Group 1 - A research team from the Northeast Institute of Geography and Agroecology of the Chinese Academy of Sciences and the Yazhou Bay National Laboratory has discovered a regulatory gene for "embryo-less" rice, which is expected to enhance the quality and storage capacity of rice [1] - The key regulatory gene OsBZR4 was cloned and its mechanism of action was elucidated, showing that mutations in this gene can produce 60% to 100% embryo-less seeds across different cultivated varieties [1] - The application of transgenic technology is crucial for food security, addressing climate crises, and achieving green agricultural transformation, with a projected 60% increase in global food demand by 2050 due to a population rise to 9.8 billion [1] Group 2 - The Central Document No. 1 emphasizes the industrialization of biological breeding, with policies such as financial subsidies, tax incentives, and market access facilitation to accelerate technology implementation [2] - Future efforts should focus on technological innovation (gene editing, composite traits), policy support (industrial promotion), and public trust (transparent regulation and science popularization) to transition China from a "seed power" to a "strong seed industry" [2] Group 3 - Companies such as Shennong Seed Industry and Beidahuang are mentioned in relation to the advancements in the seed industry [3]

Investment Rating - The industry rating is "Outperform the Market" (maintained rating) [8] Core Insights - The report highlights the low prices of piglets and the high average weight of market pigs, indicating a significant expectation gap in the pig sector [1][2] - The dairy and beef sectors are experiencing a potential new cycle, with a focus on the recovery of milk prices and the initiation of a beef super cycle [3][4] - The pet food sector is witnessing the rise of domestic brands and a positive trend in exports, reflecting the growth of the pet economy [5][6] - The poultry sector is facing challenges with breeding imports and demand recovery, particularly in the white and egg-laying chicken segments [7][8] - The planting sector emphasizes food security and the importance of biological breeding strategies [9][10] - The feed sector is recommended for investment due to market share growth and consistent performance of leading companies like Haida Group [11][12] Summary by Sections Pig Sector - As of August 2, the average price of pigs is 14.35 CNY/kg, down 3.1% from the previous week, with a profit of approximately 141 CNY per head for self-breeding [1][12] - The price of piglets has reached a new low for the year, with 7kg piglets priced at 429 CNY/head [1][12] - The report suggests focusing on undervalued companies with strong profitability in the pig sector, such as Muyuan Foods and Wens Foodstuffs [2][13] Beef Sector - The average price of live cattle is 26.49 CNY/kg, with a year-on-year increase of 11.6% [3][14] - The report indicates that the dairy industry is nearing the end of a capacity reduction phase, with significant losses expected to drive a rebound in milk prices [4][15] Pet Sector - Domestic brands in the pet food market are growing rapidly, with notable sales figures reported for cat and dog food [5][16] - Exports of pet food have increased, with a total of 16.79 million tons exported in the first half of 2025, reflecting a year-on-year growth of 5.7% [5][16] Poultry Sector - The report emphasizes the importance of breeding imports and the potential for price increases in yellow chickens due to recovering demand [6][7] - The average price of egg-laying chickens is expected to remain high due to import restrictions [7][21] Planting Sector - The focus is on achieving food security through improved agricultural practices and the promotion of biotechnology [9][23] - Key recommendations include investing in leading seed companies and agricultural resource firms [9][23] Feed Sector - Haida Group is highlighted as a key investment opportunity due to its increasing market share and strong performance [11][24] - The report notes a significant recovery in the aquaculture and feed sectors after a prolonged downturn [11][24]

Core Insights - Shenzhen is emerging as a leader in agricultural biotechnology, particularly in crop breeding, driven by a combination of scientific research and corporate innovation [1][8] - The city has developed a comprehensive breeding ecosystem that integrates foundational research, field applications, and industrialization [3][8] Group 1: Breakthroughs in Rice Breeding - The Shenzhen Agricultural Genome Research Institute's team led by Shang Lianguang has created the world's first super pan-genome map of rice, which includes 251 rice germplasm, enabling precise selection of superior genes for molecular design breeding [2][8] - The team has identified the salt-tolerant gene STG5, allowing the cultivation of salt-tolerant rice in saline soils with a salinity of 10‰, potentially transforming 30 million acres of coastal saline land into arable land [2][3] Group 2: Innovations in Weed Resistance - Tang Xiaoyan's team has developed "Clean Field Rice," which exhibits 10-15 times the herbicide resistance compared to traditional varieties, significantly reducing weed presence with just one herbicide application [3][8] - The "Wide Three-Line" hybrid breeding technology developed by Tang's team accelerates the breeding cycle from 5-10 years to just 3 years, enhancing the efficiency of hybrid rice production [3][8] Group 3: Smart Breeding Technologies - BGI's CropGS-Hub system allows for precise gene-trait associations, enabling even non-experts to identify target gene combinations for breeding [4][8] - The collaboration between BGI and Yunnan University has led to the development of "Perennial Rice 23," which can be harvested for three years after a single planting, significantly reducing farming costs [4][8] Group 4: Potato Breeding Revolution - Zhang Chunzh's team has introduced a new potato seed that is one-sixth the size of traditional seeds, addressing high transportation and planting costs associated with conventional potato cultivation [5][8] - The new potato varieties have a weight of 100-200 grams and possess superior quality, although current yields are only 60-80% of traditional varieties [5][8] Group 5: Advanced Gene Editing - Zhu Jiankang's team has developed a new CRISPR-Cas enzyme that overcomes international patent barriers, facilitating the application of gene editing technologies in China [6][8] - The high oleic acid soybean developed by Zhu's team has an oil content exceeding 80%, surpassing that of olive oil, and has received China's first agricultural gene editing safety certificate [6][8] Group 6: Supportive Ecosystem - Shenzhen's agricultural biotechnology sector benefits from strong policy support and a collaborative ecosystem involving government, enterprises, and research institutions [8][9] - The city has attracted top talent and established key research centers, such as the National Super Hybrid Rice Engineering Technology Research Center, enhancing its research capabilities [8][9]

Core Insights - Shenzhen is emerging as a leader in agricultural biotechnology, particularly in crop breeding, driven by a combination of scientific research and corporate innovation [1][8] - The city has developed a comprehensive breeding ecosystem that integrates foundational research, field applications, and industrialization, addressing practical agricultural challenges [3][8] Group 1: Breakthroughs in Rice Breeding - The Shenzhen Agricultural Genome Research Institute's team led by Shang Lianguang has created the world's first super pan-genome map of rice, encompassing 251 rice germplasm, which allows for precise selection of superior genes [2][8] - The team has identified the salt-tolerant gene STG5, enabling the cultivation of salt-resistant rice in saline soils, potentially transforming 30 million acres of coastal saline land into arable land [2][3] Group 2: Innovations in Weed Resistance - Tang Xiaoyan's team developed "Jietian Rice," which exhibits 10-15 times greater resistance to herbicides compared to traditional varieties, significantly reducing weed presence with just one herbicide application [3][8] - The introduction of the "Wide Three-Line" hybrid breeding technology has reduced the breeding cycle from 5-10 years to just 3 years, accelerating the development of high-quality hybrid rice [3][8] Group 3: Smart Breeding Technologies - BGI's CropGS-Hub system allows for precise gene-trait associations, enabling even non-experts to identify target gene combinations for breeding [4][8] - The "Perennial Rice 23" variety, developed in collaboration with Yunnan University, allows for three harvests from a single planting, significantly lowering cultivation costs [4][8] Group 4: Potato Breeding Revolution - Zhang Chunzh's team has developed a new potato seed that is one-sixth the size of traditional seeds, addressing high transportation and planting costs associated with conventional potato cultivation [5][8] - The new potato varieties have improved quality and nutritional content, although current yields are at 60-80% of traditional varieties [5][8] Group 5: Advancements in Gene Editing - Zhu Jiankang's team has developed a new CRISPR-Cas enzyme that enhances gene editing capabilities in China, facilitating the production of high oleic acid soybeans with oil content exceeding 80% [6][7] - The team's research has led to significant improvements in the health attributes of various crops, including increased GABA in tomatoes and resistant starch in rice and wheat [6][7] Group 6: Supportive Ecosystem for Biotechnology - Shenzhen's early adoption of biotechnology and strong policy support have attracted top talent and established a robust research environment, leading to significant advancements in agricultural biotechnology [8][9] - The combination of government funding and market-driven approaches has enabled research teams to align their innovations with national agricultural needs and industry challenges [9]

Group 1 - Wang Wentao met with the delegation from the US-China Business Council to discuss Sino-US economic relations and the development of US companies in China, emphasizing the need for mutual efforts to maintain a stable and sustainable economic relationship [1] - Contemporary Amperex Technology Co., Ltd. (CATL) reported a net profit of 30.5 billion yuan for the first half of 2025, a year-on-year increase of 33.02%, with revenue reaching 178.9 billion yuan, up 7.27% year-on-year [1] - The stock of Upwind New Materials will be suspended for trading due to multiple instances of abnormal trading fluctuations, with the company stating that its fundamentals have not changed significantly [1] Group 2 - The US core PCE price index for the second quarter increased by 2.5%, exceeding expectations of 2.3%, while actual personal consumption expenditures rose by 1.4% [2] - The Federal Reserve maintained the federal funds rate in the range of 4.25%-4.5%, marking the fifth consecutive decision to keep rates unchanged, with Chairman Powell indicating no decisions have been made regarding potential policy adjustments in September [2][3] Group 3 - The first intercity long-haul drone logistics route in the Greater Bay Area was launched, successfully demonstrating the feasibility of long-distance logistics operations [7] - The "Fengdeng Gene Scientist" AI system was released, marking a significant advancement in China's smart breeding technology, filling a technological gap in autonomous scientific discovery systems in the field of biological breeding [7] Group 4 - Longyang Power plans to invest approximately 26.6 billion yuan in the construction of the Gezhouba shipping capacity expansion project [9] - NIO and other Chinese concept stocks experienced declines, with NIO and New Oriental dropping over 4% [3]

Core Viewpoint - The company, Qiule Agricultural Technology, reported a significant decline in corn revenue for 2024, leading to a notable drop in operating income, net profit attributable to shareholders, and gross margin, which the company deemed reasonable given market conditions [1][2]. Group 1: Financial Performance - In 2024, the company achieved operating income of 391 million yuan, a year-on-year decrease of 26.77% [2]. - The net profit attributable to shareholders was 50.44 million yuan, down 36.49% year-on-year [2]. - The net profit after deducting non-recurring gains and losses was 2.02 million yuan, a decline of 71.84% compared to the previous year [2]. - The gross margin was 27.86%, a decrease of 4.23 percentage points year-on-year [2]. Group 2: Revenue Breakdown - The company's corn seed revenue decreased by 42.05% year-on-year due to oversupply and low grain prices, resulting in lower sales volume and price, as well as increased return rates [2]. - Conversely, wheat seed revenue increased by 5.52% year-on-year, attributed to the competitiveness of new wheat seed varieties launched in 2024 [2]. Group 3: Industry Comparison - The company noted that the decline in net profit and net profit after deducting non-recurring gains and losses was consistent with trends observed in peer companies within the industry [3]. Group 4: Investment Projects - The company has temporarily suspended the construction of the "Biological Breeding R&D Capacity Enhancement Project" [1][4]. - As of the end of 2024, the cumulative investment in the "Biological Breeding R&D Capacity Enhancement Project" and the "Seed Processing Center Renovation Project" was 11.15 million yuan and 14.67 million yuan, respectively, with progress rates of 8.84% and 35.35% [3]. - The "Seed Processing Center Renovation Project" is progressing as planned, with no current risks of delays [4]. Group 5: Additional Information - The company primarily engages in the research, breeding, processing, promotion, sales, and technical services of seeds for corn, wheat, and oilseeds [5].

Investment Rating - The report maintains an investment rating of "Outperform" for the agricultural, forestry, animal husbandry, and fishery industry [1][9]. Core Insights - The agricultural, forestry, animal husbandry, and fishery industry is currently experiencing weak market demand and low prices for livestock and poultry, particularly in the pig farming sector, which has seen a significant price drop [9][12]. - The report highlights that the industry is currently undervalued, with price-to-earnings (P/E) and price-to-book (P/B) ratios below historical averages, suggesting potential for valuation recovery [9][12]. Summary by Sections Market Review - In June 2025, the agricultural, forestry, animal husbandry, and fishery index rose by 1.13%, underperforming the CSI 300 index, which increased by 2.50%, resulting in a relative underperformance of 1.37 percentage points [9][12]. - The planting sector showed the highest gains, while the animal health processing sector experienced the largest declines [12]. Livestock Farming Data Tracking - **Pig Farming**: The average trading price for pigs in June 2025 was 14.28 yuan/kg, down 2.16% month-on-month and 21.81% year-on-year. The market shifted to a surplus situation, leading to price declines [9][17]. - **Broiler Chickens**: The average price for broiler chicks in June 2025 was 2.15 yuan/chick, reflecting a slight decrease. The cautious replenishment of chicks due to declining prices further pressured the market [9][27]. Pet Food Sector - In May 2025, pet food exports totaled 28,900 tons, a year-on-year decrease of 5.52%. The cumulative export value for the first five months was $581 million, up 4.59% year-on-year [9][34]. Major Agricultural Product Price Tracking - The report includes tracking of key agricultural product prices, indicating fluctuations in corn, wheat, and soybean meal prices during June 2025 [9][39]. Industry Dynamics and Company News - The report outlines significant events in the industry, including a decrease in grain imports and ongoing developments in the seed industry aimed at enhancing agricultural productivity [9][46]. - Key announcements from listed companies in the sector include various asset restructuring and financing activities [9][48].

Investment Rating - Industry Rating: Outperform the market (maintained rating) [12] Core Views - The report emphasizes the importance of the pig sector, noting a slowdown in the growth rate of breeding sows in June, and highlights the expectation gap in the pig market [1][2] - The pet sector is witnessing a rise in domestic brands and a positive trend in pet food exports, indicating a robust growth potential [3][4] - The poultry sector is focusing on the breeding gap for white chickens and the marginal improvement in demand for yellow chickens, with investment recommendations based on supply and demand dynamics [5][6][7] - The planting sector is prioritizing food security and the strategic importance of biological breeding, with recommendations for key seed and agricultural companies [9][10] - The feed sector is recommended for companies with increasing market share and consistent performance, while the animal health sector is advised to focus on new demands and innovative products [24][25] Summary by Sections Pig Sector - As of July 12, the average price of pigs in China is 14.91 CNY/kg, down 2.42% from the previous week, with self-breeding profits around 177 CNY per head [1][16] - The report highlights the low valuation and expectation gap in the pig sector, recommending leading companies such as Muyuan Foods and Wens Foodstuffs [2][16] Pet Sector - In June 2025, pet sales on Douyin reached 964 million CNY, a year-on-year increase of 73.97%, indicating strong growth for domestic brands [3][17] - Pet food exports from China increased by 10.89% year-on-year in the first five months of 2025, reaching 41.75 billion CNY [4][17] Poultry Sector - The report notes a 33.46% year-on-year decline in the breeding stock of grandparent chickens due to import restrictions, with a total of 529,300 sets updated in the first half of 2025 [5][19] - Investment recommendations include focusing on companies like Shengnong Development and Yisheng Livestock [6][20] Planting Sector - The report stresses the need for high yield production to ensure food security, with a focus on integrating advanced agricultural technologies [9][23] - Key recommendations include leading seed companies such as Longping High-Tech and Dabeinong [10][23] Feed and Animal Health Sectors - The feed sector is highlighted for companies like Haida Group, which is expected to benefit from market share growth and performance consistency [24][26] - The animal health sector is advised to focus on new product development and market expansion, particularly in the pet health segment [25][26]

Core Viewpoint - Biobreeding is highlighted as a cutting-edge innovation in the seed industry, offering advantages such as efficiency, precision, and targeted breeding, which can lead to the development of high-yield, high-quality, and disease-resistant crop varieties while reducing pesticide use [1] Group 1: Laboratory and Research Advancements - The Baoji Biobreeding Laboratory is a key agricultural technology innovation base in Northwest China, featuring seven core breeding experimental units that cover the entire research and development chain from germplasm innovation to variety cultivation [3] - The laboratory employs advanced technologies such as artificial lighting and intelligent temperature and humidity control to create a controllable plant growth environment, enabling rapid breeding cycles of 3 to 4 generations per year [3] - Recent efforts include molecular marker-assisted selection and gene function validation, leading to the successful development of new varieties like "Baodou No. 10," which has achieved record soybean yields in Shaanxi Province [5] Group 2: Collaboration and Future Plans - The Baoji Biobreeding Laboratory collaborates with institutions like Northwest A&F University and the Shaanxi Oilseed Center to tackle cutting-edge topics such as microspore breeding and gene editing [7] - Future plans include enhancing the laboratory's construction, promoting the transition from traditional to modern biobreeding, and establishing demonstration bases around leading industries in various counties [7] - The 2024 Shaanxi Province action plan aims to cultivate a billion-level biobreeding innovation cluster, focusing on germplasm cultivation, breeding, and the development of efficient gene editing technologies [7]

Core Viewpoint - The introduction of the upgraded "Wade 188-3" white feather broiler chicken variety aims to cater to Chinese culinary preferences, breaking the previous reliance on imported breeds and enhancing domestic production capabilities [1][2]. Group 1: Product Development - The "Wade 188" variety was developed four years ago, breaking the foreign breed monopoly and has now been iterated to the "3.0 version" to better suit Chinese cooking styles [1]. - The new variety is designed to enhance the production of popular chicken parts such as wings, feet, and gizzards, aligning with local consumer preferences [3]. Group 2: Market Context - White feather broilers account for nearly 50% of China's chicken market, with previous reliance on 100% imported breeds posing a threat to the industry [2]. - The shift in breeding focus from large breast meat to more diverse parts reflects a significant change in response to local culinary demands [3]. Group 3: Breeding Strategy - The breeding process for "Wade 188" took ten years, with the latest iteration "188-3" taking an additional four years, involving extensive experimentation and data collection [3]. - The new variety shows significant improvements in high-value parts: wing mid-section output increased by 12%, feet by 18%, gizzards by 17%, and thighs by 8% compared to similar breeds [3]. Group 4: Future Plans - The company plans to establish a new purebred breeding facility in Beijing during the 14th Five-Year Plan period, aiming to enhance the commercial breeding system for meat chickens [5]. - A modern chicken breeding industrial park will be developed to create a complete supply chain in conjunction with a large-scale chicken meat processing facility in Shandong [5].