Apr. 24, 2019
In 2018, Hunan Haili Chemical Industry
reported net profits of Yuan65.14 million after deducting non-recurring profits and losses, which was an increase of 85.71% year on year. The carbofuran export share for Hunan Haili increased, as propoxur and carbaryl were responsible for nearly all export shares, while the export share of methomyl and fenobucarb remained stable.
The net profit in the first quarter of 2019 for Hunan Haili is expected to increase 310% to 360% year on year. It is noted that the net profit for the first quarter of last year was Yuan7.01359 million. \Officials at Hunan Haili Chemical Industry said that the company is working to see business income of Yuan2 billion for 2019, and the company is planning to introduce strategic investors in the development of mixed economic systems via acquisitions and mergers, and to grow the company’s business volume.
“The Xiangshui explosion resulted in the restructuring of the chemical industry, where strict work safety regulations will phase out outdated productions, and industry concentration is expected to increase,” said Liu Hongbo, the deputy general manager of Hunan Haili. “Strict environmental compliance inspections will provide opportunities to industry leaders, and as a leading company, Hunan Haili will benefit from this.”
According to information, Xiangshui Ecological Chemical Industrial Park neighbors alongside other chemical parks, such as Lianyungang Chemical Industrial Park, Yancheng Costal Chemical Park and Guanyun Port Area Industrial Parks, being an important production base for pesticide, dyestuff, pigment, fire retardant and intermediates.
Liu Hongbo says the complete shutdown of Xiangshui Chemical Industrial Park may lead to decreased supplies of important products, resulting in price increases which will affect terminal markets, as well. Supplies from the chemical industry will become restricted, as strict regulations of environmental compliance and work safety will drive the consolidation of resources and restructuring within the chemical industry.
By virtue of its leading market share and the business operations in compliance, Hunan Haili has taken the first-move advantage in restructuring activities within the chemical industry.
“Next, our company is prepared to extend our business, both internally and externally, in order to seize opportunities. Internally, we will carry out our planning to move forward the construction of the production bases in Changde of Hunan Province and Guixi of Jiangxi Province. Externally, we will speed up the process of consolidation and incubation of target companies via our mother group and acquisition fund,” said Liu Hongbo.
If you want to get more information about China's pesticide industry and follow up the trend of global pesticide supply, please join the CPEW (China Pesticide Exporting Workshop) 2019 which will be held in July 4-5 in Hangzhou, China this year. We will invite specialist and companies to talk about the pesticide and intermediate supply in China and India, also introduce new product opportunities. More topics please click: