Gansu Internet-plus Socialized Agricultural Service System Development Project
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1 Prepared by Jan Hinrichs, Natural Resources Economist, EAER 15 June 2017 National Research Council of the Philippines Scientific Workshop on Knowledge Conference Intensive Agriculture and 82 nd General Membership Assembly Gansu Internet-plus Socialized Agricultural Service System Development Project Presentation by Name Here 11 March 2015 The views expressed in this presentation are the views of the author/s and do not necessarily reflect the views or policies of the Asian Development Bank, or its Board of Governors, or the governments they represent. ADB does not guarantee the accuracy of the data included in this presentation and accepts no responsibility for any consequence of their use. The countries listed in this presentation do not imply any view on ADB's part as to sovereignty or independent status or necessarily conform to ADB's terminology.
2 GANSU INTERNET PLUS AGRICULTURE PROJECT $240 million project cost, $150 ADB loan to Farmer Supply and Marketing Cooperative Association Develop inclusive agricultural service systems through implementation with farmer cooperatives
3 GANSU INTERNET PLUS AGRICULTURE PROJECT Application of network connected sensors and tracing technology along the value chain from production to marketing Precise application of inputs (water, fertilizers, pesticides) Product tracing Enhance market access through a two-way information exchange system between producers and consumers; Provide consumers with product origin and process information Provide produces with market information and production support services
4 AGRICULTURAL SERVICE INDUSTRY CHAIN agricultural production and operation before production during production cold chain logistics of agricultural products after production marketing service system of special agricultural products service for farmer consumption & life service land transfer and trust agricultural machinery service agricultural product processing agricultural product circulation agricultural life service farmland IOT storage cold chain of agricultural products rural e- commerce agricultural material service recycling renewable resources emerging services Rural cooperative finance service Rural financial services Supply chain finance supply chain system of agricultural inputs
5 OUTPUT 1: COMPREHENSIVE INFORMATION SERVICE AND MANAGEMENT PLATFORM Develop data and training centers with information platforms to process date generated at production and processing for e-commerce marketing purpose release and push policy information collect and process the project-related big data, cloud calculation and IOT to targeted audience Information platform Be able to conduct longdistance visual monitoring
6 PROJECT AREA IN GANSU PROVINCE DATA AND TRAINING CENTERS Jiuquan Lanzhou Based on six major featured agricultural industries of Gansu, three regional farmer-training centers in Jiuquan, Lanzhou, Tianshui Tianshui
7 OUTPUT 2: AGRICULTURAL PROCESSING, STORAGE, AND MARKETING MODERNIZED Build logistic and distribution system for agricultural inputs and outputs (warehouses, (cold) storage, market facilities) Design integrated information exchange network for enhanced market access and coordination, quality assurance and reduced transaction costs at different stages of value chain
8 PROJECT AREA IN GANSU PROVINCE - INTELLIGENT COLD CHAIN AND WAREHOUSE INVESTMENTS Dunhang Jiuquan Zhangye Focusing on establishing intelligent and freshkeeping storage featuring constant temperature(0.2 million tons) in cities like Dunhuang, Jiuquan,Zhangye, Pinliang, Tianshui etc, and establishing cold chain and transportation facilities, also setting up cold chain logistics system of agricultural side-products which can interact with each other through both online and offline. Pingliang Tianshui
9 OUTPUT 3: AGRICULTURAL PRODUCTION MODERNIZED Establish agricultural production bases for summer vegetables, potatoes, fruits, etc. High value production systems will be equipped with internet of things applications for increased production efficiency and coordination.
10 PROJECT AREA IN GANSU PROVINCE PRODUCTION BASES Hexi Corridor base of Plateau Summer vegetables Hedong base of superior fruits Longzhong base of potatos and medical herbs
11 HIGH-LEVEL TECHNOLOGY - AGRICULTURAL SERVICES Transforming and upgrading the traditional agriculture includes the following technologies: Production Processing and Logistics Network connected sensors (Internet of Things) to control & monitor soil moisture, fertilizer & pesticide application & yield quantity and quality Extension support -> Exchange collected data between farmers Sensors to track quantity and quality of harvested products in agricultural storage and subsequent processing stages Marketing Internet-based marketing of agricultural products Building e-commerce platforms and brands Network-based customer interface -> traceability
12 IMPLEMENTATION FARMERS SUPPLY AND MARKETING COOPERATIVE ASSOCIATION OF GANSU PROVINCE organization advantage Complete organization system with 1,168 enterprises, 151 leading enterprises, 14 city-level cooperatives, 83 county-level cooperatives, 683 village-level cooperatives, 2,228 farmer cooperatives and 5,629 rural comprehensive service cooperatives service advantage The total asset is billion RMB Yuan with owner equity being 4.1 billion Yuan. It owns 1,123 ha. and million m2 of operation facilities and warehouse. scale advantage In 2015, the total sale value was billion Yuan with the profit reaching 185 million Yuan, the annual profit increase rate being over 18%. brand advantage Deeply rooted in rural areas for a long time, has a strong foundation for agricultural service, enjoys a good reputation and wins trust from farmers.
13 IMPLEMENTATION - CHINA COOPERATIVE SYSTEM Land Trusteeship China Cooperative System has managed million acres land in trust, built 4,294 agricultural service centers covering 28 provinces (cities or autonomous regions). Service content has updated from a single link to serial services including agricultural materials supply, formula fertilization, agricultural machinery and purchase and storage processing. Service models have evolved to the integrated development of the first, second and third industries from trust-based cultivation, planting and management. Construction of Agricultural Internet of Things Complete the construction of 5 systems, including the quality tracking platform of agricultural materials, operating management system for agricultural enterprises, remote monitoring system for stores, the intelligent control system over the delivery of agricultural means of production and the diagnosis system of diseases and pests. Complete the industrial part and data center of Internet of Agricultural Means of Production. We realized that the agricultural products can be recognized, the status can be recorded, information can be checked and status can be tracked. E-commerce of Agricultural Products The total sales amount of the e-commerce of Supply and Marketing Cooperatives reach billon RMB, a year-on-year growth of 60.4%, accounting for over 15% made by the whole system. The China Cooperative system has updated the 70,000 basic operating service networks to village e-commerce service stations, which facilitates the effective connection between the off-line resources and the on-line internet.
14 AGRICULTURAL E-COMMERCE MARKET POTENTIAL Sales of Agricultural Products on Ali Platforms during (Unit: RMB100 million yuan) ~ $10.2 billion e-commerce sales in 年 2011 年 2012 年 2013 年 2014 年 2015 年 Jujube Raisin Walnut Cordyceps sinensis Beef Beef products Flowers; Dried bean curds A map of special agricultural products on taobao.com Apple Lilium brownii Wolfberry Cordyceps sinensis Beef products Herbal tea Kiwi Pu'er tea Pseudo-ginseng Dendrobium Wolfberry Raw mutton Jujube Walnut Raisin Beef products Cheese Jujube Millet Jujube; Chinese yam Duck meat Jujube Orange Areca Camellia Fish oil Duck meat Mango; Chili; Passion fruit; Cubilose Green tea; Health-enhancing Mango; Beef herbal tea Dried coconut; Herbal tea Pollen Rice Pork products Black fungus Ginseng; Black fungus; Pilose antler Hairy crab; Green plants; Pork products Pu'er tea; Cubilose; Oolong Sea cucumber; Squid; Beef products Milk; Flowers; Honey Milk; Rice; Peanut oil Jujube; Chinese chestnut Sea cucumber; Apple; Cherry Macadamia nut; Pine nut; Pecan Steak; Milk; Flowers Pine nut; Macadamia nut; Green tea Oolong; Black tea; Dried longan Overseas: Honey; Propolis; Korean ginseng Oolong; Pu'er tea; Coffee bean
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