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Price and Supply: continuation of China’s pesticide technical and formulation faces severe challenges
Mar. 16, 2018
During the previous week, CAC Shanghai became the focus of attention of the pesticide industry, as it had no obvious impact on the prices of pesticide technical.
The prices of intermediates rose generally, which resulted in the short supply and the increased price of technical materials, which remains high.
Last week’s local and international trade volume both decreased, which may require upstream and downstream enterprises to review and modify of their marketing strategies based on the current market situation. New environmental regulations have also been adopted in all provinces in China, which have encouraged the upgrading of industrial parks and industrial consolidation. The production of pesticide technical and formulations are expected to face considerable challenges in the future.
The production of insecticide intermediates is declining, due to environmental and safety issues while prices remain high. The rise in the price of organophosphorus pentasulfide has destabilized the production of ethyl chloride and downstream technical materials, which are in short supply and have weak trading volumes. The production of Pyrethroid intermediates also declined while a recent anti-dumping case involved m-phenoxybenzaldehyde, leading to a short supply in the market. The price of nicotinic insecticide has remained stable, as international buyers have not yet placed major orders. The price of the Abamectin series has remained high while powder and emamectin benzoate are in short supply and their prices have remained stable. The intermediates of miticide technical are also in short supply and their prices have remained stable.
The trade volume of herbicides remain low while prices are staying high. Due to market and cost support, the price of glyphosate technical has rebounded. Amide technical downstream enterprises have been cautious about taking orders and are mostly delivering earlier orders. The supply of intermediates has remained constant and prices have been stable. The price of sulfonylureas remains high, due to the limited supply of its intermediates. Soybean-use herbicides clomazone technical, fomesafen technical and clethodim technical remain in short supply. The price of applications used in corn production remain stable, as essential varieties of the crop have remained in short supply while the price of mesotrionen technical rose significantly, due to the limited supply of its intermediates.
The price of fungicide triazoles remain high, as well as m-dichlorobenzene, due to their limited supply, which reflects strong cost support. The prices of difenoconazole technical, propiconazole technical and tebuconazole technical have all remained high. As the production of prochloraz technical and hymexazol technical have declined, there is now a shortage of supply, but their prices have remained high, due to the short supply of their intermediates.
Source: Sino-agri， Agronews
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