According to the Canadian Health Ministry news, June 1, the Canadian Ministry of Health issued a notice to ethylene oxide (Ethylene Oxide) as fumigant pesticides, remove the “other uses of food additives list.”

October 5, 1971, Canada will be ethylene oxide as a fragrance fumigant, used to inhibit some of the pathogenic microorganisms. After that, in 1976, according to the requirements of the Pesticides Act, ethylene oxide was used only for the sterilization and fumigation of spices.

The Canadian Department of Health believes that ethylene oxide as a fuming agent is more appropriate, in line with the “pesticide Act” as a pesticide definition.

In 2013, the Canadian Pest Management Board again evaluated the safety of ethylene oxide and considered it necessary to remove ethylene oxide from the list of food additives.

In view of the above, the Canadian Ministry of Health to ethylene oxide out of the list of food additives, comments for the deadline for August 15, 2017.

The word “price” in 2016, 2017 became the pesticide industry was frequently mentioned but do not want to mention the word. In particular, as a pesticide production enterprises, the pesticide prices in 2016, the day is not good; 2017 pesticide prices, the day is more difficult.

Price is difficult, price is more difficult

In 2016 the company’s procurement department reported the most is the decline in raw material prices, good! The original drug sales report on the theme of the original drug prices have dropped, can not dry! Preparation of sales staff will say that the product price is too high, “The dealer does not have a request, the price and then low! Retail store?” The price I do not! “Farmers, but it does not matter,” I will be the lowest price, and not give money!

2017 is about half past the time, the price is still flooded in every corner of the pesticide: farmers on the price or does not matter, but can not rise, or not to give money! Retail stores do not accept the dealer’s price, you rose my Profit, I do not do! Dealers are helpless, manufacturers directly to the price up, can only endure! Manufacturers sales staff back to the company complained that the price is up, and other manufacturers did not rise, we do not account in the market Advantage (very strange, we actually have to say)! Selling the price of the original three days a day price, but also no way, raw material prices. Purchasing Department began to complain about the beginning of this year’s procurement costs down the index failed, raw material prices, the original drug prices, simply HOLD not live!

Channel to bear the weight

Two years of price changes in sharp contrast, after the top-down, from bottom to top after the price analysis, we found that for the end consumer, whether it is price or price increases, they feel The price is actually very small changes, and even can be ignored, the original drug prices fell when the grassroots prices did not decline (at least not the same percentage decline), the original drug prices, retail prices did not rise.

The price from the downstream to the upstream is like a loudspeaker as layer by layer. Here the top of our analysis of the original drug companies, the original drug prices in 2016 dropped significantly, in fact, raw materials have not fallen so much, so most of the original drug companies lose money, and 2017 the original drug prices straight up, in fact, raw materials should Did not rise so much, so the original drug companies are making money. This is the problem: the terminal price change is not the top of the loss of money when the real compensation, when making money really earn, where the profits were digested it?

Yes, it is the channel. Is the upper and lower poles between the preparation of manufacturing enterprises, distributors, retail stores; channels can enjoy the original price cuts brought about by the moment of pleasure, but also bear the endless price of pain caused by the waves of rising prices Became a reality in 2017.

Marketing needs to be diversified

Is the price all the marketing?

“Of course not!” – I think the vast majority of people will say, and then add a sentence: “There is no advantage of the price there is sales? The right price is stepping stone.”

Square view:

Knock on the customer’s heart, in order to have further communication, low-cost to open the door.

Negative view:

If this is the case, this “bricks” is a bit expensive, there are more ways to choose marketing. Most of the support side view is the frontline sales staff, those who face the customer’s business representatives; support against the other side is like my general market sector or business operators, business owners, those who are responsible for profit, marketing expert. A few years ago I was a firm anti-party view holder, but after a few years of market experience and work practice, I had a different view.

First of all, why do you need low-priced products?

The existence of that is reasonable, whether it is farmers, retail stores, dealers or business clerks have the need for low-cost products reasons: planting large – the need to control costs; retail stores – to ensure the needs of profits; The need for distribution; manufacturers clerk – to participate in the needs of market competition.

Second, the market needs really low-priced products?

Which business is willing to sell at low prices without profit? Which salesman is willing to every day with the company to low-cost products and was said to be incompetent generation which dealers are willing to low-cost sales and credit sales which retail stores are willing to sell low-priced products, Finally, because there is no effect of farmers blocked at the door? Which growers are willing to buy low-cost pesticides caused by the loss of production?

It seems that for low-priced products, manufacturers do not want to sell, dealers and retail stores do not want to sell, growers do not want to buy, then why there are low-priced products? Manufacturers why the price as the main means of competition? And retail stores every day with the manufacturers to policy, to concessions, to low prices? Growers as users why the where to the lowest price of the product?

Finally, let us look at the market need low-cost products behind what is the reason?

Manufacturers to bear the channels and farmers to our question: your product in addition to the low price can also give the salesperson and the difference between the selling points and differences between these products can support sales? In addition to low-cost products you can also bring to the dealer What can be a product marketing program, so that dealers can get the market from the product and then make a profit? In addition to your low-priced products can also give retail sales support? You will be put into the store regardless In addition to low prices can also give farmers (grow large, co-operatives) which products added value? Is it able to solve the disease Cordyceps, the product will be a series of marketing activities, Harm to the problem? Can improve the user’s income, so that users get the use of products after the satisfaction and happiness?

If you solve the above problem, the price is not a problem. A leaf barrier is difficult to see Taishan, manufacturers are deeply price dilemma, in the final analysis, or products and services on a problem.

To solve the price problem, or the need for pesticide companies to work hard, if not in other areas that can only fight the price. In the enterprise who should be the most efforts in this area? Of course, the marketing department of the enterprise, in fact, the price of pesticide industry (especially domestic enterprises) product competition is the main means, because the role of the market in the past few years have been weakened The ability of the product manager has not improved in recent years. After entering a new era of pesticide competition, the marketing department, product manager is not able to develop with the times. Personally think that to improve the ability of product managers to strengthen the role of the market is to solve the problem of price the only way, but also the first to solve the problem.

Looking forward to the arrival of non-price competition era, then be able to give channel operators and consumers with first-class products and more value-added.

In mid-May, the dollar index unexpectedly weakened, crude oil and downstream products can be obtained because of the breathing machine, have started rally. Commodity futures rose before the holiday, the main 1709 contract from 2200 yuan / ton line jumped to 2400 yuan / ton in the vicinity. But the methanol rebound in the road facing more obstacles, is expected in June may return to the decline in methanol.

Crude oil lacks further strength

The OPEC meeting, which was highly concerned by the market, ended at the end of May, although the oil producers agreed to extend the agreement to cut crude oil production to the first quarter of 2018, but still remain unchanged at the original level, Disappointed, the international oil prices and therefore lost further momentum, which New York crude oil rose to 52 US dollars / barrel near the turn down. I believe that the OPEC oil production organization is not in the cut range to further improve, but only rely on to extend production time is difficult to play a role in re-balancing the crude oil market, because the existing production agreement continues to maintain the current level of 9 months, The results will only make US crude oil production continues to rise, and OPEC oil producers to balance the supply and demand of crude oil market and the efforts to fall short, oil prices can not rise again.

Domestic methanol supply pressure diminished

Thanks to the early maintenance of the methanol plant has been restarted and part of the gas device restart, since May, the domestic methanol business rate continues to show upward trend, the level of the whole month to maintain 57% -63%. Although the central environmental inspection action has made the coal chemical industry in Shanxi area downtime, while the Northwest Evergreen, Shenmu and Gui Lu and other devices have also been affected, but the impact of a shorter time. Overall, the release of methanol production capacity is still advancing, supply pressure tends to increase. According to Jinlian a statistical data show that as of the end of May, China’s methanol enterprises started at 63%, an increase of 4 percentage points from the beginning of the month. Which northwest and Shandong methanol operating rate rose more significant, the monthly increase of 11% and 7% respectively.

Into June, Shandong Province, the new methanol project is expected to be strong, of which the new Phoenix to build an annual output of 200,000 tons of methanol plant is expected to be put into operation in June, while Shandong Mingshui and Hualu Hengsheng new annual production of 60 10,000 tons and 1 million tons project will also be expected to put into operation at the end of June. In the long term, Shandong Ruxi new annual output of 800,000 tons project and Rising annual output of 500,000 tons project is expected to be put into operation in September – October, in other words with the new methanol project put into operation, supply increment will be further expanded. In addition, the international methanol market late imports will show a growth trend, mainly due to the current recovery of natural gas supply in South America, part of the device operating rate increased to full load.

Downstream demand into the off-season season

Usually in June each year, domestic methanol downstream products formaldehyde, acetic acid and dimethyl ether will enter the traditional off-season model, the operating rate will be varying degrees of decline, mainly due to the arrival of the southern rainy season led to decline in plate production, thereby reducing the demand for formaldehyde , While dimethyl ether and acetic acid, the enterprise will take the off-season to carry out maintenance work, lower operating rate weakened for the demand for methanol. It is understood that the week before the holiday domestic methanol downstream product prices showed a downward trend, the weekly decline around 0.62% -1.93%. Terminal demand caused by weak purchasing power is not strong, methanol downstream manufacturers choose more parking maintenance device.

Overall, the international crude oil failed to further strengthen the difficult to give downstream goods can continue to do more emboldened, while the methanol supply and demand pattern is weak, the new device continues to run in June, external imports tend to grow, while the downstream demand is turned Into the off season. Is expected to fall in June or return to methanol

In the main raw material titanium concentrate prices down the case, the market appears a trace of empty voice. So what about the performance of the market this week, with a word to the profile can be described as “calm surface, but actually undercurrent.”

In view of the recent market performance, the current situation is different performance. The mainstream market is divided into two categories.

For the current line of large enterprises, their supply order is mainly for the export – direct supply – dealers. That is to say the monthly production of the first choice to ensure that exports. Mainstream enterprises to account for the total output of 30-40% of the proportion of more enterprises can account for about half of the second is the direct supply of end customers, accounting for about 30-40% share, and finally to the dealer to do Sales. Then the benefits of this model is that the domestic titanium dioxide enterprises in the domestic sales pressure is far less big. Monthly production of the basic products are exported or to the downstream factory. Sometimes the main dealer is difficult to get their monthly contract amount, can only wait, so for the current domestic titanium dioxide business, the domestic first-line brand sales pressure is relatively weak, its multi-stable price wait and see.

And for some second and third line brands of small and medium enterprises, their sales pressure will be greater, the first export they are very difficult to do great. Are basically dominated by domestic sales, coupled with the lack of differentiation advantages, corporate shipments difficult to have significant competitiveness. In the current overall single reduction in the case of small and medium-sized titanium dioxide business sales pressure continues to increase, although the surface to follow the mainstream enterprises to maintain the stability of the strategy, but in the overall transaction to take a single talk strategy, according to Zhuo A survey found that the current number of enterprises in the actual transaction process has been a certain degree of loosening.

For the domestic import agents, the current overall market is relatively optimistic; due to foreign enterprises to domestic supply has limited, in the high-end market, foreign products are relatively tight, in this case, foreign companies have raised the latter part of the plan. Huntsman in the domestic plan raised $ 250 / ton, Tenova plans to raise $ 200 / ton, the curtain is expected to increase in the amount of 250 US dollars / ton.

In view of the above, for the current market of titanium dioxide can be described as several happy several worry, but the market running to the present, the terminal downstream of the resistance to titanium dioxide has emerged, whether it is tight imports or domestic mainstream business inventory is low, late Titanium dioxide business sales pressure gradually increased, the short-term market surface calm, but in fact has undercurrent surging, do not rule out the latter part of the market to save the risk of callback, the proposed industry prudent operation, concerned about the enterprise out of stock and inventory recovery situation.

On May 22nd, Swiss chemical firm Clariant and Huntsman announced that its board of directors unanimously approved an equal all-stock merger agreement. The transaction is expected to be completed by the end of 2017.

The merged company will be named HuntsmanClariant. According to the 2016 financial data, the merger of the two companies will create a leading global specialty chemicals company with sales of approximately $ 13.2 billion and adjusted EBITDA to $ 2.3 billion with a market value of about $ 20 billion.

The combined entity will benefit from both sides’ advantages, will share the intellectual property and have a more powerful joint innovation platform. The annual cost synergies are about $ 400 million.

Based on the current market value of the two companies, Clariant shareholders hold approximately 52% of the shares of the new entity and Huntsman shareholders hold the remaining shares. Headquartered in Pratteln, Switzerland, the company is headquartered in Woodlands, Texas, USA, and will be listed directly on the Swiss exchange and the New York Stock Exchange.

The new company Main polyurethane, pigments, automotive liquids, additives and resins and a series of chemical products, involving aerospace, agriculture and household cleaning and other industries.

Results show that Clariant first quarter sales of 1.602 billion Swiss francs, higher than the same period last year 1.478 billion Swiss francs, an increase of 9%. Huntsman’s first quarter operating income of 2.469 billion US dollars, net profit of 92 million US dollars, adjusted EBITDA profit of $ 329 million.