Wednesday, December 24, 2014

Producing bio-based materials with cellulose still far away from industrialization





Starch is the first choice for raw materials for producing bio-based
materials through fermentation. The price of starch is closely related to the
cost of bio-based materials. Take polylactic acid (PLA) materials for example.
PLA has the most advanced development among all the bio-based materials
produced through fermentation in China. Based on the technology in China,
generally 1.60 kg of starch can produce 1 kg of lactic acid through
fermentation, while 1.30 kg of lactic acid can transform into 1 kg of PLA. In
other words, theoretically, 2.08 kg of starch can produce 1 kg of PLA. Suppose
the price of starch drops by USD1/kg. The cost of PLA would reduce by
USD2.08/kg. Therefore, the cost of producing PLA can be largely reduced
especially when the output reaches 5,000 tonnes or even >=10,000 tonnes
, according to Bio-based
Materials China News 1411
on November by CCM.


Also, China is abound with waste straw resources (straw is rich in
cellulose). Both cellulose and starch can hydrolyze into glucose. Starch
consists of glucose. Considering the above factors, producing low-priced starch
with cellulose to reduce the cost of bio-based raw materials is a focal point
for research. Many domestic enterprises even stated frankly that they have
acquired technologies for the industrialization of producing starch with
cellulose. So far, domestic or global enterprises are still mainly dependent on
corn and cassava to produce starch so as to produce bio-based materials. Is it
feasible to produce starch with cellulose or to achieve the industrialization
of producing bio-based materials with cellulose?
Using cellulose to produce starch in order to produce bio-based materials
is theoretically possible. The application of this technology in the industry
still has a long way to go because of the unsatisfactory economic benefits.
Although both cellulose and starch can hydrolyze into glucose, they are not
isomers.
There are two problems that will inhibit the industrialization of
producing sugar with cellulose. The first problem is removing lignin and
retaining cellulose from the extractive of straw. The other problem is how to
apply it in industrialization economically.
First of all, the cellulose advocated in China all come from waste, such
as straw. Besides abundant cellulose, a large amount of lignin exists in the
extractive of straw. Currently, it is technically difficult to only retain
cellulose without lignin. Only few methods are available in this procedure in
China. Purifying cellulose means a large expense. Not purifying cellulose will
impact the purity in the subsequent procedure.
Moreover, in the step of cellulose hydrolyzing into glucose, generally in
China, endoglycosidase, cxenzyme and exonuclease, C1 enzyme are used to help
cellulose decompose into cellobiose, and cellobiose will transform into glucose
with the help of glucosaccharase. Under the ideal reaction conditions set up in
labs, the transformation rate from cellulose to glucose is only 1/3. However, during
industrial experiments in China, some enterprises including Shenzhen Ecomann
Bio-technology Co., Ltd. carried out experiments on producing glucose through
this enzymolysis approach and faced many uncontrollable factors. The enzyme
activity, by-products and other factors made the productivity of glucose drop
significantly. The transformation rate of glucose is much lower than 1/3.
Furthermore, the selection of enzyme basically depends on the genes from
bacteria, soil fungi and potatoes. And Escherichia coli (usually used as
experimental model) is genetically modified with the genes to get the required
enzyme. It costs about USD1 million to transform 200 kg of cellulose raw
materials into 20 kg of starch. The cost is expensive, and often prohibitive
for the the use of this method within this industry. Therefore, domestic
enterprises turn to another method. This method involves destroying the
cellulose' interior structures like hydrogen bond by setting extreme conditions
such as high temperature and high pressure. The interior structure is then
reconstructed to get the isomer of starch. In the industrial experiments in
China, this technology can rarely reached its goal. The isomer of starch can be
difficult to attain, as expected. Also, the cost for industrialization is very
high due to the rigorous reaction conditions required. Therefore, this
technology and method is uneconomical and has been shelved. 
It can be seen that the industrialization of producing starch with
cellulose in China is very difficult and expensive, especially regarding the
two aforementioned steps, let alone producing bio-based materials with starch
from cellulose. The cost of producing bio-based materials with this method is
much higher than the cost of producing bio-based materials directly with corn
starch. Therefore, the value generated from the industrialization of producing
starch with cellulose cannot be achieved at present. However, considering the
large amount of straw requiring disposal (burning straw has caused major
environment issues like haze) and the urgent demand for reducing the cost of
bio-based materials, domestic enterprises have not deviated from their pursuits
for the industrialization of producing bio-based materials with cellulose and
the reduction in the cost of bio-based materials.
In order to realize the economic value of the industrialization of
producing starch with cellulose, domestic enterprises are still seeking for
technological breakthroughs to lower the cost for bio-based raw materials. In
the bio-based annual conference in Nov. 2014, Professor Zhang Jun from the
Institute of Chemistry, Chinese Academy of Sciences (ICCAS) put forward the new
technology that produces cellulose ester though the homogeneous
functionalization reaction of cellulose in ionic liquid. In this technology,
ionic liquid promotes the homogeneous functionalization reaction of cellulose
as a medium. Derivatives are generated through the reaction, such as cellulose
ester and cellulose graft copolymer, which have homogeneous structure and good
performance. Enterprises are a step closer to producing bio-based materials
with cellulose thanks to this new technology. Currently, this technology has
not been largely adopted in the industry. However, the ICCAS has tried it out
at a small scale in some enterprises.
Besides, there is another way to produce bio-based materials with
cellulose in China. This involves selecting suitable polarity plasticizer to
destroy the coacervation of macromoleculein the cellulose of straw.
Subsequently, this macromolecule with hydrogen bondin cellulose can flow under
certain conditions. This produces thermoplastic bio-based materials. At
present, it is not feasible to use this technology for industrialization.
In general, all the problems, regarding the purification, enzyme,
conditions of industrial experiment, economic benefits, etc., have not been
effectively solved for the industrialization of cellulose. The technology for
the industrialization of producing bio-based materials with cellulose in China
is not mature yet, and there are no signs that there is a solid foundation for
industrialization to occur.
Development of bio-based PET severely hindered by overcapacity and
declining demand of  pertrochemical PET
Backwards development of bio-based succinic acid against development of
bio-based PBS in China
Analysis on development of biodegradable plastics
Standards for bio-based materials industry highly required in China
PLA boasts strong development potential despite restriction from raw
materials
Crankcase cover made from bio-based PA awarded innovation prize
Bio-based PDO applied in furniture coating field
First bio-based smart card project launched in China
ICIS Asian Polyolefin Conference sees bright prospect for biodegradable
plastics in Asia
Sun Australia establish strategic partnership with TIB, CAS
Kingfa witnesses surged limit
Envonik passes FDA certification for PA1010
Guangdong Shangjiu makes technology investment into overseas bio-based
material projects
Development of bio-based materials still relying on policy support
R&D focus of bio-based materials shifts to modification technology for
application
Producing bio-based materials with cellulose still far away from
industrialization
China makes breakthrough in straw enzymolysis to produce bio-based ethanol
and butanol
CNITECH, CAS makes progress in cellulose chemical transformation
technology
Harvested corn launched on market forms downward trend in corn starch
price in China
China's castor oil market tends to recover from

Biomaterials, referring to products using renewable raw materials, have
developed rapidly in China in recent years and are expected to have a promising
market in the future, though this industry is emerging. Biomaterials are mainly
divided into four types in the news: natural bio-based materials, microbial
synthetic materials, chemical synthesis of bio-based materials and bio-nylon.
Undoubtedly, the application of biomaterials is the trend in the future, thanks
to environmental protection, excellent properties, etc. Biomaterials China News
includes12 to 14 topics per monthly issue andwill bring you the latest
information on the market and company dynamics, new biomaterials products, new
biomaterials technology development, new legislations and policies and raw
material supply dynamics that are shaping the market.

About CCM
CCM
is dedicated to market research in China, Asia-Pacific Rim and global market.
With staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis,
Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis, and
Consultancy Service.
For more information, please visit http://www.cnchemicals.com
Guangzhou CCM Information Science &
Technology Co., Ltd.
17th Floor, Huihua Commercial & Trade
Mansion, No.80 Xianlie Zhong Road, Guangzhou 510070, China
Tel:   86-20-37616606
This article was provided by CCM, a leading
provider of data and business intelligence on China's chemicals market. Contact
us:
      
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Chloromethane-recycling technique in glyphosate production expected to be listed in encouraged industries for foreign investment





Summary: There is a wide gap of R&D expense in seed industry between
China and foreign countries. Monsanto spends about 11% of its net sales on
R&D every year, while in China, even Longping High-Tech, the largest
R&D investor, spends only about 5% of its revenue on R&D. Even though
in 2013 the R&D expense of Longping High-Tech reached more than USD15
million, it just accounted for 1% of that of Monsanto
,
according to Seed
China News 1411
on November by CCM.
Wide gap of R&D expense in seed industry between China and foreign countries

On 8 Oct., 2014, Monsanto released its FY2014 Report which showed that in
2014 the company's R&D expense was USD1.73 billion, accounting for 10.88%
of its net sales, higher than that of 2013. According to reports in the past
few years, Monsanto spends about 11% of its net sales on R&D every year.
There is a wide gap of the R&D expense among China's seed industry.
Almost all of the listed seed enterprises in China are integrated
breeding-cultivation-promotion ones. They all claims in their annual reports
that they are increasing their R&D expense. However, the reality is not so
optimistic.
R&D expense was not regarded as an important financial expenditure nor
listed separately in each enterprise's annual reports until 2012. In 2011, the
Opinions of the State Council on Promoting the Development of Modern Crop Seed
Industry (the Opinions) was issued by the State Council of the People's
Republic of China. The Opinions was aiming at cultivating integrated
breeding-cultivation-promotion enterprises with powerful international
competitiveness. Since the issue of the Opinions, seed enterprises have begun
to attach importance to R&D expense in seed breeding. Particularly, Hefei
Fengle Seed Co., Ltd. (Hefei Fengle) and Yuan Longping High-Tech Agriculture
Co., Ltd. (Longping High-Tech) are the largest investors in this aspect. Though
Grand Agriseeds Technology, Inc. (Grand Agriseeds) built several R&D
facilities and experimental bases in 2013, its R&D expense is still
relatively low. Anhui Wanken Seed Co., Ltd. (Anhui Wanken) released its
prospectus in Sept. 2014, planning to land on the Growth Enterprises Market.
Its R&D expense is lower than other listed enterprises in the
industry.R&D expense was not regarded as an important financial expenditure
nor listed separately in each enterprise's annual reports until 2012. In 2011,
the Opinions of the State Council on Promoting the Development of Modern Crop
Seed Industry (the Opinions) was issued by the State Council of the People's
Republic of China. The Opinions was aiming at cultivating integrated
breeding-cultivation-promotion enterprises with powerful international
competitiveness. Since the issue of the Opinions, seed enterprises have begun
to attach importance to R&D expense in seed breeding. Particularly, Hefei

Fengle Seed Co., Ltd. (Hefei Fengle) and Yuan Longping High-Tech Agriculture
Co., Ltd. (Longping High-Tech) are the largest investors in this aspect. Though
Grand Agriseeds Technology, Inc. (Grand Agriseeds) built several R&D
facilities and experimental bases in 2013, its R&D expense is still
relatively low. Anhui Wanken Seed Co., Ltd. (Anhui Wanken) released its prospectus
in Sept. 2014, planning to land on the Growth Enterprises Market. Its R&D
expense is lower than other listed enterprises in the industry.
On 20 May, 2014, the Ministry of Agriculture of the People's Republic of
China announced that about USD97.63 million had been put into R&D annually
by China's top 10 seed enterprises which accounted for above 6% of revenue.
While in developed countries it usually reaches 8% to 12%. It would be even
higher in large scale seed enterprises.
The more R&D expense spent, the more self-developed new varieties
cultivated. So the less R&D expense in China results in less self-developed
varieties and seed enterprises have to buy variety usage rights from others.
For example, Anhui Wanken has only 1 plant variety rights and 17 variety usage
rights. In other words, Anhui Wanken is only a foundry without core techniques.
However, depending on usage rights is not a good operating mode for
enterprises. If China's seed enterprises want to compete with multinational
enterprises, innovation must be advocated and R&D expense must be
increased.


Table of Content: 
Seed China News 1411
Syngenta: performance of seed business in Q3 2014 not satisfactory
Monsanto's net sales of Q4 FY2014 increases by 19.44% year on year
Zhejiang Mitsuo to transfer 20% shares to Shenzhen Noposion
Winall Hi-tech witnesses deficit in Q3 2014
Total revenue of Longping High-Tech increases by 44.29% in Q3 2014 year on
year
Shandong Deinghai witnesses YoY increase of 158.50% in total revenue
Wide gap of R&D expense in seed industry between China and foreign
countries
Performance of China's seed industry in Q3 2014
Crop variety plummets in China
Hohhot first breeds 400 tonnes of virus-free seed potatoes with high
quality
Sichuan Province witnesses yield increase and quality improvement of wheat
seeds
Two new corn varieties of Shandong Denghai show excellent performance
Mianyang City succeeds in planting high-yield purple sweet potato
Sichuan to promote new variety Chuanyou6203 in 2015
New hybrid flax-corn succeeds in experimental planting
China leading the world in variety breeding of purple pepper
Vegetable seed business becomes new choice for merger and acquisition in
seed industry
List of national credit leading vegetable seed enterprise released
China lays strict restrictions on planting GM crops
Top nine food security problems in China
Anhui Wanken expands capacity despite oversupply
Shandong Denghai to apply O2O marketing mode
Fujian Province releases list of 2014-2015 provincial leading seed
enterprises
Henan Qiule seeking for cooperation for corn varieties
Jiangsu Hongqi lands on XINSANBAN
Longping High-Tech: Hunan Xindaxin ends preliminary non-binding proposal
with Origin
Transaction value in 20th Harbin Seed Industry Exposition exceeds USD300
million
Hefei Fengle to work harder in promoting ratoon rice
BGI Shenzhen China and Hulun Buir sign cooperation agreement on millet
introduction
Guangxi Hengmao's integration business obtains state recognition


There is a saying in China: "Agriculture feeds the nation, and seeds
feed the agriculture". As a country withalarge seed production and
consumption, China showsa great vitality and potential in the seed market. Seed
China News mainly covers policy, market dynamic, company, seed treatment,
R&D crops, new varieties, etc. By catching the latest dynamics in the seed
industry and making depth analysis on government direction and market
competition,theSeed China News can provide you valid information, helping you
make rational decisions aboutinvestments, production, marketing, etc.

About CCM
CCM
is dedicated to market research in China, Asia-Pacific Rim and global market.
With staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis,
Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis, and
Consultancy Service.
For more information, please visit http://www.cnchemicals.com
Guangzhou CCM Information Science &
Technology Co., Ltd.
17th Floor, Huihua Commercial & Trade
Mansion, No.80 Xianlie Zhong Road, Guangzhou 510070, China
Tel:   86-20-37616606
This article was provided by CCM, a leading
provider of data and business intelligence on China's chemicals market. Contact
us:
      
-          Facebook: https://www.facebook.com/ccmkate
-          Twitter: https://twitter.com/CCM_Kcomber

Chloromethane-recycling technique in glyphosate production expected to be listed in encouraged industries for foreign investment





Summary: The chloromethane-recycling technique in glyphosate production
has been included in the Category of the Encouraged Industries for Foreign
investment, which has recently been revised to encourage foreign investment and
to increase financial transparency. The chloromethane-recycling technique
reuses the chemical elements during production and relieves the negative impact
on the environment, which enables compliance with the relevant regulations in
China.


Chloromethane-recycling technique in glyphosate production expected to be listed in encouraged industries

On 4 Nov., 2014, the National Development and Reform Commission appealed
for public opinions on the revised draft of the Guiding Category for Foreign
Investment Industry (the Category). The draft shows that the
chloromethane-recycling technique in glyphosate production is included as one
of the categories that are inviting foreign investment. The
chloromethane-recycling technique recycles the chemical elements in the
manufacturing industry, and relieves the negative impact on the environment,
thus enabling compliance with the relevant regulations in China. Therefore,
this technique is included in the Category
, according
to Glyphsoate
China Monthly Report 1411
on November by CCM.
Zhejiang Wynca Chemical Industry Group Co., Ltd. (Zhejiang Wynca) is the
earliest glyphosate enterprises to have successfully applied the
chloromethane-recycling technique.
The encouraged industries, related to pesticides, for foreign investment
in the draft include:
-Development and production of efficient, safe, and environment-friendly
pesticide varieties, formulations, specialized intermediates, and auxiliaries;
-Innovation and application of clean production (acetochlor production in
methylene pathway, chlorpyrifos in aqueous phase process, aqueous phase
process, oriented synthesis, stereochemical-structured pesticide production,
and synthsis technology for ethyl chloride);
-Development and production of bio-pesticides and
bio-prevention-and-treatment products (microorganism insecticides,
microorganism fungicides, antibiotics for agriculture, pheromones, enemy
insects, microorganisms herbicides);
-Pesticide- and water-saving technology and equipment.
The National Development and Reform Commission, the Ministry of Commerce
of the People's Republic of China as well as other departments revised the
Category of the Encouraged Industries for Foreign Investment and formed the
revised draft. The draft is now open for public opinions from 4 Nov. to 3 Dec.,
2014. The revision transforms the foreign investment structure, enhances
financial transparency and loosens restrictions on foreign investment. It
focuses on manufacturing and services industries. Revising the Category can
accelerate reform and enable China to prosper in the global economy.

Chloromethane-recycling technique in glyphosate production expected to be
listed in encouraged industries for foreign investment
Standards of sewage discharge in pesticide industry expected to be released
in 2016
China to launch USD325.43 billion plan for water pollution prevention and
control
Starpharma's Priostar® glyphosate patent allowed in China
Vietnam: GM crops planting area to reach 30%-50% of total by 2020
Net profit of Zhejiang Wynca decreases by 96% year on year in Q3 2014
Zhejiang Wynca expected to renew specialized production licences of
chemicals subjected to supervision and control
Net profit of Nantong Jiangshan drops by 78% year on year in Q3 2014
Nantong Jiangshan's renovation project for bio-chemical tail water
de-phosphorus technology passes acceptance inspection
Nantong Jiangshan's solid wastes in bio-chemical tail water from advanced
de-phosphorus treatment identified non-hazardous wastes
Total revenue of Hubei Taisheng hits USD272.71 million in Q1-Q3 2014
Suzhou Jiahui to subpackage Nufarm's 47.5%
glyphosate-isopropylammonium•MCPAisopropylamine
33% quizalofop-P-ethyl•fluoroglycofen-ethyl•glyphosate OF of Qingdao
Agroot first approved in China
Sichuan Demetre succeeds in adopting membrane technology to re-utilize
glyphosate wastewater
Anhui Huaxing changes its name into Anhui CEFC
Hubei Xingfa sells USD6.79 million glycine to Jiangxi Jinlong in Q1-Q3
2014
CCM as guest speaker to attend 2nd China International Glyphosate Summit
2014
2014 Green Development Forum on Glyphosate Industry to be held in Jiangsu
Green development: key to future of glyphosate industry
Export volume of China's glyphosate in Q1-Q3 2014
Export price of China's glyphosate in Q1-Q3 2014
Export value of China's glyphosate in Q1-Q3 2014
Export destinations of China's glyphosate in Q1-Q3 2014
Manufacturers of exported glyphosate in China in Q1-Q3 2014
Ex-works price of glyphosate technical decreases by 6.79% in first half of
Nov. 2014 MoM
Export volume of glyphosate technical decreases by 17.05% in Sept. 2014
MoM
China's PMIDA market in third work week of Nov. 2014 (17 Nov.-21 Nov.)
China's glycine market in third work week of Nov. 2014 (17 Nov.-21 Nov.)
China's DEA market in third work week of Nov. 2014 (17 Nov.-21 Nov.)
China's IDAN market in third work week of Nov. 2014 (17 Nov.-21 Nov.)
China's yellow phosphorus market in third work week of Nov. 2014 (17
Nov.-21 Nov.)
China's phosphorus trichloride market in third work week of Nov. 2014 (17
Nov.-21 Nov.)
China's isopropylamine salt market in third work week of Nov. 2014 (17
Nov.-21 Nov.)
China's paraformaldehyde market in third work week of Nov. 2014 (17
Nov.-21 Nov.)
China's chloromethane market in third work week of Nov. 2014 (17 Nov.-21
Nov.)
China's methylal market in third work week of Nov. 2014 (17 Nov.-21 Nov.)

China is currently the largest glyphosate supplier in the world, with low
production costs anda good chemical production foundation. The dynamics of
China's glyphosate greatly impact the global supply structure. Over 80% of
theglyphosate produced in China is exported to more than 20
destinationsworldwide. Despite its large output and capacity, China's
glyphosate industry has many shortcomings, includingovercapacity, dispersed
production, few overseas registrations, poor environmental protection
awareness, lack of governmental supervision, inefficient production technology,
etc. Changes in China's glyphosate industry have not only been considerable,
but also frequent, puzzling both outsiders and insiders,ignoring where to go
next. That's because the influencing factors are many and changing frequently,
thus making it highly necessary for timely update and close follow-up of the
dynamics in this industry. The Glyphosate China Monthly Report brings you the latest
information and in-depth analysis on market trends, supply and procurement
opportunities in raw materials and intermediates, technology process, price
updates, new policies and company dynamic, etc.

About CCM
CCM
is dedicated to market research in China, Asia-Pacific Rim and global market.
With staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis,
Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis, and
Consultancy Service.
For more information, please visit http://www.cnchemicals.com
Guangzhou CCM Information Science & Technology
Co., Ltd.
17th Floor, Huihua Commercial & Trade
Mansion, No.80 Xianlie Zhong Road, Guangzhou 510070, China
Tel:   86-20-37616606
This article was provided by CCM, a leading
provider of data and business intelligence on China's chemicals market. Contact
us:
      
-          Facebook: https://www.facebook.com/ccmkate
-          Twitter: https://twitter.com/CCM_Kcomber

For more industry information