Vertellus launching a pyridine joint venture in China

Recently Vertellus Specialties Inc, the world largest pyridine, picoline and pyridine derivatives producer (Vertellus) announced the establishment of the Vertellus  Specialties Chemical Ltd - a new joint venture in cooperation with China’s Weifang Olive Green Chemical Ltd (Weifang Olive) .

The joint venture takes an investment of US$60.46 million with a registered capital of US$20.15 million, where Vertellus holds the controlling share, to be engaged in production and sale of pyridine, picoline and associated products. The joint venture is designed for an annual capacity of 10,000 tons of pyridine and picoline, which may be even extended in the future; the plant is expected to be brought on stream in the summer of 2013.

Pyridine is an important fine chemical material, being currently one of the heterocyclic compounds with broadest applications; pyridine derivatives mainly include 2-methyl-pyridine, 3-methyl-pyridine and 4- methyl-pyridine.

According to the <2013 – 2018 Pyridine Market & Investment Risk Analysis Report>, China’s total pyridine series production capacity has reached 120,000 tons, with annual output arriving at 80,000 tons. At present there are more than 10 prime producers which include Nanjing Red Sun, Vertellus Jiangsu Nantong, Shandong Lubachem, Shandong Weifang Olive, Hebei Tangshan Chenghong, Hubei Jingzhou Sanonda, He’nan Xinxiang Hengji, etc. Over past years and the especially over recent years there has been an increasingly growing demand for pyridine series from Chinese market, the supply cannot meet the demand although some new lines are brought into production; it is anticipated that China will still rely import in the future.

The Report gives a forecast that China’s demand for pyridine series will reach 100,000 tons by 2015, with a double-digit annual growth being foreseen in the years ahead.

Inquiry for the <2013 – 2018 Pyridine Market & Investment Risk Analysis Report>,  please contact info@agropages.com