Obsolescence can not stop due to disaster

The "5.12" earthquake caused heavy losses to Sichuan phosphate companies. The industry estimates that the impact of the earthquake disaster will continue for a long time, and will also affect the operating pattern of the domestic phosphate industry to some extent. It is reported that after the earthquake, phosphate processing companies that had already ceased production in other parts of the country, including some production lines that had been shut down due to process delays, have restarted and phosphate prices have also risen. In this regard, the author believes that companies should not only focus on the immediate interests, but must have a clear understanding of the industry's development prospects, elimination of backward production capacity can not be abandoned halfway.

In the past 20 years, due to the low technical and financial threshold of yellow phosphorus production, it has quickly formed a trend of blooming. Subsequently, these newly started yellow phosphorus companies did not demonstrate their own technology, management, market, etc., in order to extend the industrial chain, invariably expand downstream, launched almost identical phosphate products, resulting in the rapid expansion of phosphate production capacity , resulting in an imbalance between supply and demand. According to incomplete statistics, currently, after the yellow phosphorus has eliminated about 500,000 tons/year of backward production capacity, the production capacity is still about 1.5 million tons/year, and the total social demand is only 800,000 to 900,000 tons per year; downstream phosphate products are integrated. The production capacity is nearly 10 million tons/year, while the market demand is less than half.

Under the pressure of the state’s macro-control and the market, the current blind expansion of phosphate companies has just been under control. At this time, the company must not be affected by the momentary market situation, slow down or stop eliminating the backward production capacity. However, from a long-term perspective, we must fully demonstrate the advantages and disadvantages of our own production facilities and technologies and the market competitiveness of our products, so that we can both retain and give up. We must obey the overall situation of energy conservation and emission reduction, make great efforts to optimize and integrate, strive to promote the optimal allocation of phosphorus resources, and gradually realize the optimization and upgrading of phosphorus chemical production capacity.

At the same time, phosphate companies must be cautious about launching new projects, and building industrial chains should be based on local conditions. For example, Western companies can use resource advantages to make bigger and stronger products. Eastern enterprises must use market and technological advantages to make deep processing of sophisticated products, and resolutely abandon the processing of yellow phosphorus from long-distance transportation into low-grade primary phosphorus products. Production mode.

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