According to Fungicide China News 1312, Lier Chemical Co., Ltd. (Lier Chemical), one of the leading pesticide technical producers in China, recently revealed that the company may set up a new subsidiary for the development of its pesticide formulation business in the domestic market.
Lier Chemical started to explore the domestic formulation market in 2006. At present, the domestic formulation market is of great importance to the company's development. Lier Chemical has been developing its domestic formulation business in recent years, and has earned a reputation in the domestic market. In order to better develop its pesticide formulation business in the domestic market, the company plans to set a new pesticide formulation company.
According to data from Lier Chemical's financial reports, the company's revenue from pesticide formulations was only USD25.13 million in 2010, but it increased to USD42.60 million in 2011, thanks to the acquisition of Jiangsu Kuaida Agrochemical Co., Ltd. in 2010 (Jiangsu Kuaida). (Note: the revenue from pesticide formulations in this article included both domestic and overseas business, as there were no specific statistics for the domestic pesticide formulation business.)
In H1 2013, Lier Chemical achieved great results from its pesticide formulation business. Its revenue from pesticide formulations was USD43.68 million, up by 44.95% year on year, while the revenue from pesticide technical was USD77.31 million, only up by 13.68% year on year.
In addition to the acquisition of Jiangsu Kuaida, Lier Chemical itself has also been strengthening the registration and marketing of new pesticide formulations in recent years, which contributed to the great increase in its revenue.
According to data from the Institute for the Control of Agrochemicals, Ministry of Agriculture (ICAMA), as of Nov. 26, 2013, Lier Chemical has got 54 pesticide formulation registrations in China, of which 18 are fungicides (refers to those registered under Lier Chemical only, not including those registered under Jiangsu Kuaida).
It is worth noting that Lier Chemical has registered an increasing number of pesticide formulations in recent years. It registered 10 pesticide formulations in 2012 and 15 as of Nov. 26, 2013 this year, of which half are fungicides.
At present, many leading pesticide companies in China mainly focus on pesticide technical and their revenues from pesticide formulations are very small. However, it is expected that these companies may pay more attention to the pesticide formulation business, with the steady increase in the domestic pesticide formulation market value and a sharp increase of pesticide formulation export volume.
Table of Contents of Fungicide China News 1312:
Ex-factory prices of main fungicides in China, Dec. 2013
FOB Shanghai prices of main fungicides in China, Dec. 2013
Shanghai Port prices of main fungicides in China, Dec. 2013
China's export volume of tebuconazole TC hits 4,591 tonnes in Q1-Q3 2013
Lier Chemical may set up a pesticide formulation company
Rudong Zhongyi: the first domestic company to obtain cyazofamid TC registration
Demand for pesticides will decrease slightly in 2014
Pesticide packaging problems exist in China
Brazil's carbendazim registration suspension may hurt domestic industry
Hailir approved to set up postdoctoral programme
China's fungicide TC output up by 9.34% year on year in first ten months
Scientific exchange between IAECAS and Hailir
Sipcam-Oxon promotes rice solutions in China
Hunan Plant Protection Exchange & Trade Fair held in Changsha
Pest and disease control in Chinese medicine requires improvement
Huapont-Nutrichem aims for pesticide revenue to reach USD650.41 million in 2014
China's fungicide export and import volume records weak growth in Q3 2013
New development of controlling southern rice black-streaked dwarf virus
Pythium oligandrum obtains first formal registrations in China
Orient Group signs agreement on 10,000 mu land transfer with Heilongjiang government
Typhoon Haiyan causes serious damage to crops in HainanHangzhou Qingfeng fully resumes production
24 fungicide technical registrations approved in China from July 2013 to Oct. 2013
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