Concern the reform of natural gas prices have taken the first step. Starting yesterday, the factory base price of domestic onshore natural gas increased 230 yuan per thousand cubic meters, while some of the price our "dual system" of the region were canceled field. Analysts say gas prices increase and the abolition of "dual system", will be a number of natural gas as raw material business impact of fertilizer, chemical fertilizer industry profits will be squeezed.
With the market and abolish the "dual track" pricing
【Gas prices "dual system" will be canceled. As natural gas prices lower than coal, natural gas has long fertilizer enterprises as the main raw material, countries are long-term natural gas prices on the implementation of "dual system" to ensure that companies enjoy lower prices for fertilizer. 】
Analysts believe that the cancellation price "dual system" means the natural gas price reform in China has taken a key step in the market.
Sichuan, Sichuan's second-largest producer of urea, Mei Fung [6.63 0.45%], for example, its annual gas consumption was 450 million cubic meters -5 billion cubic meters, half of whom enjoy national gas price of fertilizer, or 0.89 yuan / cubic meters, the remaining half of the market is for the procurement; Chuanhuagufen average gas price of 0.85 yuan per cubic meter of -0.9 per. Currently, two companies using natural gas prices were much lower than gas prices in Chengdu residents 1.43 yuan / cubic meter.
 Major fertilizer companies increase the cost of more than 100 million yuan in
Sichuan Meifeng 2009 annual report, if the fertilizer price increase in natural gas 0.23 yuan / cubic meter to predict the cost per ton of urea will increase by about 150 yuan, if the harvest by the U.S. Air consumption 500 million tons in Sichuan calculated to increase its annual production costs 115 million. 】
"Gas prices will increase production costs." Sichuan Meifeng president and general manager Wang Shizhao, frankly admitted that gas price increases in the expected, but the real prices, the company will face huge surge in the cost of the pressure. The same problem also plagued Chuanhuagufen, Lutianhua other large fertilizer companies. "The company has not received the documents raise gas prices, and gas companies have not and we negotiate the price adjustments." Sichuan Jian-Hua Peng, Mei Fung chief accountant, said yesterday.
Sichuan Meifeng secretaries to directorate Shushao Min said that the face of declining natural gas prices and so affect the prices of urea, fertilizer companies will be fully launched, changing the risk of a single product, net profit for the company to enhance new bright spot.
Fertilizer industry or to reshuffle
【Sichuan Province is the country's fertilizer production province. Sichuan Total fertilizer companies currently 169, including three listed companies - Sichuan Meifeng, Chuanhuagufen, Lutianhua. 】
Golden State securities] analysts said Mao Rui, on an annual output of 600,000 tons, relying on natural gas as the main raw material of chemical fertilizer enterprises, corporate cost after the price adjustment will increase more than 100 million yuan, nearly half of devouring corporate profits.
"Fertilizer industry out of the curtain behind the production, if opened, large enterprises will constitute long-term positive urea." Chemical industry analyst at Industrial Securities, said Zheng Fang darts, in the short term, natural gas, natural gas prices will be the main form of energy in the fertilizer business bad But in the long run, natural gas prices and the expected electricity price for SMEs would be phased out, etc., are beneficial trades out backward production capacity, thus changing the industry serious excess capacity situation. (nan shuang)