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Friday, May 17, 2013

Another Effect Occurred On PRICE - Review and Scenario


Suppose that Price has always been and will be the main consideration in business, commodities in specific substance. As in Indonesia, increasing price of fuel will be a definite agenda of government. Indeed the pros and contras will be stimulated as normal response. The perspective is varied on whom, how and what to expect on this policy. As for government, long term purpose is their main consideration of the policy decision.



Several scenarios have been predicted of following different percentage and calculation. Increasing price of fuel will be affecting on inflation rate, saving almost significant percentage of government budget. Analysts predict 20 billion rupiah will be saved on this occurrence which expected to be spent on other planned development in long term perspective.



However, despite the determined purpose by government further to taking a smaller picture of this, industry and individual consumption will be affected. Transportation cost of distribution will be increased, price will be increased, lead to decreasing consumption, normal scenario indeed lead by short term effect. Other scenario, long term effect, industry will arrange the budgeting as adjusted new cost while government will be ready for facilitate other development, lead to decreasing possible cost, long term cost.


Historical record and view, pointed industry that will be affected the most is automotive industry. Yet, commodity on the other hand will be fluctuated in current and future, within or after the increasing fuel price. As reviewed by Farm Press, for Soybean Oil as Universal Trading main product, the price is predicted to increase as the increasing of biodiesel use. With energy markets now competing with the food sector for vegetable oil, soybean prices and energy prices have statistically linked, creating a floor price for soy oil.

Take another point of consumption in Indonesia, the upcoming Ramadhan month and Eid could be considered as reverse effect. Average increasing consumption at 42%, the increasing fuel may be balanced  by the consumption rate. One month to go to the destined expectation.


The prediction would be derived from your historical calculation of your supplying rate. Therefore, your company and many other companies on the industry will definitely take part on this effect and create the graphic resulted on macro economy for third quarter.

Again, your consideration, our assistance.

Source : 

Friday, April 5, 2013

URGENT CONDITION - Tomato Paste


Following our earlier info about Crop 2012, 

Herewith would like share the current condition of tomato pasta



CB 36/38
Price stable in March-April’13. Fatories still have some stocks,  the price won't change too greatly till end of May. Some factories still keep their goods to wait for higher selling price in the future.
When the stock is limited after May, the price will be higher.

HB or CB 28/30
The condition is very serious.
Because in 2012 few factories produced 28-30%, some factories have sold out their stock now.Nowadays stock is very limited, difficult to find high lycopene.
Even there are some stocks, the price will increase very high.
It is estimated after mid of May, most factories sold our their stocks.

Crop 2013
As usual, it will begin from Aug- Sep. 2013.
The farmers planted more tomatoes than crop 2012, but still not big quantities like crop 2010 and 2011 because many small-middle sized factories still do not operate.  The price for crop 2013 will be almost as same as crop 2012, and the stock will be more than crop 2012. 
The tomato seeds have been planted.Now in Xinjiang and Inner Mongolia, there are low temperature.Although it is spring, still lower than past year. 
The clear condition of tomato pasta can be seen clearly after July, 2013. 
It is estimated more 28-30% tomato pasta will be produced in crop 2013, especially in Inner Mongolia. 

Tomato pasta condition
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
HB 28/30 empty stock









CB 36/38 empty stock









Production









Normal condition & ready











Any further consideration and discussion, 
We'll be able to assist at:
- IMPORT & INTERNATIONAL TRADE DIVISION - 
venty@universaltrading-int.com
priya@universaltrading-int.com


Welcoming Your Meeting Confirmation, FHI 2013, Jakarta


Friday, February 15, 2013

MILKFISH, Acknowledge More for More Opportunities




As of this week sharing, we’d like to share one of Universal Trading Export Product, Milkfish.
We believe that you may already acknowledged about one of the potential products which demanded in world market, however, on this sharing news, we may take several perspective for simple sharing on this week.
General product knowledge has been posted previously in our blog, further on today’s post, we would like to enrich you more on the broaden knowledge, yet significant knowledge taken and summarized from several articles that we consider as good sources.

Below are the supreme info for your consideration in investing milkfish: 
1.    Nutrition content of Milkfish

2.    Main demand  of Milkfish derived as:
-          Food consumption >> merely consumed by industry directly after the manufacturer for end buyer around the world
-          Fishing bait (Tuna and Skipjack) >> proven as the effective bait (Live and frozen)
3.    Main producer derived as two main player, besides other player such as Taiwan and Hawai.
-          Indonesia
-          Philippine


 3. Spawning  time is described as below (J for January until D for December)

May this information would be useful for you, either as a new producer or consumer.

Thursday, February 7, 2013

Greetings

Wishing you always, a New Year filled with Good Fortune, Success, Peace and Happyness, 
Happy Chinese New Year of 2013

Wednesday, January 16, 2013

PRODUCE and BUY MORE, instead. WHY???

Greetings  from Surabaya, Indonesia!!

As for today's sharing, we would like to post about the Soybean Trade by China and Russia.



In this sharing, the only purpose of our sharing is we'd like to broaden our own knowledge, as we notice that you may already noticed that China is the largest importer of soybean, including in form of meal and oil. So is Russia.

In concern of big trading on this commodity, demand from China as well as Russia is considered significant. As of recent news, China order cancellation is effecting on market price. One republic and the effect is one world market. 

Taking deeper consideration on this issue, we have search some news source on WHY, and HOW these nations could give such significant effect both to their own domestic economy and world economy in certain.

China is recorded as the largest producer as well as consumer of soybean meals.
It was ever recorded that 14 million of production is equally calculated with the 14 million consumption. And nearly  60 percent of all soybeans entering international trade today go to China. Then where all these commodity is consumed domestically?

Taking back on the background on the history, it was The soybean domesticated some 3,000 years ago by farmers in eastern China. But it wasn’t until well after World War II that the crop gained agricultural prominence, enabling it to join wheat, rice, and corn as one of the world’s four leading crops. This rise in the demand for soybeans reflected the discovery by animal nutritionists that combining 1 part soybean meal with 4 parts grain, usually corn, in feed rations would sharply boost the efficiency with which livestock and poultry converted grain into animal protein. 



As China’s appetite for meat, milk, and eggs has soared, so too has its use of soybean meal. And since nearly half the world’s pigs are in China, the lion’s share of soy use is in pig feed. Its fast-growing poultry industry is also dependent on soybean meal. In addition, China now uses large quantities of soy in feed for farmed fish.

Therefore, the only factor that will influence the quantity of China's soybean consumption is the consumption of poultry products, which even so, it'd be leading to culture.

What about Russia then?

There is similarity on the cause and effect of the production and consumption in China and Russia. The difference is only the core factor. In China, it is part of their culture in consuming poultry products, while in Russia, it is one of the government stage to increasing demand on poultry products. 

These two countries are only depicting the big consumption in the world, while the other countries are now getting dependent as well on the soybean products. The next questions are, how the market suplier could fulfill the demand on remain field and not increasing?? Effecting the price? Effecting the culture? Effecting the consumption behavior??


On the next sharing, we may take the this as an topic :)

Have a nice day!!