Although since the fourth quarter of last year, the fertilizer market once again, but the gas, electricity and tax preferential policies canceled, overcapacity situation is difficult to resolve, operating costs continue to increase, the fertilizer industry is expected this year, increasing pressure, will continue to struggle. This is the China chemical industry news reporter from 23 to February in Hubei, held on the 2017 (the fourth session) of the International Fertilizer Industry Chain Summit on the understanding of the information on the.
According to the National Bureau of statistics, in 2016 China's total production of 70 million 49 thousand and 200 tons of chemical fertilizer (net weight), down 4.8%, while the 2015 output was an increase of 7.3%. Production capacity is increasing, production has declined, mainly due to the low price of chemical fertilizer in 2016, the decline in operating rates. According to the delegates, the current domestic nitrogen self-sufficiency, nitrogen production capacity of about 40%. Phosphate fertilizer production for many years showed a blowout growth, the shadow of a serious excess has been plagued by the upstream and downstream markets, capacity utilization is less than 70%. Although there are hundreds of thousands of tons of compound fertilizer production capacity to exit, but relative to the total is still negligible, overcapacity rate of 35%. The potash demand last year is expected to 14 million tons, the actual supply of up to 19 million tons, also showed an excess trend.
With the country to carry out the pilot of organic fertilizer instead of chemical fertilizer, soil testing and formula fertilization has been greatly promoted, as well as the change of fertilization methods. "There are some recent production of urea enterprises is brewing to drive, and even some enterprises have long-term production resumption of production plans, which will cause the market to further suppress the urea. If this really backward production capacity of large area production, does not rule out the second half of the market price will once again bring heavy losses in nitrogen fertilizer industry." Sun Yuze, deputy general manager of the Department of nitrogen fertilizer Sinochem Fertilizer Company Limited.
The general manager of Wengfu group agricultural company marketing department Tian Xinxing believes that the fertilizer industry facing railway continuous tension, strict environmental supervision and other issues, invisibly increase the operating costs of enterprises. Qinghai Saline Lake Industrial Co. Ltd. sales branch fertilizer business manager Song Xianmin said, the current railway transport capacity decline, domestic potash inventory reduction and spring production, the short term domestic potash supply will be relatively tight, prices will remain stable or rise, but overall the late potash market will remain stable trend.
The deepening of the process of marketization, a variety of preferential policies canceled, the cost pressures." Hubei newyangfeng fertilizer Stock Co. Ltd. vice president Zhao Chengyun said. He gave reporters calculations: since April 20, 2016, small and medium sized chemical fertilizer preferential electricity price canceled, or up to 0.08 ~ 0.1 yuan / kWh, which means that the ammonia cost rose 150 yuan / ton, the cost of urea up to 80 ~ 100 yuan / ton, AP costs increased 30 ~ 50 yuan / ton. In addition, the railway freight transportation and the previous period rose from 10% to 20%.
The fertilizer industry in the way? Xinxing Tian believes that the phosphate fertilizer industry to accelerate the development of their type, service-oriented and innovative direction, conform to agricultural structure change, launched a multi functional for different areas and crop products, build a complete crop solutions product line, in order to occupy more market. Zhao Chengyun think: to strengthen the cost management, internal efficiency; to increase the intensity of agricultural services, promote scientific fertilization, precision management; to extend downward, cross-border integration. Chinese deputy researcher of Academy of Agricultural Sciences Institute of agricultural resources and regional planning Wang Lei pointed out that the water soluble fertilizer, liquid fertilizer, mixed fertilizer, controlled-release fertilizer etc. are becoming more and more important, its development prospects, the chemical fertilizer enterprises can not miss the opportunity to turn to overtake the development and transformation of.