Nan Ming Sun Never Sets

Chapter 340 Cotton Supply Crisis
It was the first time Bai Mingxiu heard something like this, and he also found it incredible.

According to the normal market supply and demand relationship, it is very normal that raw materials will skyrocket, but abnormal skyrocketing like cotton is enough to be vigilant.

"Is the profit of the textile industry so good?" Bai Mingxiu felt that he could not keep up with the situation.

Wang Mianwu nodded and said solemnly: "Yes, in fact, for a long time, the demand for textiles of the middle and lower classes in our country has been at a low value, and even in disaster years, we have experienced a cold winter. The implementation of a series of supporting measures such as comprehensive agricultural cooperation, division of land and production, unified purchase and marketing, etc., has enabled farmers to obtain currency. A class of textiles is also a valuable reserve material for farmers. Whether it is farmers in Jiangnan, Guangdong, or Lianghu, they find that some potatoes and sweet potatoes grown in the corners of their homes are enough for them to survive the famine. If we survive, then it is not a big deal to collect their surplus grain through unified purchase and marketing. After getting the money, the farmers naturally invest in the supply and marketing cooperatives..."

Wang Mianwu swallowed slightly, and continued: "The huge supply and marketing cooperative system supported by local government offices, enterprises from various countries, and even private enterprises has been established for a short time, but because it is directly linked to the rural cooperatives, it is difficult to guarantee the satisfaction of the farmers. The demand for the exchange of commodities. Our Economic and Development Council visited various places to conduct investigations and found an amazing fact, that is, farmers will buy whatever commodities the supply and marketing cooperatives have. Farmers still exist for the banknotes we issue now. Some untrustworthy feelings can be exchanged for usable things, so they will exchange them, so we found that farmers went to the supply and marketing cooperatives to buy cotton cloth, salt, sugar, and wine, and they bought everything they could buy. Supply and Marketing Cooperatives are out of stock from time to time. The popularity of the sales side naturally attracts the supply side. This situation can be seen by almost all producers. No one thought that there would be such a powerful sales force as a supply and marketing cooperative. Throw the goods to the supply and marketing cooperatives, and the money will come back. This kind of good deed is not done for nothing. Therefore, we have seen a lot of money pouring into the textile industry, hiring skilled workers, buying machines, and building factories. Anyway, the supply and marketing cooperatives There are still checks on procurement, otherwise a lot of products with questionable quality will flow into the market.”

Bai Mingxiu understood a little bit, nodded and said, "So, the current surge in demand is actually a kind of retaliatory consumption?"

Wang Mianwu said: "I can't say that completely, because the consumption of textiles in cities is also increasing. With the improvement of living conditions, people will consume more textiles. It can only be said that my country itself is a country with a large population and a strong existence. In the past, countries with a large market for consumption had insufficient productivity to supply the textile consumption of the working people, but now because of the industrialization of our textile industry, this demand has been stimulated, and the current situation has arisen.”

Cai Bai also interjected at this time: "In fact, the worst situation is that the market is irrational at all. Originally, the supply of cotton has decreased and the price has risen. Many textile factories have already reflected the price on the product in advance. The cotton cloth of the supply and marketing cooperatives The price of similar textiles has risen, but the higher the price, the more farmers will buy. We were worried that there might be hype, but after visiting, we found that farmers are simply stockpiling textiles, which still do not exceed their natural consumption quantity."

Wang Mianwu added: "There have been some textile manufacturers who are withdrawing orders from shipping importers and exporters and shifting their supply to the domestic market. Some big-name shipping giants such as Dayang, Guangdeli, and Mingyuan are not very satisfied with this. After all They also want to use our country's industrial products to occupy markets in other regions."

Bai Mingxiu smiled instead at this time: "This is the consequence of a big market."

Think about the British Industrial Revolution. After the textile industry developed, the products could not be consumed locally.But when it comes to Daming, the scene is completely reversed.The booming textile industry cannot supply the needs of local consumers, and it is still a natural basic demand.

Bai Mingxiu asked: "Do you have any thoughts on this?"

Cai Bai said: "This is actually a normal market behavior. Except for a few hoarding, it is all because of the real supply and demand relationship. Therefore, on the one hand, we can only organize agricultural cooperatives in various regions and promote cotton planting on a large scale. In terms of raw material supply Trying to find a way, on the other hand, may only see a round of rising cotton and textile prices."

Bai Mingxiu knows that this kind of thing cannot be avoided. The industrial revolution is indeed such a powerful force, and the increase in productivity will change the appearance of production and life in the original society.A large group of farmers who had no consumption ability before have now become the main force of consumption.

This is also where Ming Dynasty is superior to the British Industrial Revolution in terms of social change. Bai Mingxiu always regards improving the economic living standards of the whole people as the first element of measurement. Although the European Industrial Revolution transformed some farmers into workers with some consumption power, their The consumption capacity is still insufficient, let alone the population is not much.The current population of the UK is only 700 million people, and this consumption power is not as good as that of a province of Ming Dynasty.

The cotton supply crisis also sounded a small alarm for Bai Mingxiu. As a latecomer, if he is superstitious about the role of the market, he will really be damned.Many things can be thought of and planned, but must be planned in advance.

He also thought about using Daming's strong industrial power to expand in overseas markets, but the actual situation is that Daming's domestic demand market seems to be sweeter.China, a treasure land, has been facing a sweet trouble since ancient times. The Chinese Empire is already superior enough. Do you still want to spend huge human and financial resources to open up places that are not so superior.The local market is enough to eat, but considering foreign consumption habits and winning a little foreign market, it is really not enough.So even in later generations, many companies would rather increase their local market share than go further afield to suffer.This is essentially a traditional complex of the people of the Celestial Kingdom.

Bai Mingxiu finally asked Cai Bai another question: "How are you doing with the first five-year economic development plan of Ming Dynasty?"

Cai Bai understood that His Majesty the Emperor attached great importance to this, and said: "The progress is very fast, and we should be able to come up with a plan before the big meeting of the Republic of China years ago."

(End of this chapter)