The agricultural machinery industry has a long way to achieve the strategic goal of China Manufacturing 2025

The agricultural machinery industry has a long way to achieve the strategic goal of China Manufacturing 2025

Although the development of the industry is relatively stable, due to structural problems, some areas in the agricultural machinery industry are approaching saturation, and there are still many areas for development in areas, especially intelligent control systems, large-scale composite operations, and small and small equipment in hilly mountains. Many vacancies. In the future, can China's agricultural machinery industry continue to maintain its golden posture? Can technological innovation support the development of the entire agricultural machinery industry? With these questions, on March 31, 2016, our reporter came to the China Agricultural Machinery Industry Association to conduct an exclusive interview with President Chen Zhi.

Reporter: From 2004 to 2015, China's agricultural machinery industry has developed rapidly and is among the best in the entire machinery industry. What changes have occurred in China's agricultural machinery industry in the past decade?

Chen Zhi: The rigid demand of the agricultural machinery market is the basis for the sustained and rapid development of the agricultural machinery industry. At the same time, since 2004, the central government's agricultural machinery purchase subsidy investment has increased significantly from the initial 70 million yuan to 23.755 billion yuan in 2015. The implementation of the agricultural machinery purchase subsidy policy has greatly mobilized the enthusiasm of farmers to develop agricultural mechanization. While improving the purchasing power of farmers, the subsidy policy has also effectively promoted the rapid development of the agricultural machinery industry. Under the rigid demand of the agricultural machinery market, the strong promotion of the national agricultural machinery purchase subsidy policy, and the breakthrough of the key technologies of agricultural machinery and equipment, the agricultural machinery industry in China has undergone profound changes in the past ten years, mainly reflected in the following four aspects.

Product development, manufacturing capabilities, quality assurance, management and comprehensive service capabilities have improved significantly. In terms of product development capabilities, the backbone of technological innovation in key enterprises has gradually formed; in terms of product manufacturing capabilities, many companies have greatly improved their manufacturing capabilities and product quality by purchasing advanced equipment such as laser cutting machines, welding robots, and electrophoresis processing lines; In terms of quality assurance capabilities, some enterprises began to invest in the establishment of relevant test verification, inspection and testing platforms, and improve the internal quality assurance system; in terms of enterprise management capabilities, large and medium-sized enterprises actively try to apply a new generation of information technology to the daily management and distribution of enterprises. Business management and supply chain management; in terms of comprehensive service capabilities, large companies actively change their mindset and begin to provide full lifecycle services and overall solution services.

Second, the technological progress is obvious, and the output of major products is growing rapidly, meeting the domestic market demand of 90%. The performance of major products such as large horsepower tractors, large combine harvesters, and green forage harvesters has been greatly improved, basically meeting the domestic market. The trend of large-scale tractors and matching is obvious. In 2015, the number of large and medium-sized tractors reached 5.986 million units, a year-on-year increase of 5.4%. The rice transplanter and corn combine harvester, which are urgently needed for grain production, maintained rapid growth, with a total of 712,000 units and 410,000 units, up 7.1% and 19.5% respectively.

Third, the industrial concentration has been continuously improved and the industry structure has been gradually optimized. More than 2,300 enterprises above the scale of agricultural machinery manufacturing in China include host production plants and supporting parts production plants, forming a relatively complete agricultural machinery industry chain; the industry structure is continuously optimized, the industry concentration has been further improved, and a number of leading enterprises have been cultivated. Including host manufacturing companies and parts manufacturing companies.

Fourth, factor resources including talents, funds, technology and equipment have flowed globally, and the degree of internationalization has greatly improved. In the past ten years, the rapid development of China's agricultural machinery market has attracted many international agricultural machinery companies to invest in China to expand business, and foreign capital has accelerated into China. Under the global market integration competition, Chinese agricultural machinery enterprises actively participate in the global industrial division of labor, and began to use two resources at home and abroad to open up two markets and actively participate in actively participating in international market competition.

Reporter: What are the problems and constraints facing the development of China's agricultural machinery industry?

Chen Zhi: Compared with the world powers, the problem of “big but not strong” in China's agricultural machinery industry is still outstanding. Mainly manifested in: overcapacity of low-end and medium-end products, low self-sufficiency rate of high value-added products; low industrial concentration; homogenization competition is prominent; development mode is relatively extensive, quality and efficiency need to be improved; independent innovation capability is not strong, lacking Industry-leading core technology; low level of informatization, deep integration gap between “two technologies”; energy conservation, environmental protection and quality management needs to be improved. In the next ten years, the development of China's agricultural machinery industry will face the following constraints:

The downward pressure on the industry continued to increase, and the risk of overcapacity further intensified. Behind the rapid expansion of the scale of the agricultural equipment market, the long-term accumulation of contradictions such as irrational industrial structure has emerged, and product homogenization has become a major challenge in the agricultural equipment industry.

Under the long-term goal of improving quality and efficiency, the industry will face pain in the short term. The production capacity of low-end traditional agricultural machinery is seriously overcapacity, and the industry has entered a low-profit era; the lack of core technology in products, the task of transformation and upgrading and structural adjustment is very arduous.

Insufficient innovation ability has become the "soft spot" for the development of the agricultural machinery industry. With the increase of technical barriers, the space for obtaining foreign technology at low cost is shrinking; and the independent innovation system of China's agricultural machinery industry has not yet been fully formed. The low-cost advantages of most traditional industries are unsustainable, while the high-tech fields face the severe challenges of missing core technologies.

Under the tight constraints of supply and demand, business pressure will continue to increase. In the current low-end market saturation, lack of core competitiveness in the market, and tighter supply-side constraints, companies must find new growth drivers in the pains of transformation and upgrading.

Reporter: In the next ten years, can China's agricultural machinery industry continue to maintain its gold development trend?

Chen Zhi: Although China's agricultural machinery industry has entered a new normal and its development speed has changed from high-speed growth to medium-high-speed growth, the protection of national food security policies and the mechanization of agricultural production have provided a good development environment and development for the development of agricultural machinery industry. Opportunities, China's agricultural machinery industry will continue to maintain the gold development trend.

First of all, the policy benefits bring development opportunities. In recent years, the state's support for the agricultural machinery industry has become more and more important, and a series of favorable policies have been introduced, which has brought good development opportunities for the agricultural machinery industry. In 2016, the No. 1 Document of the Central Committee put forward the acceleration of research and development of agricultural machinery equipment and key core components in the section of “continuing the realization of the agricultural foundation and improving the quality and competitiveness of agriculture”, and upgraded the mechanization level of the main crop production to specify the development of the agricultural machinery industry. The direction also indicates that China's agricultural machinery and equipment will develop towards Chinese products. Agricultural machinery and equipment has been listed in one of the key areas of China's manufacturing 2025, providing a new opportunity for the development of agricultural machinery industry, and also pointed out the direction and key points for the development of China's agricultural machinery and equipment in the next decade. The Ministry of Agriculture's "Opinions on the Mechanization of the Main Crop Production Process" proposes that the comprehensive mechanization level of crop cultivation and harvesting in the country will reach 68% in 2020, and the mechanization of agricultural production will bring new opportunities for the development of the agricultural machinery industry. At the same time, the Ministry of Agriculture also put the issue of agricultural non-point source pollution on the agenda, and proposed to achieve zero growth target of fertilizer and pesticide use by 2020. The improvement of fertilizer and pesticide utilization rate is inseparable from intelligent agricultural machinery, which will promote future cooperation. The demand for products has increased. The normalization of the implementation of the agricultural machinery purchase subsidy policy will further mobilize the enthusiasm of farmers to develop agricultural mechanization, thus promoting the development of the agricultural machinery industry. In particular, Director Li Weiguo of the Department of Agricultural Mechanization of the Ministry of Agriculture put forward the words “shrinking the scope, reducing the quota, and promoting the opening”. The policy clarifies the direction of subsidies for agricultural machinery in the future.

Second, the changes in the business entity provide the source of power for the development of the agricultural machinery industry. In the past ten years, the main business of China's agriculture is farmers of small households. The per capita cultivated land is less than 0.1 hectare. The large-scale intelligent agricultural machinery is not only difficult for them, but also useless. Since 2014, the state has begun to encourage new agricultural business entities, family farms, professional cooperatives, and large grain growers have begun to emerge in various places. The economic conditions of these business entities and the increase in land size have created demand for large-scale intelligent agricultural machinery. In particular, the 2016 No. 1 Document of the Central Committee stated that “the insistence on the family management of farmers should support the new agricultural business entities and the new agricultural service entities to become the backbone of modern agriculture”. The change of agricultural management entities will promote the change of agricultural machinery and equipment service targets. This has driven the transformation of the agricultural machinery industry from traditional industries to modernization and intelligence.

Third, the structural adjustment of agricultural machinery enterprises and the upgrading of industries have enhanced the competitiveness of China's agricultural machinery industry. From the perspective of structural adjustment, the trend of product concentration to advantageous enterprises, large-scale key enterprises, and leading enterprises is obvious. Some small enterprises that do not have independent innovation capabilities have been difficult to survive. From the product point of view, in 2015, the output value of the entire tractor was reduced, but the large tractors above 100 horsepower increased by 33%, and the optimization of the product structure was very fast and the effect was obvious. Wheat harvester, 6 kg/sec feed type instead of 2-3 kg/sec feed type; the number of small two-row corn harvesters is negligible, three rows and four rows of self-propelled corn harvesters have been Accounted for the main body of the product. From the perspective of industrial upgrading, since 2013, China Agricultural Machinery Industry Association has been working to solve the problem of “low-end surplus and shortage” in the agricultural machinery industry, and proposed the strategy of “low-end transfer, mid-end promotion and breakthrough”. At the same time, the Ministry of Environmental Protection The introduction of the “Emission Standards for Exhaust Pollutants for Diesel Engines for the Third Stage of Non-road Mobile Machinery” [Announcement No. 5 of 2016] also forced enterprises to take the initiative to upgrade their technology, improve the quality of products, and promote technological progress in the industry. .

Reporter: Science and technology innovation is the driving force for development. How do you view the technological innovation of the agricultural machinery industry?

Chen Zhi: One of the key tasks of agricultural machinery manufacturing 2025 is to adhere to the innovation drive, achieve key breakthroughs, and promote the transformation and upgrading of China's agricultural machinery industry.

For the agricultural machinery industry, it is mainly the domestic equipment that meets the improvement of the level of agricultural mechanization and the demand for machinery generated by the transfer of rural labor. Domestically produced products basically meet the domestic market demand of 90%. Although there are still gaps in terms of product intelligence and reliability compared with foreign advanced levels, domestic enterprises are still the main force of China's agricultural machinery industry. For the agricultural machinery industry, although the university is an important scientific research force, most of the products sold in the market are from the research and development of agricultural machinery enterprises. The country is gradually solving the problem of disconnection between scientific research and economy. Agricultural machinery enterprises are the mainstay of technological innovation. The scientific and technological resources and science and technology projects are gathered in enterprises, and the cultivation of the innovation ability of enterprises and the supporting role of the industry are becoming more and more obvious. In the past four or five years, some agricultural machinery leading enterprises have attached great importance to the improvement of technological innovation capabilities. Chinese independent brand enterprises are rapidly entering the market through integration of resources, strategic restructuring and independent innovation, and are diverting efforts to change the domestic agricultural machinery market. Almost monopolized by foreign foreign brands, at the China International Agricultural Machinery Exhibition 2015, China Yituo, Lovol Heavy Industries, Zoomlion, Wuzheng Group, etc. all released new products, showing that the Chinese agricultural machinery industry is moving from the traditional The development of intelligent and advanced manufacturing with information technology as the core.

The transformation and upgrading of the global manufacturing industry has accelerated, and the new industrial revolution has swept through. "Made in China" is on the new journey of manufacturing a strong country. China's agricultural machinery manufacturing industry at the transitional threshold is facing a heavy test. The agricultural machinery industry must be determined to achieve the strategic goal of China Manufacturing 2025.

(Original title: Development of agricultural machinery and equipment industry under the background of the integration of the first, second and third industries - Interview with Chen Zhi, President of China Agricultural Machinery Industry Association)