Monthly Archives: July 2017

Potash fertilizer waiting for big contract results

Into July, due to the import of potash fertilizer is still no definite news, the domestic price of potassium chloride is temporarily uncertain.

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According to the national customs statistics, from January to May this year, the cumulative imports of potassium chloride 3.813 million tons, an increase of 26.3%. May imports of potassium chloride 254,000 tons, down 31.6%, hit this year since the new low import volume. May imports, Belarus to 76,000 tons in the first place, Canada and Russia out of 23, imports were 71,000 tons and 55,000 tons. In addition, China Laos project 18,000 tons of potassium chloride to nurture the domestic market. Insiders pointed out that the pace of imports in May slowed down the main reason is a large number of imports a few months ago.

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At present, the price of domestic potash fertilizer temporarily stable, but many areas have price increases, Salt Lake Group 60% of potassium chloride to offer 2,000 yuan (t price, the same below) around. Port imports of potassium chloride prices did not change significantly, but the inflation is expected to be more obvious, the industry analysis, mainly due to the extension of the contract, the port continued to reduce the supply. At present the port of large particles 1900 ~ 1930 yuan, 60% Russian red potassium 1900 yuan, 62% Russian white potassium 2000 yuan. Yingkou Hong Kong large particles 1890 yuan. Border trade area 62% Russian white potassium offer 1,800 yuan.

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Potassium sulfate prices rumors more and more. Central China market manufacturers offer up 50 yuan, Hebei manufacturers to follow up 50 to 100 yuan. Prices will be strong, as well as the operation of the country to vote potassium dealers. Reporters learned that sales in some areas dealers better, no inventory, or even tight cargo. It is reported that Shandong potassium sulfate operating rate stabilized at about 95%, 50% powdered potassium sulfate mainstream factory price 2450 ~ 2500 yuan, granules of potassium sulfate and 52% of the whole water soluble powder 2600 ~ 2650 yuan, sales in good condition. However, Mannheim potassium sulfate by-product hydrochloric acid sales are not ideal, most manufacturers to be down 100 yuan; Weifang area enterprises have stopped sticking, and even sold about 30 yuan. Overall, potassium sulfate operating rate is low, high cost, with the expected quotation of potassium chloride up, potassium sulfate prices may rise with.

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On the international side, there is no new progress in the big contract negotiations in India. Last year, the big contract expires on June 30, and some of the contracted potassium chloride will arrive in July and August. It is rumored that if the price increases, the demand for Indian farmers may decline. Brazilian market for large particles of potassium chloride is still a large demand, but because of the larger inventory, some dealers even lower than the cost of inventory sales, in order to set aside inventory space to maintain market price stability.

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The 8% gap of the export tax rebate rate for technical and formulations will be cut

China is a large country of pesticide production, almost half of the annual pesticide production capacity to be used for export, pesticide exports accounted for a large amount of pesticide market sales. On the other hand, due to the gap between the pesticide formulations, Chinese manufacturers mainly export pesticide technology in the international market, which greatly restricts the value of the technical formula.

Over the past two years, the proportion of the original drug exports continued to decline, the proportion of export agents continue to rise, increase the export tax rebate rate for the promotion of Chinese pesticides in the international market competitiveness, has an important role. According to the news, since April this year, in order to promote the rapid development of pesticide export business, the relevant management part is actively studying pesticide export policy.

More than 400 kinds of products export tax rebate rate to 17% of the country to encourage higher value-added products exports

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November 1, 2016, approved by the State Council, improve the electromechanical, refined oil and other products, value-added tax export tax rebate rate. Will be cameras, cameras, internal combustion engines, gasoline, aviation kerosene, diesel and other 400 kinds of products export tax rebate rate to 17%. Have to say that the country has done a lot of work in encouraging exports.

China Financial Science Research Institute Vice President Bai Jingming said that the adjustment of some product value-added tax export tax rebate rate, the transfer of two positive signals: First, to promote stability, aimed at effectively expanding external demand; Second, to ensure that China’s foreign trade enterprises and international enterprises in the same Starting line fair competition, improve the competitiveness of China’s export of goods.

In fact, early in 2015, China’s pesticide export tax rebate policy has been adjusted, of which 481 pesticide varieties of the original export tax rebate raised to 13%, but the export tax rebate rate is still 5%.

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Export tax rebates can enhance the international competitiveness of export products; reduce export costs, to encourage exports to drive domestic industry. Developing countries in the adoption of high tariff protection of domestic industries as a supporting measure. In recent years, China’s exports of major commodities to upgrade the high-tech products, quality products exported best-selling. The country has been encouraging the export of high-value products with high added value, which is reflected in pesticides.

If the export tax rebate rate increased to 9% -13%, according to 2015, China’s pesticide export amount of about 3 billion US dollars, the current 5% tax rebate rate increased by 4-8 percentage points, the export tax rebate will increase 120 million $ 2.4 billion.

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Insiders pointed out that the export tax rebate pesticide formulations and electromechanical, refined oil compared to these industries, the amount is not high, it is easy to be ignored in the export tax rebate policy. However, pesticide formulations are high value-added products in pesticides, in the country to vigorously promote the export of major commodities to the current high-tech products to upgrade the current, should give more policy encouragement. “The original drug export tax rebate rate can be increased to 13%, is the preparation with 9% are far behind?” The industry also said that Chinese pesticides in the global market have greater influence, the preparation is a weapon to the teeth The

Original drug and preparation export tax rebate rate imbalance The status of export restrictions or will improve?

Long-term pesticide drugs and preparations between the export tax rebate imbalance has become to enhance the international competitiveness of pesticide companies a major obstacle.

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In recent years, although the export of pesticide preparations in China showed a growth trend, the proportion of pesticide preparation exports increased from 36% in 2011 to 42% in 2015, from the bottom two pictures can clearly see the proportion of change. But the total point of view, the original drug export amount is still greater than the amount of export agent, still did not turn over 50% of the mountain.

Overall, at present, China is still the main export of the original drug, the original drug export amount is still greater than the amount of export agents.

According to statistics, in 2015, China’s pesticide exports amounted to 7.28 billion US dollars, of which the original drug exports accounted for about 60% of the amount, reaching 4.26 billion US dollars, while the export amount of the preparation of only about 40% of the original drug exports still dominate.

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For some time, enterprises continue to China Pesticide Industry Association to reflect on the original drug and pharmaceutical export tax rebate rate upside down the problem. The association organized the relevant enterprises to actively study and discuss the current situation of the original drug and preparation export management, analysis of chapters 29 and 38 of the customs import and export management directory of pesticides, many times to the relevant management department to submit “on the proposed increase in pesticide export tax rebate letter” , Truthfully reflect the industry problems.

As we all know, pesticide processing of the environment almost no pollution, high technical content, added value is higher than the original drug. However, the original drug export tax rebate rate is usually 9% (2015 481 kinds of the original drug adjusted to 13%), the export tax rebate rate of only 5%, the original drug and agent export tax rebate rate upside down affecting the pesticide enterprises to the downstream, high-end The enthusiasm of the extension, and encourage the development of pesticide industry policy departure.

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The proportion of the original drug exports to reduce the proportion of export agents to improve the export tax rebate pesticide formulations is imperative?

At present, in the export of more than 180 countries, Southeast Asia, Latin America and Africa is the main destination of China’s pesticide exports, the three together accounted for China’s total exports of pesticides nearly 65%. By the global economic downturn, China’s pesticide exports continued to grow after four years, the first time in 2015 the number of exports and the amount of double down, down 8.1% and 16.9%, 2016 continued to double down, the export volume dropped significantly by 22.86%.

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From 2011-2016 China’s pesticide export product structure, showing the proportion of the original drug exports decline, the proportion of the proportion of export agents increased. Although the original drug has been the main position of China’s pesticide exports in recent years, the number of exports decreased year by year. Preparations in China’s share of pesticide exports in the proportion of rising export volume growth rate, the steady increase in the amount of exports. Pesticide preparations from 754,800 tons in 2011, 2.28 billion US dollars rose to 8.916 million 879,300 tons, 2.406 billion US dollars, respectively, about 10% and 6% increase.

From China’s export of pesticide varieties, 2016 China’s exports of pesticides in the original drug products, herbicides still account for a large proportion of the top ten varieties of export for the glyphosate, paraquat, imidacloprid, chlorothalonil, atrazine , Chlorpyrifos, methanesulfonamide, oxalcone, carbendazim and methamphetamine, total exports of 2.209 billion US dollars, accounting for 27.6% of the total.

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In this environment, to improve the export tax rebate rate of pesticide formulations will further promote the export process of pesticide formulations, help to promote the overall healthy development of the industry to help the pesticide industry through the winter.

In addition, the increase in pesticide export volume can not only help to achieve the transformation and development of pesticide industry, enhance the development of industry sustainable, but also to promote the processing and packaging machinery and equipment manufacturing, packaging materials production industry, additives industry, logistics industry and other pesticide-related industries Accelerate development.

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