Price trend of raw materials can not control pesticides

At present, the international crude oil prices and domestic oil prices "stumble " endlessly , down nearly to a minimum of recent four years . At the same time , glyphosate price had fallen almost to the bottom. Pesticide industry was worried oil prices will lead to lower prices of pesticide market .

Indeed , oil prices did not constitute a direct impact on the price of glyphosate , the most direct and important reason is Glyphosate TC expansion abroad and Sharply lower domestic exports of the Glyphosate TC . In the case of the country 's good pesticide export , glyphosate TC presents " Passing ."As such situation continues , the price of glyphosate late there may be further reducing. Crazy expansion lead to serious excess capacity , is the culprit of glyphosate TC" high dive " .

Pesticide as a deep processing end products of petrochemical , its prices have had a positive correlation with oil prices , but because of tons of pesticides and intermediates industry consumes less amount of crude oil , liquid chlorine , phosphorus , caustic soda , fluorite prices will have greater influence . The effects of pesticides prices, core factor is also not the changing of raw material price . Past data show that high oil prices did not bring much of an impact to the pesticide and intermediates industry , even with the impact only in the stage of oil prices began to rise , due to higher prices downstream fine chemical products is lagging behind in crude oil prices , as prices fall too lagged behind crude oil prices . Therefore, regardless of high prices or, no matter whether the low prices , the impact of oil prices on the pesticide market prices are minimal.

Currently the busy season of pesticide approaching , insecticide: imidacloprid , Acetamiprid the TC prices have remained stable, herbicide: 2,4-D began to pick up , compared with the previous , up about 6% , and there is space to rise.

Compared with the oil prices, the market is currently more factors supporting pesticide . For example, part of the growth in demand for the product market rigidities ; some products production capacity is too small , the demand exceeds supply ; environmental pressures increase, many of the TC manufacturers shut down , or relocation , normal production can not be effectively released; security pressures, enterprises under capacity ; strengthen transportation management of hazardous chemicals , increased logistics costs ; increased labor costs ; financing difficulties , increased financing costs. These factors have more influence on the price of pesticides .

In short , the core factors affecting pesticide market prices and company profits are not the rising of raw material prices , even whether market high demand or not,  but the overall technological level of performance and equipment . Pesticide industry should be get the context of "stock the focal point, the incremental entry point" , attention to the development of quality , stimulate the growth momentum . Pesticide enterprises should promote the healthy development of enterprises through technology, management, mechanism innovation and upgrading of industrial structure . in particular, to strengthen the independent innovation and technology upgrading . Meanwhile , agricultural pesticide industry should strengthen the sense of service , and actively take the initiative to extend the industrial chain to the vast rural areas . In the new normal , we should have new ideas , new initiatives, new approaches in order to remain invincible in the fierce competition in the market .