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In 2011, the pressure on China's fertilizer overcapacity will further increase, and the increase in production capacity and output will decrease. The "12th Five-Year Plan" for fertilizer development is to control new projects and develop new fertilizer varieties. Nitrogen fertilizers are basically not on new projects, and the capacity replacement principle is adopted to control the growth of production capacity. Phosphorus fertilizers will no longer be approved for new projects in 3-5 years. Continuing investment booms in previous years have led to severe oversupply of fertilizer production capacity, which has led to fierce market competition and low prices in recent years. Estimated investment fever will be effectively controlled since 2011. The Chinese government regards energy conservation, emission reduction, environmental friendliness, and improving people’s livelihood as an important task for economic development during the “Twelfth Five-Year Plan†period. Therefore, in the next five years, the task of energy conservation and emission reduction will be even heavier. High-energy-consuming and high-cost fertilizer production capacity will be implemented. Gradually exit the fertilizer market.
In 2011, new changes will take place in the relationship between manufacturers. As market competition intensifies, leading distributors will work more closely with production companies. Manufacturers need to use their networks to build their own product brands, and dealers need a stable and high quality network. Resources.
A dealer expressed his expectations for 2011: After the introduction of the export tariff policy on fertilizers, it only caused a short-term slight fluctuation in the domestic market. Currently, the tonnage price of urea with fertilizer vane remains at around 1900 yuan, which is basically reasonable. Level. Although the export gate of ammonium phosphate was closed, the domestic market has started one after another and the price is stable. As raw material prices rose, it supported the relatively high price of fertilizer. The increase in the prices of agricultural products and the increase in income of farmers last year have greatly increased the enthusiasm of farmers for planting. This year, the demand for fertilizers will increase, and 2011 will be a good year.
The 12th Five-Year Fertilizer Industry Development Plan targets the development and transformation, focusing on the development of slow-release fertilizers, controlled-release fertilizers, and special fertilizers and functional fertilizers. 2011 is the first year of the “Twelfth Five-Year Planâ€, and the plan will undoubtedly have an important impact on the development of the industry. Under the guidance of industry policies, the future development model of the fertilizer industry will also shift from "hard input" to "soft expansion." The resources and energy attributes of fertilizer products determine that there will be no major adjustments to the restrictions on fertilizer export policies in 2011, and export tariff policies still focus on maintaining the total supply of domestic fertilizer and market price stability. The adjustment of the export tariff policy for domestic fertilizers will continue to focus on restraining the domestic chemical fertilizer production enterprises from balanced production and surprise exports.