From the early 1990s compound fertilizer so far from the start to the current development of increasingly mature, nearly 20 years, from his early simple common compound fertilizer to the current sustained-release fertilizer, the rhizosphere foliar fertilization, fatty etc. New fertilizers, some home to present from early thousands of factories, from early compound fertilizer enterprise disc, roller granulation to current ammoniation, such as technology, no matter tower from fertilizer type, or granulating process, or number of enterprises have made great progress, but with the development of technology, innovation, sales pattern can balance of compound by also provide influence for crops is gradually accepted by farmers, and then at the same time, the profits will decrease gradually, especially after the financial crisis, compound fertilizer, increasingly fierce competition overcapacity contradictions also increasingly prominent.

Can say, compound fertilizer will enter a small profit era. Cause there are many reasons for this situation, is inevitable trend of development.

Diversified product, new fertilizers rise. As technology advances, currently compound fertilizer market product variety, in addition to conventional compound fertilizer, salt fertilization, outside foliar fertilization, rhizosphere fertilizer, swollen by underdog fertilizer and market control sustained-release fertilizer and tower, new fertilizers s-based fertilizer (rising also makes conventional fertilizer profit space gradually narrowing. Of course, since the market management is not standard, and entered row threshold low, new fertilizer market is good and evil people mixed up, many fertilizer enterprise only hype concept, to get more profit, cheats consumer.

Productivity soared, the pressure of competition: too much. Due to the low, according to do threshold, the state information about zhuo and the compound fertilizer production counted in 2 million tons, according to the statistics in recent years of production in the 5,000 – compound actual capacity and 6,000 tons (less than the number). Production So digital computing in accordance with, the whole compound fertilizer market starts, if insufficient 25% greatly, of short term starts production is domestic difficult to digest. At present there are still many of construction projects, and many serious product homogeneity, increasingly fierce competition, compression profit space is also inevitable choice.

The financial crisis erupted, obvious contradiction of supply and demand. Because financial crisis, upstream and downstream all dealers losses factory larger, many enterprises so withdrawn from the agriculture industry. Affected by this, the dealer for fertilizer marketing mentality also have certain change, preparation is increasingly cautious. According to zhuo gen information incomplete statistics, before the financial crisis, part of a compound fertilizer wholesalers every tons of profits at roughly 300 to 400 yuan/ton or even higher; But after the financial crisis, according to zhuo gen information understand compound fertilizer profits in 100 or 200 generally yuan/ton. And the market sell appeared on the phenomenon of rare compound, compound fertilizer zero profits or negative profit by binding new fertilizers, and profit.

The establishment of the new standards, products gradually norms. Promulgated by the end of 2009, 2010 the compound fertilizer/implementation of the new standard (material compound fertilizer GB15063-2009) to compound fertilizer product requirements more meticulously, except in strict requirements in terms of nutrient outside, more regulation in the packaging or product manual must to chlorine ion in the urea content, shrink two indices such as mark, it also makes specific part enterprise cannot fish in troubled waters, constraint enterprise regulate its own products. So part of smooth enterprises have to improve cost, strengthen their product quality.

The establishment of the Internet, the advent of the information age. The development of the network many industry has brought great changes, fertilizer industry is no exception. Network establishment for information exchange and bring convenience, fertilizer prices also become increasingly transparent, and by publicity or hype concepts to be hugely profitable operation modes were gradually market eliminated. This makes production enterprises and dealers have to standardized operation, narrow margins.

Remove the above reasons besides, in the short term, the raw material prices of resources, and the growing tension, inflation expectations intensifies is also the factors affect current compound fertilizer profits. According to zhuo gen information understanding, after the Spring Festival, except urea phosphate, potassium fertilizer, beyond price is rising slightly more have larger, sulphur prices rise. From July of last year due to the price begins to rise so far, compound fertilizer prices now maintain relative high, raw material prices, but though supported grassroots dealers and farmers, to accept the current price of compound fertilizer enterprise and agent or wholesalers can only to compress profit space or formulates preferential policies in disguised form to drive sales price.

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