After hearing Kang Chengdong complain, Du Zhongxiao asked carefully and found out what was going on.

The development of the fur industry in Bingzhou attracted huge fur resources around it, which spread widely in a few months. Hedong Road was originally famous for raising sheep, and in the area of ​​Datong Prefecture in the Khitan in the north, even Dangxiang had a large amount of fur from Khitan to Bingzhou. The supply of goods increased explosively, and Bingzhou's processing capacity was soon insufficient. Headed by Kang Chengdong and others, some fur merchants from other places wanted to open another tanning factory, but were boycotted by the government and the guild. They were not allowed to open tanning factory again, and the processing fee increased, making it unprofitable for foreign merchants.

After talking about his experiences over the past few months, Kang Chengdong said: "I'm not hiding the officials. I have some connections in the north. Last winter and this spring, I stocked up a lot of fur to Bingzhou. Now the tanning factory does not process cooked skin for us outsiders. Raw skin is not valuable, and I am forced to have no way out."

Du Zhongxiao was stunned for a while before he realized the relationship.

At this time, industry and commerce were a guild system, which was conducive to the control of the government, but also made them have a tendency to monopolize. For the two local guilds and leather vendors, the interests of foreign merchants are easily overlooked. Instead of increasing investment and expanding workshops, it is better to directly increase the processing fee. Anyway, except for the official tanning workshops, no one competes with them. The fur chambers are more clear that they suppress foreign merchants, especially those in the northern regions, can lower the price of raw skins, and they can get more profits.

This is a typical monopoly price increase. Du Zhongxiao did not expect that a small fur industry in Bingzhou City had reached this point in just a few months. The guild also controlled the craftsmen of tanning skins. It was very difficult for the industry to expand.

After drinking another glass of wine, Kang Chengdong bowed: "Officials, you have finally started this business. It's a pity that you are so useless. The little Baba is waiting for you to come back, and I'm looking forward to it! I just hope that the official will take action so that everyone can have a meal."

Du Zhongxiao nodded in contemplation: "Don't worry, wait for me to ask, there will be a solution. Now the business is booming, and it is a good time to make a big business. It is not a good thing to keep your complacent and push the business outward."

Kang Chengdong kept saying yes and kept urging him to drink.

It was not until the lights were on that Du Zhongxiao said goodbye to Kang Chengdong and left Chunfeng Tower.

The late spring wind blew on his body without any chill, which made people feel particularly comfortable. Du Zhongxiao took Tao Shiqi and Shisanlang to walk on the street, looking at the bustling crowds on the market, feeling comfortable. Life in the mountains for several months was really too hard.

Bingzhou City is not big, and before I knew it, I walked to the cargo yard.

Tao Shiqi looked at the bustling yard and said to Du Zhongxiao: "That official Kang is full of nonsense. Seeing that the crowd in the yard is full of people, how can he look deserted? I'm afraid that he is not doing well in business, so he deliberately made up these words."

Du Zhongxiao shook his head: "Seventeen, you're not saying that you're not saying that the freight yard is bad now, but that the prospects for the fur business are bleak. Hedong Road is already raising sheep, and the fur business is booming here in Bingzhou. Sheepskin from several states around are sold here, so how can it not be lively? What Kang Wai said is that there are many furs in the city a year. With more local sheepskins, they can't continue to do business from the northern region. This is really something to consider and should not be underestimated."

After walking around, Du Zhongxiao sat at a tea stall on the side of the road and said to Tao Shiqi: "Go and call Kongmu over, I'll talk to him."

Tao Shiqi turned around and left, and soon brought Qi Kongmu to come over quickly.

After seeing the ceremony, Du Zhongxiao asked Qi Kongmu to sit opposite him. After saying a few gossips, Du Zhongxiao said: "Kongmu, I heard that the goods yard business has been booming recently. The goods in the tanning factory are piled up. If it cannot be made, the price has risen, right?"

Qi Kongmu bowed: "It's true that the official is back. Since the fur business in the city was famous last winter, sheepskin from dozens of state soldiers around him have been sold, and the business is really booming. In addition, countless sheep in the north have also been trafficked here. Where can we make so many raw skins in two tanned skin factories? The prices have been rising and rising, and countless skins are growing in the cargo yard, which is a problem."

Du Zhongxiao said: "The price of tanned leather has risen, isn't it profitable to traffic raw leather?"

Qi Kongmu was a little unwilling: "Business is already in the market, and the price of tanned leather has risen, and the price of cooked leather has risen. It is nothing more than cooked leather. The merchants who sell raw leather from far away in the north are not profitable. Most of these people are doing Khitan and Dangxiang business, so they don't have to pay attention to them."

After listening to Qi Kongmi's words, Du Zhongxiao understood the crux of the problem. His own idea is that the greater the processing capacity of Bingzhou, the better. This is a real industry. The more concentrated it is, the more likely it is to transform towards industrialization. Others may not think so. As long as you make money, you don't have to expand your processing capacity hard. Can you raise prices and increase profits if you don't have enough processing capacity? You still do so much, but you make more money. Wouldn't that be good?

Seeing that the yard was still brightly lit and crowded, Du Zhongxiao sighed in his heart. This difference in thought determined the rise and fall of an industry. As industries gathered, the processing capacity was continuously increased, and the price was not increased, or even the price was gradually reduced, the industry could become bigger and bigger. A fur industry could drive many other industries. From making nitrogen, tanning, to making leather, making garments, and boots, the industrial chain was getting longer and longer, and more and more people were benefiting. Satisfied with immediate interests, using a short-term monopoly position, raising prices, not expanding or even shrinking processing capacity, can only benefit from a temporary period of time. With raw materials and a vast market, sooner or later, other places developed processing capacity to replace the current Bingzhou status. By then, the fur industry in Bingzhou would inevitably embark on the road of contraction, and its own efforts were eventually wasted.

After thinking about it, Du Zhongxiao pointed at Kongmu and said, "Kongmu, what money do you think we make when we build a cargo yard?"

Qi Kongmu smiled and said, "We collect taxes by merchants when they buy and sell. Now, Bingzhou has a lot of commercial taxes for this cargo yard."

Du Zhongxiao shook his head: "Kongmu said it badly. We are good at buying and selling furs, but this is not a big deal. What really makes money in this industry is actually tanning leather, making raw leather into mature leather. The business is big, and there are also money for making leather, garments, boots, etc. As for commercial tax, it is actually a small matter. Why do others sell raw leather here? Because tanning leather here in Bingzhou is fast and good, and once this benefit is gone, no one will soon sell it here.

As the business grows bigger, the cheaper the tanned skin, the better. The expensive tanned skin means that there are not enough tanned skin factories now, and the site should be expanded and manpower should be increased. The larger the tanned skin factory here, the less profitable the tanned skin in other places, which can attract raw skin from all over the world to come here. One day, not only the road, but also the Khitan and Dangxiang sheepskin will be sold to Bingzhou. At that time, Bingzhou City will be rich in this industry alone."
Chapter completed!