Last Year, The Phosphate Fertilizer Industry Operated Smoothly

On April 24, at the 32nd Annual Conference of the Phosphate and Compound Fertilizer Industry held in Yichang, Hubei, Xiu Xuefeng, Chairman of the China Phosphate and Compound Fertilizer Industry Association, announced to the entire industry: "In 2024, Chinese phosphate and compound fertilizer industry operated smoothly. The entire industry has overcome the adverse factors such as drastic fluctuations in raw material prices, high production costs, and weak growth in downstream industry profits. The economic operation remains stable and has achieved new breakthroughs."

The data presented by Xiu Xuefeng at the meeting strongly confirmed this situation: "In 2024, the main business income of major manufacturers in the phosphate and compound fertilizer industry is 442.5 billion yuan, a year-on-year increase of 4.5%; the total profit is 29.41 billion yuan, a year-on-year increase of 28.5%; in 2024, the main business profit margin of the phosphate and compound fertilizer industry is 6.6%, 1.75 percentage points higher than the average level of the petrochemical industry."

It is reported that in 2024, affected by multiple factors such as geopolitical conflicts and energy price fluctuations, the global trade in phosphate fertilizers and compound fertilizers was in a "tight balance" situation. Despite this, the domestic supply guarantee capacity of the domestic phosphate fertilizer industry has been further strengthened. In 2024, the domestic supply reached 13.9 million tons (P2O5), second only to the historical high in 2015, and the apparent consumption of phosphate fertilizer increased by 1.2 million tons over the previous year. Phosphate fertilizer production capacity has also increased slightly for two consecutive years, reaching 22 million tons in 2024, and the capacity utilization rate increased by 6.3 percentage points over 2023. At the same time, the sound and stable supply chain of the Chinese phosphate fertilizer industry has demonstrated the competitiveness of enterprises, and the efficiency levels of enterprises in the industry are obviously differentiated. According to the association's statistics, in 2024, the market share of the top five enterprises in the phosphate fertilizer industry reached 65%, and the market share of the top ten enterprises in the compound fertilizer industry exceeded 40%.