The great changes of phosphate fertilizer industry will have great influence on the development of phosphorus. Some producers have combined phosphorus ore and electricity to improve the comprehensive competitiveness. Will it be the future trend of the industry?

Guangzhou, Guangdong -- (SBWire) -- 04/25/2011 -- CCM has released its new report - Production of Yellow Phosphorus in China, discussing the overall situation of phosphorus ore in China including its distribution, reserves and exploitation, international trade and related policies. The focuses are on production and forecast on supply and supply-demand balance to the next 5 years.

According to the report, yellow phosphorus, as a non-renewable resource, is used almost exclusively in agriculture. Two thirds of the world's resources are in China, Morocco, and Western Sahara. Although China is abundant in phosphorus resources, it is not rich.

The proven reserves of phosphorus resources in China ranks the second with total volume of 17.86 billion tonnes with the reserves of high-grade phosphorus ores only 1.108 billion tonnes, accounting for 17% of its total phosphorus reserves. The capacity of yellow phosphorus is about 1.9 million tonnes, ranking the first in the world and the consumption of phosphorus ore in China also ranks the first in the world. Statistics has showed that 80% of Chinese phosphorus resource is used as fertilizer, which makes better growth of crops.

At present, the world’s production capacity is more than 2.40million tonnes per year while China accounts for about 83%, which makes China the largest producer of yellow phosphorus. Yun Tianhua is the No.1 manufacture to produce yellow phosphorus in China. China’s yellow phosphorus is mainly distributed in Yunnan with 48%, Sichuan with 21% Guizhou with 17% and Hubei with 12%.

The major application of its production is in phosphoric acid, phosphorus trichloride, phosphorus trichloride, red phosphorus, phosphorus pentasulfide and sodium hypophosphite. Fertilizer, as the major end-user of yellow phosphorus, accounts more than 80% of the phosphorus resources’ market. Yellow phosphorus and phosphate account for 20%.

Since 2009, Chinese government has raised the electricity price for non-residential use. As for high energy consuming industries, it has further restricted electricity supply by banning preferential electricity price formulated by local governments and rigidly enforcing the discriminatory electricity price, and both of these actions have great impact on the production cost of yellow phosphorus.

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