Impact of New Farming System on Fertilizer Market

By CnAgri2013-03-18 11:25:51 Print This year, the government has decided to encourage the transfer of farmers’ contracted land use right to specialized farming households and cooperatives. This change may have the following impact on the fertilizer market:
 
First, specialized farming households are prone to use new-type high-efficiency fertilizer, creating a diversified demand for fertilizer products. Producers are presumed to readjust their product-mix to meet the demand. NPK and trace element fertilizer are expected to be on brisk sale.
 
Second, as farm production becomes more and more concentrated in a falling number of farming households, fertilizer producers are likely to provide their products and service directly to farming households without middle links.

From “China Fertilizer Market Weekly Report”