Wednesday, October 12, 2011

Imported Varieties Win Chinese Rice Insecticide Market in 2011

Entering Oct., the application of insecticide on rice in 2011 is drawing to a close in China (insecticides are used mainly in March-Oct. every year). In the competition between imported rice insecticides and home-made insecticides, the former has turned out to be the winner with stronger market demand and higher market price, according to CCM’s October Issue of Insecticides China News.

In 2011, imported rice insecticides enjoy higher market demand than home-made rice insecticide in Chinese market, though both of them suffered from the abnormal weather in H1 2011. As reported, the total consumption of imported insecticides in China has posted a YoY growth of around 30% as of Sept. 2011, while that of home-made ones witnesses a YoY decline of about 20%. Imported rice insecticides have a pretty good performance this year. Take DuPont's chlorantraniliprole for example, the sales value of the product has reached around USD4.68 million as of Sept. 2011. 

Besides, though imported rice insecticides are expensive, farmers in some rice planting areas like Hunan Province still prefer to apply them. The market price of imported rice insecticides largely increases in 2011, with most seeing YoY growth ranging from 5%-20% as investigated. According to Mr. Li, a pesticide dealer in Hunan Province, the market demand for imported rice insecticides, especially DuPont's chlorantraniliprole, is stronger than that for home-made kinds this year; the market price of most imported varieties increases, while most home-made ones' just keeps stable. The average market price of 20% chlorantraniliprole SC in 5 ml package is about USD1.25/bag (RMB8/bag) in Jan.-Sept. 2011, which was USD1.12/bag (RMB7.5/bag) in 2010; average market price of 2% abamectin EC in 300 ml package remains stable at around USD2.65/bottle (RMB17/bottle) in Jan.-Sept. 2011.

Pests' strong resistance against most home-made rice insecticides makes farmers turn to imported products, which directly impacts the consumption of home-made rice insecticides this year. Abamectin, imidacloprid, chlorpyrifos and so on are trapped in this problem. Besides, as mentioned in Heated Fight in Rice Insecticide Market Starts from CCM International's Insecticides China News 1104, the low price of home-made rice insecticides becomes a double-edged sword—it's welcomed by domestic farmers, but directly leads to farmers' misuse, causing pests' stronger resistance. This situation aggravates this year.

Though the competition between imported and home-made rice insecticides in 2011 will be end soon, a new round of rivalry will start again and the future result might be reversed.

-The withdrawal of highly toxic pesticides favors the development of bio-pesticide industry in China.
-Along with the close of the poll by Hainan Government on banning carbosulfan, dimethoate and acephate on 5 Sept. 2011, the prohibition is a fact now.
-Shandong Dacheng is going to relocate its 45,000t/a insecticide production lines to Qilu Chemical Industrial Park, Zibo City in Shandong Province around Sept. 2012.
-Hubei Nongmao is going to produce chlorpyrifos technical with 20,000t/a capacity in 2012.
-Lianhe Chemical will finish building a 300t/a 4-ethylbenzoyl chloride production line in Yancheng Chenjiagang Chemical Industry Park in June 2012.
-Jiangsu Lanfeng finishes building 8,000t/a acephate technical and formulation production lines in Sept. 2011.
-On 13 Sept. 2011, Hebei Government first purchases imidacloprid WS for wheat seed dressing.
-Imported rice insecticide is the winner of China's rice insecticide market in 2011.
-In 2011, the number of betacypermethrin's registrations (both technical and formulations) drops to the lowest point since 2008 and the product's operating rate is also very low.
-China's total export volume of imidacloprid technical soars to 4,700 tonnes in Jan.-July 2011.
-The occurrence of insect pests on late rice is estimated to be moderate in the rest of 2011.
-Guizhou Baofeng is applying for the registration of 25% spirodiclofen AS, becoming the first domestic company to register spirodiclofen single formulation.
-The average market price of 98% carbofuran technical in China soars to USD16,883/t in Sept. 2011.
-Entering Oct. 2011, the market price of 95% abamectin technical keeps decreasing, reaching a trough since 2008.

Insecticides China News, a monthly publication issued by CCM International on 10th of every month, provides the latest and influential analysis on insecticide industry for you, including company dynamics, supply and demand, price analysis, policy, raw material and intermediate.
For more information about CCM’s Insecticides China News, please feel free to contact us at

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