Chinese avermectin bulk drugs exporting well

Jun 27 08:25 2013 David Yvon Print This Article

Abamectin is a kind of 16 macrocyclic Lactone compounds which have insecticide, miticide, nematicidal activity, produced by Streptomyces griseus fermentation of Streptomyces. 

Some authorities have predicted that 21st century will be the century of bio-pesticides. It was reported that the European bio-pesticides has risen from $100 million sales in 1997 to $169 million in 2004,Guest Posting trends show that abamectin is the most popular and highest competitive products in current bio-pesticide market. In China, avermectin application growth is relatively slow, but already revealed signs of market began to grow.

As a new antibiotic class biological pesticide with high selectivity and high security, for a dozen years, with farmers raising awareness of pesticide abamectin and its derivative varieties characteristics as well as highly toxic pesticides gradually out of the market, the demand and sales of abamectin and other bio-pesticides will gain growing market space. Combined with China was abolished agricultural tax in earlier this year so that farmers' purchasing power will be higher than ever before, it can be foreseen, avermectin will usher in a volume of demand growth.

From global pesticide market, bio-pesticides and transgenic technology pesticide sales had taken over 10% of the total global pesticide sales, but the figure in China is less than 5%, it also means that abamectin has good market development space in China. Chinese production and sales was growing, avermectin raw medicine production enterprises in China are mainly 8, the production capacity of these enterprises ranged from several tons to dozens of tons.

A few years ago, avermectin drugs had intensely competitive market, prices dropped lower and lower, from the beginning listing of tens of thousands Yuan rapidly decline to 3,000 yuan per kg, the lowest in 2003 had fallen to 1000 Yuan per kg, so that in 2004, many companies reduce production. In this way, early March of 2004, the market appears the demand exceeds supply situation, prices rebounded sharply, the average price rose to 1730 Yuan/kg, the market even show up the situation of a price not available, therefore, many enterprises are driven by profit, urgent produce abamectin, resulting in avermectin production increased rapidly again. After experienced a disorder price competition war, in 2005, avermectin prices was down again.

In 2005, Chinese avermectin production capacity was more than 800 tons, 400 companies involving avermectin production was cumulative registered 1300 products, of which pharmaceutical raw materials enterprise has 14 registered, 2 companies were formally registered, sales revenue (including export) was more than 1 billion yuan.

Better export attracting investment, since 1995, 30%~40% of avermectin production in China for exporting. Today, the export volume gradually increases, prices are steadily rising; export area is concentrated in Brazil and Spain.

In the first three quarters of 2004, avermectin exports well, beginning in the fourth quarter export volumes have declined, but export prices are still high. After entering 2005, avermectin prices started falling, production and corporate profits are getting smaller, many abamectin manufacturers were stopped produce or produce other more profitable products, dealers also because of non-profit do not want to sale, even if the short supply in the market, prices were not rising. However, good exports situation still attract some companies engaged in this field.


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