ton/year “Huinan Organic Rice” Production Project of Tongh(4)

　　1. Introduction to the Project  

　　1.1 Project Background 

　　1.1.1 Product and Product Site Introduction 

　　Huinan rice is a specialty of Huinan County, Jilin Province, and a product of China's national geographic indication. It has a long growth cycle and long illumination time, with white color, complete and full grain. It is bright and transparent, with rich rice aroma. It is soft and oily, with intact rice grains, and the rice does not regenerate after getting cold. Huinan rice is low sugar rice, not producing stomach acid. It is crystal clear, with peculiar flavor and excellent taste. The rice grains are long, when the rice is cooked, the fragrance overflows. According to the record of Huinan County Chronicle, the production and planting of “Huinan Rice” has a history of more than 400 years. Since Nurhachi, the founder of Qing Dynasty, Huinan rice has been used as a court tribute rice, and its planting technology and production process have been well promoted. 

　　Huinan County, as a “national commodity grain base county” and “hometown of China's green rice”, is located on the 42° north latitude golden planting belt. It has a long history of planting rice, with excellent cultivation experience and geographical advantages that are incomparable to other regions. The county has a total rice planting area of 500,000 mu and an annual output of 300,000 tons. “Huinan Rice” has successfully applied for national trademark and national geographical indication product certification. Relying on the advantages of volcanic plains and climate resources, we try our best to build the unique brand of “Huinan volcanic rice”, “Huinan volcanic lake rice”, “Longwan mineral spring-irrigated rice”, “Huinan nutritional germ rice” and other “Huinan rice”. Huinan County is located in the southeast of Jilin Province. The two highways of Changchun to Songjiang River and Jilin to Shenyang meet in the northern suburb of the county. Huinan County is 240 kilometers from Shenyang, 142 kilometers from Changchun, and 140 kilometers from Jilin, and our county is successfully included in Changchun one-hour economic circle. The traffic here is extremely convenient, and it is “the first gateway to Changbai Mountain”. 

　　1.1.2 Market Prospect 

　　(1) Supply and demand situation and forecast in the international market 

　　From the perspective of production, global rice production continued to increase from 2014 to 2018. Global rice production in 2018 was 501.565 million tons, an increase of 1.23 percent from 495.486 million tons in 2017. From the perspective of consumption, global rice consumption increased slightly from 2014 to 2018. Global rice consumption in 2018 was 491.972million tons, an increase of 1.86 percent from 48.303 million tons in 2017. 

　　Figure 1: Trends in global rice production and consumption from 2004 to 2018 

　　(2) Supply and demand situation and forecast in the domestic market 

　　China is the world’s largest populous nation and the world’s largest rice producer and consumer. In 2017, China's rice production and consumption were 146 million tons and 141 million tons, respectively, an increase of 0.84 percent and a decrease of 2.56 percent, respectively. The decline in rice consumption is mainly due to the improvement of the living standards of our people. 

　　Figure 2: Trends in rice production and consumption in China from 2004 to 2018 

　　From the perspective of the province distribution of rice production in China, the area of rice planted in Heilongjiang, Hu’nan, and Jiangxi in China is relatively large, and the annual rice production in these places accounts for more than 10 percent of the total output. In terms of rice production, Hubei, Anhui, and Heilongjiang occupy the top three positions in China's rice production. In 2017, rice production in Hubei, Anhui, and Heilongjiang accounted for 18.39 percent, 13.10 percent, and 12.71 percent, respectively, and the total production of the three provinces accounted for 44.2 percent, nearly half of the total. 

　　Figure 3 Rice production of the top 10 provinces in China in 2017  

　　(3) Prices analysis and forecast of rice market 

　　In 2018, the price of domestic small-packaged rice first showed a downward trend and then an upward trend. February and March were the Spring Festival, the demand for rice was high, the highest price reached 6.59 yuan / kg; the rice harvested in the middle of the year, the supply increased, and the lowest price at the end of July was 6.47 yuan / kg. Since August, the price of rice has gradually increased, and the overall price level has remained high. The overall price of rice in 2018 was higher than the average price of 6.4 yuan / kg in 2017.