Agricultural 2016 domestic pesticide sales fall export to southeast Asia prospects.
2016-12-20 Source: Jin shiyuan co. LTD.

In the past two years, the export volume and amount of pesticide exported to China have been falling sharply, and the decline in 2016 has been more than double digits. Domestic pesticide enterprises are focusing on southeast Asia market to seek breakout.

In 2016, the number and amount of pesticide export continued to fall sharply.

At the meeting, yan zhixiang, deputy director of the ministry of agriculture's pesticide inspection bureau, pointed out that the growth rate of the three major economies in Europe, the United States and Japan had slowed down and had a big impact on the world's exports. At the same time, the international market competition intensifies, the illegal international trade of pesticides is rampant and the policy of pesticide adjustment lags behind, leading to weak export.

China's pesticide exports have fallen sharply, focusing on southeast Asian markets.

All the time, China's pesticide export volume occupies half of our country's pesticide production, and the proportion has declined in the past two years. International exchanges and services division of agriculture pesticide offices shall wen-jun zhang introduces, weak chemicals import and export situation in China in recent years, in 2015, China's pesticide production 3.741 million tons, exports of 1.509 million tons (exports account for pesticide production about 40%) in our country, the export amount is $7.283 billion, compared with 2014, down 8.06% and 16.87%; In 2015, the number of imported pesticides was 58,000 tons, with a total value of $680 million, 14.2% and 8.9%, respectively, compared with 2014, and the import and export of pesticides both declined.

According to the data, from January to October of 2016, China's pesticide export was 1.0998 million tons, and the export volume was 45.12 billion us dollars, down 15% and 27% year on year. This is a 15% drop in sales this year after falling to -8.06% in 2015.

In the first half of 2016, the export volume and amount decreased by 21.8% and 33.0%. The decline in the last three months was slower than in the first half, by 7% and 6% respectively.

China's pesticide exports have fallen sharply, focusing on southeast Asian markets.

Currently, southeast Asia, Latin America and Africa are the main targets of China's pesticide export, accounting for nearly 65% of China's total pesticide exports, zhang said. (from January to October 2016, 159 countries and regions exported to the region and the top 30 countries in the export scale accounted for 80.9% of total exports, with a total value of 65.2%. Among them, Africa and Latin America comprise 10 countries and regions, and Asia comprises 13 countries.

Bucked the trend by 11%! Exports to southeast Asia are promising.

Compared with other regions, the export of southeast Asia market has increased year-on-year. According to Chinese customs export data statistics, in the first half of 2016, exports of 730000 tons, pesticide export amount is $1.958 billion in total, 30% of total value of about $584 million (191000 tons) of pesticides are exported to southeast Asia market. In the first half of 2016, the number of pesticides exported to southeast Asian markets rose 11% from a year earlier (172,000 tons in the same period last year). The top five exporters in southeast Asia (Vietnam, Indonesia, Thailand, Malaysia and Singapore) accounted for 92.7 per cent of total pesticide exports to southeast Asia, according to the export figures. To calculate for the amount of exports, in the first half of 2016 myanmar, Malaysia, Indonesia, Cambodia and Laos exports have increased from a year earlier, while Thailand, Singapore, Vietnam and the Philippines have different degree of decline.

Due to the high proportion of agriculture, similar planting crops and market competition, many enterprises in China are optimistic about the southeast Asian market. According to statistics, the cultivated land area of southeast Asia is 190 million hectares (China's cultivated land area is 130 million hectares).

China's pesticide exports have fallen sharply, focusing on southeast Asian markets.

"From 2011 to 2015, the trend of pesticide export volume in China, if the statistical period is extended to 5 years. In terms of quantity, in the last five years, the export of original drugs has been declining, with an average annual decline of 3.75%. However, the export volume of pesticide preparation, though affected by the inflection point in 2015, is still growing at 6.75%. The AgroPages world agribusiness CEO hu xanhe talks about. The team of the world agrochemical network found that, based on agriculture, the contribution of agriculture to GDP was more than 50%. Farmers of southeast Asian nations tend to be judged through timely effect pesticide effect, the preference for using mixed reagent, pesticide products effective composition content is higher, farmers think drugs many varieties of target function can work more quickly, this also is limited by the farmers' level of education, their knowledge of Chinese caterpillar fungus ill no scientific, basic recommended by others and personal intuitive sense to choose to use pesticides.

In addition, Burma, Laos and Cambodia, the economic environment in the semi-closed, due to the political, economic factors and the surrounding and international interaction is not enough, the government will actively expand the economy, but its ability is limited, a lot of infrastructure is under construction. Overall, the southeast Asian market is relatively low, and the weather and other external factors are poor. This year, for example, there was a drought in myanmar, and then floods, which had a huge impact on the agricultural market. Malaysia has been dry for the first half of the year, and pesticide sales have largely stalled. Except Vietnam, myanmar, Bangladesh, Cambodia and Laos, farmers use investment market is very limited, probably around invested in 10 yuan per acre, the government of agricultural development and water conservancy facilities construction investment co., LTD., for farmers guidelines are also insufficient, drugs mainly depends on experience.

Focus on southeast Asia and India.

At the meeting, more enterprises in southeast Asia and South Asia market prospects. Zibo new farming base pesticide chemical industry co., LTD. (hereinafter referred to as the "new farming base"), chairman of Shao Changlu introduction, Burma's population of more than 5000, more than 200 million hectares of arable land to (half of population is in shandong province, the planting area is the shandong four times). The crops in Burma are mainly rice, banana, oilseeds (beans, peanuts, sesame), melon seeds, vegetables, etc. Rice is the largest, accounting for nearly half. But the level of drug use in Burma is lower than in China, especially in paddy fields.

Burma is opening to the outside world in 2012, has been 50 years before the military dictatorship, especially light industry is not very rich, no pesticide production, pesticide used is from Thailand, China border smuggling in the past, smuggling products are Chinese label. Until now, such trade could account for 39% of the market.

'there is basically no brand in the country's pesticide market,' Mr. Shao said. 'farmers are choosing from the idea of' using it. ' On the other hand, Burmese farmers are poor, affordable and cheap and mainstream. As a result, discussions on pesticide brands have only just begun in myanmar.

Myanmar is a big agricultural country in southeast Asia, however, the development prospect is good, so Chinese companies from the formal channels into Burma, Thailand, India, Taiwan companies will be more and more, the competition will be increasingly intensified, the next five years will be the market pattern formation period. New farming based on into Burma, 2012 TopagriMyanmarLimited, Chinese name "Burma yi pu", business models and domestic sales, not through the local provincial agents, sold directly by the business personnel to the township level. After three years of development, a team of 70 people has been established, with more than 100 registration CARDS. Even under the downward trend of myanmar's economy, it has achieved three consecutive years of profit.

India, a big agricultural country, is also a focus of domestic concern. Tree farmers in Shanghai chemical industry co., LTD., general manager of Li Kaihui introduction, India's main crops are: the first big crops is grain 46 million hectares (25%), rice (24%), 43 million hectares of cotton, 25 million hectares (including the transgenic and non-transgenic cotton cotton) (14%), soybean 11 million hectares, corn is 9 million hectares, vegetables is 6.6 million hectares. The pesticide market share was about $1.8 billion in 2014. Insecticides accounted for 53%, herbicides 24.7%, fungicides 17.9%, and others 4.5%, and herbicides increased significantly over the past two years. The amount of pesticide used in rice, cotton and grain accounted for 66% of the total pesticide use.

In recent years, India's domestic enterprises and the market share of Chinese enterprises have been increasing. Before 2009, India had 85% of its domestic pesticide market, 10% of its domestic companies and less than 5% of Chinese companies. In 2014, multinationals accounted for 70 percent, Chinese companies accounted for 15 percent, and local companies accounted for 15 percent.

However, it will take five to six years for Chinese companies to register longer in India and need to undergo toxicology, biochemical tests, physical chemistry, packaging, and tests of validity. The registration fee is also high, with the simplest MeTooProduct(the same products, such as glyphosate, imidazoline, and methylol, etc.), and the class cost is more than $200,000. Currently, 65 companies and 33 products are registered in India.

Mr Li said India had more than a dozen large original pharmaceutical companies, although 90 per cent of the raw materials used in India's original pharmaceutical factories were sourced from agricultural and chemical companies. In India, the most active crop is wheat, rice and cotton, which have the largest planting area and the largest use of medicine. In addition, the proportion of oil crops is also relatively large. The acreage of traditional crops has not changed much in the last ten years, but the amount of medicine is increasing year by year. With the promotion of transgenic seeds, the planting area and dosage of gm crops increased year by year. In addition, India has more than 50% pesticide use and less herbicide than other countries.

At present, there are 5 clients of Shanghai shuangong chemical industry co., LTD and India, with more than 60 projects and 7 registered products.

To certain pesticide export enterprise performance and achievements, encourage enterprises to become bigger and stronger, improving foreign influence in the international market visibility and competitiveness, to make greater contribution to the development of industry, the meeting issued 2016 annual export of Chinese pesticide enterprises 50 list and issue the certificate.

Association for the Beijing YingTaiJia and biotechnology Co., Ltd., shandong weifang embellish feng chemicals import and export Co., Ltd., a working Red Sun Co., Ltd., hubei silver sand swell up to foreign trade Co., Ltd., shenzhen kunpeng trade Co., Ltd issued by companies such as "2016 China top 50 pesticide export enterprise" certificate.