China’s glyphosate export volume decreased 19.03 percent in November

Publish time:1/11/2020 12:00:00 AM      Source: CCM
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In November 2019, both export volume and export price of glyphosate experienced a drop in China.

In general, China exported glyphosate to more than 90 countries and regions in the 11th month of the year. The top 10 importers of glyphosate formulation purchased 19,313 tonnes of glyphosate formulation in total from China, which was equal to 58.01% of the gross export volume in China. In the meanwhile, the USA, Australia, and Ghana have been the three biggest importers of glyphosate formulation. In contrast, the top 10 overseas buyers of glyphosate TC imported 20,189 tonnes of glyphosate TC from China in the same month, which totalled to 95.28% of China’s gross export volume. Among the buyers, Brazil, the USA, and Argentina were the top three importers of glyphosate TC.  

There were more than 170 Chinese enterprises exporting glyphosate in November. The top 10 merchants of glyphosate formulation exported totally 19,405 tonnes of glyphosate formulation, accounting for 58.28% of the gross export volume in China. The top three exporters included Zhejiang Wynca Chemical Group Co., Ltd., Xingfa (Shanghai) International Trade Co., Ltd., and Shandong Weifang Rainbow Chemical Co., Ltd. In comparison, the top 10 exporters of glyphosate TC sold 19,057 tonnes abroad, in proportion to 89.93% of the gross export volume in China. Fuhua Tongda Agro-chemical Technology Co., Ltd., Nantong Jiangshan Agrochemical & Chemicals Co., Ltd., and Youth Chemical Co., Ltd. were the top 3 participants on the list.

Decreasing demand and overproduction seen as major attribution to glyphosate’s slump market

The glyphosate market hit a slump in November. Some market insiders attributed the main reasons to the decreasing demand of glyphosate and its overproduction in China.

On one hand, the trade war between China and the USA had a great impact on the demand of glyphosate in the American market. Additionally, the fact that more and more countries, for example Vietnam, Thailand, Austria and France, ban glyphosate, also strikes the market in a negative way. As a result, the demand of this chemical is going down, along with the price.

On the other hand, the value of glyphosate is going down because of the overproduction in China. For example, Chinese enterprises like Guang'an Chengxin Chemical Co., Ltd and Anhui Guangxin Chemical Co., Ltd start to expand its production of glyphosate even under the strict environmental policy in China and the over-capacity problem of the chemical. Even though the merchants can make some profits, the value of glyphosate decreases.

Glyphosate may not be excluded in herbicide market so soon

Glyphosate is generally utilized as an effective herbicide. However, its use gets restricted in Europe. Glycine, yellow phosphorus, methanol, paraformaldehyde are the major elements in the production of glyphosate. And the main application of the chemical lies in agriculture.

Internationally, a lot of attention has been paid to the debates about whether glyphosate can cause cancer. In China, concerns have been also aroused on whether the herbicide can do serious harm to the vegetation. However, sterilant herbicides are difficult to be replaced at present. In other words, glyphosate is likely to stay in the market for a while.

For more information on China’s glyphosate market, please check our Glyphosate China Monthly Report.

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