Impact of Environmental Policies on Pesticides in China
In recent years, with the overall implementation of the state’s sustainable development strategy, China steps up environmental improvement by introduction of series of increasingly stringent environmental protection policies, measures and plans, which sweep across the whole country—many enterprises including those of the pesticide industry have been fined or have to restrict or suspend production. When comes to pesticide industry, despite the high requirement for environmental protection due to the large amount of water, gas and solid wastes generated in the production process, some pesticide enterprises seek profits and fail to spend on necessary environmental protection, defying the related environmental protection laws and regulations. They obtain certain market shares with the advantage of low cost by polluting the environment. Unfair competition between enterprises who follow the law and those who don’t restricts the healthy development of the industry. Environmental protection policies, measures and plans that come into force successively will have significant influences on the country’s pesticide industry.
Under the strict environmental protection policies, there are opportunities for relatively strong pesticide companies. In the pesticide market, where prices have risen sharply in 2017, they have achieved growth in both operating revenue and profits through environmental protection reforms, technology upgrades and effective cost control. Moreover, as enterprises which failed to meet the environmental protection standards withdraw from the market, these powerful enterprises that meet the environmental standards will gain more market share. For small plants, environmental protection policies bring more challenges.
What are the major environmental protection policies in China? How these policies affect China's pesticide market? In this report, CCM introduces the polices and their influences from the aspects of production, sales, exports, prices, supply and demand of pesticides.
Under the strict environmental protection policies, there are opportunities for relatively strong pesticide companies. In the pesticide market, where prices have risen sharply in 2017, they have achieved growth in both operating revenue and profits through environmental protection reforms, technology upgrades and effective cost control. Moreover, as enterprises which failed to meet the environmental protection standards withdraw from the market, these powerful enterprises that meet the environmental standards will gain more market share. For small plants, environmental protection policies bring more challenges.
What are the major environmental protection policies in China? How these policies affect China's pesticide market? In this report, CCM introduces the polices and their influences from the aspects of production, sales, exports, prices, supply and demand of pesticides.
EXECUTIVE SUMMARY
METHODOLOGY
1 STRINGENT ENVIRONMENTAL PROTECTION POLICIES AND MEASURES IN CHINA
1.1 China's environmental protection policies from the perspective of production
1.2 China's environmental protection policies from the perspective of consumption
1.3 China's environmental protection policies from the perspective of action and implementation
2 IMPACT OF ENVIRONMENTAL POLICIES ON PESTICIDE PRODUCTION IN CHINA
2.1 Reduced output of pesticides
2.2 Pesticides output declining in most regions of China
2.3 Decline in China's pesticides output is expected to continue in 2018
3 IMPACT OF ENVIRONMENTAL POLICIES ON SALES OF PESTICIDES IN CHINA
3.1 Performances of major pesticide producers in 2016 and 2017
3.2 Ex-works prices of common pesticides in 2017
3.3 Analysis on purchasing behavior of domestic pesticide traders and pesticide formulations enterprises
4 IMPACT OF ENVIRONMENTAL POLICIES ON CHINA’S PESTICIDES EXPORTS
4.1 Summary of impact of environmental policies on China’s pesticide exports
4.2 2,4-D
4.3 Glyphosate
4.4 Acetochlor
4.5 Chlorpyrifos
4.6 Azoxystrobin
5 IMPACT OF ENVIRONMENTAL POLICIES ON PESTICIDE PRICES IN CHINA
5.1 Rising raw material costs boosted pesticide prices
5.2 Peak season demand pushed up pesticide prices
5.3 Industry speculation drove up pesticide prices
METHODOLOGY
1 STRINGENT ENVIRONMENTAL PROTECTION POLICIES AND MEASURES IN CHINA
1.1 China's environmental protection policies from the perspective of production
1.2 China's environmental protection policies from the perspective of consumption
1.3 China's environmental protection policies from the perspective of action and implementation
2 IMPACT OF ENVIRONMENTAL POLICIES ON PESTICIDE PRODUCTION IN CHINA
2.1 Reduced output of pesticides
2.2 Pesticides output declining in most regions of China
2.3 Decline in China's pesticides output is expected to continue in 2018
3 IMPACT OF ENVIRONMENTAL POLICIES ON SALES OF PESTICIDES IN CHINA
3.1 Performances of major pesticide producers in 2016 and 2017
3.2 Ex-works prices of common pesticides in 2017
3.3 Analysis on purchasing behavior of domestic pesticide traders and pesticide formulations enterprises
4 IMPACT OF ENVIRONMENTAL POLICIES ON CHINA’S PESTICIDES EXPORTS
4.1 Summary of impact of environmental policies on China’s pesticide exports
4.2 2,4-D
4.3 Glyphosate
4.4 Acetochlor
4.5 Chlorpyrifos
4.6 Azoxystrobin
5 IMPACT OF ENVIRONMENTAL POLICIES ON PESTICIDE PRICES IN CHINA
5.1 Rising raw material costs boosted pesticide prices
5.2 Peak season demand pushed up pesticide prices
5.3 Industry speculation drove up pesticide prices
LIST OF TABLES
Table 1.1-1 Major environmental protection policies and regulations related to the production of pesticides in China, as of the end of April 2018
Table 1.2-1 Major environmental protection policies and regulations related to the consumption of pesticides in China, as of the end of April 2018
Table 2.1-1 Output of China's pesticide technical, 2014–2017
Table 2.1-2 Output of China's pesticide technical by category, 2017
Table 2.2-1 Top ten regions by pesticide technical output in China, 2017
Table 2.2-2 Output of Shandong Cynda Chemical Co., Ltd.'s major pesticide technical, 2014–2017, tonne
Table 2.3-1 Output of China's pesticide technical by region, Jan. 2018–Feb. 2018
Table 3.1-1 Net profit rates of major pesticide producers in 2016 and 2017
Table 3.1-2 Operating income of major pesticide producers, 2017
Table 3.2-1 Ex-works price of glyphosate technical of major producers, 2017
Table 3.2-2 Ex-works price of acetochlor technical of major producers, 2017
Table 3.2-3 Ex-works price of methomyl technical of major producers, 2017
Table 4.2-1 Monthly FOB price of 96% 2,4-D technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.2-2 Monthly export volume of 2,4-D (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.2-3 Monthly export volume of China's 2,4-D technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.2-4 Monthly export volume of China's major 2,4-D formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.3-1 Monthly FOB price of 95% glyphosate technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.3-2 Monthly export volume of glyphosate (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.3-3 Monthly export volume of China's glyphosate technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.3-4 Monthly export volume of China's major glyphosate formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.4-1 Monthly FOB price of 93% acetochlor technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.4-2 Monthly export volume of acetochlor (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.4-3 Monthly export volume of China's acetochlor technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.4-4 Monthly export volume of China's major acetochlor formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.5-1 Monthly FOB price of 97% chlorpyrifos technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.5-2 Monthly export volume of chlorpyrifos (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.5-3 Monthly export volume of China's chlorpyrifos technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.5-4 Monthly export volume of China's major chlorpyrifos formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.6-1 Monthly FOB price of 98% azoxystrobin technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.6-2 Monthly export volume of azoxystrobin (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.6-3 Monthly export volume of China's azoxystrobin technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.6-4 Monthly export volume of China's major azoxystrobin formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 5.3-1 Quoted prices and transaction prices of selected pesticides in H1 2017 in China
Table 5.3-2 Quoted prices and transaction prices of selected pesticides in H2 2017 in China
Table 5.3-3 Difference between quoted prices and transaction prices of selected pesticides in H1 2017 and H2 2017
Table 1.1-1 Major environmental protection policies and regulations related to the production of pesticides in China, as of the end of April 2018
Table 1.2-1 Major environmental protection policies and regulations related to the consumption of pesticides in China, as of the end of April 2018
Table 2.1-1 Output of China's pesticide technical, 2014–2017
Table 2.1-2 Output of China's pesticide technical by category, 2017
Table 2.2-1 Top ten regions by pesticide technical output in China, 2017
Table 2.2-2 Output of Shandong Cynda Chemical Co., Ltd.'s major pesticide technical, 2014–2017, tonne
Table 2.3-1 Output of China's pesticide technical by region, Jan. 2018–Feb. 2018
Table 3.1-1 Net profit rates of major pesticide producers in 2016 and 2017
Table 3.1-2 Operating income of major pesticide producers, 2017
Table 3.2-1 Ex-works price of glyphosate technical of major producers, 2017
Table 3.2-2 Ex-works price of acetochlor technical of major producers, 2017
Table 3.2-3 Ex-works price of methomyl technical of major producers, 2017
Table 4.2-1 Monthly FOB price of 96% 2,4-D technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.2-2 Monthly export volume of 2,4-D (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.2-3 Monthly export volume of China's 2,4-D technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.2-4 Monthly export volume of China's major 2,4-D formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.3-1 Monthly FOB price of 95% glyphosate technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.3-2 Monthly export volume of glyphosate (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.3-3 Monthly export volume of China's glyphosate technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.3-4 Monthly export volume of China's major glyphosate formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.4-1 Monthly FOB price of 93% acetochlor technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.4-2 Monthly export volume of acetochlor (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.4-3 Monthly export volume of China's acetochlor technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.4-4 Monthly export volume of China's major acetochlor formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.5-1 Monthly FOB price of 97% chlorpyrifos technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.5-2 Monthly export volume of chlorpyrifos (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.5-3 Monthly export volume of China's chlorpyrifos technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.5-4 Monthly export volume of China's major chlorpyrifos formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.6-1 Monthly FOB price of 98% azoxystrobin technical exported from China, Jan. 2016–Dec. 2017, USD/kg
Table 4.6-2 Monthly export volume of azoxystrobin (calculated by 100% TC) from China, Jan. 2016–Dec. 2017, tonne
Table 4.6-3 Monthly export volume of China's azoxystrobin technical (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 4.6-4 Monthly export volume of China's major azoxystrobin formulations (calculated by 100% TC) by specification, Jan. 2016–Dec. 2017, tonne
Table 5.3-1 Quoted prices and transaction prices of selected pesticides in H1 2017 in China
Table 5.3-2 Quoted prices and transaction prices of selected pesticides in H2 2017 in China
Table 5.3-3 Difference between quoted prices and transaction prices of selected pesticides in H1 2017 and H2 2017
LIST OF FIGURES
Figure 5.1-1 Monthly ex-works price of some common pesticide raw materials, Jan. 2016–March 2018
Figure 5.2-1 China's pesticide price index fluctuations in 2017
Figure 5.2-2 China's pesticide price index fluctuations in 2016
COMPANIES MENTIONED
Shandong Cynda Chemical Co., Ltd.
Nanjing Red Sun Co., Ltd.
Jiangsu Changqing Agrochemical Co., Ltd.
Zhejiang Wynca Chemical Industrial Group Co., Ltd.
Nutrichem Co., Ltd.
Figure 5.1-1 Monthly ex-works price of some common pesticide raw materials, Jan. 2016–March 2018
Figure 5.2-1 China's pesticide price index fluctuations in 2017
Figure 5.2-2 China's pesticide price index fluctuations in 2016
COMPANIES MENTIONED
Shandong Cynda Chemical Co., Ltd.
Nanjing Red Sun Co., Ltd.
Jiangsu Changqing Agrochemical Co., Ltd.
Zhejiang Wynca Chemical Industrial Group Co., Ltd.
Nutrichem Co., Ltd.
