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Summary: The 2013 (5th session) Development Symposium of China's Glyphosate Industry (hereinafter referred to as the Symposium) was successfully held in Jinan City, Shangdong Province during 17-18 July, 2013. During the Symposium, it was revealed that the environmental protection inspection against glyphosate/PMIDA manufacturers in China will remain stringent in H2 2013. Therefore, the supply of glyphosate will be tight, which will contribute towards maintaining the high prices of glyphosate products in H2 2013. The stringent environmental protection inspection will improve waste treatment, create a more rational competitive environment and set an example for other pesticide sectors in China. Tags: environmental protection, inspection, symposium, glyphosate, PMIDA, manufacturers, policies, regulations The 2013 (5th session) Development Symposium of China's Glyphosate Industry (hereinafter referred to as the Symposium) was successfully held in Jinan City, Shangdong Province during 17-18 July, 2013. During the Symposium, it was revealed that the environmental protection inspection against glyphosate/PMIDA manufacturers in China will remain stringent in H2 2013. Therefore, the supply of glyphosate will be tight, which will contribute towards maintaining the high prices of glyphosate products in H2 2013, according to Glyphsoate China Monthly Report issued by CCM in August. Wang Xiaomi, the director of Pollution Prevention and Control, China's Ministry of Environmental Protection, revealed that the Inspection (China's Ministry of Environmental Protection released document No.:  57—Notice Regarding the Environmental Protection Inspection against Glyphosate (PMIDA) Manufacturers (hereinafter referred to as the Inspection) on 21 May, 2013) will remain stringent in H2 2013. Wang highlighted the 2 aspects for this decision. Firstly, the stringent inspection will help to create a more rational competitive environment for the glyphosate/PMIDA manufacturers in China. Wang stated that glyphosate/PMIDA manufacturers which fail to pass the Inspection requirements will have their ability to survive gradually eradicated. Glyphosate/PMIDA manufacturers that succeed in passing the Inspection requirements and obtain the qualification will significantly benefit by acquiring the market share left by small and medium glyphosate/PMIDA manufacturers that have failed the Inspection. Lower or a lack of investment into waste treatment has enabled small and medium manufacturers to compete with mainstream manufacturers to the detriment of the environment. At present, the glyphosate products prices of many small and medium glyphosate/PMIDA manufacturers are more competitive than the mainstream manufacturers' prices. One of the most important reasons for this is that the production cost for small and medium manufacturers is lower. This is due to their lower, or lack of investment into the treatment of glyphosate waste. Wang stated, "It means that the waste treatment capacity of glyphosate industry in China will
be greatly enhanced when there are many glyphosate/PMIDA manufacturers succeeding in passing the requirement of the Inspection in the glyphosate industry, and the environmental pollution incidents caused by glyphosate/PMIDA manufacturers will be fewer and fewer". Secondly, the positive effects of stringent environmental inspection against the glyphosate industry will set an example for other pesticides sectors in China. "Glyphosate is the first pesticide to undertake environmental protection inspections in China, and at present the glyphosate industry is the eleventh industry to undertake environment protection inspections. China has implemented environmental protection inspections in the citric acid industry, rare earth industry and other industries", said Wang. "We hope that the stringent environmental protection inspections can solve problems in the glyphosate industry such as overcapacity, backward waste treatment technology, etc., which will set a good example for other pesticides' environmental protection inspection in the future". At present, some pesticides suffer from overcapacity or have serious environmental pollution problems in China. However, the next pesticide to undergo an environmental protection inspection is uncertain. Zhuang, a director of a top fungicide manufacturer in China, said that the fungicide——carbendazim will be the next pesticide for environmental protection inspection in China. The initiation time will depend on the final result of the environmental protection inspection on the glyphosate industry. Glyphosate/PMIDA environmental manufacturers have on differing opinions regarding the stringent Some
manufacturers support the Inspection. Liu, a manager of CAC Group Co. Ltd, believes that the Inspection is very necessary for the glyphosate industry because it can eliminate rogue small and medium glyphosate/PMIDA manufacturers in China. Guan, a manager of Jiangsu Kuaida Agrochemical Co. Ltd, said that his company supports the Inspection because the Inspection's advantages outweigh the disadvantages for glyphosate industry. Guan also revealed that his company would actively apply for the Inspection. However, other manufacturers were reluctant to apply for the environmental protection inspection. Guo, a manager of Redsun Group Co. Ltd stated that his company must apply for the environmental protection inspection if his company wants to keep glyphosate business. Jiang, a manager of Chongqing Fenghua Technology Co. Ltd said that his company has no choice but to apply for the environmental protection inspection, even though glyphosate is not his company's main business. The other issue of concern for glyphosate/PMIDA manufacturers is whether there will be many new policies and/or regulations pertaining to the glyphosate/PMIDA industry.
New policies and regulations about glyphosate/PMIDA industry will be released. Wang stated that although a glyphosate/PMIDA manufacturer may voluntarily apply for environmental protection inspection, the manufacturer will be required to provide the certification for passing the Inspection when seeking administrative licensing and/or approval. Also, China's Ministry of Environmental Protection plans to formulate policies and/or regulations against glyphosate industry with other Chinese governmental departments, including China's Ministry of Commerce, China General Administration of Customs, the Institute for the Control of Agrochemicals, Ministry of Agriculture (ICAMA), China Crop Protection Industry Association (CCPIA), and other departments. Li Xiaoni, vice president of the China Chamber of Commerce of Metals Minerals & Chemicals Importers & Exporters, stated that in July 2013 she proposed to the China's Ministry of Commerce that glyphosate products should only be granted an export license upon the completion of an Inspection. Li also revealed that this proposal needs the cooperation of the China General Administration of Customs. Li Zhengxian, secretary-general of the CCPIA, said that the CCPIA would propose to the ICAMA that the ICAMA require the certification for passing the environmental protection inspection when a company applies for the registration of glyphosate products. Li also revealed that the CCPIA has many proposals regarding the glyphosate industry, including licensing and approval of expanding or constructing new glyphosate capacity, and tax incentive measures. Overall, there will be 4 categories of policies and regulations which may be formulated by the relevant governmental departments following the completion of the Inspection at the end of 2015. The 4 categories are as follows: 1). Administrative licensing and approval policies and regulations, including industry access, product registration, production approval and mandatory production plans. 2). Trade policies and regulations, including export quotas and export licensing. 3). Tax policies and regulations, including the comprehensive utilization of resources income tax, value added tax concessions, export tariffs, etc. 4). The elimination of policies or regulations that encourage backward production technologies. If the environmental protection inspection remains stringent in H2 2013, the supply of glyphosate will be tight. This is good news for glyphosate/PMIDA manufacturers that have the ability to complete waste treatment. The tight supply will contribute to high prices of glyphosate products in H2 2013. Table of Contents of Glyphsoate China Monthly Report 1308: Sichuan Shuncheng accomplishes trial run of 90,000t/a PMIDA production line The revenue of Monsanto in the past nine months of fiscal year 2013 increases by 11% Brief overview of 2013 Development Symposium of China’s Glyphosate Industry perpetuating the
Environmental protection inspection to keep stringent in H2 2013 94% glyphosate products pass national quality check in Q2 2013 Chlor-alkali co-production to lead the treatment technology of glyphosate waste water Thirteen glyphosate registrations in July 2013 Glyphosate technical price sees a significant increase in Aug. 2013 Export volume of glyphosate technical decreases by 11.45% in June 2013 Review of Chinese glyphosate export in H1 2013 Glyphosate China Monthly Report, a monthly publication issued by CCM on 20 , will keep track of latest dynamics, hotspots and competitiveness analysis, and forecasts on market trends of China’s glyphosate industry. About CCM CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals, CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis, and Consultancy Service. For more information, please visit http://www.cnchemicals.com. Guangzhou CCM Information Science & Technology Co., Ltd. 17th Floor, Huihua Commercial & Trade Mansion, No.80 Xianlie Zhong Road, Guangzhou 510070, China Tel: 86-20-37616606 Email: email@example.com
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