Paraquat maintains an important position in the world’s herbicides market

Paraquat, a non-selective herbicide widely used both in agricultural and nonagricultural landscapes, has been keeping a leading position in the world's herbicides market over the past few years. It is the second largest herbicide (the largest is glyphosate) in terms of consumption volume (calculated by 42% TK).

Since 2007, CCM has been engaged in the market research of the paraquat industry in China. The latest report entitled with Production and Market of Paraquat in China is the fifth edition just issued by our company in July. Based on our five-year research experience in China’s paraquat industry and its upstream sectors, we offer an in-depth analysis on the current situation of China’s paraquat industry and a forecast on its future trend in the report.

Paraquat upstream industry

The situation of the paraquat upstream industry always plays a vital role in the whole value chain. In the report, CCM gives a detailed introduction to pyridine and methyl chloride, which are two major raw materials for paraquat production. This part of the report lists the import volume and price of pyridine in China from 2009 to Q1 2013, and the output of methyl chloride in China during 2008–2012. In addition, the ex-works price of both materials are presented, which feature the data of the pure pyridine in China from 2004 to H1 2013, and the methyl chloride in China during 2008–2012. After the observation and analysis on the supply situation of these raw materials, CCM summaries some impacts of raw materials on the paraquat industry.

Paraquat industry in China

China is a major paraquat export country—with over 80% of its paraquat output exported to counties all over the world. In this part of the report, CCM highlights a complete overlook of China’s paraquat industry, from its development history, to production methods, current production levels, registration, supply situation, circulation, consumption, market share, and more. When it comes to the circulation of paraquat in China, the data related to the price of paraquat and the export of paraquat during 2009–H1 2013 are presented. The consumption situation of paraquat is highlighted too. Through the report, readers can obtain a series of useful information, including the consumption pattern of paraquat TK, summary of paraquat market by volume and value, application of paraquat, and market share of paraquat by regions and crops, etc. Moreover, readers can get a brief profile of over 20 paraquat TK manufacturers in China.

Forecast on paraquat industry in China

CCM not only focuses on the current development of China’s paraquat industry, but also extends the research scope to the forecast of the future trend. Making use of our sound experience and insightful knowledge in the paraquat industry, we address a forecast on the paraquat industry in China by conducting an analysis on government policy, non-liquid formulations, use habits, supply & demand, safety, and other factors influencing the paraquat industry. Readers can also find our qualitative forecast on the future development of China’s paraquat industry in 2013–2017.

For more information about Production and Market of Paraquat in China, please visit http://www.cnchemicals.com/ResearchCenter/Report/2284/Production-and-Market-of-Paraquat-in-China-Edition%285%29

About CCM

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, and Consultancy Service. 

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

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Fungicide application in early rice planting in three regions of Hunan in 2012

In terms of the results of a pesticide survey lately conducted by CCM, Jingangmycin, isoprothiolane and propiconazole•difenoconazole 30% EC (Brand name: Armure) were the mainstream rice fungicides in the early rice planting of Hengyang, Yueyang and Changde of Hunan Province in 2012.

CCM has recently completed a survey of pesticide application for 2012 early rice planting in Hengyang City (Hengyang), Yueyang City (Yueyang) and Changde City (Changde) of Hunan Province. In the survey, a total of 900 farmers in these three regions were interviewed. The survey covered 69 pesticides, including 34 insecticides, 19 herbicides, 14 fungicides, 1 rodenticide and 1 molluscicide. In this issue, Fungicides China News 1305, CCM focuses on the application of fungicides in these three key rice planting regions of Hunan.

According to the survey, the market value of fungicide products was the highest in the early rice planting of Hengyang in 2012 among the three regions, amounting to about USD22.74 million (RMB140 million), accounting for 18.7% of the total (pesticides' market value in the region). Though the market value of fungicide products was the lowest in the early rice planting of Yueyang, around USD11.37 million (RMB70 million), the region's application proportion of fungicides in the total pesticides ranked No. 2, reaching 15.9%. As for Changde, the application proportion of its fungicides in early rice planting was only 15.4%, lower than those of the other two regions.

In general, the use volume of jingangmycin, one of the conventional rice fungicides, was the largest in the early rice planting of Hengyang, Yueyang and Changde of Hunan in 2012, thanks to its sound performance-to-price ratio and widespread application. It is followed by isoprothiolane, a product mainly used to control rice blast, one of the most serious rice diseases, and propiconazole•difenoconazole 30% EC (Brand name: Armure) produced by Syngenta, a world-leading crop protection company. In addition, tricyclazole, mancozeb, iprobenfos, carbendazim, kasugamycin, etc., have a certain market share in the early rice planting of the three major rice production regions of Hunan last year.

Specifically, the application of isoprothiolane was the highest in the early rice planting of Yueyang in 2012, accounting for 30.0% of the total (rice fungicides). It is particularly worth noting that in the early rice planting of Changde, jingangmycin's application proportion reached as high as 53.2% last year, far above the levels in Hengyang and Yueyang. And Armure, the most popular brand of rice fungicides, received much favorable comments from the local rice growers in Hunan, owing to its excellent prevention and control efficacy on rice diseases, especially rice sheath blight; the application proportions of this fungicide in the early rice planting of Hengyang, Yueyang and Changde in 2012 were 16.5%, 20.6% and 9.2% respectively.

As a matter of fact, most rice growers in Hengyang, Yueyang and Changde have almost no brand awareness in choosing a pesticide. Thus, only a few rice fungicide brands were mentioned in this survey, and the top three ones in terms of mentioned times in the survey were Armure, Nativo (trifloxystrobin•tebuconazole 75% WDG) and Horizon (tebuconazole 430g/L SC). The latter two belong to Bayer, one of the well-known multinational companies. Worse still, many farmers in Hengyang, Yueyang and Changde know little about preventing and controlling rice diseases by good rice fungicide brands from domestic agrochemical companies.

Hunan is one of the major rice producing provinces in China, with a large market for rice fungicides. To capture more market shares, not only multinational companies but also domestic agrochemical ones need to continuously strengthen the training of fungicide-using level for the local farmers and help them build a good brand awareness.

Survey founds glyphosate and paraquat were Hunan's major herbicides for early rice in 2012

Aiming to establish the key market indicators of China's rice industry, CCM has carried out a syndicated research project, namely Syndicated Research Project of Hunan Rice Panel Data & Analysis Model, on rice production in Hunan Province——one of the largest rice production provinces in China, by conducting panel data investigations around basic information which include pesticides, seeds, fertilizers, diseases, pests and weeds, meteorology and agricultural products. The survey of pesticide's application features has been conducted in Hengyang City (Hengyang), Yueyang City (Yueyang) and Changde City (Changde) of Hunan Province and a total of 900 farmers in these three regions were interviewed.

                                                           

In those three districts, the demand for pesticides from early rice planting was similar. The findings are arranged by descending order of input value: insecticides, herbicides, fungicides and others. As predicted by CCM, in those three districts, in 2012, the total market value of herbicide products was USD88 million (RMB540 million) for the rice planting-including early season rice, mid-season rice and late season rice. Among the three districts, Hengyang's market value of herbicide products was the highest, reaching USD42 million (RM260 million).

In terms of herbicide categories used, out of 900 farmers interviewed in those three districts, 813 mentioned 19 kinds of herbicides. Among them, glyphosate and paraquat were most frequently mentioned, far ahead of other herbicides, accounting for about 30% and 15% respectively. It's noteworthy that in Yueyang, many interviewees, 34.1%, had no awareness of the kind of herbicides they were using, compared with Hengyang's 3.3% and Changde's 9.1%.

As for brands, over half of farmers (about 64%) in Hunan Province had no awareness of them. According to the herbicide brand survey from 510 farmers, 22 herbicides brands and four pesticides companies were mentioned. However, those mentioned brands are almost all from multinationals: 49.3% was Monsanto's Roundup (glyphosate formulation), 28.9% was Dow AgroSciences' Daojie (penoxsulam formualtion) and 5.6% was Dow AgroSciences' Daoxi (cyhalofop-butyl•penoxsulam formulation).

Retail stores of agricultural products are the main pesticides purchase channels in these three districts. Farmers usually buy pesticides by experience, and rarely accept recommendations from merchants, friends and governments.

Rice is one of the most important crops in China, and Hunan Province is a large rice producing province, with a planting area of more than four million hectares. It ranked first in rice-sowing area and rice output in China in the past few years. Changde, Yueyang and Hengyang are the three important rice planting cities in Hunan Province. According to CCM's survey, about 50% farmers plant rice twice annually (early season rice and late season rice) and about 40% farmers choose single mid-season rice annually.

The news above was sourced from CCM’s latest issue, Herbicide China News 1305.

Table of Contents of Herbicide China News 1305:

Survey founds glyphosate and paraquat were Hunan's major herbicides for early rice in 2012

Lier Chemical: both revenue and net profit achieved a double-digit growth in Q1 2013

Anhui Huaxing constructing projects with a total capacity of 417,000t/a

Jiangsu Dongbao bought a bio-herbicide from Nanjing Agricultural University

Sluggish acetochlor production in China in 2012

Ex-works price of nicosulfuron 95% TC soared in late April

Glufosinate-ammonium arouses interest in China

Paraquat still in short supply in late April 2013

Diquat production stays weak in early 2013

Difficult promotion for biological pesticides

Atrazine TC export volume surged but formulation fell in 2012

Chinese herbicides Imp. & Exp. witnessed increases in Q1 2013

15 herbicides TC registered in Australia from Jan. to March 2013

New registrations of herbicide technical in China in March and April 2013

Herbicides China News, a monthly publication issued by CCM on 15^th, 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.

About CCM

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, 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

Email: econtact@cnchemicals.com

Dow AgroSciences’ overview for South America

The company has reported worldwide outstanding results for 2012, with an increase of 13% (vs 2011) for total sales (compared to 11% average for agricultural (AG) market) that includes seed sales with 27% growth (vs 14% average of AG market) plus crop protection sales showing 10% growth (vs 9% average of AG market). The EBITDA increase was 7%, according to CCM’s latest monthly report, Crop Protection South America Monthly Report issued in March.

A key player for this growth certainly was South America (the second largest worldwide market of sales, behind North America). In the tropical and subtropical climate of this region are grown soybeans, corn, sugarcane, wheat, fruits, vegetables, sunflower oil seed and rice and the company offers a variety of crops protection and seeds to achieve the maximum yields and health protection, as well as for livestock through pasture’s products.

A wide selection of herbicides, insecticides and fungicides to meet customers' needs, as well as trait technologies such as HERCULEX® and POWERCORE™ in corn and WideStrike™ Insect Protection technology in cotton, is available.

The company is deploying the South American market strategy aimed to the following countries and main related products, as follows:

Argentina: 

- Seeds (Hybrids and GMO) for corn, sunflower and sorghum.

- Herbicides for chemical fallow, 2-4 D products and glyphosate products (e.g Panzer Gold).

- Fungicides (e.g Planet X-tra for soybean diseases).

- Insecticides / Omega 9 oils / Pastures (weed’s control).

Brazil:

        - Herbicides, insecticides and pastures.

        - Sentricon: products for controlling termites eliminating the core of the colonies.

        - Lorsban chlorpyrifos based insecticide.

Bolivia and Paraguay: Products for pasture’s weed control.

Colombia: Herbicides, insecticides and pastures.

Chile: Natural insecticides for apple, pear and walnut trees.

Table Contents of Crop Protection South America Monthly Report 1303:

Argentina to build a new R&D biotechnology center

Bayer CropScience looking for expanding business in South America

Dow AgroSciences’ overview for South America

Syngenta – Financial results for Latin America

Argentina: Focusing on barley quality issues

Brasil crop overview for 2012/13 season

Brazil is sustaining the biofuel strategy

Paraguay: Transgenic cotton’s high yields require performing three harvests

Bolivia soybean overview

Bolivia crop export overview

Paraguay crops overview

Brazil: Late corn season (milho safrinha) to be tested at Mato Grosso do Sul state

Brazil: Cargo ships port’s logistic jam – status on March 8, 2013

Brazil: Black bean’s price increases 40% in a year

Argentina: Imported glyphosate price is steady after rising 70% last year

Argentina: Lowest chickpea’s export prices since late 2010

Brazilian Superior Court of Justice rejected Monsanto’s appeal for payment of royalties

Argentine province’s labor court halts Monsanto seed’s investment

Paraguayan Environmental Protection Agency boosts biogas generation project

Peruvian women awarded as “protective guardians from Andean quinoa and other grains”

Colombian Agriculture Society calls for dialogue to negotiate

Colombia: Boosting the new agriculture & livestock technical assistance national policy

Chile approved new pesticide

Brazil with a controversial launching for a soybean fungicide

Argentine researchers to study natural plant showing high resistance to drought

Argentina: GMO Product’s approval & launchings

Nidera Argentina – New GMO crops

Argentina weeds resistance

Paraguay: FAO urges to coordinate actions against HLB citric’s plague

Bolivia celebrated the 18th edition from Exposoya exhibition

Uruguay: Opening of national Expoactiva 2013

Brazil projected production gross value

Paraguay – New elected president for CAPPRO

Bolivia late soybean season

Argentina’s Expoagro 2013 – Early initiatives post-exhibition

Crop Protection South America Monthly Report, a monthly publication issued by CCM on 31^st, offers timely update and close follow-up of South America's crop protection industry’s dynamics and the crops’ evolution and trends. This monthly report also features in-depth analysis on market development through abundant facts and figures. 

About CCM

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, 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

Email: econtact@cnchemicals.com

Chongqing Huapont acquires Hangzhou Qingfeng

On Sept. 6, 2012, Chongqing Huapont Pharmaceutical Co., Ltd. (Chongqing Huapont) acquired 58.26% shares of Hangzhou Qingfeng Agro-chemical Co., Ltd. (Hangzhou Qingfeng). Hangzhou Qingfeng is a company mainly engaged in amide herbicides. Through this acquisition, Chongqing Huapont can enhance its herbicide production strength with Hangzhou Qingfeng's resource production base, according to CCM’s October Issue of Herbicides China News.

In detail, Chongqing Huapont purchased 58.26% shares of Hangzhou Qingfeng, a subsidiary of Hangzhou Industrial Asset Management Investment Group Ltd. (Hangzhou Industrial) with about USD9.17 million (RMB 58.08 million).

 

At present, Chongqing Huapont has several main pesticide products—metamitron technical, oxyfluorfen technical, bifenthrin technical and picloram technical. After the acquisition, Chongqing Huapont can produce a series of amide herbicides including alachlor, acetochlor, pretilachlor, butachlor, metolachlor, propisochlor and also can produce prochloraz (a kind of fungicide), which are originally owned by Hangzhou Qingfeng.

 

It's predicted that after the acquisition of Hangzhou Qingfeng, Chongqing Huapont will integrate complementary resources of Hebei Wanquan Kaidi Chemical Imp. & Exp. Co., Ltd. (Wanquan Kaidi),  Nutrichem Company Limited (Nutrichem) and Hangzhou Qingfeng for sensible use of resources, which can reduce the cost of sales sharply. 

From 2011, Chongqing Huapont has aggressively developed pesticide business by way of acquiring pesticide companies. In detail, in July 2011, Chongqing Huapont acquired 100% shares of Nutrichem; in May 2012 , the company acquired 31.24% shares of Wanquan Kaidi whose main products are metamitron and clethodim; Also in this May, the company acquired 49% shares of Hebei Wanquan Hongyu Chemical Co., Ltd. (Wanquan Hongyu). (Herbicides News 1107: Huapont acquires Nutrichem; Herbicides News 1205: Huapont invests in Wanquan Hongyu and Wanquan Kaidi)

 

On Aug. 8, 2012, Chongqing Huapont issued its H1 2012 semi-annual report. It shows a good performance of Chongqing Huapont, especially in pesticide business. After Nutrichem was acquired by Chongqing Huapont, Chongqing Huapont has been congruously developing the businesses of pharmaceuticals and pesticides. And Nutrichem pushed Chongqing Huapont's business forward in H1 2012.

 

In H1 2012, the total revenue of Nutrichem was about USD220.7 million (RMB1.4 billion) with gross profit margin of 13.56%. As to the company's products, the revenue of metamitron technical and oxyfluorfen technical were about USD20.9 million (RMB132.3 million) and USD11.0 million (RMB69.7 million) with gross profit margin of 28.41% and 11.65% respectively. 

Now, Chongqing Huapont further develops its pesticide business by acquiring Hangzhou Qingfeng whose business is in deficit. In an estimate, one of the reasons why Hangzhou Industrial sold its shares in Hangzhou Qingfeng is that Hangzhou Qingfeng suffered a net profit loss of about USD8.12 million (RMB51.43 million) in 2011. As of March 31, 2012, the total assets of Hangzhou Qingfeng was about USD83.2 million (RMB554.5 million) and its net assets was about USD-21.3 million (RMB-134.9 million).

 

As indicated by Chongqing Huapont, the deficit of Hangzhou Qingfeng is mainly due to the unwise operation of its mother company, Hangzhou Industrial. After the acquisition, Chongqing Huapont will enhance the management ability of Hangzhou Qingfeng and Hangzhou Qingfeng will recover in 2013 in an estimate.

 

As expressed by Chongqing Huapont, in the acquisition, there are still some potential risks that the company should pay attention to. According to the acquisition proposal, new industrial park has higher requirements on environment protection, especially on waste gas. Therefore, it wasn't sure that Hangzhou Qingfeng could successfully relocate into new industrial park, as Chongqing Huapont estimated. Although Hangzhou Qingfeng has a good foundation, Chongqing Huapont needs to put more efforts to get rid of the malpractice in Hangzhou Qingfeng after the acquisition.

 

At present, Hangzhou Qingfeng's production base is in Hangzhou Xiaoshan Linjiang Industrial Zone, Zhejiang Province. After the acquisition, Hangzhou Qingfeng will be relocated, though the exact relocation place has not been settled, according to the proposal of Chongqing Huapont. 

At any rate, under the direction of Pesticide Industry Policy in China, Chinese pesticide market is experiencing an integration revolution. Accompanied with the current trend, acquisition in different industries will gain Chinese government's support and the acquisition of Chongqing Huapont makes the company an early bird to grasp expansion chance.

 

Besides, at the end of 2011, Chongqing Huapont purchased 7.5% shares of CCAB Agro S.A. (CCAB), a company who is mainly engaged in pesticide business in Brazil. By cooperating with CCAB, it's convenient for Chongqing Huapont to export pesticides to Brazil through setting up a sales channel and the company can further develop its pesticide export business. (Herbicides News 1202: Huapont plans to invest in Brazilian market) 

Source: Herbicides China News 1210

http://www.cnchemicals.com/Newsletter/NewsletterDetail_11.html

Content of Herbicides China News 1210:

Chongqing Huapont acquires Hangzhou Qingfeng

Jiangsu Tenglong manufactures glyphosate in Inner Mongolia

Jiangsu Agrochem Laboratory gains formal florasulam TC registration

CAC Nantong prepares 2,000t/a thiobencarb and 300t/a cyhalofop-butyl production lines

China sets anti-dumping investigation on pyridine import

Three coming off-patent herbicides in China  

Mild fluroxypyr market in China in H1 2012

Pendimethalin heats in China in Q3 2012

Anhui Meiland to supply clodinafop-propargyl EW 

Anhui Zhongshan's 1,000t/a metamitron project proceeds

PMIDA supply intense in Sept.

Clethodim grows quietly in China   

No flumioxazin supply in China

APVMA to finalize diuron review in Nov. 2012

Dicamba price floats upward in Oct. 2012

Chongqing Huapont Jiangsu Tenglong  Jiangsu Agrochem Laboratory CAC Nantong anti-dumping pyridine fluroxypyr Pendimethalin clodinafop-propargyl metamitron PMIDA Clethodim  flumioxazin diuron Dicamba

Herbicides China News, a monthly publication issued by CCM on 15^th of every month, 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.

About CCM

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.

CCM International Ltd.
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

Email: econtact@cnchemicals.com