Entering into Jan. 2016, the peak
demand season for mancozeb comes. Downstream enterprises start to place orders
to beef up its inventories, and domestic main mancozeb manufacturers are busy
with receiving orders. This indicates that mancozeb price is likely to climb.
In Jan. 2016, the peak demand season for mancozeb comes. Downstream enterprises
begin to stock up. Meanwhile, domestic main mancozeb manufacturers are busy
with receiving orders. According to industry sources we have spoken to, the
quotation of 90% mancozeb TC from part of manufacturers was up to USD3,306/t
(RMB21,500/t), and that of 80% mancozeb WP was USD2,999/t (RMB19,500/t). Even
though the actual closing prices are below these figures, it indicates that
mancozeb price is likely to go up.
In fact, in spring peak season of 2015, the average price of mancozeb TC grew
to USD3,152/t (RMB20,500/t). The rising raw materials (carbon disulfide and
ulphur) prices were attributed as one of factors that caused growths in
production cost and price of mancozeb TC. Since the production cost of mancozeb
didn't fall with the coming of slack season, the mancozeb price declined from
peak season but it remained a relative stable level between May and Oct. 2015.
Mancozeb experienced a difficult period from May to Oct. 2015. Because of
decreasing market demand and factory shipments slowing down, the operating rate
of some manufacturers continued to decline. Therefore, the stocked goods became
one of main supplies for the market.
The opening of China International Agrochemical & Corp Protection
Exhibition didn't bring favorable driver for agrochemical market. Under the
premise of small market supply, domestic mancozeb price edged up and maintained
this level until the end of 2015.
The factors such as weak demand, few orders, low operating rate and decreasing
supply cause a short-term tight supply in mancozeb market when the peak demand
season comes in 2016. Since the overall pesticide market is not turnaround
currently, it’s reveled that the 2016 market demand for pesticides will
maintain stable or even go down.
Most of manufacturers take cautious attitude towards mancozeb market. They
maintain stable operating rate based on finishing clients’ orders, and they
don’t stock large amount of goods. On account for small destocking pressure,
together with an increase in demand from upstream and downstream markets, these
will favorably push mancozeb price up in a short time.
New research on mancozeb will facilitate its development. It’s reported that
ADAMA Brazil has presented to researchers a new fungicide, formulated with
mancozeb, aimed mainly to the control of Asian rust that infect soybean in
Brazil. According to ADAMA, it is an innovative solution, which will enable the
management of resistance of soybean diseases.
Due to the systematic fall in the efficiency of the main fungicides used
against Asian rust, this disease has been a constant worry of farmers in the
last seasons. Farmers call for new tools that could contain damages caused by
diseases that affect the crop and accumulate millions in losses in the last few
years. ADAMA presenting a pre-manufactured mixture of the formulation of
dispersive granules (WG), containing mancozeb is remarkable. New market demands
for mancozeb will generate.
In the past few years, mancozeb price had been stable with slight fluctuations
when compared with other fungicides. Mancozeb manufacturers become more
reasonable to encounter market changes. At present, domestic main mancozeb
manufacturers include Hebei Shuangji Chemical Co., Ltd., Shaanxi Xi'an MPC
Stock Co., Ltd. and Jiangsu Nantong Baoye Chemical Co., Ltd. Their production
facilities keep stable operating rate. Orders and sales are performing well.
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Tag: mancozeb, fungicides