Pesticide output declined, profits rose and industrial restructuring accelerated

   Recently, the 13th Council of China Pesticide Industry Association was held in Alashan. The information conveyed at the meeting showed that in 2018, the total production of pesticides by pesticide producers above the national scale dropped by 2.083 million tons, but the main business income was 232.373 billion yuan and the total profit reached 22.704 billion yuan, which increased year on year, and the industry accelerated structural adjustment.

   In 2018, the pesticide industry further reformed and adjusted, and the structure of market supply and demand changed. Influenced by the rising global food prices and the rebound of upstream crude oil prices, coupled with the deepening of the new management policy, the heavy pressure of environmental protection and the structural reform of the supply side, the structural adjustment of the pesticide industry has been accelerated, the transfer of the pesticide industry and the merger and reorganization of enterprises have become evident, the price of pesticide products has also risen strongly, and the supply and demand of some raw drugs are tight.

  

   According to the data of the National Bureau of Statistics, in 2018, more than 2.083 million tons of pesticides were produced by pesticide manufacturers nationwide, down 9.5% from the same period last year. The total assets of 721 Enterprises above the scale of pesticide industry in China totaled 276.404 billion yuan, an increase of 11.1% year on year; the main business income was 232.373 billion yuan, an increase of 12.9% year on year; the total profit was 22.704 billion yuan, an increase of 37.9% year on year; the total profit of chemical raw drugs increased 38.1% year on year, and that of biochemical pesticides and microbial pesticides increased 35.1% year on year. In addition, in 2018, the export delivery value of pesticide raw drugs in China totaled 47.092 billion yuan, an increase of 18.7% over the same period last year. Among them, the original chemical pesticides reached 46.233 billion yuan, an increase of 19.7%, biochemical pesticides and microbial pesticides reached 859 million yuan, a decrease of 19.4%.

   It is understood that according to the forecast of the National Agricultural Technology Extension Service Center, the domestic planting structure will be adjusted in 2019, and the demand for pesticides for various crops in 2019 is expected to be slightly higher than that in 2018. In response, Sun Shubao, president of China Pesticide Industry Association, said that in 2019, the industry should take supply-side structural reform as the main line, implement innovation-driven development and green development strategy, effectively promote supply-demand relationship and supply structure optimization, steadily promote industrial transfer, and promote the high-quality development of the pesticide industry to a new level.