Monday, June 16, 2008

Agrochemical Storms Is More Peaceful Now

Human falls in sick, medicine is needed, the same, when crops are sick, pesticide is needed.

In order to prompt the world agrochemical industry communication, the 9TH CHINA INTERNATIONAL AGROCHEMICAL & GROUP PROTECTION EXHIBITION was held in Shanghai on March 12, 2008 to march 14, 2008. Some high toxic pesticides had been prohibiting producing such as Methamidophos, etc. Lots of middle or small agrochemical entrepreneurs had been reducing or prohibiting because of saving energy and reducing pollution policy, but brought the certain business chances for some big agrochemical necessary. In addition of that, the price of coal, oil, phosphorus is arising and transportation cost and earth tax is up, which prompt the cost of agrochemical, as the result, pesticide prices are turned higher.

477 thousand tons pesticide were dealt in 2007, 19.9% higher than last year, the total amount can reach 1.35billion dollars, higher than 29.8%, yet, the unit price is only higher than 8.3%, from these data, it is obvious that the space of export profit is out of optimistic.

According to customs statistics, the scale of Chinese agrochemical exporting is definitely expansion gradually. The market is located in 160 countries and states, and covers all over the world. Meanwhile, Chinese agrochemical manufacture is in gradually reduced to the extent to which they rely on import.

The increase of production cost and environment protection supervision depressed the profit of Chinese pesticide, which lacks of famous brand gradually. However in domestic markets, supply exceeds demand. The large production of pesticide had to transfer the direction to the world markets. Export agrochemical is a logical choice to solve the excess pesticide.

Recently, with the international general management of agrochemical entrepreneurs and the ability of management development, local agrochemical participate the international competition had gained the most effect. Even with the high quality, but lack of brand conception, Chinese agrochemical did only play the stooge roles in the international market. Profit is formed from cheap labor cost and environment cost.

Nowadays, raw material cost is changed to improved as well as cheap labor cost and environment cost. Decision of products price is the core factors for products profit ability. Pesticide made in china now footed the various directions. Such as mixture pesticide, insecticide etc. it will make the toxic to the lowest, but prompt the highest medicine effect. This dealt made up the disadvantages. Mixture pesticides are the most valuable to publicity and promotional facing export. Against some countries import limited, these kinds of products will become the key export products for China.

No comments: