Fungicides China News Vol.2 Issue 6.2009
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Vol.2 Issue 6
Fungicides China News
Fungicides China News
Vol.2 Issue 6, 10 June 2009
Content ■■ Overview ������������������������������������������������������������������������������������������������������������ 1 China’s fungicides with self-dominated intellectual property right (I) ��������������������������������������������������������������1
■■ Supply and Demand �������������������������������������������������������������������������������������������2 Large demand boosts difenoconazole market ���������������������������������������������������������������������������������������������������2 Foreign procurement boosts captan & folpet market ����������������������������������������������������������������������������������������3 Isoprothiolane sales robust ��������������������������������������������������������������������������������������������������������������������������������4 Hymexazol prosperity in April ���������������������������������������������������������������������������������������������������������������������������4
■■ Price updates ����������������������������������������������������������������������������������������������������� 5 Monthly price of key raw materials in Jun. 2009 ���������������������������������������������������������������������������������������������� 5 Monthly factory price of main fungicides in Jun. 2009 ������������������������������������������������������������������������������������6 Monthly Shanghai port price and FOB Shanghai of main fungicides in Jun. 2009 ����������������������������������������� 6 Monthly market price of main crops in Jun. 2009 �������������������������������������������������������������������������������������������� 7
■■ Pricing ��������������������������������������������������������������������������������������������������������������� 7 Most fungicide prices continue downtrend in early June ��������������������������������������������������������������������������������� 7 Jiangsu Chengyang to build 200t/a cyproconazole ������������������������������������������������������������������������������������������8
■■ Company Dynamics �������������������������������������������������������������������������������������������8 Shanghai carried out a new provision in 1 June ������������������������������������������������������������������������������������������������8 Shouguang ShuangXing to build 1,000t/a tebuconazole ����������������������������������������������������������������������������������9 Jiangsu Taicang to build another 300t/a benomyl technical ������������������������������������������������������������������������� 10 Jiangsu Lanfeng’s thiophanate-methyl sees robust demand ��������������������������������������������������������������������������11
■■ Raw Material, Intermediates and Additives ����������������������������������������������������� 12 JZPC building 100,000t/a m-xylene ��������������������������������������������������������������������������������������������������������������� 12
■■ Disease ������������������������������������������������������������������������������������������������������������ 13 Potato late blight to prevail in China ��������������������������������������������������������������������������������������������������������������� 13 Serious wheat stripe rust and powdery mildew in Henan ������������������������������������������������������������������������������� 14
■■ Registration ����������������������������������������������������������������������������������������������������� 15 Fungicide registration in May 2009 �����������������������������������������������������������������������������������������������������������������15 Metalaxyl mixed formulation registration soars in China ������������������������������������������������������������������������������� 16
■■ Policy ��������������������������������������������������������������������������������������������������������������� 17 Shandong to boost 6 fungicide projects ������������������������������������������������������������������������������������������������������������17
■■ News in brief ���������������������������������������������������������������������������������������������������� 18 Guangdong enters peak season of rice diseases ���������������������������������������������������������������������������������������������� 18 Registration situation of flutriafol technical in China ������������������������������������������������������������������������������������� 18 Wheat leaf rust outbreak in Henan ����������������������������������������������������������������������������������������������������������������� 18 Jiangsu Limin’s 100t/a difenoconazole project to launch in July ������������������������������������������������������������������� 19
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Headlines of Fungicides
Welcome to the June issue of Fungicides China News, China News 0906 published by CCM International, a professional consulting company which has been extensively and intently focusing on dynamics of China’s fungicides industry. This newsletter China has developed 14 fungicides with selfdominated intellectual property right, and has covered fungicide market overview, supply & demand, commercially produced most. price update, company dynamics, policies, registrations, etc. Owing to large demand both at home and abroad, difenoconazole technical supply is very tight in May China’s fungicide industry has witnessed fast development 2009. in recent years, especially in 2008, with output growth of Some foreign producers have suspended production 43.1%, to 196,000 tonnes from 137,000 tonnes in 2007. of captan and folpet technical, which will boost Meanwhile, the international trade has grown largely. production and export of these two export-oriented fungicides in China. This issue covers overview of Chinese fungicides with self- With the coming of peak season for rice blast control, dominated intellectual property right, supply & demand isoprothiolane production and sales have been of difenoconazole, captan and folpet, isoprothiolane, robust. hymexazol, dynamics of Jiangsu Chengyang, Shouguang Hymexazol has enjoyed a promising market since Shuangxing, Jiangsu Taicang and Jiangsu Lanfeng, April 2009, which has boosted stable production in registration and price situation of popular fungicides, domestic market. disease forecast on potato and wheat, etc. Price of most popular fungicides continues to decrease in early June, some even reaching the During 2009 and beyond we will cover a wide variety of lowest level in recent years. topics relevant to China’s fungicides market, including Jiangsu Chengyang is registering 95% market/consumption dynamics, related policies/legislations, cyproconazole technical and planning to build a 200t/ disease dynamics, fungicide production situation, a cyproconazole technical production line in its new international cooperation, new products, etc. plant located in Nanjing. If there are specific topics you would like to see us cover or Shouguang Shuangxing is to launch a 1,000t/a tebuconazole technical production line in the end of would like to investigate any of the subjects covered in more 2009 detail, please contact us - CCM International. Jiangsu Taicang plans to build another 300t/a benomyl technical production line in its new plant located in Rugao County, thus expanding its total benomyl capacity to 900t/a. Jiangsu Lanfeng, the largest thiophanate-methyl
producer with capacity of 4,500~5,000t/a in China, is embracing robust demand at home and abroad.
Key companies covered in this issue
Jiangsu Zhongxin Petrochemical Company now is
building a 100,000t/a m-xylene production line.
Potato late blight has occurred severely in Chongqing
and Sichuan by mid May 2009, with stricken area increasing by 87.7% and 37.0% respectively over the same period of last year
Wheat stripe rust and powdery mildew, which
occurred more severely in 2009 with large stricken areas, has promoted a remarkable demand growth for triazole fungicides.
Chinese fungicide registrations in May 2009 had
a great decrease compared with April. Only 12 fungicide technical were registered.
The registration for Metalaxyl mixed formulations has
soared in 2008 and 2009, compared with almost no technical or single formulation registration in the past ten years.
Shandong releases guiding opinions on local
pesticide industry and plans to boost 6 fungicide projects.
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Overview China’s fungicides with self-dominated intellectual property right (I)
C
hina has developed 14 fungicides with self-dominated intellectual property right, all of which were registered in the Institute for the Control of Agrochemicals, Ministry of Agriculture (ICAMA), and most of them have been commercially produced by domestic companies. In this issue, CCM would like to introduce 4 of these fungicides, developed by Shenyang Research Institute of Chemical Industry (SYRICI). Flumorph
Flumorph, with CAS name of 4-[3-(3,4-dimethoxyphenyl)-3-(4fluoro-phenyl)-1-oxo-2-propenyl] morpholine, is the first fungicide with self-dominated intellectual property right in China, developed by Liu Changling of SYRICI in 1994. FIGURE 1: Structure formula of flumorph
Source: SYRICI
Flumorph has been granted patents both in China and the U.S. Commercial production of this fungicide started in 1999, using catechol as starting raw material. It is mainly used to control Peronospora and Phytophthora diseases, such as downy mildew on cucumber, cabbage and grape, phytophthora blight on pepper and tomato, etc., with application dosage of 150g(a.i.)/ ha. Enestroburin (SYP-Z071)
Enestroburin, with test number of SYP-Z071, is a strobilurin fungicide with broad spectrum and longlasting preventive and curative activity, developed by SYRICI and granted Chinese patent.
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FIGURE 2: Structure formula of SYP-Z071
Source: SYRICI
SYRICI has completed technological upgrade of SYP-Z071 by launching a new production line with enestroburin technical capacity of 10t/a in late 2008. SYRICI can also produce SYP-Z071 formulation: 25% SYP-Z071 EC, with capacity of 40t/a. 25% SYP-Z071 EC has better control effect on cucumber downy mildew than some traditional fungicides such as mancozeb WP, with application dosage of 100~200g(i.a.)/ha.. And compared with isoprothiolane, 25% SYP-Z071 EC has lower risk for fungicide resistance of rice blast.
resistance when used with other fungicides. According to field test result of tomato botrytis cinerea control from SYRICI, control effect of 25% SYP-Z048 EC reaches 89.79% with dosage of 400 g(i.a.)/ha., higher than that of 40% pyrimethanil SC and 50% procymidone WP (Pls refer to Fungicides China News 0905, Page 1). SYP-1620
SYP-1620, a new strobilurin fungicide with broad-range of fungicidal activity, developed by SYRICI in 1999, is highly effective in controlling wheat powder mildew, wheat rust, rice blast, rice false smut, banana leaf spot, apple alternaria leaf spot, etc. FIGURE 4: Structural formula of SYP-1620
SYP-Z048
SYP-Z048, a new pyridine oxazoline fungicide with novel structure (FIGURE 3) and unique action mechanism, has good control effect on crop diseases induced by ascomycetes, basidiomycetes and deuteromycetes, such as botrytis cinerea on tomato and cucumber. FIGURE 3: Structural formula of SYP-Z048
Source: SYRICI
SYP-Z048, with broad-spectrum and self-dominated intellectual property right, is highly effective in controlling various crop diseases, such as cucumber scab, cotton fusarium wilt, wheat scab, grape brown spot and botrytis cinerea.
SYP-Z048 is especially effective in botrytis cinerea control, compared with such fungicides as pyrimethanil and procymidone. In addition, SYP-Z048 won’t lead to cross
1
Source: SYRICI
SYP-1620 was firstly produced in 2004 in the Pilot Plant of SYRICI, the only producer in the world. SYRICI developed its first formulation, 5% SYP-1620 EC in 2006, and started commercial production of another formulation, 20% SYP1620·tebuconazole SC this year. Up to now, SYRICI has obtained four Chinese patents and one American patent for SYP-1620 since 1999, including a Chinese patent for 20% SYP-1620·tebuconazole SC (ZL03134025.3). SYP-1620 has been promoted well in the control of wheat powder mildew and banana leaf spot, in Shandong province and South China respectively, with commercial production of 20% SYP1620·tebuconazole SC in 2008. Resemble to the development of SYP-Z071, SYRICI has also completed technological upgrade of SYP-1620 by launching a new production line with technical capacity of 10t/a.
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Comments
period (1995-2000).
China is making great efforts in pesticide independent innovation, with pesticide development listed in the Guideline of Medium- and Long-Term Program for Science and Technology (2006-2020). China started to build National Pesticide R & D Centers in the 9th Five-year plan
SYRICI, as the first comprehensive R&D unit for China’s chemical industry, has contributed a lot in developing China’s pesticide industry. Except for the above 4 fungicides with Chinese patents having been commercially produced, there are other 3 fungicides being developed or
■■
at the field test stage by SYRICI, with test numbers of SYP-3375, SYP-3343, SYP-3759. CCM will continue to introduce other fungicides with self-dominated intellectual property right in China in next issue.
Supply and Demand Large demand boosts difenoconazole market
O
wing to large demand both at home and abroad, difenoconazole technical supply is very tight in Chinese market in May 2009, which has largely boosted its market.
kasugamycin · copper oxychloride WP, 10% difenoconazole WG and 20% thiediazole copper SC. Therefore, more peasants would use 10% difenoconazole WDG, thus boosting difenoconazole.
In China, most large manufacturers have no difenoconazole technical storage at present, due to its tight supply in recent months.
Meanwhile, large demand from overseas is another important factor boosting tight supply of difenoconazole technical. As Table 1 shows, Green Agrosino and Shandong Dongtai export 70% of their difenoconazole to overseas markets, such as Vietnam, while Shouguang ShuangXing exports 50% of its difenoconazole output. According to Ms. Liu, difenoconazole technical are well sold both in domestic and overseas market at present.
According to Mr. Yang, sales manager from Beijing Green Agrosino Company (Green Agrosino), the company’s difenoconazole technical supply is very tight and is not able to satisfy new orders until Jun. 2009. And Shandong Shouguang ShuangXing Pesticide Company (Shouguang ShuangXing) isn’t able to satisfy new difenoconazole technical orders until late Jun. 2009, according to Ms. Liu, sales manager from the company.
With difenoconazole technical tight supply in Chinese market, many companies have registered its technical and formulations. Difenoconazole were the most popular fungicide registered in Apr. 2009 (Pls refer to Fungicides China News 0905, P15). Besides, some companies like Shouguang ShuangXing are expending their capacity/ output. According to Ms. Liu, Shouguang ShuangXing will expend its difenoconazole technical output to 20t/ month in H2 2009.
Tight supply of difenoconazole technical is mainly due to the following three reasons: With pesticide consumption entering peak season in China at present, especially in South China, domestic demand for difenoconazole technical is very large, as most difenoconazole formulation producers in China are busy producing. According to Shandong Dongtai Agrochemical Company, the company sells difenoconazole technical very well in economic crop planting regions in the south of China.
However, difenoconazole price has reduced to USD32,178/t in early May, compared with USD35,103/ t in May 2008, as shown in Figure 5, mainly due to the global financial crisis. It is predicted that difenoconazole technical supply will continue to be tight in the near future, as fruit disease occurrence will be severe in recent months, which may drive its price up in near future.
Besides,� 10% difenoconazole WDG is among the four formulations recommended by National AgroTech Extension and Service Center (NATESC) in Mar. 2009, which include 2% kasugamycin AS, 47%
Difenoconazole, a systemic fungicide with broad spectrum, provides long-lasting preventive and
TABLE 1: Current production situation of major difenoconazole technical producers Production Capacity (t/ a)
Producers
Output (t/ month)
Production status
Export proportion
Beijing Green Agrosino Company
200
15
Tight
70%
Shandong Dongtai Agrochemical Company
300
20
Tight
70%
Jiangsu Sevencontinent Green Chemical Company
N/A
N/A
300
10 10
Normal
Shandong Shouguang ShuangXing Pesticide Company
Tight
50%
Source: Shanghai metal website
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difenoconazole EC and 37% difenoconazole WDG are most commonly used single formulations in China, while difenoconazole + propiconazole is the major difenoconazole mixed formulation.
curative activity against ascomycetes, basidiomycetes and deuteromycetes, including alternaria, ascochyta, cercospora, cercosporidium, colletotrichum, guignardia, mycosphaerella, rhizoctonia, septoria, uncinula, etc. At present, 10% difenoconazole WDG, 25%
TABLE 1: Current production situation of major difenoconazole technical producers 40,000 35,000 30,000 25,000 20,000 15,000 10,000 May-08 Jun-08
Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Difenoconazole
Source: CCM International
Foreign procurement boosts captan & folpet market
S
ome foreign producers have suspended technical production of captan and folpet, which is to boost production and export of these two export-oriented fungicides in China.
Captan and folpet are broad-spectrum fungicides used to control various vegetable diseases, such as downy mildew, powdery mildew and anthracnose, as well as early blight and late blight of tomato and potato. The two fungicides have the same capacity in China, as they can be produced by the same production line. Captan and folpet are export-oriented fungicides, with most of the output exported to Europe, South America, South Africa, etc. Yingde Greatchem Chemicals Company (Yingde Greatchem) is producing technical of captan and folpet tightly at present thanks to large demand from overseas. It won’t accept new orders until mid June 2009, according to Mr. Bi, sales manager from the company. Ningbo Zhenhai Hodak Agrochemicals Company (Ningbo Zhenhai Hodak) and Zhejiang Rayfull Holding Company (Zhejiang Rayfull) only produce these two products by orders. Technical supply of captan and folpet is tight in China at present, as some foreign producers have suspended production due to capital shortage caused by global financial crisis. Besides, with higher production cost in the overseas, many formulation processors would like to import technical from China to reduce production cost. Both of these aspects has boosted captan and flopet demand. It is predicted that captan and folpet are expected to have a promising market in near future. Currently, some companies, such as Yingde Greatchem, are expanding technical capacity of captan and folpet in order to satisfy the large export. According to Mr. Bi, Yingde Greatchem will double its captan technical capacity in Aug. ~ Sep.2009.
TABLE 2: Technical export situation of captan and folpet Company
Capacity (t/a)
Export destination France, Spain, Turkey, Suriname, Lithuania, South Africa Ecuador, Guatemala, Ukraine, Jordan, Dominican Rep, Chile, South Africa
Changzhou Pangu Chemical Company
800~900
Ningbo Zhenhai Hodak Agrochemicals Company
600~700
Yingde Greatchem Chemicals Company
500~600
Spain, South Africa, Europe, South America
Zhejiang Rayfull Holding Company
400~500
Europe, South America
Source: CCM International
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Isoprothiolane sales robust
W
ith the coming of peak season for rice blast occurrence since late Apr. 2009, isoprothiolane production and sales have been robust in China. Rice blast has occurred seriously in Fujian, Guangdong, Guangxi, Jiangxi and Hunan at present, due to favorable temperature and largescale adoption of non-resistant rice varieties this year. China has entered the peak season for rice blast control (Pls refer to Fungicides China News 0905, P13). In China, three kinds of fungicides, including tricyclazole, isoprothiolane and iprobenfos, are commonly used to control rice blast, among which tricyclazole is mainly for rice blast prevention, iprobenfos for both prevention and treatment and isoprothiolane for treatment. Isoprothiolane is an organic phosphine fungicide with high efficacy against rice blast. Occurrence of rice blast mainly depends on weather, while isoprothiolane
application volume mainly depends on disease degree, so isoprothiolane demand mainly depends as well.
Isoprothiolane technical produced by Zhejiang Linghua Industry Company is not sold in the market. The company uses the product itself to produce 30% and 40% isoprothiolane EC.
China has currently 3 major isoprothiolane technical producers, about 40 single formulation producers and more than 30 mixed formulation producers, with technical capacity of 10,000t/a, output of 5, 000t/a and demand of 1,000~2,000t/a at present.
However, Hunan Hengyang Roymaster Bio-pesticide Company suspended isoprothiolane production to focus on glyphosate in H2 2008, according to Ms. Lin from the company.
As Table 3 shows, Sichuan Academy and Sichuan Chuandong are producing isoprothiolane technical tightly. According to Ms. Yuan, director from Guanghan Testing Workshop of Sichuan Academy, isoprothiolane is under short supply both at home and abroad currently.
As for price of isoprothiolane technical, it has reduced to USD4,270/t in early May from USD 5,400/t in 2008, mainly due to significant price drop of raw materials. Isoprothiolane sales volume is expected to rise this year, as more growers will be able to offer lower price and rice blast occurrence situation is severe this year with estimated stricken area of 5.60 million hectares.
Sichuan Chuandong exports 60% of its isoprothiolane output to the overseas, such as Southeast Asia. Its domestic market has also started up thanks to the coming of peak season for isoprothiolane sales, according to Mr. Zheng, manager from the company.
TABLE 3: Current production situation of isoprothiolane technical producers Company
Output (t/month)
Production status
300~400
Tight
80
Tight
40~50
Normal
0
Suspended
Sichuan Academy of Chemical Industry Research & Design (Sichuan Academy) Sichuan Chuandong Agrochemicals Company(Sichuan Chuandong) Zhejiang Linghua Industry Company (Zhejiang Linghua) Hunan Hengyang Roymaster Bio-pesticide Company (Hengyang Roymaster)
Source: CCM International
Hymexazol prosperity in April
A
hydrochloride, raw materials for hymexazol technical production, have kept stable in terms of price and supply recently. Accordingly, price of hymexazol technical remained relatively stable in May, going down slightly from 25,000USD/t in Jan. to 23,500USD/t, when a majority of pesticides witnessed serious price drop in H1 2009.
fter the slack demand from late 2008 to early 2009, hymexazol has enjoyed a promising market since this April, as the peak season for rice seedling blight occurrence (June and July) is coming. Despite the gloomy export, robust domestic demand still promotes stable production of hymexazol technical. Hymexazol has enjoyed a thriving market both at home and abroad in 2008 and is expected to enjoy a promising market in the future years.
Currently, 99% hymexazol technical becomes more and more popular in China, while 95% and 97% technical still dominate the overseas market. The producers begin to pay more attention to domestic market and promote 99% hymexazol technical to foreign users (Table 4).
Besides, with increasing demand of hymexazol in domestic market, methyl acetoacetate and Hydroxylamine
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According to Mr. Zhang, sales manager from Weifang Tianda Plants Protection Co., Ltd, with registration in May 2008 and technical innovation in late 2008, the company has started to produce 99% hymexazol technical in large scale and achieved good sales in early 2009. The company has hymexazol technical capacity of 200t/a. Its export proportion in the total output reduces to 25% in May from 60% in Jan. 2009 (Table 4). Mr. Li, salesman from Shandong Qiaochang Chemical Co., Ltd, claimed that the company still mainly produces 95% hymexazol technical, as 99% technical hasn’t been well promoted yet. ‘We still largely rely on export at present, but we’re planning to produce 99% technical and adjust export proportion in the future,’ says Mr. Li.
decompose into compounds with low toxicity.
Hymexazol, a systemic fungicide with high efficacy and low toxicity, is usually used as a soil disinfectant by binding with iron and aluminum ions to inhibit germination of spores. Hymexazol can be absorbed by and transfer across plant roots, and generate two glucosides in plants to improve physiological activity of crops, thus promoting crop growth and root tillering, increasing root hair and improving root activity.
Relevant news link: Hymexazol market promising in China (Fungicides Newsletter 0902, Page 2, by CCM International) In China, hymexazol had witnessed a thriving market both at home and abroad in 2008, and was expected to have a promising market in the future years. To satisfy the future demand in the peak season from Apr. to Sep. 2009, most Chinese hymexazol technical producers have continued production even in slack season, from late 2008 to early 2009.
As a broad-spectrum fungicide, hymexazol has good effects against various crops diseases induced by fusarium, pythium spp, rhizoctonia, etc, especially for the control of seedling blight on rice and sugarbeet and fusarium wilt on watermelon. It has small effect on bacteria and actinomycetes in soil, thus exerting little impact on microbiological ecology. Besides, it is environmentally friendly as it can
TABLE 3: Current production situation of isoprothiolane technical producers
Producer Weifang Tianda Plants Protection Company Shandong Qiaochang Chemical Company
Export proportion
Capacity (t/a)
2009.01
2009.05
200
50~60%
20%~30%
Southeast Asia, East Europe
200
60%
45%~55%
Middle East, East Europe
Export destination
Source: CCM International
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Price updates Monthly price of key raw materials in Jun. 2009 Factory price
Raw material/ intermediates
10 Jun. 2009
10 May 2009
Market price Jun. 2008
10Jun. 2009
10 May 2009
Jun. 2008
USD/t
RMB/t
USD/t
RMB/t
USD/t
RMB/t
USD/t
RMB/t
USD/t
RMB/t
USD/t
RMB/t
2,6-Dimethyl aniline
12,097
82,700
12,120
82,700
18,747
129,300
12,141
83,000
12,164
83,000
18,798
129,650
Copper oxychloride
4,052
27,700
4,060
27,700
5,314
36,650
4,096
28,000
4,104
28,000
5,365
37,000
Cuprous oxide
6,100
41,700
6,112
41,700
8,939
61,650
6,143
42,000
6,155
42,000
8,989
62,000
M-xylene
1,682
11,500
1,715
11,700
2,269
15,650
1,726
11,800
1,759
12,000
2,320
16,000
Nitrobenzene
790
5,400
791
5,400
1,254
8,650
834
5,700
835
5,700
1,305
9,000
1,2,4-Triazole
5,734 88
39,200 600
5,818 91
39,700 620
6,909 239
47,650 1,650
5,778 95
39,500 650
5,862 106
40,000 720
6,959 290
48,000 2,000
Sulphur
Source: CCM International
CCM International Limited
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Fungicides China News
Monthly factory price of main fungicides in Jun. 2009 10 Jun. 2009
Technical Dimethomorph
10 May 2009
USD/t
RMB/t
USD/t
Jun. 2008
RMB/t
USD/t
RMB/t
Formulation
10 Jun. 2009
10 May 2009
USD/t
RMB/t
USD/t
RMB/t
16,339
111,700
16,810
114,700
18,073
124,650
50% WP
10,122
69,200
10,215
69,700
Chlorothalonil
5,076
34,700
5,305
36,200
5,749
39,650
75% WP
4,198
28,700
4,646
31,700
Mancozeb
3,467
23,700
3,547
24,200
4,299
29,650
80% WP
3,320
22,700
3,400
23,200
Isoprothiolane
4,198
28,700
4,280
29,200
5,604
38,650
-
Carbendazim
3,759
25,700
4,060
27,700
7,054
48,650
50% SC
2,443
16,700
2,521
17,200
351
2,400
366
2,500
1,051
7,250
50% SC
322
2,200
352
2,400
2,516
17,200
2,667
18,200
4,081
28,150
-
-
15% WP
Sulphur Phosethyl Al
-
-
-
-
-
-
-
Triadimefon
7,855
53,700
8,163
55,700
9,663
66,650
Tebuconazole
14,262
97,500
14,319
97,700
18,798
129,650
-
-
-
-
-
Tricyclazole
1,711
11,700
2,081
14,200
7,562
51,700
7,577
51,700
7,924
54,650
-
-
-
-
-
Propiconazole
27,748
189,700
30,001
204,700
30,397
209,650
-
-
-
-
-
Metalaxyl
19,703
134,700
21,207
144,700
26,047
179,650
-
-
-
-
-
Prochloraz
7,416
50,700
7,577
51,700
11,766
81,150
-
-
-
-
-
Difenoconazole
32,136
219,700
32,199
219,700
36,196
249,650
-
-
-
-
-
Propamocarb
6,538
44,700
7,137
48,700
8,141
56,150
-
-
-
-
-
Source: CCM International
Monthly Shanghai port price and FOB Shanghai of main fungicides in Jun. 2009 Shanghai port price Technical
10 Jun. 2009 USD/t
Dimethomorph Chlorothalonil Mancozeb Isoprothiolane Carbendazim Sulphur Phosethyl Al Triadimefon Tebuconazole Tricyclazole Propiconazole Metalaxyl Prochloraz Difenoconazole Propamocarb
RMB/t
10 May 2009 USD/t
RMB/t
FOB Shanghai 10 Jun. 2009
10 May 2009
RMB/t
USD/t
USD/t
Jun. 2008 USD/t
Shanghai port price Formulation
10 Jun. 2009 USD/t
RMB/t
10 May 2009 USD/t
RMB/t
16,383
112,000
16,854
115,000
18,124
125,000
15,753
16,205
50% WP
10,166
69,500
10,259
70,000
5,120
35,000
5,349
36,500
5,800
40,000
4,974
5,195
75% WP
4,242
29,000
4,690
32,000
3,364
23,000
3,444
23,500
3,511
24,000
3,591
24,500
4,350
30,000
3,435
3,511
80% WP
4,242
29,000
4,323
29,500
5,655
39,000
4,135
4,213
-
3,803
26,000
4,104
28,000
7,104
49,000
3,715
4,002
50% SC
2,487
17,000
2,565
17,500
395
2,700
410
2,800
1,102
7,600
453
468
50% SC
366
2,500
396
2,700
-
-
-
17,500
2,711
18,500
4,132
28,500
2,525
2,670
7,899 14,306
54,000 97,800
8,207 14,363
56,000 98,000
9,714 18,849
67,000 130,000
7,634 13,765
7,930 13,820
7,606
52,000
7,621
52,000
7,974
55,000
7,354
7,369
-
-
-
-
-
27,792
190,000
30,045
205,000
30,448
210,000
26,672
28,828
-
-
-
-
-
19,747
135,000
21,251
145,000
26,098
180,000
18,973
20,412
-
-
-
-
-
1,755 -
-
-
2,560
15% WP -
-
-
12,000 -
2,125 -
14,500 -
7,460
51,000
7,621
52,000
11,817
81,500
7,214
7,369
-
-
-
-
-
32,180
220,000
32,243
220,000
36,247
250,000
30,871
30,932
-
-
-
-
-
6,582
45,000
7,181
49,000
8,192
56,500
6,374
6,948
-
-
-
-
-
Source: CCM International
CCM International Limited
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Monthly market price of main crops in Jun. 2009 10 Jun. 2009 Crops
USD/t
10 May 2009
RMB/t
USD/t
Jun. 2008
RMB/t
USD/t
RMB/t
Wheat
268
1,830
268
1,827
231
1,592
Yellow maize
227
1,554
227
1,546
238
1,639
Peanut Kernel
917
6,267
1,011
6,900
1,179
8,130
Indica rice
404
2,759
404
2,758
393
2,709
Japonica rice
490
3,350
481
3,280
441
3,040
Banana
834
5,700
821
5,600
580
4,000
Cucumber
176 878
1,200 6,000
322 806
2,200 5,500
174 797
1,200 5,500
Apple Source: CCM International
■■
Pricing Most fungicide prices continue downtrend in early June
W
ith a sustaining downtrend in May, price of most popular fungicides continues to decrease in early June, some even reaching the lowest level in recent years, mainly due to export depression.
Price of mancozeb technical, a fungicide with largest capacity in China, has decreased to USD3,511/t in early June, down 2.23% over the previous month. Mancozeb technical supply still exceeds the demand severely in early June, leading to more intense competition and continuous price decrease. It is worthy noting that the downtrend has slowed down, with decrease rate reducing from 5.66% in previous month to 2.23% in early June. Price of carbendazim technical, the largest domestic benzimidazole fungicide, has declined to USD3,803/t in early June, down 7.34% over the previous month, reaching the lowest level in recent years. After the sharp slump from USD6,290/t in Mar. to USD4,242/t in Apr., price of carbendazim technical has dropped slightly, following the sustaining export depression. Chlorothalonil technical price has decreased by 4.29% in June, compared with USD5,349/t in May. The price war was still severe, in which most producers have cut down quotation to capture market share since early 2009. Similarly, price of some triazole fungicides decreased slightly in early June, after a continuous rebound from February to April. Prices of tebuconazole, propiconazole and triadimefon have decreased by 0.41%, 7.50% and 3.75% separately over the previous month, due to the shrinking demand from global market. However, difenoconazole price has maintained the same level with last month, thanks to its wide use range and excellent effect. According to Mr. Zhang from Beijing Green Jixi agrosino Biotech Co., Ltd, the company still busily produces difenoconazole technical though some other pesticides had faced continuous price downtrend. Seeing the promising market, most Chinese producers plan to expand capacity in the near future. The sharp downtrend for prochloraz technical price has stopped in early June, though it still drops slightly compared with last month. Prochloraz technical price has reached the lowest level in recent years to USD7,462, down 2.11% over the previous month. As an export-oriented with 70% output exported, prochloraz technical has witnessed a price drop of 37.8% from USD11,988/t in Dec. 2008,. It is estimated that it will continue to drop in the future. Most fungicide prices haven’t dropped sharply in early June, thanks to the recovery of Chinese economy. However, with the global financial crisis, fungicide market in China still needs some time to recover in the near future.
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■■
Company Dynamics Jiangsu Chengyang to build 200t/a cyproconazole
J
iangsu Chengyang Crop Technological Co., Ltd (Jiangsu Chengyang) is applying for registration of 95% cyproconazole technical and planning to build a new 200t/a cyproconazole production line and locate it in late 2010. The production line will be built in its new plant located in Nanjing Chemical Industrial Park, together with a 200t/a difenoconazole production line, with total investment of USD15 million. Mr. Xu from Jiangsu Chengyang claims that the new plant is currently under construction, with the 200t/a cyproconazole technical production line under environmental impact assessment. “China has recently no legal registration for cyproconazole technical, though some producers have produced and sold this product illegally. This fungicide is expensive, which generates large room for profit,’ said Mr. Xu. According to the report for environmental impact assessment,
technical includes synthesis and refining of onium salts and 1-(4-chlorophenyl)-2-cyclopropylpropane. The company produces onium salts using dimethyl sulfoxide and dimethyl sulfate as raw materials, avoiding the stench emitted by dimethyl sulfide, a raw material used to produce onium salts by traditional technology. Furthermore, Jiangsu Chengyang uses 1-(4-chlorophenyl)-2cyclopropyl-propane as intermediate, which is much cheaper than 4-chlorophenyl-cyclopropyl-methylketone adopted in traditional route. Traditional intermediate has so high price mainly because one of its raw material is very expensive, with price of USD44,000/t. Developed by Clariant Corporation (previous Sandoz Corporation) in 1985, cyproconazole is a low toxic triazole fungicide with high efficacy against powdery mildew, cereal rust, apple scab, etc.
abroad. Some producers began to produce cyproconazole technical with small scale in early 2007, though without registration. With highest price of more than USD130,000/ t, cyproconazole becomes the most expensive fungicide in China. History proved that large numbers of people would roll in when a new market shows up. With more and more companies engaging in cyproconazole production and large impact by global financial crisis, cyproconazole price dropped greatly since 2008, down to USD88,000/t recently. When more and more producers eliminated, the survivals began to develop new production technology and formally apply for registration. These companies, including Jiangsu Chengyang, will gradually dominate Chinese cyproconazole technical production in the near future.
Domestic cyproconazole production
TABLE 1: Domestic registered epoxiconazole technical producers, 2009 Fungicides
Company
Capacity (t/a)
Jiangsu Chengyang Crop Technological Co., Ltd Cyproconazole technical
200
(when finish)
Registration Situation
Quoted Price (USD/t)
Applying
N/A 95,187
Jiangsu Yancheng Limin Chemical Co., Ltd.
150
Applying
Zhejiang Shangyu Yinbang Chemical Co., Ltd
100
Applying
77,614
Hunan Xiangda Bide Chemical Co., Ltd
Stop production
N/A
87,865
Source: CCM International
production process of cyproconazole
is quite novel, although it is mature
Shanghai carried out a new provision in 1 June
S
hanghai newly carried out a provision named ‘Provisions of Shanghai Municipality on Administration of Operation and Application of Pesticide’ on 1 June, 2009, which regulates that distribution of pesticides must be unified and those who purchase highly toxic pesticide must show their ID card. Besides, the provision has suggested a series of measures strengthening safe management of pesticides.
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Shouguang ShuangXing to build 1,000t/a tebuconazole
S
Tebuconazole formulations have been promoted well in domestic market in recent years for the control of various crop diseases such as rust, powdery mildew and scab. The overseas demand for tebuconazole technical has also kept robust. Therefore, tebuconazole registration has soared in China since 2008 (referred to Fungicides China News 0905, Page 16), with large production capacity expansion.
handong Shouguang ShuangXing Pesticide Company (Shouguang ShuangXing) is to build a new 1,000t/a tebuconazole technical production line in H2 2009, and expects to launch it in the end of 2009. This tebuconazole technical production line will be located in Shouguang ShuangXing’s new plant. Mr. Liu, manager from the company reveals that the new plant is currently under construction, located in Shandong Weifang Binhai Economic Development Area.
Owing to bright market prospect, the company has given priority to tebuconazole product development. The company has previously planned to launch several new production lines for different fungicide technical including tebuconazole, difenoconazole, propiconazole and mancozeb in H2 2009 when the new plant is finished construction. However, with export depression caused by the global financial crisis, the mancozeb technical capacity expansion, from 500t/a to 3,000~5,000t/a has been postponed, and the schedule for difenoconazole and propiconazole expansion is uncertain yet.
Shouguang Shuangxing will use chlorobenzaldehyde, pinacolone and 1,2,4-triazole purchased from domestic producers as major starting raw materials to produce tebuconazole technical. After the launch of the production line, 60~70% of tebuconazole technical produced will be exported to the overseas, including Europe, America and Southeast Asia, and the remaining will be consumed by itself to process formulations such as 12.5% tebuconazole EW, which will be mainly sold in domestic market, according to Mr. Liu.
Shouguang ShuangXing, established in 1997, is a subsidiary of Shandong A & fine Agrochemicals Group. It has hundreds of registration products such as TC, WP, WDG, EC, EW, ME and SL. Its fungicide products with brand of ‘Shuangxing’, such as propiconazole and mancozeb, enjoy good reputation among Chinese crop growers.
According to a principal from Product Information Department of Shouguang Shuangxing, the company is now applying for registration of tebuconazole technical, and is expected to obtain the certificate in early 2010. Moreover, Liu claims that construction of this production line is mainly driven by good market prospect of tebuconazole technical and formulations.
TABLE 6: Major tebuconazole technical producers in China
Company
Production capacity (t/a)
Jiangsu Zhangjiagang No. 2 Pesticide Factory
3,000
Shanghai Shengnong Pesticide Co., Ltd.
2,000
Jiangsu Sevencontinent Green Chemical Co., Ltd.
1,000
Jiangsu Sheyang Huanghai Pesticide Chemical Co., Ltd.
800
Jiangsu Sword Agrochemicals Co., Ltd.
600
Sinochem Ningbo Chemicals Co., Ltd.
500
Jiangsu Flag Chemical Industry Co., Ltd.
300
Jiangsu Tuoqiu Agrochemicals Co., Ltd.
300
Anhui Huaxing Chemical Co., Ltd.
300
Jiangsu Fengdeng Pesticide Co., Ltd.
100
Jilin Agrochemicals Co., Ltd. Of CNPC Jilin Chemical Group
500
Shandong Huayang Technology Co., Ltd.
300
Jiangsu Bailing Agrochemical Co., Ltd.
200
Shanghai Heben-Eastsun Medicaments Co., Ltd.
150
Source: CCM International
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Jiangsu Taicang to build another 300t/a benomyl technical
J
iangsu Taicang Agrochemical Company (Jiangsu Taicang) plans to build another 300t/a benomyl technical production line in its new plant located in Rugao County, and expects to launch it by late 2010, thus expanding its total benomyl capacity to 900t/a. As a systemic fungicide with low toxicity, benomyl has high efficacy against diseases of grain, grape, pip fruits, rice and vegetable caused by ascomycetous, deuteromycetous and some basidiomyctous fungi. Benomyl is a benzimidazole fungicide flourishing in the 1980s, but is not so popular now, due to serious resistance and large dosage. Mr. Gao, sales manager from Jiangsu Taicang, claimed that all benomyl technical produced by the company are exported. With good reputation and high quality, the company received many orders from the overseas. It has a long-term client from Belgium who purchases more than 100 tonnes of benomyl from it every year. With good sales channels, the company plans to expand the capacity. According to the statistics from Institute for the Control of Agrochemicals, Ministry of Agriculture (ICAMA), China has only five registrations for benomyl technical and one is expired at present. Jiangsu Taicang and Jiangsu Lanfeng are the only 2 legal benomyl technical producers in China at present. Other 3 registrants have stopped production, as they haven’t established long-term relationship with overseas companies and can’t sell their product under the global financial crisis. Jiangsu Taicang survives with high product quality, while Lanfeng answers the enemy with low price and large capacity. Mr. Ma, sales manager from Jiangsu Lanfeng, claimed that his company has much bigger workshop than JiangsuTaicang and can reduce production cost by self-producing raw materials, thus being able to offer lower price. Price investigation showed that benomyl technical price kept stable in early 2009, quoted USD10,000/t by Jiangsu Taicang and USD8,800/t by Jiangsu Lanfeng. ‘When the new production line is launched, with larger capacity, we will be able to reduce production cost, thus lowing down the quotation. Aided by high quality we kept all along, our benomyl may dominate Chinese export by then, ‘ Said Mr. Gao from Jiangsu Taicang. Established in 1983, Jiangsu Taicang has technical capacity of 3,000t/a carbendzain, 600t/a benomyl, 3,000t/a glyphosate, 500t/a thiophanate-methyl, 100t/a propiconazol and 300t/a dodine in Taicang County. It is currently building a new plant with 10,000t/a glyphosate, 2,500t/a carbendzain (introduced in CCM’s Fungicides China News 0905), 300t/a benomyl, 500t/a thiophanate-methyl, 50t/a propiconazol, 500t/a dodine, etc. in Rugao County of Jiangsu.
TABLE 7: Registration situation of benomyl technical in China
Fungicide
Benomyl Technical
A.I. content
Registration period
Registration Company
Capacity (t/a)
Export Proportion
Survey Remark
95%
2009.01.06 --2009.12.31
Jiangsu Taicang Agrochemical Co., Ltd ( Jiangsu Taicang )
600
100%
Up to 900t/a when the new line completes
95%
2008.10.17 --2009.10.17
Jiangsu Lanfeng Bio-Chem Co., Ltd ( Jiangsu Lanfeng)
1,200
80%
N/A
90%
2009.01.09 --2009.12.31
Jiangsu Anpon Electrochemical Co., Ltd
N/A
N/A
Stop production because of severe pollution
95%
2009.02.20 --2009.12.31
Jinagsu Jiangyin KAJO Agrochemical Co., Ltd.
N/A
N/A
Stop production several years ago
95%
2007.03.23 --2008.12.31 (expired)
Jiangsu Suzhou Worldbest AgroBiochemical Co., Ltd.
N/A
N/A
Stop production several years ago
Source:ICAMA, CCM International
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Jiangsu Lanfeng’s thiophanate-methyl sees robust demand
J
iangsu Lanfeng Bio-chem Company (Jiangsu Lanfeng), the largest thiophanate-methyl producer with capacity of 4,500~5,000t/ a in China, has witnessed robust demand at home and abroad, thanks to its competitive advantage and higher environmental protection requirement released by the government. Thiophanate-methyl is a kind of benzimidazole and broad spectrum fungicide used to control various crop diseases such as wheat scab, rice sheath blight, apple ring rot and cucurbits powdery mildew.
protection policy in Suzhou. It now mainly purchases technical from other companies to process thiophanate-methyl formulations. As for Jiangxi Haili Guixi Pesticide & Chemicals Company (Jiangxi Haili), it produces thiophanatemethyl technical only by orders and exports 50% of its output. It has also suspended production now, due to the coming of thiophanate-methyl slack season, relatively large storage and no purchasing orders, according to Mr. Xiong, sales manager of the company.
fungicide producers, as there are only two producers, namely Jiangsu Lanfeng itself and Anhui Guangxin producing thiophanate-methyl in China at present.. And Anhui Guangxin is the largest carbendazim producer in China with capacity of 15,000t/a who pays more attention to carbendazim production. For another, environmental protection policy in Jiangsu, location of Jiangsu Lanfeng is not as strict as that in other regions such as Suzhou, location of Suzhou Worldbest, so Jiangsu Lanfang needs to spend less in environmental protection, which also becomes an advantage for its thiophanate-methyl production. Suzhou Worldbest
Jiangsu Lanfeng’s thiophanatemethyl witnesses robust demand China is one of the largest mainly thanks to the following thiophanate-methyl production countries in the world, with total capacity of about 16,000t/a. At FIGURE 6: Distribution of major thiophanate-methyl technical producers in China present, the 3 largest thiophanatemethyl producers in China include Jiangsu Lanfeng Bio-chem Company (Jiangsu Lanfeng), Anhui Guangxin Agrochemical Group Company (Anhui Guangxin) and Suzhou Worldbest Agro-Biochemical Company (Suzhou Worldbest) (Table 8), with their total capacity reaching about 12,000~13,000t/a, taking up around 80% of total market share. According to Ms. Cai, sales manager from Jiangsu Lanfeng, the company produces thiophanate-methyl all year around thanks to large demand both at home and abroad, except the period for equipment maintenance. It exports 70% of its thiophanatemethyl technical to overseas, such as America, Europe and Southeast Asia.
Source: CCM International
was the third largest thiophanatereasons: However, according to Mr. Fan, sales methyl producer in China before For one thing, Jiangsu Lanfeng has manager from Shandong Huayang Beijing Olympic Games, but it has faced less competition from other Science and Technology Company (Shandong Huayang), the company TABLE 8: Major thiophanate-methyl technical producers in 2009 has currently suspended production to update its equipment, aiming to meet the requirement Production Production Output in Export Production for environmental companies capacity (t/a) 2008 (tonne) proportion status protection. Therefore, it has no output in Jiangsu Lanfeng 4,500~5,000 4,000 70% Active 2009 and will resume Anhui Guangxin 3,500~3,800 3,200 60~70% Active production in 2010. Suzhou Worldbes 4,000 2,000~2,500 0 Stoppe t d Suzhou Worldbest has also suspended Shandong Huayang 1,200~1,500 300~500 0 Stopped thiophanate-methyl Jiangxi Haili 1,200~1,500 1,000 0 Stopped technical production at present, due to the Source: CCM International stricter environmental
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suspended thiophanate-methyl technical production due to the strict environmental protection policy in Suzhou. Though Jiangsu Lanfeng’s
and sulfur, its price has decreased slightly during Jan. 2009 to May 2009, mainly due to the global financial crisis, as shown in Figure 6.
thiophanate-methyl technical has witnessed robust demand from formulation production, such as thiophanate-methyl WP, thiophanate-methyl SC and mixed formulation production with thiram
FIGURE 7: Price change of thiophanate-methyl and carbendazim, Jan. ~ May 2009 (Unit: USD/t)
40,000 35,000 30,000 25,000 20,000 15,000 10,000 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Difenoconazole
Source: CCM International
■■
Raw Material, Intermediates and Additives JZPC building 100,000t/a m-xylene
J
iangsu Zhongxin Petrochemical Company (JZPC) now is building a 100,000t/a m-xylene production line, and is expected to launch it in late 2010, which will help to relieve domestic m-xylene short supply in the future. JZPC’s m-xylene project, with total investment of USD99.5 million and coverage area of 163,333m2, is located in Lingang Xincheng
Sima expresses that all m-xylene produced by JZPC will be supplied to domestic downstream companies. ‘With high product quality and m-xylene short supply, our company has signed long-term contract with some domestic companies, ‘ Sima says.
According to Mr. Sima, principle of this project, the company will adopt a new patent technology to produce m-xylene, using bottle grade pet, textiles, disinfection solution and perfume as raw materials. Sima reveals that this patent technology is brought from UOP (the United States) with USD20 million.
M-xylene, a basic chemical raw material, is widely applied in the
Moreover, active ingredient content
TABLE 9: M-xylene and its downstream pesticides Raw material
M-xylene
Intermediate
Pesticide
Isophthalonitrile
Chlorothalonil (Fungicide)
2,4-dimethyl ani ine
Semiamitraz chloride, amitraz (Insecticide)
2,6-dimethyl aniline
Metalaxyl (Fungicide)
Source: CCM International
Development Zone of Jiangsu. This project has initiated construction in Mar. 2009 and is expected to launch in H2 2010, including matching facilities of 120,000t/a isophthalic acid production line.
CCM International Limited
of m-xylene produced by JZPC will reach 99.95%, highest among all the domestic producers. At present, active ingredient content of m-xylene produced by Yanshan Petrochemical Company is 99.50%.
12
production of pesticides, dyes, medicine, pigments, etc. A series of chemical intermediates, such as isophthalic acid, isophthalonitrile, 2,4 (2,6)-dimethyl aniline and m-toluic acid, can be produced using m-xylene
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as raw material. Homemade m-xylene is far from meeting demand from its downstream industries. At present, Yanshan Petrochemical Company, with 35,000t/a production capacity, is the only m-xylene producer in China, after Shanghai Petrochemical Company, with 8,000t/a capacity, stopped production in 2006. However, compared with annual domestic m-xylene demand of 106,000 tonnes in 2007 and 141,500 tonnes in 2009(predicted by JZPC), current capacity is far from meeting the demand. As for m-xylene used in downstream fungicide production, the demand from chlorothalonil and metalaxyl production was about 15,000t/a in 2008, and this demand will increase by 4,000~5,000t/a in 2009, with capacity expansion of the two fungicides (Table 10). TABLE 10: Production capacity expansion of chlorothalonil and metalaxyl in China (Unit: t/a) Fungicide
Capacity ‘08
Capacity ‘09
13,100
18,100
Chlorothalonil
Metalaxyl
1,500
2,500
Remark Jiangsu Xinyi CAC Chemical Company is to launch 5,000t/a production line in Jun. or Jul. 2009. Jiangsu Baoling Chemical Company and Zhejiang Heben Pesticide & Chemicals Company expanded by 400t/a and 600t/a in early 2009.
Source: CCM International
■■
Disease Potato late blight to prevail in China
P
otato late blight has hit accumulatively 184,600 hectares of planting area in Southwest China and Central China by mid May 2009, and is predicted to occur severely in East China, North China, Northeast China and Northwest China during late May to August this year, according to National AgroTech Extension and Service Center (NATESC).
with much larger stricken areas compared with the same period of 2008 (Table 11).
potato growers’ insufficient efforts on disease control.
It is predicted that from late May to early June, potato late blight will further expand in Southwest China, Central China and East China. Then from June to August, the occurrence will still be severe, since weather forecast from National Climate Center shows that rainfall in most regions of Northwest TABLE 11: Occurrence situation of potato late blight in China (Unit: hectare) China, North China and Northeast China Region Stricken area by mid May 2009 Change over last year will be more abundant than normal years, Chongqing 74,867 Up 87.7% year on year which is favorable for Sichuan 36,667 Up 37.0% year on year occurrence and spread of potato late blight. Yunnan 1,533 A little severe than last year Chongqing is the most severely stricken region by potato late blight, with stricken area of 74,867 hectares by mid May 2009, accounting for 36.8% of Chongqing’s total potato planting area. The stricken regions mainly distribute in mountainous
Guizhou
16,000
Down 36.0% year on year
Hubei
40,000
N/A
Hunan
7,400
N/A
Shaanxi
8,133
N/A
Source: NATESC
In mid May, potato late blight has occurred severely in some major potato production regions of Southwest China and Central China, especially in Chongqing and Sichuan,
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areas with low altitude of Chongqing, and are estimated to expand fast in the future months, due to the favorable weather condition, the high seed transmission rate, and
13
Owing to forecasted severe occurrence of late blight in China’s major potato planting regions, some traditional fungicide formulations with high control effect and low toxicity, such as 80% mancozeb WP, 65% zineb WP and 4% metalaxyl-M + 64% mancozeb WDG, are expected to enjoy market growth in domestic
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market, thanks to their excellent performance in potato late blight control and relatively low price. However, as for the new fungicides against potato late blight, like azoxystrobin, cyazofamid and fluazinam, their domestic demand will stay at a low level in the future years, since their promotion will still be difficult due to the high price.
PICTURE 1: Potato and its leaves hit by late blight
Aim to control potato late blight and promote treatment technology, NATESC held a National Potato Late Blight Prevention Conference from 23 April to 24 April 2009 in Jinan city, Shandong province.
Serious wheat stripe rust and powdery mildew in Henan
W
heat stripe rust and powdery mildew, two key wheat diseases, have occurred severely this year in Henan, with stricken areas of 1.01 million hectares and 2.05 million hectares by May 19th, 2009, accounting for 19.1% and 39.0% respectively of Henan’s total wheat planting area. Henan is the largest wheat production region in China, with total planting area of 5.26 million hectares, accounting for 22.8% of China’s total. According to the monitoring data from Henan Plant Protection Station, the stricken areas by wheat stripe rust and powdery mildew have kept increasing since late Apr. 2009 (FIGURE 8). From Apr. 21st to May 19th, the wheat areas hit by stripe rust and powdery mildew have grown by 3.97 times and 2.05 times respectively.
rust and powdery mildew, consumption of related fungicides has risen largely this year. Triazole fungicides, including triadimefon, tebuconazole, flutriafol, propiconazole, etc, have enjoyed a remarkable demand growth for their good control effect against these two diseases. In particular, domestic demand for triadimefon, the most popular triazole fungicide applied in China, has grown by more than 70% in Henan.
PICTURE 2: Wheat powdery mildew
PICTURE 3: Wheat stripe rust
By May 19th, 2009, accumulative control areas to wheat stripe rust and powdery mildew have reached 1.56 million hectares and 2.45 million hectares in Henan, 1.55 times and 1.22 times compared to the disease-stricken areas respectively.
In Henan, wheat harvest began in late May and is estimated to finish in Owing to severe drought during Feb. mid-Jun. By Jun. 2nd, the harvested and Mar. and large-scale rainfall in area has reached 1.69 million recent two months, wheat planting hectares, accounting for 32.2% of areas hit by stripe rust and powdery Henan’s total wheat planting area. mildew have increased remarkably in Henan. By May FIGURE 8: Wheat areas hit by stripe rust and powdery mildew, 21 Apr.~19 May (Unit: ‘000 hectares) 19th, 2009, wheat powdery mildew 40,000 has hit accumulatively 2.05 million hectares of wheat 35,000 planting area, up 77.8% year on year. Besides, 30,000 stricken area by wheat 25,000 stripe rust has increased by several times over the same 20,000 period of 2008, as this 15,000 disease began to spread in Henan in March, about 40 10,000 days earlier than last year. May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09
With severe and large-scale occurrence of wheat stripe Source: Henan Plant Protection Station
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Difenoconazole
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Registration Fungicide registration in May 2009
1
82 fungicide registrations were obtained by 158 companies in May 2009, including 12 for technical, 87 for single formulation and 83 for mixed formulation.
mildew and scab, and has met a thriving market in the past few years. Its patent established by Syngenta has expired in 2007.
registered for 4 times, was the most popular fungicide single formulation registered in May 2009.
The 83 mixed formulation registrations, including 37 temporary, And 3 of the 4 formal registrations 40 formal and 6 repacking, were new, including 95% kresoximAccording to statistics from were achieved by 73 companies. methyl technical, 95% isoprothiolane the Institute for Control of Carbendazim + mancozeb WP was technical and 98% oxine-copper Agrochemicals, Ministry of the most popular fungicide mixed technical. The remaining one, 96% Agriculture (ICAMA), there’re only formulation in May, which has been oxadixyl technical, was registered by 12 fungicide technical registered in May 2009, all of which TABLE 12: Regional distribution of new fungicide technical registrations in May 2009 were registered only by once. The most popular single Region Number of producer Number of registration formulation and mixed formulation Jiangsu 6 6 were difenoconazole WDG and Sichuan 2 2 carbendazim + mancozeb WP respectively. Guizhou 1 1 Henan 1 1 Registration data shows that the 12 fungicide technical registrations, Taiwan 1 1 8 temporary and 4 formal, were Foreign country 1 1 achieved by 12 companies and two among the 8 temporary ones were new. It is worthy noting that 98% Source: ICAMA cyprodinil technical is registered by registered for 9 times. Syngenta in 1999. domestic producer for the first time, by Jiangsu Fengdeng Pesticide Co., 92 registrations of fungicide As for single formulation, the Ltd. formulation are of WP type, 87 registrations, including 57 accounting for 54.1% of the total 170 temporary, 21 formal and 9 Developed by Syngenta(previous formulation registrations. repacking, were achieved by 73 Novartis AG) in the 1980s, cyprodinil companies. Difenoconazole WDG, is mainly used to prevent and treat botrytis TABLE 13: Registration situation of fungicide technical in May 2009 cinerea, powdery Fungicide technical registered
Registration times
Difenoconazole, metiram, isoprothiolane, dufulin, oxadixyl, flutriafol, fluazinam, oxine-copper, kresoxim-methyl, cyprodinil, pyrimethanil, dimethomorph
Once
Source: ICAMA
TABLE 14: China’s fungicide registration situation in May 2009 Number of producer
Number of registration
Technical
12
Single formulation M i x e d formulation
Category
Temporary Registration
Formal Registration
Repacking Registration
Subtotal
New registration
Subtotal
New registration
12
8
2
4
3
0
73
87
57
4
21
20
9
73
83
37
4
40
40
6
Popular registration
N/A Difenoconazole, tebuconazole, mancozeb, carbendazim Carbendazim + mancozeb, moroxydine hydrochloride + copper acetate, fosetyl-aluminium + mancozeb
Source: ICAMA
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Metalaxyl mixed formulation registration soars in China
T
respectively in 2007 and 2008. The reasons why metalaxyl mixed formulation registration soars are as follows:
he registration for Metalaxyl mixed formulation has soared in 2008 and 2009, while almost no technical or single formulation was registered in the past ten years. As a systemic and low toxic fungicide, metalaxyl is mainly used to control downy mildew of cucumber and millet, Phytophthora boehmeriae, white rust of crucifer, etc.
Metalaxyl, being used since 1977, has faced great resistance. However, metalaxyl mixed formulations, such as metalaxy + mancozeb and metalaxy + thiram, can deal with the resistance effectively.
As of May 2009, 410 metalaxyl registration applications, both valid and overdue from 177 companies, have been approved in China, including 14 for technical, 7 for single formulation and 389 for mixed formulation.
85 of the total 389 metalaxyl mixed formulation were registered in Jan. ~ May 2009, compared with 84 in the whole 2008 and 22 in 2007. Metalaxy + mancozeb, with excellent control effect against downy mildew, was the most popular fungicide mixed formulation, registered for 182 times. Different from the soaring registration of mixed formulation, only 14 metalaxyl technical were registered in China, among which 10 were registered between 1999 and 2009. Only one technical was registered in Jan. ~ May 2009, by New Zealand Taranaki Chemical Co., Ltd, and two were approved in 2008. Furthermore, only 2 metalaxyl DS registrations were approved between 1999 and 2009,
To meet the soaring demand, more and more producers register and produce metalaxyl mixed formulations.
What’s more, metalaxyl mixed formulations are more effective than other fungicides on downy mildew, a disease often found in cabbage, FIGURE 9: Metalaxyl mixed formulation registration number in China, 1999 ~ May 2009 90 80 70
New registration
According to the data from Institute for Control of Agrochemicals, Ministry of Agriculture (ICAMA), 86 of the 410 registrations were approved in Jan. ~ May 2009 and 87 in 2008, compared with 26 in 2007.
cucumber and millet in China when enters rainy season. With promotion, a growing number of farmers start to use metalaxyl mixed formulations, especially metalaxy + mancozeb, for downy mildew control.
60 50 40 30 20 10 0 1999
2000
2001
2002
2003 2004 2005 m ixed form ulation
2006
2007
2008
2009*
Source: ICAMA Note: 2009* refers to Jan. ~ May 2009
TABLE 15: Registration situation of metalaxyl in the past ten years Year
Technical
Single formulation
Mixed formulation
Total
1999
1
0
19
20
2000
0
0
18
18
2001
0
0
21
21
2002
0
0
15
15
2003
0
0
25
25
2004
1
0
20
21
2005
1
0
25
26
2006
1
0
15
16
2007
3
1
22
26
2008
2
1
84
87
Jan. ~ May 2009
1
0
85
86
Source: ICAMA
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Policy Shandong to boost 6 fungicide projects
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handong releases guiding opinions on local pesticide industry and plans to boost 11 key projects in the next three years, six of which are fungicide projects. The guiding opinions announce that Shandong will greatly expand capacity of fungicides, nematocide and virus inhibitor in the near future, especially those applied on vegetables, landscape plants, flowers, etc. Guiding opinions on pesticide industry Shandong government released the ‘Guiding opinions on adjustment & promotion of pesticide industry in Shandong (2009-2011)’ (Guiding opinions) on May 5th 2009, which is jointly drafted by Shandong Economic and Trade Committee, Shandong Petrochemical Industry
Association and Shandong Agricultural Chemical Industry Association. According to the guiding opinions, Shandong has set a target to increase its pesticide capacity and total sales revenue to 450,000t/a and USD3.37 billion by 2011, by building 5 largescale pesticide production bases in Qingdao, Binzhou, etc. and boosting 11 key projects, including 6 fungicide projects(Table 16). Shandong government will give a lot of supports to these projects, like providing tax favor, reinforcing pesticide technology research, building new pesticide plants, setting up more pesticide brands, etc. Production Situation and problems in fungicide industry of Shandong At present, fungicide industry
in Shandong faces problems like low production capacity and slow development. Based on statistics of 55 market-dominating pesticide producers listed in the guiding opinions, total pesticide capacity of Shandong reached 194,100 t/a in 2008, up 15.3% over 2007. However, fungicide capacity is only 2,500 t/a in 2008, taking up only 1.29% of the total pesticide capacity, drop 33.3% compared with 3,360 t/a in 2007. Besides, the statistics also show that market proportion of insecticides, herbicides and fungicides was 31:68:1 in 2008, much different from 48:50:2 in 2007. The change shows that producers had paid more attention to herbicides than fungicides, maybe mainly due to the soaring price of glyphosate in 2008. Insufficient funds injected in technical research and production has led to smaller
TABLE 16: 11 key pesticide projects boosted in Shandong by 2011 Company
Projects
Shandong Binnong Technology Co., Ltd. (Shandong Binnong)
1
1,000t/a s-metolachlor TC; 200t/a mesotrione TC; 500t/a pyraclostrobin TC
2
Shandong Cynda Chemical (Group) Co., Ltd. (Cynda)
50t/a pyraflufen-ethyl TC; 2,500t/a 2% pyraflufen-ethy SC; 2,000t/a bentazone TC; 4,200t/a 48% bentazone AS
3
Shandong Sino-Agri United Biotechnology Co., Ltd. (Sino-Agri United)
2,000t/a acetamiprid TC
4
Shandong Qiaochang Chemical Co., Ltd. (Qiaochang Chemical)
5
Shandong Dacheng Pesticide Co., Ltd.
6 7
Qingdao Hailir Pesticides and Chemicals Co., Ltd. (Hailir) Jinan Luba Chemicals Co., Ltd. (Luba)
8
Rushan Hanwei Biological Sci-Tech Co., Ltd.
9 10 11
Shandong HuaYang Technology Co., Ltd. Shandong Vicome Lunan Pesticide Co., Ltd. (Vicome) Zhaoyuan Sanlian Chemicals Group Company
500t/a ZJ0777 TC; 2,500t/a ZJ0777 formulation; 1,000t/a ZJ2211 TC; 6,500t/a ZJ2211 formulation Spinosad; kresoxim-methyl 3,000t/a imidacloprid TC Haloxyfop-P-methyl Polyoxin; Kasugamycin Tebuconazole Methy ethyl phoxim 100t/a Propiconazole
Source: Shandong provincial government Note: Those with yellow background refer to fungicide projects
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capacity and few fungicide product varieties.
companies have intention to expand capacity at present.
Survey on the projects
According to Mr. Qi, Sales manager from Shandong Binnong Technology Co., Ltd., the company has no fungicide production right now, but it has planned to launch a 500t/a pyraclostrobin production line. The product is still under research without registration. ZJ2211 technical and formulation of Shandong Qiaochang Chemical Co., Ltd. are under research as well.
CCM has conducted a survey to find out the latest information. Ms. Sun from foreign trade department of Zhaoyuan Sanlian Chemicals Group Company claimed that the company has already set up a 150t/a production line for propiconazole, achieving output of 100 tonnes in 2008; while Mr. Fan, sales manager from Shandong HuaYang Technology Co., Ltd. claimed that his company has a 300t/ a production line of tebuconazole formulation. Neither of the two
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Forecast Based on the survey, 4 of the 6 fungicide projects are still under research stage and only two have
been carried out. It is predicted that the 4 projects under research won’t be carried out in a short time. ‘These projects are all three-year plans, reported by producers themselves with governmental conduction. It is not sure whether they will be carried out,’ Said Mr. Hou from Shandong Pesticide Industry Association. ‘Besides, led by the government policies, fungicide industry in Shandong may make progress in the future, but the market proportion of pesticides won’t change greatly. Fungicide is still weakness of Shandong pesticide industry,’ Said Mr. Hou.
News in brief Wheat leaf rust outbreak in Henan
Besides wheat stripe rust and powdery mildew, wheat leaf rust also occurs in large-scale in Henan. Owing to sufficient rainfall in May, wheat leaf rust stricken area has accumulated to about 701,300 hectares in late May, up 299.8% compared with 233,900 hectares in the same period of last year.
Guangdong enters peak season of rice diseases Guangdong has entered peak season for rice disease control. Owing to wide-range rainfall since mid May, accumulative rich blast and sheath blight stricken areas have reached 200,000 hectares and 1,000,000 hectares respectively. Guangdong is making great efforts to prevent and treat rice diseases.
Registration situation of flutriafol technical in China As of 25 May 2009, 8 companies have registered flutriafol technical, with 7 from Jiangsu and 1 from Zhejiang (Table 17). As a systemic fungicide with low toxicity, flutriafol has high effect against diseases caused by basidiomycetes and ascomycetes, such as wheat rust and powdery mildew.
TABLE 17: Registration situation of flutriafol technical in China Fungicide
A.I. content
Flutriafol Technical
95%
First registration
Registration Company
2007
Jiangsu Repont Pesticide Factory
2008
Jiangsu Fengdeng Pesticide Co., Ltd
2008
Jiangsu Seven continent Green Chemical Co.,Ltd.
2008
Jinagsu Yancheng Limin Agrochemical Co., Ltd
2008
Zhejiang Sega Science and Technology Co.,Ltd
2009
Jiangsu Jiannong Agrochemical Co., Ltd
2009
Jiangsu Zhangjiagang Tianheng Chemical Co., Ltd.
2009
Jiangsu Sheyang Huanghai Pesticide Chemical Co., Ltd.
Source: ICAMA
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Jiangsu Limin’s 100t/a difenoconazole project to launch in July Jiangsu Limin Chemical Company (Jiangsu Limin)’s 100t/a difenoconazole production line, initiated construction in March 2008, has passed the examination by Xuzhou Administration Bureau of Safety Working on 25 May 2009. The production line will be formally launched in July.
Global Crop Protection Summit - will be launched at the George Hotel of Edinburgh, Scotland, UK on 15 - 17 September 2009. Contact us for detailed programs
- Crop Protection China Report (update, 2nd edition): Sep/Oct 2009 - The Future of Green Biotechnology in China: Aug 2009 Trade Analysis on Products: - Chlorothalonil - Flutriafol - Prochloraz
Ready Reports: - World Outlook of Glyphosate 2009-2014 - Survey of Glufosinate in China - IDAN Survey in China - The Survey of Fipronil in China
CCM newsletters related to Fungicides: - Crop Protection China News - Herbicides China News - Insecticides China News - Glyphosate China Monthly Report
Coming Reports from CCM: - Trade report on Prochloraz - Trade report on Flutriafol
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