“Thanks to high global grain inventories, stable grain prices, and strong demand for fertilizers, fertilizer companies are collaborating with research institutions to tackle the challenge of efficient nitrogen fertilizer and urea utilization. Meanwhile, through transformative upgrades in marketing strategies, we aim to support the green and efficient development of agriculture.” This was the news reported at the 2020 Nitrogen Fertilizer Industry Marketing Work Conference held in Chongqing on November 3 by our newspaper.

The meeting was chaired by Wang Liqing, Secretary-General of the China Nitrogen Fertilizer Industry Association.

In order, they are Ding Jianwu, Director of the Commerce Division of the Department of Economic and Trade Affairs of the National Development and Reform Commission; Gu Zongqin, Chairman of the China Nitrogen Fertilizer Industry Association; and Wang Liqing, Secretary-General of the China Nitrogen Fertilizer Industry Association.

Ding Jianwu, Director of the Commerce Division, Department of Economic and Trade Affairs, National Development and Reform Commission He delivered a briefing on the relevant policies regarding the commercial reserve of fertilizers. He stated that fertilizer production and distribution must further enhance their awareness of the importance of the national commercial fertilizer reserve and ensure that the reserve targets are met with guaranteed quality and quantity. He emphasized that, in light of the important signals released by the Fifth Plenary Session of the 19th CPC Central Committee to comprehensively promote rural revitalization, fertilizer enterprises should accelerate breakthroughs in innovative fertilizer technologies, strengthen the competitiveness of traditional fertilizers, and take product innovation and marketing upgrades as the driving forces behind their development, thereby providing strong support for the green development of agriculture.

Gu Zongqin, Chairman of the China Nitrogen Fertilizer Industry Association Looking back at the economic performance of the national nitrogen fertilizer industry over the first nine months of 2020, he noted that despite declining profits and an increasing number of loss-making enterprises, domestic apparent consumption of nitrogen fertilizers and urea rose by 2.6% and 3.3% year-on-year, respectively—a positive development. Specifically: First, domestic consumption of agricultural urea is estimated to have grown by around 2 million tons this year; second, according to data released by the International Fertilizer Association (IFA), major countries—including the U.S., India, Russia, and Canada—have designated fertilizers as essential and critical commodities in response to the COVID-19 pandemic, leading to unexpectedly strong growth in global nitrogen fertilizer demand, with demand from regions such as Brazil and Europe gradually being unleashed. Recently concluded urea tenders saw India make a one-time purchase of 2.184 million tons, of which an estimated 600,000 tons came from China; third, the state’s strategic reserve of 10 million tons of fertilizers will undoubtedly help stabilize the fertilizer market. These favorable signals will surely propel nitrogen fertilizer and urea consumption from a “dormant phase” into a period of rapid growth. “We firmly believe that fertilizer use for spring plowing in 2021 may usher in a modest ‘spring boom’,” he said.

Jiang Nan, Researcher at the Rural Economic Research Center of the Ministry of Agriculture and Rural Affairs It was stated that this year, at a critical juncture in the global pandemic, the central government has raised the minimum procurement prices for rice and wheat and allocated funds to support double-cropping rice production. As a result, the area planted with rice alone increased by 6%, while the area planted with winter wheat remained stable or even expanded. Efforts are also being made to further increase the area planted with winter oilseed crops. Corn prices have reached their highest level in nearly four years. Recently, a series of supportive policies aimed at boosting agricultural development have been rolled out one after another, which will stimulate farmers' enthusiasm for planting and their demand for fertilizers.

In order, they are Jiang Nan, Researcher at the Rural Economy Research Center of the Ministry of Agriculture and Rural Affairs; Chen Xinping, Professor at the College of Resources and Environment, Southwest University; and Gao Li, Deputy Secretary-General of the China Nitrogen Fertilizer Industry Association.

Professor Chen Xinping, School of Resources and Environment, Southwest University It was stated that, according to estimates by the Ministry of Agriculture and Rural Affairs, China’s nitrogen fertilizer utilization rate stands at only 39%, meaning that more than 60% is wasted. Field trials conducted across multiple regions and involving various crops have demonstrated that developing new, highly efficient nitrogen fertilizer products and technologies—through the production of nitrogen stabilizers and stabilized fertilizers, designing crop-specific efficiency-enhancing formulations, and expanding the functional scope of fertilizers—is a crucial approach for significantly improving nitrogen fertilizer utilization rates.

Gao Li, Deputy Secretary-General of the China Nitrogen Fertilizer Industry Association, stated that... Since 2017, China’s production of new-type urea has shown a year-on-year growth trend. According to statistics from the Nitrogen Association, in 2019, 36 urea enterprises nationwide produced 2.292 million tons of new-type urea (for agricultural use). Currently, the existing challenges lie in the mismatch between fertilizer efficiency-enhancing technologies and the development of new nitrogen fertilizers, the adjustment of agricultural industrial structures, and farmers’ planting needs. Against the backdrop of rapid development in new-type nitrogen fertilizers for agricultural use, there is an urgent need for technological breakthroughs in the research on efficiency-enhancing agents and additives, particularly in terms of safety, efficiency, and environmental friendliness.

Argus Chief Analyst Xie Fang Analyzing changes in global planting areas for corn, rice, and soybeans, we find that India and Brazil have both seen year-on-year increases in their corn, rice, and soybean planting areas. Although China’s corn planting area has declined this year, its rice and soybean planting areas are expected to increase by 451,000 hectares and 465,000 hectares, respectively, compared to the previous year. High global grain inventories, stable grain prices, and strong demand for fertilizers—all of which reflect broader global trends—are currently prevailing.

“Jianfeng Group has now established a business portfolio covering three major sectors: new agrochemicals, new materials, and new services. It operates chemical fertilizer production lines with an annual capacity of 750,000 tons of synthetic ammonia, 1.32 million tons of urea, 60,000 tons of melamine, and 200,000 tons of nitro-based compound fertilizers. By simultaneously focusing on both fertilizer and chemical production, Jianfeng Group is optimizing and upgrading its product structure. ‘Cooperating in competition and seeking development through cooperation’ is the strategic direction of Jianfeng Group.” The co-organizer of the conference, Fu Weinian, General Manager of Chongqing Jianfeng Industrial Group Co., Ltd. It introduced their explorations in the R&D of new fertilizers, marketing innovation, and efforts to “optimize, refine, and strengthen” existing industries through a variety of measures.

During the special seminar on innovative marketing of new urea products ， Liu Yongxin, Manager of Nitrogen Fertilizers at Sinochem Fertilizer It stated that by adopting a sales approach combining “channels + online platforms + franchising,” and leveraging promotional events, press conferences, and observation sessions as key drivers, a synergistic effect can be achieved with half the effort and double the results through an integrated online-and-offline strategy.

Meng Zheng, Deputy General Manager of Sales at Henan Xin Lian Xin Chemical Company It was stated that the “Heart-to-Heart” initiative to promote new urea products combines demonstration, service, and marketing.

Yu Changzhi, Deputy General Manager of Qinhuangdao Wuxian Wei'ai Company, stated: Helping users truly see the fertilizer’s effectiveness and its value in boosting crop yields is the key to successful promotion. Value-added fertilizers differ from conventional fertilizers in that they enable comprehensive regulation of the “fertilizer—crop—soil” system. This integrated regulation can significantly enhance fertilizer utilization efficiency, improve crops’ resilience to drought, cold, and other adverse conditions, and ultimately increase crop yields. According to measurements by the experimental demonstration network established nationwide by the Chinese Academy of Agricultural Sciences, under the same application rate, value-added fertilizers such as zinc humate, polyamino acid, horgro, and poly-nucleotide can boost field crop yields by 9.6% per mu.

In order: Yu Changzhi, Deputy General Manager of Qinhuangdao Wuxian Wei’ai Company; Zhu Xiaomin, Chairperson of Nanjing Baiyang Ken Biotechnology.

Deputy Secretary of the Party Committee of Zhongyan Hong Sifang Fertilizer Co., Ltd. among the attendees General Manager Chen Yong It was stated that innovation is the perpetual driving force behind enterprises. In recent years, Zhongyan Hong Sifang has consistently focused on fertilizer product innovation, aligning with the goals of reducing fertilizer use while enhancing efficiency in agriculture and responding to market demands. The company’s newly launched products—including controlled-release fertilizers, slow-release fertilizers, polyglutamic acid-based smart fertilizers, and value-added urea—have all been highly acclaimed by the market, and their market adoption and application volumes have steadily increased. At the same time, the company continues to strengthen its agrochemical services, actively promoting order-based agriculture and soil-testing-based fertilization tailored to the trends of modern agriculture. By building a new, integrated model of smart agriculture that combines seeds, fertilizers, and pesticides, the company is striving to achieve “standardized cultivation and branded management” in agriculture and facilitate the transition of its business from traditional marketing to modern service-oriented marketing.

Mao Guobin, Deputy General Manager of San Ning Chemical It was pointed out that nitrogen fertilizer products, as a basic type of fertilizer, enjoy widespread recognition in the market. As long as the price is reasonable, the market will readily accept them, so there’s no need for extensive promotional efforts. Consequently, almost all enterprises that specialize solely in nitrogen fertilizers typically have only a small number of sales personnel—far from being equipped with a true marketing capability. In recent years, it has become highly necessary for China’s Nitrogen Fertilizer Association to vigorously promote innovation and a marketing transformation within the nitrogen fertilizer industry. However, the scope for innovation in nitrogen fertilizer products is actually quite limited. Although many professionals both inside and outside the industry are actively exploring, researching, and putting innovative ideas into practice, these efforts have largely been confined to improvements and enhancements in terms of efficiency, controlled-release mechanisms, and application methods. Thus, driving a marketing transformation through innovative nitrogen fertilizer products presents considerable challenges. We believe that traditional nitrogen fertilizer companies should focus on developing innovative products and, while adhering to their commitment to benefiting farmers, collaborate closely with grassroots agricultural service enterprises. By placing these grassroots agricultural service enterprises at the forefront of promoting the adoption of innovative products, companies can not only ensure that high-quality products are quickly embraced by farmers but also avoid the need to significantly increase their specialized marketing staff and thereby keep costs under control.

Tan Yongping, Business Manager for the China Region, Koch Agronomic Services Inc., USA It was stated that many developed countries around the world began promoting innovative, efficiency-enhancing fertilizers years ago, significantly improving fertilizer utilization rates while reducing emissions and losses into the environment. In China, numerous nitrogen fertilizer companies have already started paying attention to the development of new types of nitrogen fertilizers. The industry is also actively advocating for rapid product development through technological innovation and the adoption of internationally advanced and proven technologies, enabling Chinese farmers to reap benefits from these innovations in crop production practices at an early stage.

In China, many nitrogen fertilizer companies have begun to focus on the development of new types of nitrogen fertilizers. The industry is also actively promoting the rapid advancement of product development through technological innovation and the adoption of internationally advanced and proven technologies, enabling Chinese farmers to reap benefits from these innovations in their crop production practices at an early stage.

At the meeting, The beta testing of the anti-counterfeiting and rights-protecting mini-program “Fei Cha Cha” for fertilizers has officially begun. It is reported that “Fei Cha Cha” is a WeChat mini-program developed jointly by the China Nitrogen Fertilizer Industry Association, the China Phosphate and Compound Fertilizer Industry Association, and the Potash Salt and Potash Fertilizer Branch of the China Inorganic Salts Industry Association. Built on the national electronic anti-counterfeiting and traceability service platform for fertilizers, this mini-program is designed to help users identify the authenticity of fertilizers and report counterfeit products. The reported information is verified for authenticity by rights protection experts, providing valuable evidence for market regulatory authorities to crack down on fake and substandard fertilizers. This initiative plays a positive role in safeguarding the rights and interests of fertilizer consumers and purifying the fertilizer market. “Fei Cha Cha” is a public-service WeChat mini-program that provides its services to the public free of charge.

Communication

This conference featured a total of 28 insightful presentations, including a keynote speech and two specialized roundtable discussions, all focused on innovation in nitrogen fertilizer products and the upgrading of their marketing strategies. During the conference, delegates also visited the production line of Chongqing Jianfeng’s new-type urea.

The conference is hosted by the China Nitrogen Fertilizer Industry Association. Co-organized by Chongqing Jianfeng Industrial Group Co., Ltd. and the Zhengzhou Commodity Exchange, nitrogen fertilizer production and distribution. More than 240 representatives from enterprises attended the meeting.

Venue Highlights