The profit of pesticide intermediates industry is expected to improve

- Apr 19, 2018 -

The pesticide intermediates industry is facing an increase in scale, the overall profitability of the decline of the embarrassing situation. In the pesticide intermediate industry, the profit level is higher overall, but it has been stable since 2008, and it is basically maintained at around 13%.

The production raw materials of pesticide intermediates are mainly basic chemical raw materials, and the bargaining power of enterprises is low. Low added value of products with a single structure. Pesticide intermediates industry in our country at present the didn't see the profit condition, for the scale length, the main reason lies in the industry within a single, low value-added products structure and to solve the problems of enterprise competition, etc.

At present, there is a large gap between the domestic production of intermediate products and foreign enterprises. First of all, the domestic production enterprise on a smaller scale, a single structure, economies of scale of the enterprise are numbered, this leads to the enterprise's economic strength, investment is limited in product development. Secondly, the product structure of the enterprise is similar, the low-end products are more and the added value is not high. At present, the low level construction of domestic manufacturers is serious, resulting in excess capacity of some products, severe shortage of operating rate, competitive price and economic benefit.

Pesticide intermediates production enterprise in our country at present, size is differ, most for pesticide enterprises, state-owned or state-controlled only dozens of large enterprises, the industry is facing problems such as resource reconfiguration, market competition pressure. In addition, at present, China's pesticide intermediates are mostly large and low value-added products, while high value-added products such as the intermediate products containing fluorine pesticides need to be imported.

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