What kind of crisis is Sudan experiencing in the Middle East?

  On September 13th, local time, the UN Security Council held an open meeting on the situation in Sudan. In his briefing to the Security Council, the UN Secretary-General’s Special Representative for Sudan, Volcker perthes, said, "The armed conflict in Sudan shows no signs of abating, and neither side can win a decisive military victory. Since the outbreak of the conflict, at least 5,000 people have been killed and more than 12,000 injured. This is only a conservative estimate, and the actual number of casualties may be higher … … Sudan faces the risk of division. The conflict that began between the two armed forces is likely to escalate into a full-scale civil war in Sudan. "

  The conflict in Sudan continues to be deadlocked.

  Many forces are involved in the war.

  From April 15th this year, two factions of Sudan’s former military camp — — The exchange of fire between the Sudanese Armed Forces and the Rapid Support Forces in the capital circle, Darfur, Kordofan and other places has continued to this day. On September 15th, the conflict in Sudan has entered its sixth month. The two sides of the conflict still show no signs of stopping fighting, and conflicts in many places continue to be deadlocked. Under the cloud of war, the situation in Sudan is "out of control".

  If you want to ask where the conflict situation attracts the most attention, it is Khartoum State in the capital circle. For more than five months, the two sides of the conflict have launched an attack on important military facilities, bridge crossings and supply routes. The rapid support force is highly mobile, and gradually goes deep into the community to fight street battles. At present, it has occupied the vast majority of sites in Khartoum. The Sudanese armed forces used the advantages of heavy weapons and air strikes to fight back.

  How to fight hand to hand? For example, since the beginning of August, the Sudanese Armed Forces and the Rapid Support Force have been fighting fiercely around the armored headquarters base in the southwest of Khartoum. The base has a large number of tanks, ammunition and military vehicles, but the area is actually small, only 1.57 square kilometers. Today, the two sides still control the east and west sides respectively, and it is difficult to capture them all.

  △ The battle for the armored headquarters base in the southwest of Khartoum continues.

  Throughout Sudan, the Sudanese armed forces still firmly control the northern and eastern regions. In Darfur, the rapid support force formed an alliance with the local Arab tribal militia and controlled most of the area. Around the capital cities of Kordofan, siege and counterattack are also staged alternately.

  There are far more than the above two camps involved in armed conflicts, and violent conflicts among four tribes in Darfur are also expanding. According to the statistics of local medical institutions, at least 260 people have been killed and more than 540 injured in the conflict between Bani Halba and Salamat in Southern Darfur. In the conflict zone, people’s communities were burned, livestock were killed and vehicles were destroyed. The reasons for the outbreak are not only the mutual robbery between tribes due to economic factors, but also the support of different tribes for two opposing armies, which deepened the contradictions between them. In addition, many local forces in Sudan are also divided into groups, either eyeing "neutral" observation or directly joining the battle.

  An important change affecting the war situation in Sudan occurred on August 24. On the same day, Borhan, Commander-in-Chief of the Sudanese Armed Forces, successfully withdrew from the headquarters of the Sudanese Armed Forces in Khartoum, which was besieged by the other side, and then arrived in Port Sudan, the "administrative capital" on the Red Sea by helicopter. On this day, it was also the first time that Borhan appeared in public since the conflict broke out.

  △ On September 13th, local time, Borhan, commander-in-chief of Sudanese Armed Forces, held talks with Turkish President Erdogan.

  Since then, Borhan has made intensive overseas visits from Port Sudan to Egypt, South Sudan, Qatar, Eritrea, Turkey and Uganda, actively seeking extensive support from neighboring countries. It is reported that seeking weapons and financial assistance from these "friendly countries" is of vital importance to the Sudanese armed forces. At present, most of the industrial and military facilities in Khartoum have been destroyed, and it may be a long process for the armed forces to reproduce weapons and ammunition.

  The two sides of the conflict are sharply opposed.

  The dawn of peace has not yet dawned

  There is also a recent trend worthy of attention. The Sudanese armed forces have suddenly stepped up their air strikes and extended their strike network to areas outside the capital circle. Statistics show that in the past two weeks, there have been at least 150 deaths caused by air strikes. For example, on September 10th, the Sudanese Armed Forces attacked a free market in the south of Khartoum, causing at least 40 deaths and more than 60 injuries. The tragic degree made doctors in local hospitals call it "horror and shock".

  This is the largest number of civilian deaths in a single attack since the outbreak of armed conflict in Sudan. The area attacked by air is controlled by the rapid support force and heavily manned. A person familiar with the matter pointed out that the target of the air strikes by the Sudanese Armed Forces is likely to be the market for goods trading by the Rapid Support Force, which is also one of the main economic sources of the Force.

  △ After the air raid on a market in Khartoum, the wounded were treated in a nearby hospital.

  In the face of the protracted armed conflict in Sudan, although both sides of the conflict kept making promises verbally and were open to ceasefire and peace talks, they did not forget to shout at each other frequently. The Sudanese Armed Forces regarded each other as "rioters" and "traitors", while the Rapid Support Force attacked each other as "remnants of the former dynasty" and "old forces" representing the military government. After international mediation, the two sides reached a ceasefire agreement in Saudi Arabia several times, but the agreement has never been effectively implemented.

  On the current situation in Sudan, Borhan once said, "Now is not the time for negotiation. We must invest all our strength to destroy the rebels in the battle. " D ‘Gallo, the leader of the Rapid Support Force, even threatened that "if we want, we can come to Sudan today". The analysis believes that since Sudanese President Bashir was dismissed in 2019, and then the civilian transitional government was overthrown in 2021, the two sides have always been in step. It was not until the military government came to power, involving real power distribution, military merger and economic benefit sharing, that it finally came to nothing. The contradiction between the two armed camps is irreconcilable for a long time, and the dawn of peace in Sudan is still far away.

  Desperate people’s livelihood under the bonfire

  Half of Sudan’s population is in dire need of humanitarian assistance.

  International human rights organizations say that Sudan is no longer walking on the edge of atrocities, but has "fallen into the abyss".

  The bullet left a mark, and the armed conflict triggered a severe humanitarian crisis, which has been strongly concerned by the international community. According to the UN report, there are currently more than 24.7 million people in Sudan who are in urgent need of humanitarian assistance, which is about half of Sudan’s total population. The Sudanese people are experiencing an unimaginable disaster where the war is burning.

  Five months after the conflict broke out, the key war zones between the two sides have been hit hard. It is difficult to find an inch of intact land in the streets of Khartoum, the capital, and the whole city is devastated. The infrastructure in a large number of residential areas is damaged, and power, water and poor communication often occur, and banks and gas stations also stop serving.

  Due to blocked traffic lines and poor logistics, there is a shortage of food in residents’ homes. According to United Nations data, the armed conflict in Sudan triggered a sharp rise in food prices. At present, about 20.3 million people in Sudan are facing food insecurity, and at least 700,000 children are severely malnourished and face the risk of death. The persistent conflict also endangers the planting and production of crops this year, which will further aggravate the food crisis in Sudan.

  △ Within one day, a bullet landed at the door of a resident in Omdurman.

  The normal life of many Sudanese has come to a standstill. Whether it is a government agency or a private enterprise, employees are experiencing "salary cut" for several months, which adds to people’s economic burden.

  Sudan’s domestic medical system has also been hit hard. At the worst, 80% of hospitals in the country can’t operate normally. The hospitals in Khartoum, the capital, and the central and western regions of Darfur are the first to bear the brunt. The shortage of drugs and medical devices has become a universal problem in China, and the dialysis patients who need to go to the hospital every week are particularly worried. For safety reasons, some doctors even turned their home into a clinic. On social networks in Sudan, people exchange ideas and discuss how to give birth to pregnant women at home.

  September is supposed to be the start of school in Sudan, but it is difficult for Sudanese students to return to school in conflict-affected areas. According to the statistics of UNICEF, about 19 million school-age children in Sudan are facing the problem of no schooling. The Sudanese education department has stated that the start of school depends on when the conflict ends.

  △ Sudanese children under conflict

  An economic crisis may have arrived. Since September, the exchange rate of Sudan’s national currency, the Sudanese pound, has depreciated sharply against the US dollar, and the domestic inflationary pressure has risen sharply. The war caused Sudan’s largest refinery to be forced to shut down and the fuel supply chain was seriously damaged. Some mineral resources companies in the Sultanate also said that the conflict has caused the gold production to drop to 2 tons this year, while the total output will reach 18 tons in 2022. Sudan was once the second largest gold exporter in Africa. In July this year, Sudanese economists generally predicted that the economic losses caused by the armed conflict in Sudan had reached 9 billion dollars, equivalent to 100 million dollars a day.

  On September 13th, the latest report released by the International Organization for Migration showed that up to now, the armed conflict in Sudan has caused more than 5.25 million people to be displaced. Among them, more than 4.11 million people from 820,000 families fled in Sudan, most of them fled from Khartoum State, where the fighting was the fiercest, and more than 1.13 million Sudanese refugees fled to Chad, Egypt and South Sudan. It is worth noting that Sudan has been one of the largest refugee receiving countries in Africa before the outbreak of this conflict. When the war broke out, these refugees had to embark on a tortuous and arduous migration road again.

  △ The conflict in Sudan has displaced more than 5.25 million people, and a large number of refugees have taken refuge in refugee camps in neighboring countries.

  At present, there are various predictions about the situation in Sudan, one of which is that if the armed conflict in Sudan continues to escalate, it will not be ruled out that there will be "two governments" in the east and the west at the same time. In the 67 years since Sudan’s independence, it has experienced three civil wars, which lasted for more than 40 years. This time, people can’t help but ask, if a full-scale civil war breaks out again, how long will it last, what will be the impact, and how long will the suffering of the Sudanese people last?

  Producer Mu Muli

  Producer Li Chao

  Reporter Weasion Wei

What is the significance of the IMF raising the weight of RMB SDR?

Source: International Business Daily

  Five years have passed since the RMB joined the Special Drawing Rights (SDR) currency basket of the International Monetary Fund (IMF) on October 1, 2016. According to the IMF’s practice, the weights of various basket currencies need to be re-examined. A few days ago, the IMF announced the updated weight distribution, and the new weight will take effect on August 1. According to the new weight distribution, the order of the five currencies has not changed, namely, US dollar (43.38%), Euro (29.31%), RMB (12.28%), Japanese yen (7.59%) and British pound (7.44%). Among them, the weight of the US dollar and the RMB increased by 1.65 and 1.36 percentage points respectively, while the euro, the Japanese yen and the British pound decreased by 1.62, 0.74 and 0.65 percentage points respectively. So, what does this adjustment mean? Why should the IMF adjust it?

  SDR is an international reserve asset created by IMF under the Bretton Woods fixed exchange rate system after World War II, which is allocated to its member countries. Although the total amount of SDR is limited so far, its role is still very important. As a supplementary reserve, SDR can play the basic payment function of money between IMF members and IMF designated holders. Since SDR cannot be held by private enterprises or individuals, only 15 organizations are designated holders at present. Up to now, with the approval of 85% members of the IMF Board of Directors, the IMF has allocated SDR to all parties in a common way five times according to the share of member countries, namely, 1970-72 (9.3 billion), 1979-81 (12.1 billion), 2009 (161.2 billion) and 2021 (456.5 billion). In 2009, members who joined after 1981, which exceeded one fifth of the IMF members, never received SDR, and a special allocation of 21.5 billion SDR was made in response to the impact of the global financial crisis. The allocation in 2021 is the IMF’s action to support countries with insufficient liquidity to tide over difficulties and enhance the resilience of economic development under the epidemic of COVID-19. It can be seen that, similar to the currencies issued by various countries, SDR also undertakes the function of international reserves, but its total scale and growth rate are much smaller than those of most currencies. Up to now, all SDR allocated by the IMF is only about 878.4 billion US dollars if calculated according to the exchange rate on May 13, 2022.Even considering the interest required to use SDR, the global SDR is still limited, which should not exceed the GDP of the Netherlands in 2021. In addition, the interest rate of SDR (SDRi) is also an important reference index. According to the weighted average of the representative interest rates of short-term government debt instruments in the money market of SDR basket currency, it is a measure of the cost of capital use for the IMF to provide non-preferential SDR loans to its members. The five representative interest rates are the market interest rate of 3-month US dollar bonds, the spot interest rate of 3-month euro zone member governments rated AA or above issued by the European Central Bank, the market interest rate of 3-month Japanese discounted bonds, the market interest rate of 3-month British bonds and the benchmark interest rate of 3-month China treasury bonds.

  From the initial fixed exchange rate with gold to the present, the method of determining SDR value has been developing continuously. In 1980, the SDR basket contained 16 currencies. At that time, the idea was that the more kinds of currencies in the basket, the more it could reflect the global transactions; The less the number, the lower the possibility of currency composition and ranking changes, the easier it is to form a stable structure, and the more it can reduce the cost and complexity of using SDR. In 2011, the IMF changed its view that with the change of SDR, the cost consideration of using SDR should be more important, so it chose to use fewer types of currencies. In 2016, the IMF added RMB to the basket, which not only recognized the RMB as a freely usable currency, but also reduced the stability risk of the currency basket. The global export share of Japan and Britain is close, and the change of ranking has limited impact on international trade. Adding RMB to the basket will make SDR’s basket currency account for a larger proportion in international trade, while the administrative cost of adding another currency is limited and affordable. SDR has worked well for five years. Then, what is the basis for adjusting the weight of basket currencies in this review?

  Since SDR basket appeared, it is an important issue to determine its weight. In 1978, the calculation method of basket currency weight was determined to examine the exports of currency issuing countries in the first five years, and add up the amounts of various currencies held by other countries’ reserves to get the weights of each item. Since 1985, the IMF has considered the development of the private financial sector based on many factors such as international finance, exports and reserves. Moreover, after the euro joined the currency basket, the relative proportions of trade and financial variables have changed a lot. Exports are measured according to the total amount, while the flow of financial accounts is measured according to the net value. Before the outbreak of the global financial crisis, the scales of the two indicators were roughly the same, but the transaction scale of the foreign exchange market changed significantly faster than that of trade, which made it possible that the real trade demand was concealed by the financial indicators in the calculation of the currency basket weight according to the original method and could not meet the original goal of SDR. To this end, the IMF chooses to give equal weight to exports and financial variables (foreign exchange reserves) to measure the global use of various basket currencies.

  In 2016, China exported 2.10 trillion US dollars and the United States exported 1.45 trillion US dollars; In 2021, China exported 3.36 trillion US dollars, and the United States exported 1.75 trillion US dollars. If only this ratio is calculated, the export ratio between China and the United States will be 1.92 in 2021 and 1.45 in 2016, and the weight of RMB in SDR basket should increase more than that of US dollar. But in fact, although the weight of RMB increased by 1.36 percentage points, the growth rate was 0.29 percentage points lower than that of the US dollar, indicating that the proportion of RMB in the reserve currency of IMF members has declined compared with that of the US dollar in the past five years. On the comprehensive consideration of trade and reserves, it seems that the financial attribute of RMB needs to be further strengthened.

  Although different from the more accurate data that can be provided by the customs in trade statistics, the foreign exchange reserves of each member are based on the data provided by the IMF’s official foreign exchange reserve currency composition (COFER) survey, and there may be some deviations, the weaknesses of RMB can still be found from it. Although China’s export performance is outstanding, and its share in the global market continues to increase, its attractiveness and influence at the financial level are quite insufficient, and its trade advantage has not been transformed into financial advantage. In the past five years, SDR has included RMB in the currency basket, which has not produced the expected effect of increasing RMB in foreign exchange reserves. The confidence of foreign governments in the value of RMB may still be insufficient because of the underdeveloped market of related products and doubts about the opening up of foreign exchange management. In order to continue to increase the weight of the RMB in the next review before the end of July 2027, I am afraid that more efforts should be made at the financial level.

  The writer is a researcher at the Research Institute of the Ministry of Commerce.

Reporting/feedback

[First-line report on epidemic prevention] It is not enough to speak twice a day, so I will speak 200 times!

  CCTV News:Every day at 8: 00, bring the latest first-line report on anti-epidemic. Everything you care about is here.

  Focus on

  The State Council executive meeting:

  (1) to cancel the unreasonable return to work for approval;

  ② It is necessary to increase tax reduction and fee reduction, and reduce the airport service charges managed by some governments;

  (3) to encourage insurance companies to appropriately reduce the operating vehicles, ships, aircraft insurance fees stopped during the epidemic, and encourage all localities to take measures such as phased reduction of "money" to help taxi drivers tide over the difficulties.

  Ministry dynamics

  Ministry of Industry and Information Technology: Basic telecommunications enterprises are encouraged to focus on offering special traffic packages and other precise assistance measures for students from poor families who have established a card, so as to reduce the pressure on students with difficulties to use the Internet.

  Ministry of Finance: It can ensure that pensions for retired employees in Hubei are paid in full and on time.

  Ministry of Finance: From February, all enterprises in Hubei will be exempted from three social insurance premiums for up to five months.

  National Forestry and Grassland Administration: The population of endangered wild animals and plants in China has generally increased steadily.

  Emergency Management Department: Since the epidemic, 3,754 people in distress have been rescued and 380 million yuan of property has been saved.

  Ministry of Human Resources and Social Security: Accelerate the implementation of the unemployment insurance policy to help enterprises stabilize their posts, and strive to put the inclusive and stable post return in place before the end of March, and fully roll out the stable post return work for difficult enterprises before the end of April.

  Ministry of Justice: A green channel for legal services should be opened for epidemic prevention and control and resumption of work.

  The latest everywhere

  Beijing: Foreigners returning to Beijing need to register and report their health status when they enter the community.

  Sichuan: Online educational resources used by local schools are not allowed to charge students any fees.

  Cases in half cities in Guangxi were cleared, and A-level tourist attractions were opened in an orderly manner.

  Focus on Hubei

  Hubei Health and Health Commission: Zhong Nanshan, Li Lanjuan, Wang Chen, Huang Luqi, Yuan Guoyong, Zhang Boli, Chen Wei, Qiao Jie, Tong Xiaolin and other 10 famous academicians and their teams went to Hubei Province successively. More than 330 medical teams and over 40,000 medical workers came from all over the country to support Hubei.

  The cure rate of patients in COVID-19, Hubei Province increased from 7.14% on February 12th to 53.81% on March 2nd.

  According to the actual situation of epidemic prevention and control, Hubei will gradually reduce the number of designated hospitals in COVID-19, shut down the shelter hospitals in an orderly manner, and gradually restore the normal medical order in batches and step by step.

  Wuhan: All frozen pork reserved by the government is put on the market.

  Seven hotlines were opened in Huanggang, Hubei Province for psychological treatment of epidemic situation.

  Foreign correlation

  The Federal Reserve announced a 50 basis point interest rate cut, and the interest rate of the Federal Reserve Fund dropped from 1.5%-1.75% to 1%-1.25%.

  International Olympic Committee: It will fully support the Tokyo Olympic Games to be held from July 24th to August 9th this year.

  For the first time, Britain issued epidemic prevention measures and warned that as many as one-fifth of the workforce in Britain may stop working due to illness at the peak of the epidemic.

  UAE Ministry of Education: Starting from March 8th, all schools and higher education institutions in the UAE will be closed for four weeks and enter the spring break ahead of schedule.

  The first case of COVID-19 was confirmed in Ukraine.

  Chile confirmed the first case of COVID-19 infection.

  Argentine confirmed the first case of COVID-19.

  Four cases of COVID-19 have been confirmed in Belarus.

  The second case of novel coronavirus infection was confirmed in Ireland.

  The cumulative number of cases of COVID-19 infection in Canada has reached 30.

  The number of confirmed cases in COVID-19 rose to 2,502, with 79 deaths.

  As of 22: 00 local time on March 3rd, 995 cases of COVID-19 have been confirmed, and 12 people have died of COVID-19.

  As of 10: 00 am local time on March 3rd, 188 cases of pneumonia infection in Covid-19 were confirmed. 

  All parties rushed to help.

  The second batch of blood from Sichuan to support Hubei started on the 3rd, totaling 600,000 ml.

  Guangxi: More than 60 kinds of fruits and vegetables and more than 2,000 tons of daily necessities have been sent to Hubei.

  The most beautiful retrograde person

  Zhang Xinchen is the deputy director of xiang tang Line Workshop in Nanchang Works Section, and Xiao Yaping is a member of the sixth batch of medical teams in Jiangxi Province to assist Hubei. Taking care of a pair of young children at home alone, Zhang Xinchen said, "Compared with the people of Wuhan, this difficulty in my family is nothing. We all have an appointment. She rescues patients, I guard the railway, and we love this family together. "

  make a loud sound when thrown to the ground―(of a speech) powerful and rousing

  "It is not enough to speak twice a day, I will speak 200 times!" "Goggles must be worn!" "You must wear gloves after washing your hands!"

  — — As a head nurse, Chen Jing has gone through dozens of procedures, from wearing protective clothing, isolation gown and goggles to wearing shoe covers and washing her hands. She is glued to every doctor and nurse. She said that for the health of this group of nurses and girls, it is worthwhile to shout "do a good job of protection" even if it is one hundred times or one thousand times a day.

  Seeing is believing

  This is a hand-drawn map with coordinates of Wuhan, written by Lu Zihan, a fifth-grade pupil, and several striking words are specially marked next to Taikang tongji hospital in the lower left corner — — Dad’s Hospital. Her father is Lu Chuandong, a member of the army supporting Hubei medical team.

  Epidemic prevention tips

  How to use your eyes reasonably in home office?

  ① Reasonable arrangement of working hours. Work for half an hour to an hour, and have a rest for 10 minutes.

  ② Correct use of electronic equipment. The light in the room should be suitable, not too dark or too dazzling.

  ③ Maintain a correct sitting posture. Let your eyes look down or slightly down at the screen.

  ④ Pay attention to eye hygiene.

  Editor: Tu Yueqing

Revealing the speculation behind "garlic you are malicious": the funds of large speculators exceed 100 million.

  Xinhua News Agency, Jinan, April 17th Title: Small speculators claim to have invested 1 million yuan and earned 1 million yuan-revealing the speculation behind "garlic is cruel"

  Xinhua News Agency "Xinhua Viewpoint" reporters Yuan Junbao and Liu Jinhui

  Recently, "garlic you malicious" once again. According to the investigation of Xinhua Viewpoint reporters in Jinxiang, Shandong, Zhongmu, Henan and other major garlic producing areas, the decline in output and market supply and demand are the decisive factors of this wave of "garlic you are ruthless" market, but there are also many speculators who add fuel to the flames.

  In the eyes of speculators, garlic market is like a casino. If you bet right, you can get rich overnight and return home in a luxury car; If you make a mistake, you will lose everything, and the debt collector will make it difficult for you to return home. Speculators influence prices through various means. Some small speculators bluntly said that "they invested 1 million yuan this year and almost earned 1 million yuan", and the funds of large speculators even exceeded 100 million yuan.

  "Once in heaven, once in hell" is a big casino speculator with funds exceeding 100 million yuan.

  "The world garlic sees China, and China garlic sees Jinxiang". In Nandianzi Garlic Market on Jincheng Road in Jinxiang County, hundreds of garlic brokers gather every day. It is known as "Garlic Wall Street" in the industry, and the garlic price in the whole country and even the whole world is dominated by it.

  Jinxiang is one of the main garlic producing areas in China. The garlic in Jinxiang and several surrounding counties and cities accounts for more than half of the garlic production in the main garlic producing areas, and the inventory is more than 60%. Here, it is no secret that "garlic is fried". Sometimes a batch of garlic is changed hands several times without moving in the cold storage. Driven by the "garlic you are malicious" market, many investors become rich overnight.

  "I invested 1 million yuan this year and almost earned 1 million yuan." Lao Cheng, a garlic merchant in Mamiao Town, Jinxiang County, said that he is only a small family, and the funds of more than 10 million yuan are considered medium, and some large families have funds of over 100 million yuan. Lao Cheng saved 200 tons of garlic last year, which was about 5 yuan/kg at the time of collection, and this year’s selling price was about 12 yuan/kg. Excluding the storage cost of 1 yuan per kg, he earned almost 5 yuan per kg.

  Mr. Sun, a garlic investor in Linyi, Shandong Province, regretted not investing in garlic this year. "A friend earned 4 million yuan and just drove back a Mercedes-Benz with more than 1 million yuan two days ago."

  It is understood that in July last year, when jinxiang garlic began to purchase and put into storage after harvest, the price was about 4.7 yuan/kg, but it reached 12.8 yuan/kg in mid-March this year, up 170%. "The highest price this year has exceeded the high point in 2010." Yang Guihua, executive director of Jinxiang Garlic Industry Information Association and secretary general of China Garlic Industry Information Alliance, said. 2010 is the year when "garlic is cruel" was widely known.

  Huge profits also mean huge risks. The price of garlic peaked in 2010, 2012 and 2016, while it was lower in other years. Especially at the end of 2008, the price of garlic once fell to only a few cents or even a few cents a catty.

  Zhongmou county, Henan Province is also an important garlic producing area. Mao Xiaoan is a garlic broker in zhongmou county, and has been working for 20 years. "I lost almost all my money in 2008, and I didn’t pay off the loan until last year." He said. Lao Cheng also told reporters that in 2012, the price of garlic fluctuated greatly, and he lost more than 600,000 yuan. Half of the money invested is your own, and the other half is raised by relatives and friends.

  In 2012, a foreigner named "Zhu Laosan" came to Jinxiang. "At that time, he brought hundreds of millions of yuan of funds. As a result, after a large number of purchases, the price rose rapidly in the short term but fell quickly, but lost more than 100 million yuan." An industry insider in Jinxiang County said.

  In the eyes of some garlic merchants, investing in garlic is gambling. Although they know that there are huge risks, garlic merchants still enjoy it. "If you earn money, you want to earn more, and if you lose money, you want to make money."

  "Fried garlic" such as "stock trading" runs through the whole cycle of production, warehousing and sales.

  According to Cui Xiaona, an agricultural product analyst at Zhuo Chuang Information, there are three reasons for this round of garlic price increase: First, the output has declined; Second, the demand for domestic demand and exports has not decreased or even increased; The third is hype. "In 2014, the national output decreased by about 8%-10%. The heavy snow and cold wave at the end of 2015 and the beginning of this year aggravated the expectation of garlic production reduction this year."

  In the eyes of most garlic merchants, market supply and demand are the most fundamental factors that determine the price of garlic. "There are more garlic, and it is difficult for you to fry again." However, they also admit that speculation has played a role in fueling the flames, intensifying the fluctuation range of prices, and "anything can be used" in the process of speculation.

  "At present, traditional business is not easy to do. Some big speculators, such as some real estate developers in Northeast China and Shanghai, who hold capital, have a hand of 30,000 to 40,000 tons. When there was less garlic on the market in March and April of the following year, they began to drive up the price and create the expectation that the price of garlic would rise sharply. " Liu Shaochen, president of zhongmou county Refrigeration and Preservation Association, said.

  The reporter’s investigation found that the general expectation of garlic production reduction this year was the initial factor of garlic price increase, but in the process of news dissemination, some of them were exaggerated or even artificially used. "At that time, in the garlic exchange group, some people released news of garlic production in some areas, but it was later confirmed that it was not so serious." A garlic operator in Jinxiang said that especially at the end of February this year, garlic merchants held a fresh-keeping industry conference in Shandong. The data from the meeting said that the national inventory was only 600,000 tons. Since that day, garlic has started a "crazy rise" mode.

  In addition to making a fuss about the true and false news, according to many insiders, in the process of price manipulation, big garlic merchants have many means, one of which is to buy and sell themselves, create price illusions, and guide other garlic merchants to follow suit; Second, when preparing for shipment, we bought it at a higher price, but the actual purchase volume was small, and at the same time, we secretly signed a large number of orders for shipment. "It is very similar to stock trading, and various methods and means are used, even more." An industry insider said.

  According to industry insiders, in recent years, in order to ensure the source of garlic, garlic merchants have generally begun to "secure land" before garlic goes on the market, that is, to buy future garlic in advance at a certain total price. "Gambling garlic has run through the whole cycle of garlic production, warehousing and sales."

  When does Garlic City Casino close?

  Although the price of garlic has skyrocketed, for many garlic farmers, the direct benefits are few. Chen Dongfeng, a garlic farmer in Yuzhuang Village, Wang Pi Town, Jinxiang County, said that he had to put it in storage before September of the previous year. The price he sold was 4.4 yuan/kg, and it didn’t matter how it rose after that. All the people who made money were fried garlic.

  With the listing of new garlic in various places, the price of jinxiang garlic has dropped to about 8.4 yuan/kg. Experts in the industry said that the most fundamental thing to reduce the skyrocketing garlic is to stabilize the planting area and output, and on this basis, increase the release of authoritative information, increase market transparency and reduce the space for speculation.

  It is understood that Jinxiang County has introduced garlic price insurance to promote the enthusiasm of garlic farmers. Yang Guihua said that the insurance price is determined by the average price in previous years, planting cost and other factors to protect the interests of garlic farmers. Chen Dongfeng and other garlic farmers said, "This is a good guarantee for us."

  Some insiders believe that it is difficult to identify and supervise garlic speculation. On the one hand, there are still different views in the industry on whether the phenomenon of hoarding goods and reluctance to sell goods belongs to market behavior or artificial manipulation; On the other hand, even if large merchants are United, it is difficult for relevant departments to grasp specific evidence.

  How can we reduce hype? Yang Guihua and others believe that authoritative information release should be increased to reduce unreasonable expectations. Some insiders suggest that on the basis of standardization, futures trading should be moderately carried out to achieve an effective balance of multiple short positions, so as to stabilize the price of garlic.

113 officials in Hunan were investigated on suspicion of "illegal fund-raising incident in Xiangxi"

    According to Caijing, Teng Wancui, member of the Standing Committee of Xiangxi Autonomous Prefecture, Hunan Province, and Minister of United Front Work, was "double-regulated" by the Hunan Provincial Commission for Discipline Inspection on October 24 due to serious violations of discipline such as illegal fund-raising. Up to now, 113 cadres of party and government organs, enterprises and institutions have been investigated for the alleged "illegal fund-raising incident in Xiangxi".


  The early withdrawal of officials caused the fund-raising chain to break.


    The reporter was informed that Teng Wancui was taken to Changsha for investigation by the Hunan Provincial Commission for Discipline Inspection more than 10 days ago, and her husband Liu, who works for Xiangxi Agricultural Bank, was also investigated. According to informed sources, Teng Wancui’s main problem is to participate in illegal fund-raising and withdraw principal and interest in advance, and the amount of fund-raising is huge. In addition, Teng Wancui is also suspected of taking bribes and participating in mine management.


    In recent years, a number of enterprises in Xiangxi have long used the promise of high interest returns as bait to attract private funds, involving thousands of fund-raising households, absorbing more than 10 billion yuan, and a large number of government officials participated in fund-raising In mid-2008, some government officials involved in fund-raising got the information and withdrew the principal and interest in advance, which triggered the fund-raising chain to break.


    Since then, in less than half a month, some financing enterprises in Jishou City, the seat of Xiangxi Prefecture, have taken away at least 1 billion yuan, and most of them have broken their capital chains. Worried that it would be difficult to recover the principal, on September 3 and 4, more than 10,000 fund-raisers gathered twice to contain the Xiangxi government and the railway station, and then the police force was used to calm down. Since then, fund-raisers have blocked the Xiangxi government twice.


  Conceal and lie when being investigated.


    The reporter was informed that during the investigation by the Hunan Provincial Commission for Discipline Inspection and the task force of the Provincial Supervision Department, Teng Wancui had serious intentional concealment and false reporting when explaining that he, his spouse and his children participated in illegal fund-raising in Xiangxi.


    According to the reporter’s understanding, Teng Wancui is mainly suspected of participating in the illegal fund-raising of Xiangxi Rongchang Group and Jishou Guangcai Real Estate Development Company, and is closely related to these two enterprises, and Teng Wancui once paid more attention to Guangcai Real Estate Company.


    Teng Wancui was born on December 22, 1959 in Fenghuang County, Xiangxi Prefecture, Hunan Province. She was a native Tujia female cadre and ranked fourth in the Standing Committee of Xiangxi Prefecture before the incident.


    According to the relevant personage of Xiangxi government, Teng Wancui is bold by nature and good at approaching leaders. Teng himself was recruited into the Grain Station of Fenghuang County Grain Bureau in his early years and later turned into a cadre. Since then, Teng, as a female cadre of ethnic minorities, has been sent to South-Central University for Nationalities to study, and later served as a member of the Party Committee, office director and theoretical teacher of the Party School of Fenghuang County Committee, and has since embarked on a career. Since December 2002, he has been promoted to the Standing Committee of Xiangxi State Committee and Minister of United Front Work.


    People close to the task force revealed to reporters that Teng Wancui was also suspected of taking advantage of his position to accept bribes; Participate in mining and tourism project development, and obtain illegal benefits from it.


    In fact, Teng Wancui is only one of many party and government officials suspected of illegal fund-raising. In mid-October, the preliminary investigation results released by the Hunan provincial government showed that 113 cadres of party and government organs, enterprises and institutions had participated in fund-raising, among which quite a few were party and government officials at or above the county level.


  More than half of Jishou’s families participate.


  Many residents sell houses to raise funds.


    Private fund-raising in Xiangxi has been going on for some time, but large-scale fund-raising began in 2002. By 2008, illegal fund-raising reached a fever pitch, with monthly interest generally above 8%, and some enterprises even as high as 10% to 12%.


    According to the analysis report released by the People’s Bank of China Xiangxi Autonomous Prefecture Sub-branch in July 2008, by the end of June 2008, the scale of private lending in the autonomous prefecture was nearly 7 billion yuan, accounting for more than half of the total loans of financial institutions in this region in the same period.


    At present, the Xiangxi government has sent a working group to conduct liquidation of 12 enterprises with large illegal financing. A police officer involved in the investigation of illegal fund-raising told reporters that it is conservatively estimated that the total amount of illegal fund-raising may exceed 10 billion yuan.


    On September 4th, Jishou Municipal Government issued a notice to register the fund-raising situation, and set up 28 fund-raising registration points in the urban area to check the fund-raising situation. The urban population of Jishou City is less than 200,000, and more than half of the families have participated in illegal fund-raising. In eight counties under the jurisdiction of Xiangxi, such as Longshan, Fenghuang, Guzhang and Huayuan, illegal fund-raising is also quite serious.


    In addition to the above-mentioned key financing enterprises, the local public security organs are still investigating more small financing enterprises. According to police sources, "the financing amount of these investigated financing enterprises is about 200 million yuan, and some of them have been found to be suspected of fraud."


    Illegal fund-raising has a great influence on all aspects of Xiangxi. The reporter learned in Ganzhou New District of Jishou City that the Xuantan community, which has the highest amount of illegal fund-raising, has raised more than 100 million yuan. Many residents even sell houses to raise funds and borrow money, and their lives are in a difficult situation because of no return of principal and interest. (Reporter Ouyang Hongliang)

Editor: Li Xian