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Chemical Pesticide Manufacturing in China

China chemical pesticide manufacturing market: $51.1 billion industry by 2018

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2014-04-24 04:41:02 - Chemical Pesticide Manufacturing in China - a new market research report on

Revenue in the China chemical pesticide manufacturing market has been growing at an annualized rate of 14.1% in the five years through 2013. However, the industry experienced great fluctuations over the period. In 2009, affected by the global financial crisis, exports decreased by 23.0% for the year, which led to a drop of 9.9% of industry revenue, the greatest decrease in the past decade. Industry revenue showed a slight recovery in 2010, up 1.5% for the year.

A large volume of production during this period led to a great release in 2011, when domestic and international market grew strongly and revenue jumped 63.4%. In 2012, industry revenue increased 18.7% to $33.4 billion. In 2013, the chemical pesticide manufacturing industry will continue



suffering from output surplus as well as intense competition. Companies are pressed by increasing operating cost undermining profitability. Revenue of the industry is estimated at $36.5 billion in 2013, up 9.2% from 2012.

The Chinese government will continue to increase its support of downstream agricultural industries and is attempting to narrow the income gap between rural and urban residents. This will contribute to higher demand for chemical pesticides from the agricultural sector in the future. Highly toxic pesticides are being eliminated from the market, creating opportunities for the development of new low-toxic pesticides that will be better for the environment.

In the five years through 2018, industry revenue is forecast to grow at an annualized rate of 7.0% to $51.1 billion. Growth will be driven by the development of overseas business, with exports increasing at an annualized rate of 4.5%. The price of chemical pesticide products is also expected to increase slightly, in line with growing operating costs.

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