Thursday, February 28, 2013

TiO2 prices slow their fall and show signs of stability in Jan. 2013


As the Chinese lunar new year is approaching, the future trend of TiO2 prices has become more uncertain. Moreover, with months of price declines, titanium feedstock dealers are prudent to sell their products at the current price. As a result, TiO2 prices are slowing their fall and showing signs of stability in Jan. 2013. The TiO2 price in Southwest China is playing a pioneer role in the adjustment and prices in other places around China are following suit. The rutile TiO2 price in Southwest China is stable in Jan. 2013, alike the previous month. It has been the third month that the rutile TiO2 price in Southwest China hasn't declined further. TiO2 prices in Central China and East China are adjusting to match that in Southwest China and there is a one-month delay after Southwest China's prices are amended. The anatase TiO2 price in Southwest China saw a sequential increase in Jan. 2013, compared with the previous month, while the price in other places around China stabilized. However, because international TiO2 giants have cut prices, imported TiO2 prices are equal to domestic ones.

Therefore, there is still a possibility for domestic TiO2 producers to cut prices. As for titanium concentrate ore prices, all the price curves (including Guangxi Zhuang Autonomous Region, Hainan Province, Yunnan Province and Sichuan Province) became flat in Jan. 2013. Small titanium feedstock dealers, whose products are produced by small titanium feedstock producers, are prudent to sell their products at the current price. The titanium slag price decreased slightly in Nov. 2012 compared with the previous month.

Titanium Dioxide China Monthly Report  is a monthly publication released by CCM. It offers timely update and close follow up of China’s various kind of Titanium Dioxide market dynamics, analyze the market data and trends. TiO2 China Monthly Report will provide intelligence of Chinese TiO2 industry, including supply/demand, company dynamics, raw material supply, etc, and the latest policies and technological progress to facilitate your search for commercial opportunities in this promising market.

About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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Oil content of China's rape variety YN171 breaks world record again


A new rape variety named YN171, bred by Wang Hanzhong, researcher of Oilcrops Research Institute, Chinese Academy of Agricultural Sciences, as well as chief scientist of the National Rape Industrial Technology System, has broken the world record of oil content again from the   previous record of 54.74% which was also created by Professor Wang. It is reported that the oil content of YN171 has hit a high record of 64.8%, which will provide valuable parent resources for China's rape breeding and research on gene regulation on high oil content. Meanwhile, it indicates that the oil content of China's rape has a huge room for improvement. In addition, Professor Wang and his team also bred a high-yield rape variety named 11-zy293 with oil content of 49.57%, which gained an oil output of 1,434 kilograms per hectare in 2011-2012 regional test, 193 kilograms per hectare higher than that of common rape variety. Besides, 11-zy293 in the regional test also showed good performances like lodging resistance, disease resistance, etc. which is suitable for mechanical sowing and harvesting.

The Ministry of Agriculture (MOA) suggests to increase the lowest purchasing price of rice drastically in 2013, in consideration of the increasing planting cost of rice in China. For example, in 2012, the planting cost of rice in Jiangxi Province grew by more than 20% over the previous year. Besides, due to continuous rain in harvesting period, the labor cost of rice harvesting in Heilongjiang Province increased by USD238/ha.-USD476/ha. in 2012. In order to stabilize farmers' enthusiasm for planting, the lowest purchasing price of rice is expected to increase largely in 2013. Actually, it is reported that the lowest purchasing prices of per kilogram of early rice, late indica rice and japonica rice in 2012 have been raised by 17.7%, 16.8% and 9.4% respectively over the previous year. Besides rice, the planting costs of other grain crops like wheat have also increased. According to investigation from the National Development and Reform Commission (NDRC), the net profit of wheat planting has been decreasing for three years and is expected to continue to drop this year owning to planting cost rise.

AgriChina Investor is a monthly publication released by CCM’s. It is covering sections of investment environment, investment dynamics, market watch, industry discovery, expert view and market review etc.AgriChina Investor will focus on the economic situation, governmental policy, financial capital flow, key players' dynamics, big events and hot issues etc. in agriculture industry. Providing the most comprehensive information about the capital investment dynamics and market dynamics, this newsletter can make you clear about the investment environments in China's agriculture industry.

About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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Policy outlook of seed industry in 2013


As positioned in the Suggestions for Accelerating Development of Modern Crop Seed Industry and National Development Plan 2012-2020 for Modern Crop Seed Industry released by the State Council in 2011 and 2012 respectively, seed industry in China is a fundamental and strategic core industry, which has greatly inspired the enthusiasm of social capitals, especially state-owned ones, to join the industry. For instance, China National Seed Group Co., Ltd. (under Sinochem Group), China Oil & Foodstuffs Corporation, China National Agricultural Means of Production Group Corporation, China Grain Reserves Corporation and China National Agricultural Development Group Co., Ltd. are intended to enter seed industry or further expand their seed business.
 
With solid capital support and the pursuit of expansion, state-owned seed companies are predicted to continue M&A in order to grab more market shares even regardless of costs in 2013. In contrast, private capitals are more connected with the features of marketization and speculation, whose investment in seed industry will be less consistent compared with state-owned capitals. But the own responsibility to long undertake seed business and to strengthen seed industry is still just a slogan for both state-owned and private enterprises.
 
On one hand, social capitals support seed enterprises that were short of capitals to upgrade their technologies and equipment while those enterprises' deficient understanding about industrial structure and technology restrains investments' efficiency. On the other hand, the entry of large social capitals will encourage the appearance of short-or-medium-term Valuation Adjustment Mechanism. There is still a strong executive-led atmosphere of planned economy in current seed market. Overall, the investment tide will last for a period, with almost equal benefit and impact to seed industry in China.
 
Seed enterprises seem somewhat impetuous, with the emergence of speculation for "big varieties" and themselves. Many seed players attempt to make windfall profits and achieve capital accumulation by increasing the bet on some "big varieties" rather than taking pragmatic operation and enhancing R&D. Nearly all owners of seed companies dream of getting listed which is actually not so practical. 
  
Compared with the expect from the industry, the upgrading of Approval Measures for Major Crop Varieties and Seed Law is still nowhere in sight, which is estimated to hardly be finished within 2013.

Seed China News  is a monthly publication released by CCM. It offers timely update and close follow up of China’s various kind of seed market dynamics, analyze the market data and trends. Major columns include market dynamic, company dynamic, raw material supply, price update, import & export analysis, consumption trend & competitiveness.

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As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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Pesticide adjuvant would be any substance added with, but separate from the pesticide formulation


It is well known that, a pesticide adjuvant is substance that can be added at will, but it is separated from the pesticide formulation, which will improve the pesticide's desired effect. Common pesticide adjuvants include synergists, penetrants, sticking agents, wetting agents, etc. An adjuvant can be used as sticking agents adhering pesticide on the area where pesticide is effective. An adjuvant can be used as penetrants changing the epidermal layer of the leaf surface to let pesticide permeate. An adjuvant can attract targeted pests to the pesticide as when it is used as food for the pest in baits.

On domestic pesticide retail market, pesticide formulations are always sold together with pesticide adjuvant in an extra small-package. Usually, a conjoint package contains a primary pesticide product and pesticide adjuvant in a small package. Sellers often call the pesticide adjuvant in a small package as synergist. Actually, most of the packages of pesticide adjuvant do not provide its chemical ingredients.
 
At present, China's current regulations on pesticide do not require the ingredients of pesticide adjuvants in an extra small package shold be registered. In addition, its ingredients are not sampled by pesticide inspection. An insider disclosed that some manufacturers will adopt conjoint packages for the purpose of adding some hidden ingredients or highly toxic ingredients in pesticide adjuvant in a small package in order to avoid being inspected. The adjuvants in extra small packages have become a commonly used cover of pesticide producers' illegal act. But few cases have been investigated in China in recent years. The management of pesticide adjuvants in extra small packages is a blind spot of additives monitor.

Insecticides China News is a monthly publication released by CCM. It offers timely update and close follow up of China’s various kind of China's insecticide market, knowing current market situation will facilitate you to search for commercial opportunities in China's huge market; closely follow-up of government policies, natural disasters and area dynamics will definitely help you make quicker and wiser decisions.

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As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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MOF allocates USD19.4 billion subsidies to support spring farming


Restrictive policies restrain multinational seed companies' technological advantages, which also hinders their further growth in China, such as DuPont Pioneer, Monsanto and Syngenta. Other multinationals like Dow AgroSciences, Bayer and Limagrain are planning to enter China's seed market. And it is worth noting that dependent on the good business contacts with Heilongjiang Land Reclamation Bureau, KWS fortunately has a sound development in China.
 
Even with technology strength, foreign companies are strategically hesitant and irresolute. They excessively go after short-term benefits while sharing the shortcoming of different culture and concept. Thus, the best way out for these companies is to make specific and steady long-term strategies and connect themselves more with local markets in practice.  Furthermore, whether foreign companies could build long-term partnership with multi stakeholders will be crucial for their successful operation and sustainable development in China.

In order to support the spring farming, the Ministry of Finance (MOF) recently has allocated USD2.4 billion (RMB15.1 billion) of grain direct subsidies and USD17.0 billion (RMB107.1 billion) of subsidies for agricultural means of production to provinces, autonomous regions and municipalities. In addition, the MOF has also allocated USD5.0 billion (RMB31.5 billion) of grants for 2013 grain risk fund. Coupled with USD1.1 billion (RMB6.7 billion) that allocated by local government, the current amount of grain risk fund has risen to USD6.1 billion (RMB38.2 billion). The grain risk fund, established in 1994, is aiming to protect the interests of grain growers, and further to stabilize grain markets and to ensure national grain safety. In order to alleviate the financial burden of the main production areas, the grain risk funds in China's 13 main production areas have all been paid by the MOF.

AgriChina Investor is a monthly publication released by CCM’s. It is covering sections of investment environment, investment dynamics, market watch, industry discovery, expert view and market review etc.AgriChina Investor will focus on the economic situation, governmental policy, financial capital flow, key players' dynamics, big events and hot issues etc. in agriculture industry. Providing the most comprehensive information about the capital investment dynamics and market dynamics, this newsletter can make you clear about the investment environments in China's agriculture industry.

About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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China's urbanization rate hits 52.57% in 2012


China's urbanization rate, urban population/the country's total population, hit 52.57% at the end of 2012, up 1.3% from a year earlier, according to data released by the National Bureau of Statistics (NBS) on 18 Jan. 2013. China's total population was 1.35 billion at the end of 2012, 6.69 million more than the figure at the end of 2011, released by the NBS.

China's GDP(gross domestic product) hit USD8.28 trillion (RMB51.93 trillion) in 2012, up 7.8% year on year, according to data released by the National Bureau of Statistics (NBS) on 18 Jan. 2013. The GDP growth rate was 9.3% in 2011 and 10.4% in 2010, and last year is the first time that the GDP growth rate has dropped below 8% since 1999.
 
China's GDP growth rate rose to 7.9% in Q4 2012, ending a seven-straight-quarter slowdown, as shown by the data from the NBS. The GDP growth rate was 7.4% in Q3 2012, 7.6% in Q2 2012 and 8.1% in Q1 2012. Although China's GDP growth rate in 2012 recorded the lowest point in recent ten years, it was still higher than most forecasts, boosted by the strong trade performance in December, as well as improved consumption and investment near the end of the year.

AgriChina Investor is a monthly publication released by CCM’s. It is covering sections of investment environment, investment dynamics, market watch, industry discovery, expert view and market review etc. AgriChina Investor will focus on the economic situation, governmental policy, financial capital flow, key players' dynamics, big events and hot issues etc. in agriculture industry. Providing the most comprehensive information about the capital investment dynamics and market dynamics, this newsletter can make you clear about the investment environments in China's agriculture industry.


About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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China needs to attach importance to extra small-package pesticide adjuvants regulation


Pesticide adjuvants in extra small packages now are being increasingly used in pesticide sales in China as pesticide formulations study is increasingly deepened in recent years. The problem of pesticide adjuvants in extra small packages needs to get sufficient attention on further strengthening the supervision and regulation establishment. On one hand, China lacks of regulations and supervision on the use of  pesticide adjuvants in extra small packages at present. On the other hand, some manufacturers add illegal ingredients secretly under the name of pesticide adjuvants, which has harmed the interests of many farmers. For example, a case happened in Zhengzhou City of Henan Province that pesticide adjuvants made the production of corn and peanut of 494 ha. decreased.

As a matter of fact, the Ministry of Agriculture of People's Public of China (MOA) has noticed the bright prospect and current problems of adjuvants in extra small packages in pesticide application. The MOA has been studying relevant standards for pesticide adjuvants in conjunction with some large pesticide manufacturers in China. In addition, a thematic workshop of pesticide environmental adjuvants was held in April 2012 during the Third Environment-friendly Pesticide Formulation Processing Technology and Production Equipment Symposium hosted by the Chinese Crop Protection Industry Association (CCPIA) in Kunshan City, Jiangsu Province.
 
Some insiders predicted that the regulations for pesticide adjuvants in extra small packages would be issued within two years.

Herbicides China News is a monthly publication released by CCM. It offers timely update and close follow up of China’s various kind of herbicides market dynamics, analyze the market data and trends. Major columns include market dynamic, company dynamic, raw material supply, price update, import & export analysis, consumption trend & competitiveness.

About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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Wednesday, February 27, 2013

Domestic HFCS industry: focus should be shifted from carbonated beverage


It is suggested that demand for HFCS from domestic carbonated beverage industry is crucial for domestic HFCS producers. For example, according to Starch & Starch Sugar, a professional magazine published by China Starch Industry Association, about 42% of the total output of HFCS in China was used to produce carbonated beverage in 2011. Data from CCM’s newly-released monthly report, Sweeteners China News 1302, showed that China's output of HFCS in 2011 was 1.89 million tonnes, which means about 0.79 million tonnes of HFCS were consumed by domestic carbonated beverage industry.

However, it is believed that domestic carbonated beverage industry was affected by the growth rate decrease of soft beverage output in 2012. According to the National Bureau of Statistics, it is estimated that China's output of soft beverage was 130.24 million tonnes in 2012, just increasing by 10.7% over 2011, about 7 percentage points lower than the growth rate of 2011. As a member of soft beverage industry, it is believed that carbonated beverage also witnessed growth rate decrease of output in 2012.

It is predicted that more and more Chinese will choose healthier lifestyle. As a result, domestic total output of carbonated beverage may continue to increase in the next several years, but the increase rate may be small. Thus carbonated beverage industry may not be able to bring as many opportunities as it did in the past years for domestic HFCS industry in the future.

In fact, most domestic HFCS producers excessively emphasized the beverage industry, especially carbonated beverage industry in China. Meanwhile, domestic HFCS producers are facing one serious problem, namely overcapacity. According to CCM's investigation, domestic capacity of HFCS was about 4.0 million t/a in 2012, while its national output was just about 2.2 million tonnes in 2012, which means the average operating rate of domestic HFCS producers was only 55% in 2012.
 
Actually, HFCS can be added into many other downstream products, which means that development space of HFCS in China is still large. In order to explore new downstream market and release their large capacity, it is believed that domestic HFCS producers should pay more attention to the research of the downstream application of HFCS, such as canned food and baked food, and not just pay much attention to carbonated beverage industry or beverage industry.

Table content of Sweeteners China News 1302:
National Food Safety Standards of Sorbitol came into force on 25 Jan. 2013
Guilin Layn substantially modifies its net profit expectations
Baolingbao acquires financial subsidy of USD1.98 million
Ganzhou Julong obtains two organic product certificates
Auction of 0.3 million tonnes of national reserves sucrose started in Jan. 2013
China's erythritol industry enjoys huge potential though still at initial stage
2013: Competition of sucralose market in China will be more intense
Certain sweeteners to enjoy opportunities for policy support
Stevia sweetener producers may focus more on product research
Domestic HFCS industry: focus should be shifted from carbonated beverage
QHT: perform well in H1 but not in H2 2012
Baolingbao may pay more attention to its publicity in 2013
Anhui Jinhe starts to supply acesulfame-K to Coca-Cola
Domestic supply of corn sufficed in past two months
Export overview of some sweeteners and raw materials in China, Dec. 2012
Export of cyclamate bounces in 2012 after a drop in 2011
China's aspartame export rises but L-phe import drops in 2012
Overview of domestic sucrose market in 2012

CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.

Sweeteners China News, issued by CCM on 5th every month, offers timely update and close follow-up of market and company dynamics based on China’s sweeteners industry. It also releases the latest information on raw material supply, price update, import & export analysis as well as consumption trend & competitiveness.

For more information, please visit http://www.cnchemicals.com.

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New equipment and corn seed


At the end of 2012, Beidahuang Kenfeng Seed Co., Ltd. (Beidahuang Kenfeng) signed a purchasing and sales contract and a cooperation agreement with Petkus Technologie GmbH (Petkus) in Harbin, which is the first producer of mechanical equipment of seed in the world. This purchase aimed at constructing a modern seed processing plant and establishing a long-term international strategic cooperation.

It is expected that the equipment can produce and process 50,000 to 60,000 tonnes of seeds annually, which also can save a mass of labor cost.

Jilin P&A Seed Co., Ltd. (Jilin P&A), established in 2001, deals in corn seed products. On 20 Dec. 2012, its annual sales revenue reached USD64 million (RMB0.4 billion) due to sales 20 million kilograms of corn seed, among which 85% were the corn varieties independent research and development. disclosed by Zhangping, the general manager of Jilin P&A.
 
Jilin P&A, one of the leading companies in agriculture industrialization in Jilin Province, which mainly deals with corn breeding, growing and dealing. There are three breeding seed centers and one Hainan reproduction base for scientific research, such as corn, soybean, rice, sorghum, castor, etc.

AgriChina Investor is a monthly publication released by CCM’s. It is covering sections of investment environment, investment dynamics, market watch, industry discovery, expert view and market review etc.AgriChina Investor will focus on the economic situation, governmental policy, financial capital flow, key players' dynamics, big events and hot issues etc. in agriculture industry. Providing the most comprehensive information about the capital investment dynamics and market dynamics, this newsletter can make you clear about the investment environments in China's agriculture industry.

About CCM
As a leading market research consulting company in China with more than 10-year-experience, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer. For more information, please visit http://www.cnchemicals.com.

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Paraquat manufacturers pursue paraquat GR


In Nov., 2012, Shandong Luba Chemical Co., Ltd. (Shandong Luba) successfully registered paraquat GR, signaling that domestic paraquat manufacturers are beginning to pursue new paraquat formulations to replace paraquat SL, according to Herbicides China News 1302 issued by CCM in February.

On 24 April, 2012, the Ministry of Agriculture of China released an official announcement that after 1 July, 2014, all current registrations and production permits regarding paraquat SL and mixed paraquat SL will be cancelled in China, except for paraquat TK manufacturers involved in paraquat export to overseas markets. And all products of paraquat SL are forbidden to be sold and used in China after 1 July, 2016.

As for Shandong Luba, a technical department manager disclosed that actually, developing various paraquat formulations is a long-term strategy of Shandong Luba and the company has made preparations for several years to secure paraquat GR registration. With the support of sufficient data from numerous experiments, Shandong Luba successfully registered paraquat GR in Nov., 2012. Moreover, the manager predicted that Shandong Luba would formally supply paraquat GR products in 2013 and the capacity may reach 1,000t/a.

Similar to Shandong Luba, domestic leading paraquat manufacturers, such as Syngenta Nantong Crop Protection Co., Ltd. (Syngenta Nantong) and Nanjing Redsun Group Co., Ltd. (Nanjing Redsun), are also speeding up their paraquat GR production plans.

As for Syngenta Nantong, it's reported that Syngenta Nantong plans to build paraquat GR production lines in China. At present, Syngenta International AG has paraquat GR registrations in some countries as well as paraquat GR production technology. Some insiders predict that Syngenta Nantong is sure to launch paraquat GR production lines, and this investment amount will be large.

In relation to Nanjing Redsun, the strategic department manager expressed that the company was speeding up its paraquat substitutive formulation research, including paraquat GR, which boasts higher content, easier storage, better stability and lower probability of accidental poisoning. However, Nanjing Redsun meanwhile revealed that new paraquat substitutive formulations would not be launched in haste, as it considers that any paraquat substitutive formulation can't take the place of paraquat SL due to its low production cost. As a result, it is suspected that Nanjing Redsun won't formally launch paraquat GR products until 1 July, 2014.

The advantages of paraquat GR are obvious, but whether paraquat GR will successfully replace paraquat SL is still in doubt, and this is what most paraquat manufacturers are concerned about. The key point is how much higher the price of paraquat GR will be than that of paraquat SL. Some insiders consider that if the retail price of paraquat GR can be controlled within two times that of paraquat SL, it should be possible for paraquat GR to be successful in China. Otherwise, it's estimated that farmers will find it difficult to accept paraquat GR.

Paraquat GR manufacture involves a grinding process, which produces highly dangerous and toxic small particles of paraquat. At present, domestic paraquat manufacturers are still finding it difficult to develop a safe grinding technique. In addition, soluble polymer membrane which is used to wrap small particles of paraquat is expensive. As a result, high cost and technical barriers are blocking the progress of most domestic paraquat manufacturers.

Even though some paraquat manufacturers have the ability to research paraquat GR manufacturing techniques, they are unwilling to invest sufficient funds in this risky project. For instance, the marketing director of Zhejiang Yongnong Chem. Ind. Co., Ltd. (Zhejiang Yongnong) expressed that paraquat business only accounted for about 30% of the total business of this company, Thus, Zhejiang Yongnong won't invest in such research.

At any rate, paraquat SL is still one of the mainstream herbicide formulations and popular in the homemade market. And it can be predicted that paraquat GR in the short-term is still unlikely to displace paraquat SL's dominance in China.


Table Contents of Herbicides China News 1302:
Huizhou Sino-quick's IPO in process
Chloropyridine herbicide pushes Lier Chemical's 2012 performance
Explosive growth expected in Sanonda in 2012   
 Yichang Huamnwell sets foot in the pesticide industry
Paraquat manufacturers pursue paraquat GR   
Fenoxaprop-P-ethyl displaces clodinafop-propargyl in China   
Pendimethalin experiences smooth supply in Jan. 2013   
Dicamba supply remains intense in early 2013   
China's state farms’ sown area in 2012 autumn and winter decreases by 2,600 ha.
The export volume of 2,4-D product largely increased during Jan.and Oct. 2012   
New registrations of herbicide technical in China in Jan. 2012 

Herbicides China News, a monthly publication issued by CCM on 15th, provides you with the latest occurrences, exclusive analysis on the market trend as well as professional reviews on competitiveness of companies, products and relative industries in China’s herbicide industry.

CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.

For more information, please visit http://www.cnchemicals.com.

Guangzhou CCM Information Science & Technology Co., Ltd.
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Email: econtact@cnchemicals.com

Guangzhou City got rid of 9.89 tonnes of cowpeas containing pesticide residues


Recently, Guangzhou City has got rid of 9.89 tonnes of cowpeas supplied by Yacheng Town in Hainan Province; due to the abnormal pesticide residues on eight samples of a batch of cowpeas had been detected. CCM reported this news in its latest issue of Insecticides China News of February. Below is the whole text:

From 29-30 Jan., 2013, Guangzhou Jiangnan Fruit and Vegetable Wholesale Market (Guangzhou Jiangnan, located in Guangzhou City) found abnormal pesticide residues on some samples of cowpeas, according to the result of routine tests. Consequently, Guangzhou Agricultural Product Quality and Safety Supervision Institute retested this batch of cowpeas. It confirmed that eight samples of this batch of cowpeas contained pesticide residues of carbofuran and omethoate. In fact, carbofuran and omethoate are banned from application on vegetables in China.

As revealed by an investigation, this batch of cowpeas including unqualified samples with pesticide residues was supplied by Yacheng Town, Hainan Province, with a total volume of 9.89 tonnes. Guangzhou Jiangnan has already removed the batch of cowpeas from Yacheng Town. Meanwhile, the Department of Agriculture of Guangdong Province announced that it will enhance the detection of agricultural products in the market to ensure public health.

In fact, it is not the first time that cowpeas from Yacheng Town have been detected to contain forbidden pesticide residues in the past three years. The same incident once happened concerning cowpeas supplied by Yacheng Town in Feb., 2010, which urged Hainan Province to enhance the market management of highly toxic pesticides. Hainan Province has established 225 agricultural product quality testing service stations and 18 vegetable quality testing service stations to detect pesticide residues on agricultural products in the past three years. However, due to the decentralized small-scale production of cowpeas, it can't be guaranteed that all farmers won't use highly toxic pesticides. It is reported that the product quality testing service stations in Hainan only detected a portion of the agricultural products sent to other regions, as they don't possess the ability to detect all the samples from every cowpea producer due to a lack of staff and the large number of small-scale cowpea producers. Thus, some products with highly toxic pesticide residues have not been detected.

According to an insider of Guangzhou Academy of Agricultural Science, cowpea farmers in Yacheng Town apply carbofuran and omethoate for the control of maruca vitrata, a pantropical insect pest infecting leguminous crops. As maruca vitrata can breed inside the cowpeas, it is not easy to be killed by low toxicity pesticides. Moreover, the hot climate in Hainan Province facilitates the reproduction of maruca vitrata resulting in 7-8 generations per year. In contrast, it generally reproduces 2-3 generations per year in Shandong Province. Thus, superimposed multiple generations and resistance to insecticides could easily be caused in Hainan Province, which would hinder cowpea production greatly. Hence, farmers tend to use carbofuran and omethoate which are systemic pesticides with high toxicity to maruca vitrata.

Furthermore, few valid insecticide registrations are registered for cowpeas or maruca vitrata, which can't meet farmers' requirements for the control of maruca vitrata. According to the Institute for the Control of Agrichemicals, Ministry of Agriculture, there were 13 insecticide registrations for the control of maruca vitrata as of 2 Feb., 2013, with three kinds of products, namely fenvalerate EC, cypermethrin+chlopyrifos EC and lufenuron EC. Among these 13 registrations, none are for cowpeas. This is another reason why farmers in Yacheng Town choose highly toxic insecticides.

In view of the facts mentioned above, it is not sufficient to only enhance pesticide market management and supervision concerning highly toxic pesticide restriction. Guiding policies and work are supposed to achieve more effectiveness. Hainan Province is suggested to introduce a pesticide registration subsidy policy to attract agrochemical companies to introduce effective insecticides with low toxicity for cowpeas. Additionally, it is advised that demonstration cowpea planting fields be established to demonstrate new pesticide applications.


Table Contents of Insecticides China News 1302:
China releases substitute list to replace toxic, harmful materials and products
Water bamboo receive pesticide registration subsidy in Zhejiang Province
Guangzhou City got rid of 9.89 tonnes of cowpeas containing pesticide residues
China reveals plan to develop the bio-industry, including bio-pesticides
Chlorfenapyr develops slowly in China
New acaricide cyflumetofen introduced to China
CAS and Henan Sidley establish bio-engineering R&D centre in Henan Province
Registrations of indoxacarb are increasing fast
Review new registrations of insecticide formulations in 2012
Price Update Table                                                     
Insect pests to hit crop production in 2013                      

Insecticides China News, a monthly publication issued by CCM on 10th, provides the latest and influential analysis on insecticide industry. Major contents include special report, company dynamics, market dynamics, supply and demand, price analysis, policy, raw material and intermediate.

CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.

For more information, please visit http://www.cnchemicals.com.

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Wednesday, February 20, 2013

Find Hot News in Titanium Dioxide China Monthly Report 1301


Published on the 25th every month, Titanium Dioxide China Monthly Report  is a monthly publication released by CCM. It offers timely update and close follow up of China’s various kind of Titanium Dioxide market dynamics, analyze the market data and trends. TiO2 China Monthly Report will provide intelligence of Chinese TiO2 industry, including supply/demand, company dynamics, raw material supply, etc, and the latest policies and technological progress to facilitate your search for commercial opportunities in this promising market.

Following are headline news of the Titanium Dioxide China Monthly Report:
TiO2 import volume rockets in China in Nov. 2012
China's TiO2 import volume undergoes rocket increase while export volume continues sluggish trend in Nov. 2012.
Imported & domestic titanium feedstock analysis in Nov. 2012
Total titanium feedstock supply volume is over 5.6 million tonnes in China during Jan. 2012 and Nov. 2012.
Price update in Jan. 2013
TiO2 prices slow their fall and show signs of stability in Jan. 2013.
Review of the Chinese TiO2 industry in 2012: raw materials, price and backdoor listing
With the supply of titanium feedstock coming under pressure and decline of TiO2 prices, TiO2 companies enhance their competitive strength through backdoor listing in 2012.
Henan Billions expects a better performance of its TiO2 business in 2013
Henan Billions expects a better performance of its TiO2 business in 2013 with a 60,000t/a chloride processing TiO2 project which will be completed in Q2 2014.
The CSRC requires applicants to perform strict self-financial verification
The strict self-financial verification requirement of the CSRC makes the future of companies' IPO applications cloudy.
CCM conducts new TiO2 research project
CCM's new TiO2 project will focus on consumption, chloride processing in China, sales channels and opportunities in emerging markets.
SRL achieves excellent performance in 2012
SRL achieves excellent performance in 2012 and expects to see a strengthening of the rutile & ilmenite market during 2013.
Iluka reports its 2012 performance
Iluka generated revenue of USD1.07 billion in 2012, declining by 30.4% compared with the figure of USD1.54 billion in 2011.
World's top 10 paints companies in 2012
Global paint consumption generates a total sales of USD120 billion with an output volume of 39.82 million tonnes in 2012.
PPG's financial performance in 2012
PPG's annual sales increase by 2% from USD14.9 billion in 2011 to USD15.2 billion in 2012.
China produces around 19.3 million units of automobiles with YoY growth of 4.6% in 2012
China produced around 19.3 million units of automobiles in 2012, with a year-on-year increase of 4.6% in 2012. 

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China's phosphate fertilizer industry to usher in integration period


Owing to over capacity, China's phosphate fertilizer industry is about to see a period of consolidation full of industry structure adjustment and enterprises’ merger activities in the next three or five years, according to Phosphorus Industry China Monthly Report issued by CCM in February.
 
According to Li Shousheng, vice-chairman of China Petroleum and Chemical Industry Federation (CPCIF), China's phosphate fertilizer industry should tackle over capacity as a priority in 2013.
 
At present, the capacity expansion of phosphate fertilizer industry generally comes to an end in China. By the end of 2012, the capacity of phosphate fertilizer reached 23,600,000t/a in China, outstripping domestic demand by 10,000,000 tonnes.
 
In 2012, China's phosphate fertilizer production further concentrated in four prime provinces—79% of the phosphate fertilizer was produced in Hubei, Yunnan, Sichuan and Guizhou provinces, compared to 73.48% in 2011. Nonetheless, the market concentration of phosphate fertilizer was still low. According to data from China Phosphate Fertilizer Association, top ten phosphate fertilizer producers account for only 50% of the total output in 2012, far below the government’s 70% target.

No doubt those leading phosphate fertilizer producers would be the first batch of survivor during the industry shake-out period. While those small-scale phosphate fertilizer producers with certain upstream phosphorus resources would be likely to be the biggest potential takeover targets. As for those phosphate fertilizer producers without phosphate resources, they may be eliminated ultimately as a result of fierce competition.
 
Nevertheless, China’s phosphate fertilizer industry might experience a long period of consolidation. After all, the loss hasn’t spread throughout the industry under the current phosphate fertilizer market status and thus enterprises are lack of restructuring motivation.
 
However, it is believed that certain phosphate fertilizer players would be bound to seize the opportunity to consolidate. For instance, Hubei Yihua Group Limited Liability Company (Yihua Group), the biggest phosphate fertilizer producer in Hubei Province, is most likely to merge some phosphate fertilizer firms. According to the develop scheme of Yihua Group, it plans to expand its production capacity of phosphate fertilizer from 3,500,000t/a to 5,000,000t/a by the end of 2015. From the beginning of 2012, the construction of new phosphate fertilizer project has been forbidden in China within five years according to government plan, so Yihua Group has to rely on merger activities.

Editor's Note
Headlines of Phosphorus Industry China Monthly Report 1302
Phosphorus Ore
Company Dynamics: Hubei kicks off a reform on phosphorus resource tax
Company Dynamics: Kailin Group shows an ever-increasing capacity in phosphorus ore production     
Policy & Legislation: China makes efforts to get phosphorus resources replenishment 
Yellow Phosphorus   
Company Dynamics: Tianyi Chemcial completes acquisition of SHJPC      
Phosphate Fertilizer   
Industry Dynamics: China’s phosphate fertilizer industry to usher in integration period
Global Insight
Agriculture downturn in Japan drives down its phosphate demand
Supply & Demand  
Market review of prime phosphate chemicals in Jan. 2013  
Import & Export
International trade of phosphate chemicals in 2012   
Price Update
Price monitoring of some phosphate chemicals in Jan. 2013

Phosphorus Industry China Monthly Report, issued by CCM on 15th, keeps providing the latest company dynamics related to China’s phosphorus industry, and market analysis on supply and demand, import and export as well as global insight.

CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.

For more information, please visit http://www.cnchemicals.com.

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Glory Biomaterial's first phase of biological PDO programme enters pilot production


In Jan. 2013, the 20,000t/a 1,3-propanediol (PDO) production line owned by Zhangjiagang Glory Biomaterial Co., Ltd. (Glory Biomaterial) entered pilot production, according to the latest report in Biomaterials China News issued by CCM in February.

The 20,000t/a PDO production line is just the first phase of the biological PDO programme of Glory Biomaterial. The biological PDO programme was started in Sept. 2011, with the planned capacity of 65,000t/a and a total investment of about USD24 million (RMB150 million). Glory Biomaterial was established specially for the biological PDO programme by Zhangjiagang Glory Chemical Industry Co., Ltd. (Glory Chemical) and Softbank China Venture Capital Ltd. (SBCVC). Glory Chemical is the domestic cooperative partner of DuPont to help DuPont produce its terephthalate (PTT) product—Sorona® with the capacity of 30,000t/a from 2006. PTT is a main downstream product of PDO and DuPont is a global leading PDO and PTT producer. SBCVC is a leading venture capital firm in Asia with headquarters in Singapore, and it invests in information technologies, health care, cleantech, new materials, retail, etc.

By cooperating with East China University of Science and Technology (ECUST), Glory Biomaterial has obtained its own invention patent after developing the production technology. According to its invention patent, PDO's extraction rate from fermentation broth can reach 92%. In general, most biological production engineering involves hydrolyzing the corn starch into glucose first and then processing glucose into PDO, while Glory Biomaterial's production technology is different, which uses glycerol as the raw material. With the development of biological diesel, a volume of glycerol is manufactured as a by-product, which has led to the decrease of glycerol prices. Therefore, the production cost of biological PDO from glycerol may be lower than that from corn starch. Meanwhile, glycerol is a non-food raw material.

The PDO programme may bring great benefit to the company.

A staff from Glory Chemical revealed that the contract between Glory Chemical and DuPont expired in April 2012, which means that Glory Chemical can produce and sell its own PDO and PTT products from May 2012. Mr. Han, General Manager of Glory Chemical, said that the company's development was seriously restricted when it cooperated with DuPont. In general, the company can produce 20,000 tonnes of PTT per year at a value of USD64 million, but the company's profit is only about USD1.6 million. Mr. Han estimated that once the whole programme is finished and the PDO plant and PTT plant are combined organically, the company's profit can potentially increase by more than ten-fold and reach approximately USD48 million.

In the 10th Five-Year Plan period (2001-2005), the PDO industry started to boom in China. In March 2002, Zouping Mingxing Chemical Co. Ltd. developed a chemical synthesis of PDO with a capacity of 6,500t/a. Subsequently, Anhui Lixing Chemical Co., Ltd., Fujian Shengda Biotechnology Co., Ltd., Chen Bio. Co. Ltd., Hunan Rivers Bioengineering Co., Ltd. and certain other enterprises all started to construct small-scale biological PDO production lines. Most of these biological producers have adopted the technology from Tsinghua University, which uses glycerol as the raw material. Currently, few of these producers' biological PDO businesses have been greatly developed. Shenhong Group, the domestic leading PTT producer with a capacity of 30,000t/a, says that it is also researching biological PDO and has achieved some results.

It is reported that China will become the largest producer and exporter of 1,3-PDO by 2019, since the growing markets of the Asia-Pacific region and low cost of raw material and labour may be attracting foreign PDO companies to enter China.

Table Contents of Biomaterials China News 1302:
Challenges in the biological package industry
Professor Gong: Production technology introduction and application of PLA fibre
Biological PET: A potential growth point of biological plastic industry
China's lyocell fibre commercialization may encounter trouble
Kingfa may greatly benefit from its biodegradable plastic programme in 2013
BrightChina cooperates with Weistek to develop 3D printing business
Shandong Polymer greatly developing bio-PAM
Glory Biomaterial's first phase of biological PDO programme enters pilot production
Overview of China's corn market in 2012
China's PLA trade becomes weaker in 2012
China's import volume of cassava increases fast in 2012
China's import volume of castor oil and its derivatives increases greatly in 2012
Yangzi Petrochemical finishes its 1,000t/a bio-SA programme
China's LDA Industry Technology Innovation Strategic Alliance established
Dow and Mitsui postpone sugarcane polymer plant
Rainbow Fine Chemical completes liquidation
NatureWorks sets up its first A/P regional headquarters in Bangkok
Rainbow Fine Chemical finishes liquidation
NatureWorks sets its first A/P regional headquarters in Bangkok

Biomaterials China News, with 12 to 14 topics in one issue, published by CCM on 8th every month, will bring you the latest information on the market dynamics, company dynamics, new biomaterials products, new biomaterials technology development, new legislations as well as policies and raw material supply dynamics, which are shaping the significant market intelligence of the industry.

CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.

For more information, please visit http://www.cnchemicals.com.

Guangzhou CCM Information Science & Technology Co., Ltd.
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Tel: 86-20-37616606
Email: econtact@cnchemicals.com