in the agricultural sector soon, so we need to prepare in advance."

"Agricultural investment?" He Yaozu was even more puzzled. "Dad, that's our main business."

“I know this is a strategic consideration, and profit isn’t necessarily the primary goal. You get ready, and I’ll let you know the specific direction and scale later,” He Yuzhu said.

"Okay, I'll make arrangements right away."

After hanging up the phone, He Yuzhu let out a soft sigh of relief.

The food war is indeed a war without gunpowder, yet equally brutal.

He didn't know how much of a role he could play, but since Lao Zhu had come to him, even though he hadn't explicitly said it, he was definitely there on behalf of someone from above. For both public and private reasons, he was willing to lend a hand. As for how much he could help, he'd see how it went.

After seeing Zhu Ziheng off, Lao Zhao returned.

"Zhu Zi, are you really planning to get involved in this?"

"I'll offer some suggestions and act as a go-between," He Yuzhu said.

"You need to be careful about what you do. This matter concerns people's livelihoods and is not comparable to other things."

"I understand. I won't get involved in domestic affairs, but if I can strike at the enemy and make some money abroad, I don't mind stretching my muscles a bit."

“You’re so confident now, kid. Those are some of the biggest grain traders in the world,” Old Zhao said.

“I’m definitely not as good as them at getting into the grain business, but you can’t do it just by having grain,” He Yuzhu said with a smile.

"Then I won't ask any more questions. In short, you must be extremely cautious."

“I know. By the way, how did Lao Zhu find you? Why didn’t he come directly to me?” He Yuzhu asked.

“A former leader recommended him. He originally asked me to introduce him to the CEO of the Yellow River Group. I didn’t plan to bring him directly, but we chatted for a while. It turned out that I met Zhu Ziheng and found out that you knew each other. In fact, I’m an acquaintance of his, whom I’ve never met before. That’s why I brought him here.”

"Yes, he's the one who brought back those rice grains back then," He Yuzhu nodded.

"So, out of gratitude for the meal I received back then, I brought my men here."

“It’s not that serious,” He Yuzhu said.

“I know that we families won’t go hungry if we rely on you, but it’s different down below.”

“Okay, let’s leave it at that. You don’t need to worry about this anymore. Also, try to persuade Lao Fang. He’s getting old and he’s too nosy.” He Yuzhu said.

“I will, so I didn’t bring him with me this time.”

After chatting for a while, Lao Zhao said goodbye and went home.

A few days later, Ho Yiu-cho sent the first brief summary of international market dynamics.

The situation is indeed not optimistic.

North American wheat production is expected to decline due to drought, and wheat futures prices on the Chicago Board of Trade have risen for several consecutive weeks. While planting area in South America's main soybean producing regions remains stable, an international institution has released a bearish report questioning yield potential.

Meanwhile, there are indications that a major grain trader is quietly increasing its rice stocks in Southeast Asia.

He Yuzhu forwarded this summary to Zhu Ziheng.

Soon, Zhu Ziheng called: "Yuzhu, the information has been received! Very timely! Our internal monitoring also confirms this. They have indeed held a meeting to discuss the strategy and have agreed in principle to use external resources to deal with it. We have drafted a preliminary plan and would like your review."

On Xu Damao's side, the patent squatting and internal rectification of the Traditional Chinese Medicine Alliance have begun to show results. Several sources of leakage have been blocked, and most of the valuable ancient prescriptions and empirical formulas have entered the registration process.

He also learned about the grain situation from Hong Kong and took some time to visit the courtyard house.

"Brother, is there anything I can do to help with this grain issue?" Xu Damao asked. "We work in pharmaceuticals and know some friends in the agricultural fertilizer industry, perhaps..."

"Just hold onto your own business for now," He Yuzhu said. "The grain issue is more complicated and involves more people. Yaozu is already making preliminary preparations. If needed, I'll get your cooperation."

"Sure! I'm at your service anytime!" Xu Damao patted his chest.

As information continued to flow in from He Yuzhu's side, and with the active efforts of Zhu Ziheng's department, targeted countermeasures were quietly initiated domestically.

China Grain Reserves Corporation (Sinograin) has increased its grain procurement efforts in major grain-producing areas such as Northeast and North China to stabilize the domestic grain price base.

Some well-established state-owned enterprises have begun to seek cooperation with small and medium-sized agricultural companies or farmers overseas to try to establish direct procurement channels.

At the same time, under He Yaozu's command, the Yellow River Group used its overseas trading companies and partners to begin purchasing wheat, corn and soybeans in small batches and multiple shipments from non-mainstream channels and transporting them to designated ports in China.

These purchases were made under different company names, with each transaction involving a small amount, in order to avoid alerting the four major grain traders.

The process has not been smooth sailing.

On one occasion, an offshore company under the Yellow River Group attempted to purchase a batch of corn from a small Eastern European country. The contract was almost signed when the other party suddenly changed its mind, saying that a larger buyer had offered a higher price.

Subsequent investigation revealed that one of the four major grain traders had intercepted the goods through a local agent.

On another occasion, a shipment of rice purchased from Southeast Asia was transported when the shipping company received a notification requiring a temporary change of destination for "additional inspections," clearly indicating sabotage.

In the end, Ho Yiu-cho used other connections to ensure the goods arrived smoothly.

Every time Zhu Ziheng received such reports of obstruction from He Yuzhu, he was furious, but it also strengthened his resolve to use civilian forces like the Yellow River to wage "guerrilla warfare."

"They're determined to monopolize the market!" Zhu Ziheng said indignantly over the phone.

"It's just normal business competition." He Yuzhu was quite calm. "They have an early start and strong capabilities. If we want to snatch food from their mouths, we naturally have to pay a price. The key is to persevere and break through little by little."

Time slipped away in this silent contest.

The Yellow River Group's overseas grain procurement volume has been increasing slowly. Although it is only a drop in the bucket compared to the country's huge reserves and consumption, it has indeed played a certain supplementary role. More importantly, it has explored a feasible path to bypass the four major grain traders and make direct purchases.

He Yuzhu instructed He Yaozu to not pursue short-term profits, and even allow some transactions to incur slight losses, with the goal of establishing a stable and controllable alternative supply chain.

At the same time, Fengnian Agricultural Investment Company, a joint venture established by Huanghe and a subsidiary of China Grain Reserves Corporation, was also registered overseas and began looking for suitable farms or agricultural projects in South America and Australia for long-term investment.

Just when everything seemed to be going in the right direction, a new challenge emerged.

A well-known international financial data company suddenly released a report questioning the authenticity of grain inventory data in some parts of China and suggesting that there may be a "huge gap".

This report was reprinted by several overseas media outlets, triggering a wave of bullish sentiment in the international market regarding China's food demand, and futures prices rose accordingly.

Almost simultaneously, a domestic media outlet that touts "free economy" also published an article echoing international opinion, calling for "greater transparency" and "greater utilization of the international market to ensure food security," implying that the current reserve policy is inefficient.

He Yuzhu immediately made a phone call to Zhu Ziheng.

“Old Zhu, you’re just going to ignore media outlets like this? I seriously doubt whether they’re even Chinese,” He Yuzhu said.

"This matter is already being handled by someone."

"Hehe, then I'll wait for the results. If people like this continue to speak out, I'm worried about future cooperation, because who knows, one day we might be smeared into the way they want us to be, and Huanghe can't afford that loss," He Yuzhu said.

"I'll go ask about it myself."

“It would be best if it were beep beep beep,” He Yuzhu said.

(End of this chapter)

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