Reborn as the richest man in India.

Chapter 358

Labu was silent for a moment. Indeed, they would definitely not be able to pay such a large amount of liquidated damages.

Palm oil import?
That's impossible.

Breaking the contract and then not paying liquidated damages is the only way to go.

"If a company from Malay comes to us, just argue with them. If they want to sue or something, let them sue. Anyway, we are just delaying," said Kehas.

"Such an approach will bring our reputation into disrepute. How will we borrow money then?" Deliha asked with a worried look.

It may be pleasant to default on a debt, but the price is extremely high.

If you borrow money from others or apply for a loan from a bank in the future, you will probably not be able to get it.

Who dares to lend money to a deadbeat?
"Can we manage so much now?" Kejas glanced at him and said, "Of course, we can't openly say that we are repudiating the debt. In short, we just say that the capital turnover is tight and ask them to give them some grace. We will send people to negotiate with them. , we can talk about it day by day. Besides, breach of contract is also for palm oil. We are currently mainly in the domestic traditional edible oil market, and it is impossible to touch palm oil for a long time in the future. So the reputation in Malaysia No matter what, leave him alone. Here in China, if we really want a loan, can we still not get one?"

Rab thought about what Kehas said made sense. He just tried his best to argue with the Malay company and just delayed it.

It's not that I don't want to pay back the money, but I want some grace.

Such a result will naturally damage their reputation in Malay, but so what?
Their markets are basically domestic, and they don’t need to care about the influence of foreign countries.

It's useless even if you care, I can only think of it this way.

As for the country, with the power of several of their families, even if they have such a bad reputation, they can still find ways to resolve it. They can still get money from banks to some extent, but it will be more difficult and the interest may be higher.

For their current situation, defaulting on their debt is obviously the best option.

It’s impossible to really compensate for liquidated damages, right?

"Palm oil is too cheap, how should our traditional cooking oil market respond?" Deliha asked.

"I have thought about it. The palm oil production in Malaysia is limited. They basically have old customers. After export, there is basically not much palm oil left, so the amount of palm oil imported into the country will not be too much. We are completely I can handle it," Raab said.

"Isn't Indonesia also exporting palm oil? It's second only to Malaysia." Khas asked.

"Although Indonesia's export volume ranks second, the gap with Malaysia's export volume is too big. Don't pay too much attention to it. It can be ignored." Rab said, "So I thought, domestic imports would be three to four per month. Ten thousand tons of palm oil should be the limit."

"If it's [-] to [-] tons, it can indeed withstand it," Khas said.

"We can afford it in the short term, but what about the long term?" Deliha asked, "Didn't you say that Jogo's oil palm plantation area in Malay is nearly 12 hectares. If the oil palm output per hectare is 4 tons, After all, that’s nearly 50 tons a year.”

"Most of Qiaogo's plantations are still seedlings, and there are not many in the peak season, so his output will not increase so quickly." Rab said, "I estimate that 2 tons a month is Qiaogo's limit. ”

"What will happen in a few years?" Deliha said. "The palm oil production of Qiaogo will continue to grow. What will we do in a few years? Moreover, due to the impact of palm oil imports, the traditional edible oil market has been occupied. We won a huge share, and this is our loss.”

"Don't worry, we will definitely be able to solve these troubles next," Rab said.

After speaking, he glanced at Kejas. Kejas understood and said to Deliha: "Don't think too much. We can still make money with traditional cooking oil."

Deliha opened his mouth but said nothing more.

He knew that the relationship between the two of them was close, and it was useless no matter how much he said.

Yes, you can still make money now, but the company has a lot of loans, and the interest alone is a lot.

Due to the impact of palm oil, the price of traditional edible oil cannot be raised. Coupled with the reduction in share, the profits obtained are far less than they previously expected.

In the past few years, the interest may still be covered, but in a few years, as the output of palm oil increases, the profits on our side will not be able to cover the loan interest.

Then there is a vicious cycle, in which debts will grow larger and larger, and market share will become smaller and smaller.

Before, they thought that merging with the Sitharaman family would strengthen their strength and control the edible oil market, so they could make money with peace of mind.

The current situation is that companies with a huge market share of traditional edible oils will have the greatest impact, and their future losses will be terrifying.

He didn't want to argue with the two of them, thinking that he and the others would have to discuss it carefully after returning.

If Rab can't come up with an effective countermeasure next, they really have to seriously consider whether they want to stay here.

Deliha left, and Kehas deliberately walked behind, and then he and Rab talked secretly behind closed doors.

"Do you have any way to resolve this crisis?" Khas is still very concerned about this issue.

After all, they have invested a lot of money here.

“We can’t find an effective way at the moment,” Rab sighed. “But given our current position in the traditional edible oil market, it’s okay to stick to it for a year or two. I believe we will be able to find a way during this period.”

Rab's words made Khas frown. What is this?
I reassured myself, but there was nothing I could do.

Will there be a solution in the future?

This is too unreliable.

"Can we lower our costs so that we will have less disadvantages when competing with Qiaogo?" said Kehas.

"No matter how much the cost is reduced, it will never be lower than the price of palm oil." Raab said, "I think asking people to increase their consumption of edible oil is a good way to resolve this crisis." "Increase consumption?"

"Yes, the import volume of palm oil is not too large yet. If the domestic consumption of edible oil increases, if the increase can even exceed the import volume of palm oil, it will not be good for our traditional edible oil. It will have an impact, because after they can’t buy palm oil, they can only buy our cooking oil,” Rab said.

"That's true, but it's unrealistic to increase consumption by such a large amount all at once," Khas said.

"It can be guided slowly. After all, the lives of the people are getting better day by day. The consumption of edible oil is rising every year, and we should try to make this increase as large as possible to offset the impact of palm oil imports. For example, we can Lower the price, make small profits but quick turnover, etc.," Rab said.

Kejas actually agreed with Rab's method in his heart, and finally came up with a more feasible solution. Although there are still various problems, it can still give people a glimmer of hope.

News about Khogo’s palm oil industry in Malaysia quickly spread throughout the country.

Everyone was surprised, especially those invested in the palm oil market.

This makes them panic.

Because this means that Qiaogo's cost is very low, so low that they simply cannot afford it.

However, after they thought about it carefully, they felt that this market could still be invested.

No matter what, palm oil is still cheaper than traditional cooking oil.

They are not competing for the market with Qiaogo, but with traditional cooking oil.

The price of palm oil here is definitely higher than that in Qiaogo, but it is still cheaper than traditional cooking oil, so there will always be people buying it.

This is how Qiaogo eats meat, they can still have some soup.

Then everyone noticed that the Sitharaman family began to withdraw from the palm oil market.

This kind of thing will definitely not be announced, it is simply too embarrassing.

Since everyone is watching their movements, they can quickly get clues from the movements of the Sitharaman family.

Everyone understands that the palm oil market has changed.

To be honest, when Qiaogo entered the palm oil market, most people were still not optimistic about it.

After all, the edible oil market belongs to the Sitharaman family.

Even the new market for palm oil is no exception.

Many people even think that Qiao Ge may just try it in the short term and withdraw if it doesn't work.

Some people may think that the competition between the Jogo and Sitharaman families should be long-term, and the result will not be determined in a few years.

But who could have imagined that it would end so soon.

Jena looked at the report in the newspaper and sat blankly on the chair, without moving for a long time.

He remembered that he once suggested to Jogo to invest in the palm oil industry. Not long ago, he felt that Jogo failed to invest in palm oil and missed a good opportunity to subvert the Sitharaman family.

Who would have thought that Jogo had already invested in the palm oil industry in Malaysia a long time ago.

"Isn't it possible? He can't be planning it just to target the Sitharaman family, right?" Genna was also a little confused.

When Jogo did this, it was too early.

But Qiao Ge's huge investment does not look like a normal investment, it is obviously targeted.

Jena took a long breath. No matter what Qiaogo thought at the time, Qiaogo had the advantage after all.

In the palm oil market, the Sitharaman family has no power to fight back.

Next, can the traditional edible oil market be maintained?
Jena didn't think they could resist for much longer.

My boss is really awesome.

Jena was still a little unconvinced before, but now he really understands the gap.

"That bastard Manti deserves it." Jena had already heard about Manti.

That guy also offended Rab, and his end was probably not much better than before.

"Sitharaman family, I will make you regret it." Genna's eyes were full of evil spirits.

Qiao Ge has created such a huge advantage for himself. If he can't grasp it, Jena feels that he might as well commit suicide.

Next, newspapers revealed more news one after another, such as the Sharma family, the Vasayan family, the Pandit family, etc., also invested in the palm oil industry in Malaysia.

For a time, these families were naturally prosperous.

The Sitharaman family is naturally a counterexample, used to set off.

(End of this chapter)