1. Background
Seed-coating chemical is new pesticide specially used for pesticide and fertilizer complex type seeds. It can greatly reduce insect pest, protect the environment, save the seeds (about 1/3 seeds), increase the output of crops (increase by 10-40%) and promote the development of seeds project. It has been listed as major recommending product by State Science and Technology Commission and after ten years of spreading and using, it has brought good economic returns and social benefit. So the relevant department of our country stipulated that the seed-coating ratio of grain crops seeds of state-owned seeds company should reach up to 40%, by the year 2000, the seed-coating ratio should be above 50%.
2. Construction Content and Scale
Content of this project mainly includs factory building construction, equipment procurement and technology import etc. The first phase of this project is planed to produce 2,500 tons of suspension type seed-coating chemical annually. Its second phase is designed to produce 5,000 tons.
3. Tentative Estimate of the Market
Market survey shows that the seed-coating chemical is the development trend of current seed treatment. It is certified that the input-output ratio of seed-coating chemical using is 1:50, the seed-coating technology is encouraged to be promoted in China. At present, there are 30 seed-coating chemical producers in China. There are three producers of seed-coating chemical in Anhui province with annual output capacity of 5000 tons, which can be used to coat 250 million kilograms seeds (on the basis of average pesticide seeds ratio is 1:50).
"FengLe" brand seeds produced by Hefei Fengle Seeds Stock Company Ltd, parent company of our enterprise, sell well in 29 provinces and cities in China and enjoy good reputation in the market. The seed-coating chemical products, can be promoted to the whole country along with the promotion and sales of "FengLe" brand seeds.
4. Technological Process and Equipment Scheme
Product of this project is suspension type seed-coating chemical. Main equipment include grinder (continuous or interrupted), particle diameter automatic control system, primary grinding system, vacuum system, steam system and water supply system etc.
5. Investment Estimation and Fund-raising Scheme
Total investment is estimated at RMB 29 million yuan (including part of investment for the second phase), including fixed assets investment of 21 million yuan, technology fees of 1 million yuan and circulating funds of 7 million yuan.
Fund-raising scheme: 12 million yuan of self-raised, 8 million yuan of bank loans and 9 million yuan to be contributed by investors.
6. Analysis for Economic Benefit and Social Benefit
If computed on the basis of operating cost of 9122 yuan per ton, the following economic targets can be attained:
Annual sales income: 35 million yuan
Annual profit and tax: 12.195 million yuan
Annual sales profit: 9.6304 million yuan
Annual sales tax: 2.5646 million yuan
Investment profit margin: 24.36%
Investment profit tax ratio: 33.21%
The payback period of total investment: 3.17 years (including construction period).
It also brings considerable social benefits such as to help protect the environment. Calculated on the basis of input-output ratio of 1:50, it can bring one billion yuan worth of social benefits.
7. The Progress of the Project
The medium-term test facility for the seed-coating chemical has been completed and the medium test made on the basis of suspension type coating chemical has been finished. The seed-coating chemical formulas for rice, water melon and cotton have also been finished. The seed-coating chemical， formulas for six kinds of main crops are being developed with the co-operation of China Agricultural University.
8. Co-operation Ways and Requirement
Either equity joint venture or contractual joint venture is acceptable. Investors are required to provide advanced, proper seed-coating chemical formulas and key technology and equipment
9. Profile of the Chinese Enterprise
Anhui Fengle Agricultural Chemical Co., Ltd. is a branch company held by HeFei Fengle Seeds Stock Company Ltd. It is a modern, complex and medium-large scale enterprise involving production, scientific research, development and service. It produces and sells nearly one hundred kinds of agricultural chemical products, including herbicide, phoxim-fenvalerate, bactericide, control agent for the crops growing and special fertilizer. The enterprise owns total assets of 60 million yuan. The industrial output value in 1999 totalled 88 million yuan, sales income was 88 million yuan with profit and tax of 8 million yuan.
10. Way of Contact
Enterprise Name: Anhui Fengle Agricultural Chemical Co., Ltd
Address: Hu gang, Heyu road, Hefei City, 230011, Anhui Province, PRC
Legal Person Representative: Wang Chunsheng
Contact person: Zhao Bangbin; Wu Yonghu;
Tel: 0551-4531560, (O)13505514479
Fax: 0551-4530643
|
