CCM Data & Primary Intelligence Production and Market of Chlorpyrifos in China A Preliminary Study
Researched & Prepared by:
Guangzhou CCM Information Science and Technology Co., Ltd Guangzhou, P. R. China
August 2008
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Email: econtact@cnchemicals.com Fax: +86-20-3761 6968
CCM Data & Primary Intelligence Description: Chlorpyrifos, a broad-spectrum organophosphorus insecticide with its sales volume ranking first in the world, has the effects of contact killing, stomach poisoning and certain fumigant killing against many kinds of pests. At present, Dow Chemical Company is the largest producer of Chlorpyrifos technical, with the production capacity of 50,000t/a in 2004. China started the production of Chlorpyrifos technical in the 1990s. However, before 2007, overseas Chlorpyrifos, mostly from Dow's Chlorpyrifos, had captured a large market share in China for a long time, over 25% of the total in 2006. Since 2007, the capacity and output of domestic Chlorpyrifos technical have soared in China to scales of tens of thousand tons per year. The homemade Chlorpyrifos has not only replaced imported Chlorpyrifos in the domestic market but also entered the overseas market. What great changes have been made to Chinese Chlorpyrifos industry in 2006~2007? You can find the answer in this report. Despite the rapid growth of domestic Chlorpyrifos industry, the operation rate of Chlorpyrifos technical producers in China has been rather low, around 40% in recent years. Why the operation rate of Chlorpyrifos technical producers has been so low in recent years? What problems are Chinese Chlorpyrifos producers facing now? What is the consumption situation of Chlorpyrifos in China? These problems are also disclosed in the report.
Main content: No.
Content
Page
Executive summary
5
Introduction and methodology
8
I
Pesticide industry in China
11
I-1
Overview of the pesticide industry in China
11
I-2
Position of Chlorpyrifos in Chinese insecticide industry
15
II
Supply & demand of Chlorpyrifos in China
16
II-1
Historic development of Chlorpyrifos in China
16
II-2
Production technology of Chlorpyrifos in China
18
II-3
Current production situation (capacity, output, species, major producers, growth
21
II-3.1
Summary of Chlorpyrifos technical production
21
II-3.2
Summary of Chlorpyrifos formulations production
30
II-4
Supply situation of raw materials in China
35
II-5
Price of Chlorpyrifos in China
38
II-6
Registration situation of Chlorpyrifos in China in recent years
40
II-7
Restriction on the use of Chlorpyrifos in foreign countries
43
II-8
Import & export situation of Chlorpyrifos in China in 2007
44
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CCM Data & Primary Intelligence II-8.1
Import situation
44
II-8.2
Export situation
44
II-9
Demand for Chlorpyrifos in China
54
II-9.1
Consumption of Chlorpyrifos technical
55
II-9.2
Use of Chlorpyrifos formulations
55
- Regional distribution
55
- Use pattern
56
II-10
Competitiveness landscape
60
III
Forecast on the Chlorpyrifos industry in China (~2013)
62
III-1
Key factors and driven forces in the development of Chlorpyrifos in China
62
III-2
Supply and demand forecast in 2008-2013
63
IV
Conclusion
65
V
Appendix: Profile of major active manufacturers of Chlorpyrifos
66
V-01
Nanjing Redsun Co., Ltd.
66
...
0
Jiangsu Kwin Group
84
V-17
Executive summary:
(Note: The following summary is based on the situation in 2008 and maybe different to what it is nowadays. Please be noted.)
China has become one of the major suppliers of Chlorpyrifos in the world since 2007. And the supply of 3,5,6-Trichloropyridin-2-ol sodium (TCP) in China, an important intermediate of Chlorpyrifos, which mainly depended on import previously, has achieved complete self-sufficiency since 2007. At present, Chinese Chlorpyrifos producers have begun to explore the overseas market.
- Production technology Thanks to the advanced production technology of TCP in the second half of 2006, the domestic supply of TCP has been increasing since then, which has ensured the stable production of Chlorpyrifos. What’s more, the use of domestic TCP has largely cut down the production cost of Chlorpyrifos technical, leading to the lower price of domestic Chlorpyrifos, which directly results in the shrinking market share of overseas Chlorpyrifos in China.
- Production situation of Chlorpyrifos in China With the progressing production technology of TCP, China has become one of the major Chlorpyrifos producers in the world and domestic Chlorpyrifos has dominated the Chinese market. Howerver the Website: http://www.cnchemicals.com Tel: +86-20-3761 6606
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CCM Data & Primary Intelligence operation rate of most Chlorpyrifos technical producers is rather low, around XXXX%, though the market of domestic Chlorpyrifos technical has been opened. There are mainly 17 active producers of Chlorpyrifos technical, with the total capacity of XXXXt/a as of Aug. 2008. At present, Nanjing Redsun is the largest producer of Chlorpyrifos technical in China.
- Import and export situation of Chlorpyrifos Chinese Chlorpyrifos technical producers have been gradually exploring the overseas market since 2007. The total export volume of Chlorpyrifos technical is XXXX tonnes in 2007, and XXXX tonnes in 1H 2008, a XXXX% year-on-year growth rate. Nanjing Redsun is the largest exporter of Chlorpyrifos technical and formulation in China.
- Price of Chlorpyrifos With the technology improvement and the capacity expansion of domestic Chlorpyrifos producers, the price of Chlorpyrifos technical (100%) in 2004~2007 has steadily decreased in recent years. The Chlorpyrifos technical price declined most rapidly in 2007, as the TCP production technology of most domestic producers of Chlorpyrifos technical and TCP has achieved great progress. However, since the 2HF of 2007, the price of Chlorpyrifos has increased with the price rise of the raw material. And it has reached RMB 55,000/t (7,971USD) in May 2008
- Domestic demand for Chlorpyrifos In recent years, domestic consumption of Chlorpyrifos has been increasing, calculated by AIs, with the CAGR of XXXX% in 2005~2008. Thanks to the price decline of Chlorpyrifos in 2007, coupled with the prohibition of the 5 highly toxic organophosphorus insecticides, domestic consumption of Chlorpyrifos has soared since 2007, increasing to XXXX tonnes, up by XXXX% over the previous year. ......
Character of CCM' Report: The aim of this report is to provide powerful assistance to the strategy group and the management team in making correct decision as how to penetrate the ever-increasing China market and how to catch the maximum commercial opportunities. The report is formulated independently by CCM’s professional market researchers, based on the first-hand and primary data which are analyzed by scientific methodology, confirmed with both manufacturers/end users/traders and legal authorities, and presented in a logic way.
Sample pagesďźš
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II-2 Production technology of Chlorpyrifos in China In terms of the different synthesis methods TCP, an intermediate of Chlorpyrifos, the production technology of Chlorpyrifos technical can be classified into 2 routes, xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx ………. Table II-2-1The comparison between trichloro-acetyl chloride route and pyridine route in the production of TCP Route Item Trichloro-acetyl chloride
Pyridine xxxxxxxxxxxxxxxxxxxxxxxxxxxxx
Advantages
xxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxxx
Disadvantage xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
s
xxxxxxxxxxxxxxxxxxx x
Table II-2-2 The raw material, solvent and catalyzer of the 3 synthesis methods of Chlorpyrifos Item
Organic solvent method
Bi-solvent method
Aqueous phase method
Key raw xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx material Solvent
xxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxxxxx
Catalyzer
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
Table II-2-3 The cost of raw materials in the production of Chlorpyrifos using trichloro-acetyl chlorid as the starting raw material, by aqueous phase method, as of August 2008 No
Item
Unit consumption (t/t)
Price (RMB/t)
Cost (RMB/t)
1
xxxxxxxxxxxxxxxxxxxxxxxxx
xxxx
xxxxxx
xxxxx
2
xxxxxxxxxxxxx
xxxx
xxxxxx
xxxxx
xxxx
xxxxxx
xxxxx
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 3 x 4
Others
5
Total
xxxxx xxxxxx
II-3 Current production situation (capacity, output, species, major producers, growth rate (2003~2007), etc.) Table-3.1-1 Capacity distribution situation of major active producers of Chlorpyrifos technical in 2008 No.
Capacity (100%, t/a)
Number of producer
Share
1
Over 10,000
x
xxxxx
2
5,000
x
xxxx
3
1,000~3,000
xx
xxxxx
4
Less than 1,000 Total
x
xxxxx
xx
xxxxxx
Table II-3.1-3 Capacity and output of major Chlorpyrifos technical producers in China as of Aug. 2008 Cap.
as
Output
Cap. '07 No.
Abbr.
Status'08
Launch time
Output
Operation
of Aug. 08 (t/a)
1HF 2008 '07 (t)
rate '07
(t/a)
(t)
VI-01
xxxxxxxxxxxxxx
xxxxxx
xxxxx
xxxxx
xxxxxx
xxxxx
xxxxx
xxxxxx
VI-02
xxxxxxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxxx
xxxxx
xxxxx
xxxxxx
VI-03
xxxxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
xxxxx
xxxxxx
VI-04
xxxxxxxxxxxxxx
xxxxxx
xxxxxxxxxxxxxxxxx
xxxxx
xxxxx
xxx
x
xxxxxx
VI-05
xxxxxxxxxxxxxxxx
xxxxxx
xxxxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-06
xxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-07
xxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-08
xxxxxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-09
xxxxxxxxxxxxxxx
xxxxxx
xxxxxxxxxxxxxxxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-10
xxxxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
x
xxxxxx
VI-11
xxxxxxxxxxxxxx
xxxxxx
xxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-12
xxxxxxxxxxxxxxx
xxxxxx
xxxxx
xxxxx
xxxxx
xxx
xxx
xxxxxx
VI-13
xxxxxxxxxxxxxxxx
xxxxxx
xxxx
x
xxxxx
x
xxx
x
VI-14
xxxxxxxxxxxx
xxxxxx
xxxx
xxx
xxx
xxx
xxx
xxxxxx
VI-15
xxxxxxxxxxxxxxxxxxx
xxxxxx
2008
0
500
0
200
x
VI-16
xxxxxxxxxxxxxxxxxx
xxxxxx
xxxx
xxx
xxx
xx
xx
xxxxxx
VI-17
xxxx
xxxxxx
xxxx
xxx
xxx
xx
xx
xxxxxx
1
xxxxxxxxxxxxxxx
xxxx
xxxx
xxxxx
x
xxx
x
xxxxxx
2
xxxxxxxxxxxxx
xxxx
xxxxx
xxxxx
x
xxx
x
xxxxxx
3
xxxxxxxxxxxxxxx
xxxx
xxxxxx
xxxxx
x
xxx
x
xxxxxx
4
xxxxxxxxxxxxx
xxxx
xxxxxx
xxx
x
xx
x
xxxxxx
5
xxxxxxxxxxxxxx
xxxxxxx
xxx
xxx
x
xx
x
xxxxxx
6
xxxxxxxxxxxxx
xxxxxxx
xxxx
x
x
x
x
x
7
xxxxxxx
xxxxxxx
xxxxx
xxxxx
x
xxx
x
xxxxxx
8
xxxxxxxxxxxxxxx
xxxxxxx
xxx
xxx
x
xx
x
xxxxxx
9
xxxxxxxxxxxxxxxxx
xxxxxxx
xxxx
xxx
x
xx
x
xxxxxx
10
xxxxxxxxxxxxx
xxxxxxx
xxxx
x
x
x
x
x
11
xxxxxxxxxxxxxxx
xxxxxxx
xxxxxxxxxxxxxxxxx
x
x
x
x
x
12
xxxxxxxxxxxxxxxxx
xxxxxxx
xxxx
xxx
x
xxx
x
xxxxxx
13
xxxxxxxxxxxxxxxxx
xxxxxxx
xxxx
x
x
x
x
x
xxxxxx
xxxxxx
xxxxxx
xxxxxx
xxxxxx
xxxxx
II-3.2 Summary of Chlorpyrifos formulation production At present, there are mainly 2 Chlorpyrifos formulations including 40% Chlorpyrifos EC and 480g/L Chlorpyrifos EC in China. In order to reduce the price of Chlorpyrifos formulation and expand the domestic market, many mixed formulations of Chlorpyrifos have been developed. The market share of such formulations has been increasing in China in recent years. ………. II-4 Supply situation of raw materials in China Table II-4.1-1 The major TCP producers in China in 2008 No.
Company
Abbr.
Location
Route
1
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxx
xxxxxxx
xxxxxxxx
Capacity ’08 (t) xxxxxx
2
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxxxx
xxxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
3
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxx
xxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
4
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxx
xxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
5
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxxx
xxxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
6
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxx
xxxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
7
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxx
xxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
xxxxx
8
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxx
xxxxxxx
xxxxxxxxxxxxxxxxxxxxxxxx
2,000
Total
xxxxxx
Table II-4.1-2 The major trichloro-acetyl chloride producers in China in 2008 No.
Company
Abbr.
Location
Capacity ‘08
1
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxx
xxxxxx
xxxxx
2
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxxxxx
xxxxxxxx
xxxxx
3
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
xxxxxxxxxxxxx
xxxxxxx
xxxxx
Total
xxxxxx
II-8 Import & export situation of Chlorpyrifos in China in 2007 ………. Table II-8.2-1 Export price of Chlorpyrifos in 2007 (Quantity: tonne, Price: USD/kg, Value: USD) 40% EC
480g/L EC
Tech.
Month
Value Quantity
Price
Quantity
Price
Quantity
Price
Jan-07
xxxxxx
3.41
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
Feb-07
xxxxxx
3.68
xxxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Mar-07
xxxxxx
3.69
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Apr-07
xxxxxx
3.55
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
May-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Jun-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Jul-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Aug-07
xxxxxx
xxxx
xxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
Sep-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Oct-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Nov-07
xxxxxx
xxxx
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
Dec-07
xxxxxx
3.69
xxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
xxxxxxx
xxxx
xxxxxxx
xxxx
xxxxxxxxx
xxxx
xxxxxxxxxx
Total
II-9 Demand for Chlorpyrifos in China At present, Chlorpyrifos has been one of the most widely used insecticides in China. It is mainly applied to rice, fruit tree, vegetable, tea, etc. Chlorpyrifos has also been used in the control of underground pest, ectozoas of domestic animals and public health pests. ………. Table II-9.1-1 The consumption situation of Chlorpyrifos technical in active producers in China in 2007 (Unit: tonne) Used by No.
Sold in domestic
Producer
Export
Total
itself VI-01
xxxxxxxxxxxxxx
VI-02
xxxxxxxxxxxxxxxxxx
VI-03
market xxx
xxxxx
xxx
xxxxx
x
x
xxxxx
xxxxx
xxxxxxxxxxxxxxxx
xxx
xxx
xxx
xxx
VI-04
xxxxxxxxxxxxxx
350
17
xxx
xxx
VI-05
xxxxxxxxxxxxxxxx
xx
xx
xxx
xxx
VI-06
xxxxxxxxxxxxx
xxx
x
xxx
xxx
VI-07
xxxxxxxxxxxxxx
xxx
xxx
xxx
900
VI-08
xxxxxxxxxxxxxxxxx
xxx
xx
xxx
xxx
VI-09
xxxxxxxxxxxxxxx
300
73
xxx
xxx
VI-10
xxxxxxxxxxxxxxxx
180
3
xxx
xxx
VI-11
xxxxxxxxxxxxxx
160
0
xxx
xxx
VI-12
xxxxx
xxx
x
xxx
xxx
VI-13
xxxxxxxxxxxxxxxx
x
x
x
x
VI-14
xxxxxxxxxxxx
xxx
x
xxx
xxx
VI-15
xxxxxxxxxxxxxxxxxxx
x
x
x
x
VI-16
xxxxxxxxxxxxxxxxxx
xx
x
x
xx
VI-17
xxxx
xx
x
x
xx
xxxxx
xxxxx
xxxxx
xxxxxx
xxxxx