New Fertilizer Will Become The Industry Development Locomotive

- Sep 22, 2017 -

From February 28 to March 1, 2017 China International Fertilizer Development and Trade Forum was held in Shanghai. The Forum believes that the current fertilizer industry in China is facing a slowdown in the development rate, declining profit margins, serious product homogeneity, and so on, to complete the fertilizer reduction task, need to improve fertilizer utilization, adjust the use of fertilizer structure, promote and use new fertilizers, promote product structure and quality upgrading. In the "Thirteen-Five" period and in the future, water soluble fertilizer, microelement fertilizer, Soil conditioner, bio-stimulating element and other aspects of the new fertilizer will become the industry's development "locomotive."
The Forum by the China Council for the promotion of international Trade Chemical Industry Branch, China Inorganic Salt Industry Association in the microelement Fertilizer Industry branch jointly organized, around the "fertilizer industry in the growth of fertilizer in the road of transformation" theme, for the fertilizer industry development pulse, explore the technical path of fertilizer upgrading, analysis of future fertilizer products and market
China Inorganic Salt Industry Association president Wang Xiaofeng in the forum pointed out that China's fertilizer industry is currently in the life cycle of maturity, this stage there is overcapacity, competition, product structure and demand is not consistent, low utilization of products, high input. Researcher Zhaobingjiang, Institute of Agricultural Resources and agricultural regionalization, China Academy of Agricultural Sciences, the reduction of chemical fertilizer, the transformation of agricultural production mode and the negative effect of applying fertilizer from quantitative accumulation to qualitative change have put forward new requirements for the innovation and development of fertilizer industry, and the traditional fertilizer industry is changing from supply-oriented position to demand. Fertilizer products should be enhanced by means of the development of value-added fertilizer, nutrient supply model optimization, functional development, organic and inorganic compound, the development of special fertilizer, such as crop five major technical approaches, upgrading performance and function.
According to Xu Shucheng, a professor of chemical engineering at Zhengzhou University, if the amount of fertilizer applied in China is reduced by nearly half, it will reduce expenditure by 350 billion yuan annually for the state, fertilizer enterprises and farmers. 2015, the main operating income of the fertilizer industry in China is 947.7 billion yuan, sales profit of 33.37 billion yuan, profit margin is only 3.5%, far below the normal profit margin of agricultural inputs 10%. In the next 14 years, if the fertilizer production is reduced by one-second, the quality of the fertilizer will be raised, the normal profit margin of 10%, the Agricultural service additional profit margin to 10%, the profit per ton of fertilizer from 3.5% to 20%, the fertilizer industry profits will increase to 76 billion yuan in 2030. He said that in order to adapt to the future of agricultural demand, the field of fertilizer production must be a major change.

Chen, director of China Fertilizer Information Center, said in recent years, the preferential policy of fertilizer industry has been gradually reduced, the rapid growth of fertilizer production and the steady growth of market demand have led to the increasing contradiction between supply and demand of chemical fertilizer, and the problems such as overcapacity, poor profitability, unreasonable product structure, low utilization rate and inadequate agricultural service. When talking about the reform of fertilizer supply side, she suggested that the fertilizer industry should go to capacity, save energy, reduce cost, adjust product structure, improve product efficiency, strengthen agrochemical service, use the electric business Platform Innovation Marketing mode, borrow force "all the way" to expand the international market. In the aspect of demand side, we should take the planting structure adjustment and the "Zero fertilizer action" as the key, promote the precise fertilization, adjust the fertilization structure, improve the fertilization method, and accelerate the application of organic fertilizer instead of the fertilizer action.
The author learned from the forum that the national policy on the development of new fertilizers also pointed out the direction. The Ministry of Agriculture and the Department of Transformation and upgrading of the guidance proposed to encourage the development of high efficiency, environmental protection new fertilizers; The USDA requires fertilizer nutrient efficiency, long-term effect, the proportion of scientific, functional function.

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