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Cancel the approval, fertilizer production is increased?
Source:China fertilizer   Time:2014-10-23   Read:597second  
In October 8th, the State Council executive meeting decided to cancel the fertilizer investment project approval, to record management. The personage inside course of study thinks generally, fertilizer projects canceled approval record is a good thing. Instead, means that the fertilizer market reform is a step toward. But there are fears that, cancel the approval, would trigger a fertilizer production big rebound? Whether the expansion of the chemical fertilizer production capacity will be get out of hand? The author thinks that three aspects should be seen: One is approved by the examination and approval to really limiting capacity. According to reports, in October 8th, Li Keqiang Prime Minister chaired a State Council department is mainly responsible for the meeting, Prime Minister Lee pointed out that pierce to the heart of the matter at the meeting: "to be honest, we have excess capacity in some industries, which is the approval out? I'm not denied the system of examination and approval matters, but some purely commercial, pure economy also brought approval, very easily lead to rent-seeking, corruption!" look, there are a number of industry production capacity is not superfluous? These industries which is not through layers of approval of the examination and approval? It is difficult to truly limiting capacity, because there will always be people who will use unscrupulous divisive tactics by the examination and approval. Two is approved for the record the market standard regression. The project was originally on the market behavior of enterprises, enterprises should consider the project how the market prospects, the profit space has how old, investment can be recovered for several years, whether to have the ability of the project etc.. But in the power of examination and approval system, the enterprise first consideration is how to pass the examination and approval. As if to get approval and make some money. The market should pay attention to the problem of the real row behind. Results in many cases, the permit in hand, the project also launched, but the products are not making money. Cancel the approval to record, will enable enterprises to focus on the research on the market, take responsibilities for their own investment behavior. Some people worry, not to engage in examination and approval, there will be a lot of fertilizer projects, the author think do not have to worry too much, because now the fertilizer severe excess capacity of the existing enterprise profit condition is very poor, new chemical fertilizer project unless there is a special advantage, otherwise it could not escape the fate of loss, who would have to "fire" Li jump? Three is the way of supervision will change. Chemical fertilizer project approved by the system to record system is not not regulation, but regulation mode will change. The future will be with the energy consumption index, environmental protection index, advanced technology, process the negative list more market-oriented means to limit the enterprise project. Whether it is state-owned enterprises or private enterprises, whether large or small enterprises, we are in the same starting line, with conditions, so that a more reasonable, the efficiency of the market mechanism to give full play to the role of. Cancel the approval, due to serious excess nitrogenous fertilizer and phosphate fertilizer, basically does not increase; potash fertilizer is not only superfluous products in domestic chemical fertilizer industry, need a large number of imports from abroad, cancel the audit will stimulate enterprise projects. Especially the potassium sulfate, in recent years has been outstanding, price rise, good earnings, estimation can inspire some new potassium sulfate fertilizer projects focus on the horse. Potassium sulfate or become the next hot spot for investment, but if the new capacity is too much, also can appear the oversupply problem, related enterprises also cautious.In October 8th, the State Council executive meeting decided to cancel the fertilizer investment project approval, to record management. The personage inside course of study thinks generally, fertilizer projects canceled approval record is a good thing. Instead, means that the fertilizer market reform is a step toward. But there are fears that, cancel the approval, would trigger a fertilizer production big rebound? Whether the expansion of the chemical fertilizer production capacity will be get out of hand? The author thinks that three aspects should be seen: One is approved by the examination and approval to really limiting capacity. According to reports, in October 8th, Li Keqiang Prime Minister chaired a State Council department is mainly responsible for the meeting, Prime Minister Lee pointed out that pierce to the heart of the matter at the meeting: "to be honest, we have excess capacity in some industries, which is the approval out? I'm not denied the system of examination and approval matters, but some purely commercial, pure economy also brought approval, very easily lead to rent-seeking, corruption!" look, there are a number of industry production capacity is not superfluous? These industries which is not through layers of approval of the examination and approval? It is difficult to truly limiting capacity, because there will always be people who will use unscrupulous divisive tactics by the examination and approval. Two is approved for the record the market standard regression. The project was originally on the market behavior of enterprises, enterprises should consider the project how the market prospects, the profit space has how old, investment can be recovered for several years, whether to have the ability of the project etc.. But in the power of examination and approval system, the enterprise first consideration is how to pass the examination and approval. As if to get approval and make some money. The market should pay attention to the problem of the real row behind. Results in many cases, the permit in hand, the project also launched, but the products are not making money. Cancel the approval to record, will enable enterprises to focus on the research on the market, take responsibilities for their own investment behavior. Some people worry, not to engage in examination and approval, there will be a lot of fertilizer projects, the author think do not have to worry too much, because now the fertilizer severe excess capacity of the existing enterprise profit condition is very poor, new chemical fertilizer project unless there is a special advantage, otherwise it could not escape the fate of loss, who would have to "fire" Li jump? Three is the way of supervision will change. Chemical fertilizer project approved by the system to record system is not not regulation, but regulation mode will change. The future will be with the energy consumption index, environmental protection index, advanced technology, process the negative list more market-oriented means to limit the enterprise project. Whether it is state-owned enterprises or private enterprises, whether large or small enterprises, we are in the same starting line, with conditions, so that a more reasonable, the efficiency of the market mechanism to give full play to the role of. Cancel the approval, due to serious excess nitrogenous fertilizer and phosphate fertilizer, basically does not increase; potash fertilizer is not only superfluous products in domestic chemical fertilizer industry, need a large number of imports from abroad, cancel the audit will stimulate enterprise projects. Especially the potassium sulfate, in recent years has been outstanding, price rise, good earnings, estimation can inspire some new potassium sulfate fertilizer projects focus on the horse. Potassium sulfate or become the next hot spot for investment, but if the new capacity is too much, also can appear the oversupply problem, related enterprises also cautious.
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