In the past one month since the implementation of the policy of adding 100% special export tariffs on the export of fertilizer products, all chemical fertilizer export trades have basically stagnated, and the domestic and international markets have responded strongly. Then, under the influence of this policy, what direction will the market develop? The reporter recently learned about the views of some key enterprises in the interview.
On the 15th of April, the State Council Customs Tariff Commission issued a notice stating that from April 20 to September 30, 2008, all fertilizer products and some raw materials exported to all trade forms, regions, and enterprises should be On the basis of the existing export tax rate, based on the export price, a special export tariff of 100% will be imposed.
Zhang Hanqing, deputy general manager of Jiangsu Huachang Chemical Industry Co., Ltd., and many entrepreneurs in the industry believe that the impact of this tariff policy adjustment will have the greatest impact on phosphate fertilizer companies, followed by nitrogen fertilizer companies, with minimal impact on compound fertilizer companies.
“The reason why this is said is that the current production cost of phosphate fertilizer is too high.†Ren Yajie, Marketing Manager of Yuntianhua International Chemicals Co., Ltd. analyzed: “Since the second half of last year, the price of sulphur rose by almost 10 times. China imported sulphur later. The bank price will reach 750 US dollars / ton, shipped to the company will reach more than 6,200 yuan / ton, while sulfur accounted for 1/2 of the cost of ammonium phosphate, only this one to increase the cost of about 2,300 yuan / ton, and the world supply of sulfur In the past two years, it will be in a state of tension, and the price cannot fall back. Together with other rising factors such as ammonia, coal, electricity, etc., the cost of one ton of ammonium phosphate has reached about 4,950 yuan. From the production capacity point of view, in recent years, China has seen The production capacity of phosphate fertilizers expanded rapidly. In 2007, the output of monoammonium phosphate in China reached 8.8 million tons, while the output of diammonium phosphate was 6.86 million tons, far exceeding the domestic consumption. If the export is blocked, it will certainly lead to excess supply and the price will decline. When the price is lower than the cost price, the company can only stop production."
“So, in this case, the company can choose the strategy: either to reduce the production guaranteed price to save themselves, or to increase the export of phosphoric acid and phosphate rock.†Zhang Hanqing said.
Hong Xi'an, secretary of the party committee and executive deputy general manager of Jiangxi Guixi Fertilizer Co., Ltd. believes that for the phosphate fertilizer industry, China will immediately enter the off-season and it is estimated that many phosphate and compound fertilizer companies will restrict production cuts. This may result in insufficient supply of phosphate and compound fertilizers during the peak season of fertilizer use in the fall, which will have an adverse impact on domestic agricultural production. Therefore, he suggested that the country find a balance point on the issue of export control, such as quotas controlling exports according to the size of production capacity.
After the introduction of the new tariff policy on international prices, the nitrogen fertilizer market has responded strongly. On the one hand, domestic prices have dropped sharply. The urea price has dropped from 2,300 yuan per ton to less than 2,000 yuan at that time, and there is a possibility of further decline; International prices have risen sharply. In just two weeks, China's urea export quotation has increased from the original 400-415 US dollars per ton to the current 650-660 US dollars per ton. Zhang Hanqing believes that when the international urea price rises to 650 US dollars and the domestic urea price is implemented at a price limit of 1,700 yuan, urea will have another possibility of export.
“Compared with diammonium phosphate, urea still has a huge price increase. In addition, if China’s urea is not exported, the international urea supply will be reduced by 1.6 million to 2 million tons from now to September. Therefore, new from China Since the introduction of the tariff policy, international urea prices have been rising all the way, and have risen by more than 200 US dollars per ton in a short period of two weeks, so the opportunity for urea export still exists. For compound fertilizers, because the export has not been much, tariff adjustments have had an impact on them. Not much." Zhang Hanqing said.
He Haoming, chairman of the board of directors of Hefei (Group) Co., Ltd., who will accelerate the integration of production and sales, said recently that the current domestic fertilizer manufacturers need to seriously consider: First, how to release the huge production capacity; second, the high cost In particular, the high price of sulfur in phosphate fertilizer companies will be digested.
He Haoming said that if a company does not produce, it means death, and this may be an opportunity for another restructuring of the Chinese phosphate fertilizer industry. China's phosphate fertilizer production (phosphorus pentoxide) reached about 10 million tons in 2006, reaching the world's largest, reaching 13.5 million tons in 2007, and is expected to reach 14.5 million tons this year. The annual demand in the Chinese market is between 1,000 and 11 million tons, so manufacturers face the survival of the fittest.
Zhang Hanqing believes that the adjustment of the tariff policy is more obvious for the integration of circulation companies. Because in this round of price increase, the production companies with almost a little market judgment ability have rapidly accumulated their strength and have sufficient ability to resist market risks. For circulation companies, due to the rapid increase in fertilizer prices and the need for more liquidity, large circulation companies with strong financial strength and information sources can seize opportunities in the ups and downs of the market to make lucrative profits, and those with insufficient funds Enterprises with lagging information may be eliminated by the market.
On the 15th of April, the State Council Customs Tariff Commission issued a notice stating that from April 20 to September 30, 2008, all fertilizer products and some raw materials exported to all trade forms, regions, and enterprises should be On the basis of the existing export tax rate, based on the export price, a special export tariff of 100% will be imposed.
Zhang Hanqing, deputy general manager of Jiangsu Huachang Chemical Industry Co., Ltd., and many entrepreneurs in the industry believe that the impact of this tariff policy adjustment will have the greatest impact on phosphate fertilizer companies, followed by nitrogen fertilizer companies, with minimal impact on compound fertilizer companies.
“The reason why this is said is that the current production cost of phosphate fertilizer is too high.†Ren Yajie, Marketing Manager of Yuntianhua International Chemicals Co., Ltd. analyzed: “Since the second half of last year, the price of sulphur rose by almost 10 times. China imported sulphur later. The bank price will reach 750 US dollars / ton, shipped to the company will reach more than 6,200 yuan / ton, while sulfur accounted for 1/2 of the cost of ammonium phosphate, only this one to increase the cost of about 2,300 yuan / ton, and the world supply of sulfur In the past two years, it will be in a state of tension, and the price cannot fall back. Together with other rising factors such as ammonia, coal, electricity, etc., the cost of one ton of ammonium phosphate has reached about 4,950 yuan. From the production capacity point of view, in recent years, China has seen The production capacity of phosphate fertilizers expanded rapidly. In 2007, the output of monoammonium phosphate in China reached 8.8 million tons, while the output of diammonium phosphate was 6.86 million tons, far exceeding the domestic consumption. If the export is blocked, it will certainly lead to excess supply and the price will decline. When the price is lower than the cost price, the company can only stop production."
“So, in this case, the company can choose the strategy: either to reduce the production guaranteed price to save themselves, or to increase the export of phosphoric acid and phosphate rock.†Zhang Hanqing said.
Hong Xi'an, secretary of the party committee and executive deputy general manager of Jiangxi Guixi Fertilizer Co., Ltd. believes that for the phosphate fertilizer industry, China will immediately enter the off-season and it is estimated that many phosphate and compound fertilizer companies will restrict production cuts. This may result in insufficient supply of phosphate and compound fertilizers during the peak season of fertilizer use in the fall, which will have an adverse impact on domestic agricultural production. Therefore, he suggested that the country find a balance point on the issue of export control, such as quotas controlling exports according to the size of production capacity.
After the introduction of the new tariff policy on international prices, the nitrogen fertilizer market has responded strongly. On the one hand, domestic prices have dropped sharply. The urea price has dropped from 2,300 yuan per ton to less than 2,000 yuan at that time, and there is a possibility of further decline; International prices have risen sharply. In just two weeks, China's urea export quotation has increased from the original 400-415 US dollars per ton to the current 650-660 US dollars per ton. Zhang Hanqing believes that when the international urea price rises to 650 US dollars and the domestic urea price is implemented at a price limit of 1,700 yuan, urea will have another possibility of export.
“Compared with diammonium phosphate, urea still has a huge price increase. In addition, if China’s urea is not exported, the international urea supply will be reduced by 1.6 million to 2 million tons from now to September. Therefore, new from China Since the introduction of the tariff policy, international urea prices have been rising all the way, and have risen by more than 200 US dollars per ton in a short period of two weeks, so the opportunity for urea export still exists. For compound fertilizers, because the export has not been much, tariff adjustments have had an impact on them. Not much." Zhang Hanqing said.
He Haoming, chairman of the board of directors of Hefei (Group) Co., Ltd., who will accelerate the integration of production and sales, said recently that the current domestic fertilizer manufacturers need to seriously consider: First, how to release the huge production capacity; second, the high cost In particular, the high price of sulfur in phosphate fertilizer companies will be digested.
He Haoming said that if a company does not produce, it means death, and this may be an opportunity for another restructuring of the Chinese phosphate fertilizer industry. China's phosphate fertilizer production (phosphorus pentoxide) reached about 10 million tons in 2006, reaching the world's largest, reaching 13.5 million tons in 2007, and is expected to reach 14.5 million tons this year. The annual demand in the Chinese market is between 1,000 and 11 million tons, so manufacturers face the survival of the fittest.
Zhang Hanqing believes that the adjustment of the tariff policy is more obvious for the integration of circulation companies. Because in this round of price increase, the production companies with almost a little market judgment ability have rapidly accumulated their strength and have sufficient ability to resist market risks. For circulation companies, due to the rapid increase in fertilizer prices and the need for more liquidity, large circulation companies with strong financial strength and information sources can seize opportunities in the ups and downs of the market to make lucrative profits, and those with insufficient funds Enterprises with lagging information may be eliminated by the market.
Machining Centre & Parts,Rotary Table For Machining,Rotary Indexing Table,Inclined Rotary Table
Dongguan Liyang Intelligent Technology Co., Ltd , https://www.leyomachine.com