Phosphorus Industry China Monthly Report

In Nov. 2014, the 15th Homemade High Analysis Phosphate Fertilizer & Compound Fertilizer Trade Fair was held in Ningbo City. In the meeting, CCM learned that the transformation ideas of China’s fertilizer industry became gradually clear. In detail, for product structure, new functional fertilizer will enjoy the leading role; for the operating mode, new marketing innovation such as e-commence will became the hotspot; for policies, the adjustment of fertilizer policies will be more close to the market.

Regarding China’s phosphorus chemical industry, at the end of Oct. 2014, China’s Phosphorus Chemical Industry Sustainable Development Meeting was held in Jiangyin City. Li Yongwu, director of China Petroleum and Chemical Industry Federation pointed out that China’s economy has entered into a new status, which are in accord with China’s actual condition. The internal and external environments for the development of the phosphorus chemical industry have changed. Therefore, China’s phosphorus chemical industry should adapt the changes, depending on high-end, differentiation and green development. What’s more, it should vigorously promote technology innovation to achieve sustainable development. Based on this, CCM believes that after the rapid development in the 11th Five-Year Plan and 12th Five-Year Plan, China’s phosphorus chemical industry, with perfect infrastructure and sufficient product supply, lays a solid foundation for the development towards fine chemical industry. During the 13th Five Year Plan, China’s phosphorus chemical industry will focus on technology innovation and green development, aiming at developing the high-end area and circular economy, expanding industrial chains and improving added value of products.

In view of enterprises, in Nov. 2014, some China's phosphorus chemical enterprises have put their fine phosphorus chemical projects into construction. For example, Ko Yo Group’s JCKPA phosphoric acid project (kiln method) and Guangxi Mingli’s Dongchuan phosphorus chemical project. At the same time, Jiangyin Chengxing gave a plan on the construction of a phosphorus chemical industrial cluster with output value of ≥USD100 billion.

The RMB/USD exchange rate in this issue is USD1.00=RMB6.1525 on 3 Nov., 2014, sourced from the People's Bank of China. All the prices mentioned in this newsletter include the VAT unless otherwise specified.

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