Guangzhou, Guangdong -- (SBWire) -- 06/17/2011 --CCM - Difenoconazole, an excellent triazole fungicide with high efficiency and broad spectrum, has witnessed a rapid development in China in recent years, reflecting the increasing market demand and production capacity.

As an important and representative triazole fungicide, difenconazole's turnover in the global pesticide market reached about USD200 million in 2007, which has made it become the third largest triazole fungicide ever since, just next to tebuconazole and epoxiconazole. Up to now, it still has great development potential both at home and abroad, thanks to its bright market prospect and good control effect on crop diseases.

Coming into the domestic market in 1999, difenoconazole 10% WDG was registered firstly by Syngenta, and this overseas company had monopolized the difenoconazole's sale in China till 2003. In 2004, difenoconazole market saw an expansion, when some domestic companies like Hangzhou Udragon Chemical Co., Ltd. (Hangzhou Udragon) gradually obtained the related registration. After 2006, the year that Syngenta's administrative protection of difenoconazole expired, difenoconazole has truly witnessed a rapid development in China.

With more and more domestic pesticide producers entering into the difenoconazole market, the capacity of difenoconazole technical in China sees a fast increase accordingly. According to CCM's statistics, there are 13 difenoconazole technical producers in China, with the total capacity of 3,450t/a in 2010, compared with 2,850t/a in 2008.

Among all domestic producers, Jiangsu Frey Agrochemicals Co., Ltd. (Jiangsu Frey) is the largest difenoconazole technical producer, with the capacity of 800t/a in 2011. The company would expand the capacity to 1,000t/a when it finishes the relocation to the International Chemical Industrial Park of Zhejiang Economic Development Zone. Hangzhou Udragon is the second largest producer with the capacity of 600t/a.

The production of difenoconazole formulations has also witnessed a great development since 2006. There are now 139 difenoconazole formulation registrations in China, including 77 single formulations. WDG, EC, ME and EW are the most popular registered forms. As to hot mixed formulations, difenoconazole is mainly mixed with propiconazole, azoxystrobin, carbendazim, thiophonate-methyl and prochloraz.

Besides the economic crops like vegetables and fruits, difenoconazole is also applied on grain crops, such as wheat, rice and corn at present. For instance, 30% difenoconazole•propiconazole EC produced by some companies like Syngenta and Jiangsu Fengdeng Pesticide Co., Ltd., is now a very popular variety for rice sheath blight control, especially in some large rice production provinces like Hunan.

Besides, some domestic producers are now trying to use difenoconazole in seed treatment, including seeds of wheat, corn, cotton, soybean, etc. Beijing Green Agrosino Company has gained the formal registration of FS (flowable concentrate for seed treatment) for wheat loose smut control in April 2009.

With the expansion of difenoconazole technical in capacity, its price has declined to a certain extent in recent years. According to CCM's survey, the ex-factory price of difenoconazole 95% TC is about USD30,860/t in early June 2011, down 14.57% from USD36,125/t in June 2008. Its sales volume is estimated to go up in the domestic and overseas market in the near future accompanying with the falling price as well as the extensive application.

Though with prosperous potential, difenoconazole's fast capacity expansion as well as dispersed production distribution might lead to disordered market and intense price war in the future, which would not be favorable for the healthy development of difenoconazole in China.

Source: Fungicides China New June 2011
http://www.cnchemicals.com/Newsletter/FungicidesChinaNews.shtml

The main content is as follows:
Jiangsu Lanfeng performs well in Q1 2011
Noposion's net profit surged in Q1 2011
Zhejiang Longwan dominates bismerthiazol market
Fungicide demand restricted by drought in southern China
Difenoconazole developing rapidly in China
Carbendazim supply growing increasingly tight
Tebuconazole price continues to sway at high level
12th Five-Year Plan to bring more chances for Chinese pesticide industry

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