FEATURE
Table 2 – Major Chinese crop
markets for pesticides
Crop Pesticide treatment Share
in US$m (retail level)
Rice 623.7 25.8%
Vegetables 587.3 24.3%
Wheat 234.0 9.7%
Citrus 165.5 6.8%
Cotton 152.2 6.3%
Apple 110.6 4.6%
Corn (maize) 102.6 4.2%
Soybean 88.7 3.7%
Rape 58.9 2.4%
Tobacco 36.2 1.5%
Peanut 33.5 1.4%
Sugar cane 32.1 1.3%
Pear 28.3 1.2%
Tea 27.8 1.1%
Non-crop land 23.6 1.0%
Banana 21.8 0.9%
Melon 19.5 0.8%
Litchi 15.8 0.7%
Peach 14.6 0.6%
Grape 13.8 0.6%
China’s farming population is expected to fall by up to 40% over the next 25 years as
Potato 13.1 0.5%
the agricultural sector continues to modernise
Other 17.6 0.7%
Total 2421.2 100.0%
Chinese pesticide producers generated sales transfer to local industries. This is equivalent to
of US$2,720 million in 2006 (comprising both a shift of around 10 million workers per year. By
on wheat, soybean and rice for the remainder domestic sales and exports), up by 18% on 2005. 2030, it is expected that one-third of the Chinese
of the season. In addition, ongoing reductions In terms of branded products (as opposed to population will work in the agricultural sector.
in the number of farm workers are boosting the sales of ais), Chinese producers achieved sales of
need for herbicide applications as an alternative US$1,580 million in 2006. Pesticide exports were The emergence of large-scale farms for both cash
to hand weeding. worth US$898 million in 2006, corresponding to crops and cereals has boosted the demand for
one-third of the national agrochemical output. high quality, efficient pesticide products, which
In southern China, normal climatic conditions have allow farmers to meet international standards
been reported, with standard amounts of rain. The state-owned distributor company Sinochem for food safety and pesticide residues. New
This is in contrast to previous years, when the is developing its presence in China by acquiring guidelines regarding the major crops have been
region experienced a prolonged period of drought, local producers. In 2007, it purchased the Zhejiang issued by the Chinese Ministry of Agriculture,
which boosted the use of fungicide products Ningbo factory, which is a major producer of which advise farmers to increase yields by
on vegetables and fruit trees. Overall, fungicide the insecticide fipronil, and has acquired stakes investing in new varieties of rice and wheat.
products, which account for 23.2% of all pesticide in various other pesticide producers, including Corn (maize) production is also growing, driven
treatments, are forecast to grow by 14–16% a year. Nantong Jiangshan (28% stake), Hubei Sanonda by the increasing demand for corn-fed livestock.
(20%) and Shandong DaCheng (50–60%). In addition, potatoes and sweet potatoes could
Although international brands account for 25% Sinochem plans to control significant portions become a potential crop for the biofuel industry,
of the value of the Chinese pesticide market, of the distribution channel for the insecticide provided that the use of more efficient fungicide
they are only applied to 9% of the treated DDVP, which is one of the replacement products products for controlling late blight results in
area. The cost of treatment for international for methamidophos, and to take positions in the increased yields.
brands is an average of US$12.3 per hectare channels for glyphosate and fipronil. In addition, it
(ha) compared with just US$3.7/ha for Chinese will develop new products through a collaboration The distribution of pesticide products in China
products. Nevertheless, the two market leaders, with the Shenyang Research Institute. is principally organised through a network of
Bayer CropScience and Syngenta (see Table 3), cooperative companies known as the Agricultural
are experiencing sales growth that is above the The Chinese agricultural sector is currently facing Means and Production of China (AMPC), which
market rate, with Bayer CropScience expected to tremendous change. It is estimated that the is involved in the supply of materials such as
achieve sales growth of 22–25% and Syngenta farming population in China will fall by 30–40% fertiliser, pesticides and application equipment.
expected to achieve growth of 28–30%. over the next 25 to 30 years, as rural workers In each province, AMPC supplies pesticide
2 October 2007  •  www.agrow.com
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32