We are all reborn, who wants to be the richest man?
Chapter 589 Return to the Other
The world's largest investment has arrived: Brazil, Germany, Mexico and the Brazilian government signed a $168 billion agricultural investment project
The name of Brazil Demeter comes from Demeter, one of the twelve main gods in ancient Greece, who controls grain and harvest.
This is a new company jointly established in Brazil by several major capitals. DuPont Pioneer, as the largest shareholder, holds a 30% stake, Pioneer Seeds, as the second largest shareholder, holds a 10% stake, and Wilmar International, Wilmar International, and Galantia each hold a % stake.
On the surface, DuPont Pioneer, controlled by the DuPont family, is the biggest winner, but behind the scenes, the Luo family is the one who really has the say, because these companies have the Luo family's shadow.
Brazil, Germany and Mexico, five companies will put out 68 billion US dollars, Wall Street and the Far East Financial System will borrow 168 billion US dollars, and a super capital of billion US dollars makes everyone understand what cash is king.
Moreover, all this investment will be realized within five years. Such rapid and crazy investment will inevitably set off a wave of development in Brazil.
“Mr. Apare, what are the main investment targets of Brazil, Germany and Mexico?”
“The entire agricultural industry chain focuses on warehousing, logistics, processing, and lending agricultural loans to farmers.”
“Which regions in Brazil will you focus your investment on?”
“In the north-central part of Brazil, we all know this is what the Brazilian government has been trying to do.
We are a new force and we will not go to the south to compete with traditional grain traders for resources. Brazil is very large and has large tracts of undeveloped land."
Pietro Aparre, President of the Chris Foundation.
All parties had their own ideas about the candidates for the German-Mexican management of Brazil. Finally, Luo Nianzhong proposed this candidate and Copeland agreed.
The two largest shareholders have nodded, so what else is there to say.
Various forces coexist in the management of Brazil-Germany, but the position of president was given to Aparé.
“Mr. Apare, will Brazil, Germany and Mexico also enter the field of tropical crops such as sugar cane and coffee?
The land in central and northern Brazil is not fertile enough. Now Brazil, Germany and Mexico have joined in. Aren’t you afraid that related products will depreciate?
With so much investment, aren’t you worried about the return?”
Apare smiled and gestured to the reporter who asked the question.
“This reporter asked a very good question. Although we will also develop tropical crops, our main business is still the soybean industry.
To be honest, Pioneer Seeds has developed new soybean varieties suitable for tropical cultivation, which is why we have invested heavily.
As I said at the beginning, Brazil, Germany and Mexico invest in Brazil to better help Brazilian farmers, not to compete with local farmers for food."
"Boom!" There was an uproar at the press conference, and another explosive news came out.
Everyone was surprised but also found it reasonable to find soybean varieties suitable for tropical cultivation.
When it comes to research on soybean and corn seeds, Pioneer Seeds is at the forefront of the world, and the high yield of GMOs is no secret around the world.
Although it is currently only planted in three states in the United States, thanks to the astonishing yield per acre, many countries around the world have agreed to the cultivation of genetically modified seeds and have begun to take action.
Especially in Africa and Eastern Europe, genetically modified corn with greatly increased yield per mu has become the first choice of these countries.
So it is not surprising that Brazil and Mexico, with Pioneer Seeds backing them, have come up with soybean varieties suitable for tropical cultivation.
"Excuse me, Mr. Apare, what is the yield per acre of this new variety?"
"The experimental results show that the maximum yield per hectare can reach 4.4 tons. However, due to different soil fertility, our experts predict that the newly developed land in central and northern Brazil will be 2.5 to 3.1 tons per hectare."
"Oh~" Another exclamation.
The average soybean yield per hectare in Brazil is about 3.2 tons, but that is the land in the south.
If this new soybean variety can reach a yield of 2.5 tons per hectare in the central and northern parts, all the farmers will go crazy.
Because the land here is so cheap, so cheap that the price of uncultivated land is less than one twentieth of that in the south.
Depending on the land, the price per hectare ranges from only $30 to $50.
For example, shrub forests are relatively cheap, and you can buy one hectare for $30.
Brazil-Democrat, this company has made its name remembered by the whole world since the first moment it appeared.
Most people were just watching the fun, while the media were singing praises for the company, saying how much food production could be increased, how many lives could be saved, etc. However, the most excited sector was the financial sector.
"So we have basically earned back half of the money we invested?"
"Almost, if you don't count the time cost and only look at the return, it's like this."
Listening to Robert's report, even Luo Nianzhong, who is as rich as a country, raised the corners of his mouth.
"This is the charm of finance."
It was just a press conference, and not a penny of the investment was realized, but half of the money has already returned to the Far East.
This huge investment of US$168 billion will benefit all industries.
For example, in the logistics industry, food transportation requires a large number of trucks, trains and cargo ships.
Will Luo Nianzhong hand over this order to an outsider? Definitely not.
Scania, a subsidiary of Audi Group, is a truck manufacturer. Therefore, before the launch event in Brazil, Germany and Mexico ended, the Audi Group's stock price saw an increase because the time difference was just the opening stage of the market.
Similarly, modern warehouse construction requires a large number of sensors.
Who is the world's largest sensor company? It is Fionlink, a merger of Texas Instruments and Siemens.
The share prices of Texas Instruments, Far East Chip and Siemens also inevitably increased.
There is also BHP. Too many investments require steel, such as railways and warehousing. If you don’t buy iron ore from BHP, do you expect to get the order?
Investing in Brazil is more than just an increase in the market value of related companies.
China Light and Power Group, Asia Gas, the parent company of China Gas, and Qingzhou Cement Group will all take the opportunity to enter Brazil together.
Their strategies are the same, which is to first acquire one or several local related companies, and then follow Brazil, Germany and Mexico to develop infrastructure.
The central and northern parts are all large tracts of wasteland, and there is no infrastructure in many places, but both farms and Brazil and Mexico need these.
In addition to these, Luo Nianzhong also plans to use this to drive the development of Da Mao Er Mao and Rabbit, and allow them to produce both trains and cargo ships.
Of course, the actual benefit that can be seen now is the financial industry.
In agriculture, the four major grain traders have never made big money from their own business. Finance is the main battlefield, but they never tell you.
These white gloves will not have any connection with the four major grain traders, otherwise they will be investigated.
"That's right, but we are happy and we are afraid that some people may be unhappy."
Indeed, the most unhappy people at the moment are the elephants and the agricultural giants who support them.
"We were all fooled by him. He joined the forces of Wall Street not to promote genetically modified crops in the United States. His real target was South America.
With Wall Street backing them up, countries like Brazil and Argentina are like unattended women's bathrooms, waiting for their turn to welcome customers."
"Damn, Wall Street will sell out anything to make money.
They raised a lot of money for us to enter South America, and then they started to short us to make a profit, without caring about our life or death."
Bunge, ADM and Louis Dreyfus are all listed companies. The establishment of Brazil-Mexico will definitely affect the stock prices of these three companies, but the current decline is somewhat unreasonable.
There are people behind this. No one can escape the influence except Wall Street and the Far East Group. Once someone takes the lead, global capital will come and take part.
In two days, the market value of these three major grain traders fell by more than 10%, and Bunge, which mainly deals in soybean trading, fell by 18%.
The four major grain traders never imagined that the agricultural industry chain plus financial approach they had been using would one day become a weakness.
"We have to make the elephant move. It will be difficult for Brazil to attack us secretly.
With Wall Street involved, we can only think of ways to deal with it commercially, but it’s different in China.”
"Will the elephant agree? After all, the other party is also the elephant's biggest financial backer."
"It's impossible for both sides to fight to the death. At least they will be restricted. They know very well where their base is.
Don’t forget that we have always stood firmly on the side of elephants, no matter whether we donate money to donkeys every year or not, our stance will not change."
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