China's rocketing crop protection industry: opportunities and challenges coexist

Rapidly growing pesticide industry

China's pesticide industry has been developing quickly in recent years. Over the past decade, China's pesticide output has almost doubled, with pesticide varieties multiplied. Nevertheless, in China's pesticide industry challenges and opportunities coexist. In the near future, China is likely to become a global production base of chemical raw materials and formulations. China's pesticide import and export will soar then.

On the other hand, China's domestic demand for pesticide are being pushed up by several factors, such as the cancellation of gricultural land tax since 2006, the sustaining growth of farmer's average income, and rural labour's flow from farmland into urban areas.

With the adjustment of crop planting structure and prohibition of pesticides with high toxicity and low efficiency, China's pesticide industry will witness structural adjustment in the future years. Pesticides with high efficiency, good safety and reasonable price will show their tremendous potential in the market. It is forecasted about RMB10 billion market left for new pesticides in the coming several years.

In export, China's pesticide has maintained a growth trend in general. Though the most varieties China has been exporting so far are pesticides with patent expired, new pesticides with China's own intellectual properties are gradually entering the global market.

Continual growth of genetically modified crops

China's GM crops' market will grow at 5.4% annually, and its significant impact on conventional pesticide industry will remain. However, the growing GM crops bring about both challenges and opportunities. For example, with the expanding planting area of GM crops with herbicide resistance, the herbicides applied to them will maintain a growth trend, while with GM pest-resistant crops being planted more and more, the market of conventional insecticides will shrink.

Along with the speeding-up development of China's crop protection, it is essential to understand the latest market information, dvanced technology, and progress in China's regulations on crop protection. CCM International now brings you to the Future of Crop Protection China to meet your need.