After the strong earthquake in Sichuan, China’s fourth-largest phosphate mineral production area, in order to stabilize the supply and demand contradictions of domestic phosphorus products and stabilize prices, the Ministry of Finance announced yesterday after adding a special export tariff of 100% on fertilizer products such as phosphate fertilizers. The State Council has decided that from the 20th of May to the beginning of December 31st, on the basis of the existing export tax rate, the export of phosphorus products for all trade forms, regions, and enterprises will be based on the duty-paid export price, plus 100%. Special export tariffs.
Experts generally believe that because of the earthquake damage caused by the earthquake, there is no raw material and transportation inconvenience to Sichuan production and sales of phosphorus plants, which will lead to the current domestic phosphate prices difficult to stabilize.
Industry has little impact According to the Ministry of Finance notice, the adjustment involves natural phosphorus phosphate, natural calcium aluminum phosphate and phosphate chalk (except apatite), apatite and yellow phosphorus (white phosphorus) and other phosphorus products, and their export tariffs It will change from the current 10% and 20% respectively to 110% and 120% after adjustment.
In mid-April, the Ministry of Finance imposed a special export tariff of 100% on fertilizer products such as phosphate fertilizers and some raw materials, which lasted from April 20 to September 30.
The ultimate goal of imposing a high percentage of export tariffs is to curb the continued surge in domestic food prices caused by rising raw material prices. "At present, the proportion of China's export of phosphate rock is about 5%, but this proportion will not fall too much with the increase of tariffs." An industry source said that because of the main origin of phosphate rock, Yunnan, Guizhou, Hubei and Sichuan provinces The government has already adopted plans to restrict the ore out of the province. Therefore, the continued increase in export tariff rates on ore has little effect on the export of phosphate ore.
Phosphorus prices will rise in the short term but the above latest measures are unlikely to be effective. One of the key factors is the occurrence of a major earthquake in the country's fourth largest phosphate rock producing area in Sichuan.
Associate Securities analyst Xiao Hui pointed out that Sichuan produced 5.11 million tons of phosphorus ore last year, accounting for 11.3% of the country's total output. “Sichuan phosphorus resources are mainly distributed in Jinhe, Qingping and Mabian areas, and Jinhe-Qingping areas are mainly located near Shifang and Mianzhu cities. Within 100 kilometers from the epicenter of Wenchuan, there are three major phosphates in Jinhe, Qingping and Shifang. The mine's production accounts for more than 95% of the province's total production.†Although this yellow-phosphorus production facility is not affected by the earthquake, it cannot be produced and sold without raw materials and transportation. He believes that in the short term by the impact of sales in Sichuan, it is expected that the price of phosphate rock and yellow phosphorus will rise.
Analysts said that phosphate was not included in the phosphorus products that were subject to special tariffs. Because China is the world's largest producer and exporter of phosphates and exports primary industrial products, it is equivalent to simply exporting cheap phosphate ore resources. Therefore, whether to increase the export tariff of phosphate will affect the upgrading of the product structure of the industry.
Experts generally believe that because of the earthquake damage caused by the earthquake, there is no raw material and transportation inconvenience to Sichuan production and sales of phosphorus plants, which will lead to the current domestic phosphate prices difficult to stabilize.
Industry has little impact According to the Ministry of Finance notice, the adjustment involves natural phosphorus phosphate, natural calcium aluminum phosphate and phosphate chalk (except apatite), apatite and yellow phosphorus (white phosphorus) and other phosphorus products, and their export tariffs It will change from the current 10% and 20% respectively to 110% and 120% after adjustment.
In mid-April, the Ministry of Finance imposed a special export tariff of 100% on fertilizer products such as phosphate fertilizers and some raw materials, which lasted from April 20 to September 30.
The ultimate goal of imposing a high percentage of export tariffs is to curb the continued surge in domestic food prices caused by rising raw material prices. "At present, the proportion of China's export of phosphate rock is about 5%, but this proportion will not fall too much with the increase of tariffs." An industry source said that because of the main origin of phosphate rock, Yunnan, Guizhou, Hubei and Sichuan provinces The government has already adopted plans to restrict the ore out of the province. Therefore, the continued increase in export tariff rates on ore has little effect on the export of phosphate ore.
Phosphorus prices will rise in the short term but the above latest measures are unlikely to be effective. One of the key factors is the occurrence of a major earthquake in the country's fourth largest phosphate rock producing area in Sichuan.
Associate Securities analyst Xiao Hui pointed out that Sichuan produced 5.11 million tons of phosphorus ore last year, accounting for 11.3% of the country's total output. “Sichuan phosphorus resources are mainly distributed in Jinhe, Qingping and Mabian areas, and Jinhe-Qingping areas are mainly located near Shifang and Mianzhu cities. Within 100 kilometers from the epicenter of Wenchuan, there are three major phosphates in Jinhe, Qingping and Shifang. The mine's production accounts for more than 95% of the province's total production.†Although this yellow-phosphorus production facility is not affected by the earthquake, it cannot be produced and sold without raw materials and transportation. He believes that in the short term by the impact of sales in Sichuan, it is expected that the price of phosphate rock and yellow phosphorus will rise.
Analysts said that phosphate was not included in the phosphorus products that were subject to special tariffs. Because China is the world's largest producer and exporter of phosphates and exports primary industrial products, it is equivalent to simply exporting cheap phosphate ore resources. Therefore, whether to increase the export tariff of phosphate will affect the upgrading of the product structure of the industry.