China Glyphosate Industry Report, 2009
Executive Summary
Glyphosate is the pesticide with the fastest growth rate, the most yield and export volume, growing at approximately 15% annually. Now, China’s current annual output of glyphosate reaches 300,000 tons, and the production capacity 600,000 tons.Affected by international supply and demand, the market price of glyphosate in China has soared from RMB30, 000/ton since the beginning of 2007, but glyphosate has still been in short supply. Especially in 2008, the price was up to RMB100, 000/ton in March and April. The market demand in the second half of 2008 declined with the economic trends, glyphosate prices plummeted to RMB25,000/ton or less in 2009. ( http://www.bharatbook.com/detail.asp?id=75208&rt=China-Glyphosate-Industry-Report-2009.html )
Glyphosate prices are currently incurred by a large number of glyphosate enterprises, which have offered different prices, so the market is in chaos. Now, a lot of companies have limited or even stopped their production. However, as a good kind of herbicide, glyphosate is unlikely to be substituted in quite a long time. After market reorganization, it is expected that a great number of glyphosate enterprises will cease production, and capacity utilization will drop further. The contradiction between supply and demand will be eased in 2010, and the price is expected to rebound then.
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