echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Agriculture News > Fertilizer News > The first half of the year: the sales of compound fertilizers are not optimistic

    The first half of the year: the sales of compound fertilizers are not optimistic

    • Last Update: 2022-03-16
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com
    On July 1, a large wave of new agricultural policies was introduced.
    Once the "6 major policies" and "4 standards" were released, they attracted the attention of the agricultural industry.
    In these new policies, the eagerness to re-levy the fertilizer value-added tax is even higher, and it is hoped that these policies can inject a "strong injection" into the long-lost market.
    Entering July means that one and a half years have passed.
    This month, we must sum up our experience and begin to make plans for the second half of the year.
    How did the compound fertilizer market perform in the "big test" of the fertilizer season that just ended in the first half of the year? Faced with the influence of factors such as the possibility of falling raw material prices in the later period, how should manufacturers adjust and respond? ? Compound fertilizer sales performance is not optimistic.
    What is the situation of compound fertilizer in the first half of the year? What are the subjective and objective factors facing compound fertilizer? In this regard, Zhao Lihu, deputy general manager of Qinhuangdao Wuxian Weiai Technology Development Co.
    , Ltd.
    , explained: “At present, the use of fertilizer in the first half of the year has ended, and everyone’s unified feeling for the compound fertilizer market in the first half of the year is-difficult.
    Interfered by external factors, This year’s compound fertilizer market is difficult and the sales performance is not optimistic.
    On the one hand, due to the continued lower international food prices than China, domestic crop prices are sluggish, farmers are not motivated to use fertilizers, and their input in agricultural materials is reduced; on the other hand, the price of raw materials for compound fertilizers is higher.
    Compared with the same period last year, it dropped by 15%-20%.
    The limited cost support, coupled with the overcapacity of domestic manufacturers and other reasons, led to the bleak trading of most domestic compound fertilizer manufacturers in the first half of the year.
    " In terms of prices, mainstream quotations are similar to last year.
    Compared with the same period, the difference is not big, but the manufacturers have seen a significant decline in actual transactions.
    Zhao Lihu said: "Last season, the ex-factory price of summer corn fertilizer (high-nitrogen fertilizer) was 1500-1600 yuan/ton for ordinary fertilizer, and the price of branded fertilizer was about 2000 yuan/ton.
    The ex-factory price was 100-150 yuan/ton lower than last year.
    Tons.
    ” It can be seen that, compared with the same period last year, both the price and the sales volume of compound fertilizer used in Datian did not perform well in the first half of the “examination”.
    The phenomenon of low-price fertilizers and high sales is common.
    "This year, when farmers are not enthusiastic about fertilizer use and lack understanding of fertilizers, when choosing fertilizers, they habitually only look at the price.
    They can use simple fertilizers instead of compound fertilizers.
    The cheap one does not choose the expensive one.
    " Zhao Lihu told reporters, "The actual purchase price of corn is as low as 0.
    7 yuan/kg, this is a huge blow to farmers.
    In some areas, farmers spontaneously adjust crops and change crops such as soybeans or miscellaneous grains.
    However, farmers in some areas lack experience in planting other crops, and their yield after harvest There is no guarantee that the general price of agricultural products is not high.
    In addition, because of the habit of planting corn and having experience in management, I am reluctant to change the planting structure and continue to grow corn.
    However, in order to save farming costs, low-cost fertilizers have become farmers’ use.
    Fat preferred.
    In the country's field crop planting areas, low-price fertilizers have high sales, and the sales of brand-name fertilizers have been blocked.
    Manufacturers should adapt to the market and seize opportunities.
    In terms of how manufacturers can improve their marketing methods, Zhao Lihu said: "'True products, real prices, and zero distance' is a principle that manufacturers should firmly follow.
    After July 1, 13% value-added tax was officially levied on the sales of chemical fertilizers.
    Therefore, the production cost of compound fertilizers has been increasing, and the profit margin is small, and the current profit has been reduced to the minimum.
    In the face of such a market situation, manufacturers should start by popularizing agrochemical service knowledge for farmers, and teach farmers how to distinguish between genuine and fake fertilizers, purchase fertilizers rationally, and apply fertilizers rationally, so as to achieve a "win-win" effect.
    "The land transfer work currently being carried out in our country is also proceeding in an orderly manner, which will help the fertilizer market to appear positive in the future.
    Zhao Lihu believes that with the confirmation of land rights and land transfer in our country, large-scale operations have prompted the emergence of new farmers, and the level of knowledge , Agrochemical knowledge is much better than traditional farmers, and they have a deeper understanding of fertilizers and cost performance.
    The area of ​​land management is large, and the input of agricultural materials will increase, so the choice is more rational.
    In addition, the emergence of new fertilizers and good development The prospects will also provide new challenges and opportunities for traditional compound fertilizer manufacturers.
    Manufacturers should follow the market changes, and only by seizing opportunities and adapting to the market will they not be eliminated by the market.
    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.