A few days ago, China's largest privately owned steel mill, shagang, held the "2012 annual user forum and ordering conference". According to the feedback of the steel traders who attended the order meeting, compared with previous years, shagang has added a series of incentive policies for this year's agents and terminal direct customers.
For customers with orders of 98% or more this year, we will reward them with 6 to 30 yuan per ton. Secondly, for the customers who have completed 90%, including 90% to 98%, they will be awarded 2-8 yuan/ton by variety. For the customers whose completed quantity is between 80% and 90%, the rewards of 1 to 3 yuan/ton are also given by variety.
It is understood that this kind of incentive policy is very rare in the previous annual policy of steel mills. In addition, shagang has also reduced the deposit standard for direct supply of customers to agents and terminals. Shagang group in this year, for the agent margin consistent standards for 300 yuan/ton, and agent for next order, shagang will "60000 tons of annual order quantity in the following", "the annual order quantity between 6 and 120000 tons of", "the annual order quantity is more than 120000 tons of" three class, among them, the tonnes respectively presents the deposit of 300 yuan, 250 yuan, 200 yuan. In addition, for the terminal direct supply of customers, the margin standard given by shagang should be on this basis, the same level will be lowered another 50 yuan/ton.
In addition, wuhan iron and steel has recently issued preferential policies for cold rolling, hot rolling, silicon steel and other types of customers. Wisco classifies customers into key customers, general customers and sporadic customers at three levels, of which five points are corresponding to key customers, four points are corresponding to general customers, and there is no discount for sporadic customers. It is reported that each preferential point value corresponds to 30 yuan/ton of hot rolling, 40 yuan/ton of cold rolling, 100 yuan/ton of oriented silicon steel, 50 yuan/ton of non-oriented silicon steel.
In addition, a steel mill in east China issued an incentive policy of 6-10 yuan per ton for customers who paid on time this year. A steel plant in shandong province offered "rebate discount" for customers ordering next year, such as a monthly rebate of 20 yuan/ton for orders of 3,000 tons, 22 yuan/ton for orders of 5,000 tons and 25 yuan/ton for orders of 8,000 tons.
The agent was scared
But it is worth mentioning that the major steel mills series of incentives and incentives, generally with additional conditions. For example, the above incentive policy of sha gang requires the customer to guarantee that the order quantity for next year shall not be less than this year. In addition, the customer must guarantee that the planned quantity will be completed in the first half of next year. After these two conditions are met, the incentive policy will be implemented in July next year.
Steel traders have concluded that this year, compared with previous years, the preferential policies issued by steel mills have increased a lot, and there is also a lot of profit space for agents and terminal customers. However, the above steel plants have various incentives and preferential policies for customers to order next year, and they generally have certain preconditions. Their purpose is to attract the direct orders from agents and terminals, guarantee the order quantity of next year, and fight for the market share of next year.
However, the steel traders on the above steel orders next year preferential policies, seems to be "lack of interest." According to participate in the exchange fair shagang steel trade dealer feedback, usual shagang no reward policy, there are still many steel trading business under the field initiative to ask for an increase in the quantity of one year, this year even steel mill introduced a reward policy, and has repeatedly stressed the "only guarantee the quantity of goods is not less than this year, next year can enjoy the reward policy", but the scene in order to sign the contract on the spot customers "few", and there are a lot of customer requirement on the spot to cut in next year's order quantity, the reward policy should not be considered.
According to the above steel traders, steel traders who act as an agent of steel mills this year suffered "almost the whole year's loss", and many agents are generally holding a wait-and-see attitude towards "whether to continue ordering steel mills next year" and "whether to continue to act as an agent next year". Even many agents have decided to quit because they were "too scared".
It is understood that this year the steel industry "micro-profit" intensified, in October this year, as steel prices plunged, cisa statistics of the key steel enterprises in a third of the loss. While "the steel mill has no meat to eat, the agent in the next link also has no soup to drink", the steel mill also has no profit, the agent's profit is more difficult to guarantee, in the steel mill price and the market price continues to hang upside down, has been relying on the steel mill subsidy, preferential profit agent this year "almost the whole year loss".
Traditional cooperation model is challenged
Anhui steel traders have been outspoken, this year's market price and factory prices "serious upside down," resulting in a "greater size, greater loss" of the passive situation.
Therefore, in the case of "preferential policies" of the major steel mills in the near future, some agents chose to ignore the incentive policies to reduce the order quantity for the next year, and even some agents chose to withdraw from the agency team of steel mills.
Other industry personage points out to this, cause this phenomenon, appear because the agent appeared this year deficit. At a deep level, however, the unequal relationship between manufacturers and the traditional agency model of steel mills are facing great challenges.
It is understood that the group of steel traders to the traditional "steel-dominated" non-equal relationship between manufacturers "have been feuding for a long time". In recent years, the steel plant has been expanding the proportion of direct supply and there is a cooperative and competitive relationship with the agent. In the traditional cooperation mode of manufacturers, steel mills often occupy the right to speak in terms of supply of goods and pricing. Steel traders who act as an agent of steel mills generally reflect the absence of discourse. Therefore, "there is no meat in the steel mills, and the agents in the next link have no soup to drink".
In the view of many steel traders, most of the losses suffered by steel industry agents this year were due to "insufficient subsidies" and "too tight price adjustment", which to some extent exacerbated the contradictions between manufacturers. In response, the industry said, "the agency model formed by steel mills and traders over the years is being challenged and questioned, with most of the agency ranks loosening and agents reducing, exiting and transforming in an endless stream".
This personage inside course of study continues to point out, the relation that the steel works and steel trader agent should be built on the foundation of double win, fair, form reasonable division of labor. The steel factory is responsible for full production, making efforts in product development, technical innovation, cost control and other aspects. In addition, when the steel mill is issuing the price policy, the capital cost and personnel office cost of the agent's advance payment shall be fully calculated, and the profit space shall be set aside for the agent on the basis of the actual transaction price in the market. "The profit margins of steel mills should not be withheld because they are declining," he said. "The steel mill is losing money, forcing the agent to follow the loss, which is unable to stabilize the agent team".