Yang Sen: Got the predicament right, but misfocused on the issue—A Reflection on the 2018 Agricultural Inputs Market under the New Policies

　　The rain has been falling, and falling… Some places welcome it, while others loathe it. The land of Jiangxi and Poyang has finally received the long‑awaited life‑giving downpour; yet for the region of Qilu, it has brought flooding unseen in years. In Shouguang, the disaster only drew attention after vegetable prices surged, exposing to the public the heartbreaking sight of fields submerged by floodwaters. Such outcomes could have been avoided—after all, early warnings and preparedness measures could have mitigated the damage—but instead, complacency and carelessness led to this grave catastrophe. Who should reflect on this? Who should take responsibility? In fact, it bears a striking resemblance to this year’s agricultural‑input market: the typhoon is like… Pesticide Under the new policy, the aftermath of the typhoon has left widespread devastation. Reflecting on this year, many enterprises’ complacency has resulted in catastrophic losses, and one can hardly help but feel the stark reality of autumn winds sweeping away fallen leaves. As for the challenges facing the agricultural inputs market this year, numerous experts have proven remarkably prescient—but too many companies have focused on the wrong issues.
　　Question 1: Overtaking on a Curve
　　The plethora of eye‑catching industry summits, high‑profile sharing sessions, and low‑credibility ranking contests have left many entrepreneurs who’ve never ventured far from home thoroughly confused. They seek shortcuts, eager to apply “correct nonsense” to corporate management and master “quick‑fix methods.” Only when traffic backs up on a curve do they realize there’s no turning back. As long as the road is right, distance matters little; for every enterprise, direction is a matter of life and death. In 2018, many companies faltered precisely because they misjudged their course. Some assumed the environmental landscape was grim but failed to anticipate traceability requirements, leading to stricter oversight and accountability—only after being caught did they discover that environmental inspections can indeed result in arrests. Others believed adding hidden ingredients was merely a way to enhance efficacy and address real‑world production challenges, rationalizing noncompliance as harmless. Yet once detained, they finally grasped the new regulations: criminal liability will be pursued without exception. The days when clandestine discharges were used to cut environmental costs and boost price competitiveness, or when third‑party additives were surreptitiously introduced to improve drug efficacy and gain market share, are now over. By 2018, the standard greeting had shifted from “How’s your year going?” to “Did you avoid getting caught this year?” Disrespect for the law, inwardly deceptive management, and outwardly boastful sales—all these practices will inevitably come back to haunt you. Be the director of your own life: safety must always come first. Don’t turn your vibrant reality into a punchline or become the laughingstock of your industry. When contemplating overtaking on a curve, remember to consider the vehicle’s performance. The boss is like the driver, steering the course; the car represents the enterprise. The choice of chassis, framework, and engine determines the pace of growth, while the smoothness of the turn depends on the driver’s skill. A curve carries risks: if the car is wrecked, people are put in danger too.
　　Issue Two: Channel Abandonment
　　This year’s trend: The times have abandoned you—without even saying goodbye! I’ve beaten every competitor, yet I’ve lost to the times. This year, we’ve seen many companies get left behind by their distribution channels; friendships built over years have turned on a dime. The reasons for this abandonment are layered: selfish price hikes, stop‑loss‑driven production of large inventories of old products without QR codes, irregular and prolonged stockouts, and a buildup of performative, superficial grassroots service—all of which eventually erupt into crises. From the perspective of products and services: if a product lacks technological substance, its documentation is outdated, its quality is mediocre, and its efficacy is lackluster, it will be priced low but offer no real value. If it’s priced high but fails to deliver commensurate service, sales become difficult, and scaling up proves unprofitable. And when products are overly homogeneous—good in performance but sold at rock‑bottom prices with no margin—it’s impossible to achieve volume or profitability. The reason distributors dare to abandon a brand lies in its product and service offerings. Today, agribusinesses are all touting “services,” but most of these are little more than empty rhetoric—promises that sound impressive in theory but fall short in practice. For agribusinesses, service often boils down to one simple task: winning over farmers. Solving problems is the primary pain point, and putting farmers first must be the top priority. Only when companies invest deeply in their products can they ease the burden on frontline sales staff, enabling them to do their jobs more effectively. At present, the agro‑chemical market is dominated by personal brands and end‑user brands—but not manufacturer brands. Whether customers choose your products over others hinges on who’s selling them in the store. “Having someone in the shop” marks the starting point; “having someone in the village praise it” is the journey; and “farmers coming back for more” is the ultimate goal. Using superior products to lower the difficulty of grassroots service is an art each agribusiness must painstakingly hone.
　　Question 3: No prospect of growth
　　Sales have declined, and hairlines are receding—this is the reality for many agro‑input business owners this year. In a zero‑growth environment, expanding within an existing market is truly challenging; despite their best efforts, they are still outpaced by the facts. In 2018, agro‑input companies’ growth was driven by price hikes; even now, active‑ingredient prices remain on an upward trajectory, trading volumes are weak, supply‑demand imbalances persist, and there seems to be no ceiling—only higher. Across the industry, price increases have generally exceeded 15%; any growth below that threshold amounts to negative growth. This year’s performance hinges on firms’ supply‑chain coordination: the ability to procure efficiently, respond swiftly, and deliver promptly—all hallmarks of systemic strength. “Growth cures all ills; stagnation breeds them.” If an organization fails to grow, its results will not improve, and management risks becoming overly burdensome. At the heart of effective management lies a unified stance: the leader must act as chief educator, reshaping employees’ mindsets and fostering personal development. As the saying goes, “Improving the person doing the work matters more than simply getting the job done.” Without execution capability, a company lacks competitiveness; there are no ‘ifs’ in execution—only outcomes. Under a accountability‑for‑growth framework, all progress stems from energizing the team and elevating collective capacity.
　　Question 4: Organizational Design
　　The direction must be right, the organization needs to be vibrant, and organizational design should be both strategic and artful. This year, the companies that have posted significant growth are those where employees are in good spirits and highly motivated; for instance, a certain agrochemical firm in southern China achieved a 400-million‑yuan increase over the same period last year—breaking with the trend. Yet this year, many teams found themselves losing hope soon after the Qingming Festival, as negative sentiment spread rapidly, undermining overall morale. Most attribute these challenges to market headwinds, insufficient team dedication, or poor self-discipline, without addressing the fundamental design of the organization itself—whether it’s the overarching structure of compensation and benefits, or the genuine care leaders can offer their people. A human‑centered management ethos, a sense of empowerment, and the activation of each individual’s potential are essential. Together, we should refine our systems, crafting practical, down-to-earth policies that operate within a framework broadly accepted by employees—featuring performance‑based competition, a results‑oriented approach, and a focus on outcomes. This will encourage teams to proactively excel in end‑user outreach and service, independently seek out the plant‑protection knowledge they need, and actively consult experts. Employees will also acquire region‑specific crop‑cultivation expertise, treating plant‑protection technical services as the cornerstone of their livelihoods. Looking ahead, organizational design should give greater consideration to the post‑90s and post‑95 generations—those who reject palace intrigue in favor of fresh, unpretentious energy—and cater to what they value: from peppering their bodies with Peppa Pig motifs to applauding the emotional aspirations of socially conscious individuals. At the heart of this lies a “light‑management model,” with organizational structures designed through the lens of 90s‑era thinking. Even official performance evaluations should incorporate measures of employee well‑being, and corporate organizational design ought to assess employee happiness and satisfaction as key metrics.
　　When fortune favors, heaven and earth join forces; when fate turns, even heroes are no longer free! Reflection: Today’s agribusinesses are all dancing on the edge of a blade. A sigh: From “trendy” to “no longer viable.” A realization: If success comes without incident, there seems to be no clear rationale; but if success follows a setback, it too defies logic. The real issue lies with the midwife—its role is to nurture the birth of new ideas, and we look forward to fresh thinking leading the way in the agricultural‑input sector. We’ve seen initiatives like Sinochem’s Ning Gaoning advocating “science above all, unity of knowledge and action”; Adama’s “The Path Beyond Oneself: A Radical Leap Forward,” putting agriculture first and daring to be different; and Bayer‑AgriTech’s Future Farm initiative, which builds demonstration sites for next‑generation agriculture, seeking to maximize efficiency while safeguarding the environment and achieving sustainable development at the intersection of farming and natural ecosystems. We also note industry‑wide forecasts pointing to transformations in marketing models… Pesticide Adjuvants, application equipment.
　　At this juncture, we are focusing more on opportunities than on challenges, fostering a sense of urgency—“time waits for no one; every moment counts”—and summoning the resolve to “stay firmly committed to our goals.” We must diligently ensure that every task under the “Autumn-Winter Campaign” is implemented effectively and yields tangible results, working in unison to secure victory in this critical winter‑storage battle.
　　Under the new policy, a large-scale reshuffle has already begun, bringing both opportunities and challenges to the market. The future is here—but it’s unevenly distributed, reserved only for those who keep pace with the times. Agrochemical companies exist to address the needs of large-scale farmers; the more problems they solve, and the bigger those problems are, the greater their profits will be. By deeply understanding the demands of these key growers and adopting their mindset, we can create real value for them. In terms of corporate strategy: maintain a steady, pragmatic approach, choose to do what’s right, and find ways to execute it flawlessly. On the marketing front: consistently repeat the same actions, refining them until they reach the highest standards. In management: shift from a centralized “super‑brain” model to a distributed system where multiple individuals think independently and operate on an equal footing. And in service: go above and beyond—serve until the customer feels almost embarrassed by how much care you’ve given. For growing companies and those under scrutiny, what truly matters on the road ahead is staying on the right path—only then can lasting success endure.

Source: Marketing Director, Jiangxi Zhonghe Chemical Co., Ltd.