What is the first reduction off-season reserves of chemical fertilizers
Time:2014-11-05 Read:602second
Since 2004 the establishment of China's fertilizer business short storage system, reserves have been growing, from the original 8000000 tons in 2013 rose to the highest 18000000 tons. However, this year's fertilizer reserves actually fell for the first time. According to reports, in October 28th held in Beijing 2014/2015 annual national off-season reserves of chemical fertilizers and signing conference to determine the storage enterprises, the current round of reserves in no change in 50000 tons and below, in 100000 to 200000 tons in the proportion of 20% reduced bearing reserves, according to the ratio of 25% reduction in 200000 tons of above. Why off-season reserves of chemical fertilizers to be reduced? The author analysis, there are three main reasons:
One is the change of fertilizer supply and demand situation. The establishment of off-season reserves of chemical fertilizers system in our country, the domestic production of fertilizer Co., manufacturers need to also want to maintain production off-season. Otherwise it may be second years farmers with fertilizer spring season, chemical fertilizer supply, affect the spring production, or spring time of tight supply sharply up fertilizer prices, harm the interests of the farmers. But now the output of chemical fertilizer increased significantly, not only can effectively meet the domestic demand, but also export a large quantity of fertilizer to keep the balance between production and marketing, the role of light storage safeguard supplies fell sharply, no need to get so many off-season reserves of chemical fertilizers.
The second is the negative effect of the market gradually thin reservoir. Demand effect a lot of off-season reserves of chemical fertilizers will enlarge the market, causing supply tight, push up the price in the low season, and the inflated price and the actual relations between production and marketing, the supply and demand relationship is not consistent. In the season often the price will fall down, abnormal phenomenon formed off-season price is inversely proportional to the peak season prices high, not only let the light storage company loss, but also distorted the market. Due to the increased negative effect of light storage on the market, some have even proposed to cancel the light storage.
The third is the dealer enthusiasm drops light storage. According to dealers to reflect, the country given the short storage discount is far lower than the storage cost of enterprises, insufficient to compensate for the increased cost of enterprise. The short storage period of 1 tons is the cost of 110 yuan, bank loans accounted for only 32% of the total cost, and part of the national 68% without subsidies. In addition, there are a large number of small and medium-sized dealers not successful short storage, not get subsidies, they assume the risk is even greater light storage. These years often appear off-season price is higher than the peak season prices, make up the short storage dealer losses.
The author believes that within a short time of off-season reserves of chemical fertilizers should not be canceled, adopt the method by reducing the size of off-season reserves of chemical fertilizers is appropriate. Because now the chemical fertilizer enterprises benefit was very poor, operating rate is not high, urea enterprises operating rate from 80% last year to 70% this year following, if a sudden abolition of light storage, is bound to be more dealers waiting and watching. In the off-season when the fertilizer manufacturers out of the products have no place to go, can only continue to cut prices, so that the losses of the enterprise more powerful, finally may lead to many fertilizer manufacturers were forced to stop production, will have an adverse impact on next year's spring fertilizer supply.
The future of off-season reserves of chemical fertilizers system reform will continue, but still with a step slow way better, soon to turn 180 degrees of impact on the market is too big. In China, a country with a large population, agricultural production and national food security, fertilizer production is also no room for risk. Should be gradually reduce and adjust in the tender after the re consider phasing out.a