China Fertilizer Industry Indepth Research and Investment Strategic Planning Report, 2013-2017

Fertilizer is a very vital agricultural means of production, as well as an important guarantee to maintain agricultural production and food safety. After continuous years rapid development, China has become a fertilizer production and consumption power. In recent years, the guarantee capability of China fertilizer industry strengthens obviously. China's fertilizer production increased from 31.86 million tons in 2000 to 66.198 million tons in 2010, with an annual growth of 7.59%. In 2011, China's fertilizer production volume reached 60.27 million tons, with a increase of 12.1% over the previous year; the degree of self-sufficiency turned from no less than 80% to today's 100%, with a surplus.

Price rising of raw materials, energy shortages, upsurge of logistic costs, continuously strengthening inflation pressure and other macro-economic and macro-environment factor have become common enemies of restricting the development of China manufacturing industry. Fertilizer industry, however, has some particularity, and many shortcomings exist for a long time, such as strong seasonality, poor circulation, lack of mechanism, and unreasonable industry structure and so on.

Although the market adjustment mechanism has taken a very important role in the development of fertilizer industry, China's agricultural protective policies suppress the price rising of agricultural commodity. Due to lack of raw materials price subsidy policies, as well as fertilizer extension policies, China fertilizer manufacturing enterprises are still in a long-term losses. Furthermore, because of high pollution, high emission, high waste and low efficiency production mode, it's impossible for fertilizer manufacturing enterprises to reduce production cost, which makes a worse effect on benefits. Along with China's accelerating internationalization progress, the management operation level of enterprises has become an important factor to limit the competitive of China's fertilizer enterprises.

The industrial output value of China fertilizer industry has been growing since the year of 2006. Because of financial crisis, the market demand of fertilizer descended and the capacity of fertilizer industry reduced in 2009, which realized a total industrial output value of 393.879 billion Yuan, with an decrease of 6.96%; the fertilizer market has obviously picked up and the industry operating rate has significantly increased since 2010, which realized a total industrial output value of 506.813 billion Yuan, with a increase of 28.67 over the previous year. In 2011, China fertilizer industry's total industrial output value reached 719.25 billion Yuan.

At present, China fertilizer industry is basically identified as a development focus in "Twelfth Five-year" Plan, among which corporation integration and acquisition is a priority. According to the Plan, the number of nitrogen fertilizer enterprises should reduce to 200 at the end of the Plan period. It's predicted that the demand for fertilizer will have a moderate increase before the Plan and the year of 2020. According to 98% degree of self-sufficiency, it predicted that demand for fertilizer will increase to 510 million tons in 2015, as well as increase to 530 million tons in 2010. The production volume and product structure goal of domestic fertilizer industry is: the nitrogen and phosphatic fertilizer's degree of self-sufficiency should maintain 110% to 120%; potash fertilizer's degree of self-sufficiency should maintain over 60%, and high concentration fertilizer should maintain a reasonable rate.

With Forward's long-term tracking and collecting market data of fertilizer industry, we roundly and accurately analyze the industry structure system for you from the view of mastering the whole industry. This report mainly focuses on analyzing China fertilizer industry's market size, development speed and landscape trends, depending on macro prosperity

of current fertilizer industry manufacturing industry and relying on its demand trend.

The report pay more attention to analyze the production and development of China fertilizer industry, current market environment of fertilizer industry; import and export market of fertilizer industry; competitive landscape and trend of fertilizer industry; market segmentation analysis of fertilizer industry; leading corporation operational condition in

fertilizer industry, as well as development prospect of fertilizer industry. Meanwhile, with comprehensive and specific first-hand market data in 5 years. Forward helps you to grasp the market and development trends of fertilizer industry, so as to win advantages from competition!

The most distinctive characteristics of this report is forward-looking and timeliness. Through analyzing forward-looking characteristic of abundant first-hand market data, we deeply and objectively dissect the status of market capacity of China fertilizer industry, its market size, its competitive landscape and characteristics of market demand, based on future development tracks and years' practice experience of fertilizer industry. Furthermore, we conduct prudent analysis and forecast for fertilizer industry's future development trend. This report helps fertilizer manufacturing enterprises, R&D institutions, marketing enterprises and investment enterprises to precisely grasp current latest developments of the industry. Afterwards, they can make wise operating decisions and define enterprises' development

directions.

Here, we would like to express our sincere gratitude to State Information Center, Bureau of Statistics of China, China Customs, International Information Research Institute, Chinese Academy of International Trade and Economic Cooperation, Tsinghua University Library, Development Research Center of the State Council and Beijing Essence Forward Research Center, for their great support when we conduct this report!

Notice: All the market data, especially corporations' ranking data in the report, only for business reference. Please do not take the data for enterprise publicity. Thank you! Or Forward shall not take any responsibility for any consequences!

Qianzhan Business Information Co., Ltd. Industry Research Center
Research Team of Fertilizer Industry