Chapter 429: 218 Zhang: Entering a New Dungeon! _2
He then glanced around a few times and lowered his voice:
"Additionally, there’s more news. Based on our verification, the cost of producing a can of cockroach repellent on this production line can be reduced by about 2.3 yuan compared to before!"
A reduction of 2.3 yuan per product.
Upon hearing this news.
Though Xu Yun was prepared for it, his heart still skipped a beat.
This had been mentioned a long, long time ago.
Previously, the cost of producing a bug repellent through Nutrien Company’s FOERDA-T632 production line was around 7.8 yuan.
This was the biggest barrier limiting the profitability of the ’Bug Repellent,’ and it’s also hard to explain this to consumers.
In the production process, this high cost is mainly composed of two parts:
First is the material cost of production, such as various nitroimidazolidines and messaging protein substances, etc.
There is a significant range for reduction in this expenditure because currently Xu Yun and his team have not yet found the cost-optimal ratio chain.
Once the most suitable material ratios are discovered, this portion of the cost could potentially be reduced to a tenth of the original, or even less.
However, just the same.
The ratio of materials requires extensive laboratory research, and this process cannot be completed quickly.
The prospects are promising, but it’s very difficult to achieve minimal costs in a short period.
In addition to material costs, the remaining issue is the loss caused by equipment precision.
The industrial production process for the third-generation Imidacloprid involves four stages, with each stage having a yield of approximately 70%-80%.
Thus, the generation rate of final products from the beginning input of materials in third-generation Imidacloprid is roughly 38%.
The fifth-generation Imidacloprid, due to more complex reactions, has an even lower yield, slightly over 23%.
The core factor affecting material wastage is the precision of the production line.
Currently, the military-grade modules from the Navy exceed Nutrien in precision, and they are used in the most critical cyclization isomerization process.
As a result, after some trial production, the product cost was shaved down by a whole 2 yuan.
Of course.
This is roughly the limit of optimization that can be achieved on the equipment side.
Further cost reduction will have to focus more on the direction of material ratios.
In general,
with the acceptance of this production line, not only was the production capacity problem faced by Xu Yun and his team resolved, but the product profitability also improved.
From here on, the vast sea is wide enough for fish to leap, the vast sky is high enough for birds to fly.
After ensuring the production line could run normally,
Xu Yun signed a cooperation agreement with Lin Zhenhua on-site—more accurately, a strategic cooperation agreement.
Currently, Hanhua Group doesn’t have many strategic partners. There are only four domestic ones, one in Pakistan, and Huadun Biotech becomes the sixth strategic partner for the group.
Both parties agreed in the contract.
Hanhua Group will provide Huadun Biotech with various production equipment long-term, at rates not exceeding a 15% profit margin, including but not limited to the production line for bug repellent.
Even at some high-spec industry expos, Hanhua Group will act as a sponsor to help Huadun Biotech gain entrance.
Correspondingly,
whenever Huadun Biotech’s products need capacity expansion, Hanhua Group should be the preferred supplier of equipment.
Unless Hanhua Group lacks the corresponding technical reserves and cannot break through technical barriers within a certain period, Huadun Biotech cannot change the primary supplier at will.
The effective period for the strategic relationship is...
three years.
Because after three years, Lin Zhenhua will officially step down from the position of group’s chairman.
Although he could sign a long-term agreement with Xu Yun, out of respect for his successor and trust in Xu Yun, he has set this timeframe to three years.
He believes that even with a change in leadership after three years, due to Huadun Biotech’s corporate status at that time, an extension of the strategic partnership will naturally be proposed.
Although, from the current scale of both parties, Huadun Biotech is undoubtedly akin to a poor boy hitting the jackpot by marrying into a rich family.
But there’s a difference even among sons-in-law.
Some might be like He Ji, who was unaware even after being cuckolded by Liu Chuyu thirty times.
While some sons-in-law could be akin to Ning Liheng...
After signing the agreement,
Xu Yun, along with Tang Li, Old Su, and a few assistants, bid farewell to Lin Zhenhua and flew back to Lu Prefecture from Yong City Airport.
As for Donkey Sister, she was sent to Ke Da by a transport team arranged by Hanhua Group.
According to Qiu Sheng,
after the previous video matchmaking,
Brother Lv seemingly sensed something and started working as if he had received a reward for extra updates from the Alliance Leader, working diligently.
After all, in a certain sense,
Brother Lv had transcended nearly a thousand years as a single dog... single donkey.
The next morning, they returned to Yong City, and parted ways outside Ke Da.
Xu Yun took Old Su back home to start preparing for travel arrangements.
Of course,
since the time in the dungeon is independent of the outside world, Xu Yun didn’t tell Old Su that he would be traversing again.
Otherwise, explaining it would be quite troublesome and would take more effort.
Following this, Xu Yun returned to his little room and found a set of black windbreaker, a pair of durable sweatpants, and a straw hat bought online.
The shoes were still Anta, the old standby.
The 16th century refers to after the year 1500 AD, when glass products were already available, so Xu Yun prepared a pair of standard glasses and a pair of contact lenses for this aspect.