On January 18, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Finance, the Ministry of Railways, the Ministry of Agriculture, the Ministry of Commerce, the State Administration for Industry and Commerce, the General Administration of Quality Supervision, Inspection and Quarantine, and China Supply and Marketing Cooperatives jointly issued the "Regarding Doing Well The "Plan for Spring Fertilizer Fertilizer Supply in 2012" requires local authorities to create favorable conditions and environment for the supply of chemical fertilizers in the spring, and do their best to guarantee the production and circulation of chemical fertilizers.

According to the analysis of the economic situation analysis of the chemical fertilizers and pesticides industry in the Ministry of Industry and Information Technology on the 12th, the economic environment at home and abroad was very complicated in 2011. Frequent climatic disasters, price increases of raw materials, tariff adjustments, etc., brought great impact on the fertilizer and pesticide industries. With joint efforts, production operations remained stable. With the increase in the prices of domestic agricultural products, the enthusiasm of farmers for growing grain has continuously increased, and the rigid demand for chemical fertilizers and pesticides has continued to increase, providing strong support to the domestic market. It is expected that market demand will continue to maintain a steady growth this year.

However, there are also many difficulties in the fertilizer and pesticide industry. The main problems are rising prices of raw materials such as coal, natural gas, and sulfur, power supply shortages, rising electricity prices, difficulties in railway transportation, and frequent adjustments to tariffs. The Ministry of Industry and Information Technology stressed in particular that these difficulties and problems should be highly concerned.

In view of the current situation, the notification issued by the 9th department requires the local government and power grid companies in the areas where the fertilizer companies are concentrated to ensure the normal production and use of electricity by the fertilizer companies during the spring season of cultivating fertilizers and fertilizers, and may not impose power cuts on fertilizer companies. PetroChina, Sinopec and CNOOC should strengthen the supply of natural gas for fertiliser production, especially in Southwest China. The relevant local governments must supervise the coal companies, especially the smokeless lump coal production enterprises, to earnestly fulfill the supply contracts signed with the fertilizer companies and keep the price of chemical fertilizers basically stable.

The notice pointed out that the railway department should continue to strengthen the organization of fertilizer transfer, and the relevant local government departments and key chemical fertilizer companies must strengthen communication and coordination with the railway departments to provide timely feedback on the demand for chemical fertilizer transportation; the railway department must properly arrange the transport capacity according to demand, especially We will focus on strengthening nitrogen transportation in the North China market, phosphorus fertilizers in the southwest region to reach the northeast region, and transfer of potash fertilizers in Qinghai and Xinjiang, and appropriately increase the organization of the national off-season commercial reserve of raw materials needed for chemical fertilizer and fertilizer production. Efforts will be made to ensure the transportation of chemical fertilizers in spring.

The notice emphasized that in the off-season commercial reserves of all fertilizers, the enterprises must actively raise funds, meet the sources of supply, balance purchases, and have sufficient reserves. If there is a partial market out of stock or the price rises quickly, the lighter storage fertilizer may be put on the market in advance if necessary with the consent of the competent authorities. The Agricultural Development Bank continues to provide capital credit support to eligible state-owned fertilizer and light storage companies on the premise of adhering to the principle of credit and ensuring the safety of funds.

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