The price of fertilizer raw materials has risen sharply this year, causing the cost of compound fertilizers to rise and profits to continue to be compressed. Under the pressure of high cost, fertilizer production enterprises generally adopt low-load and low-inventory operations to avoid risks. For growers, the high price of chemical fertilizers and the expensive use of fertilizers had become a true portrayal this year. But at the same time, some new fertilizers have gradually opened up the market by virtue of their own competitive advantages. Among them, the new category, granular water-soluble fertilizer in the fertilizer industry has gradually enjoyed great popularity in the agricultural market with its high-cost performance, comprehensive nutrients, and convenient usage.
Owing to the outbreak of the epidemic and the continued high price of compound fertilizers, the agricultural industry is quietly changing. The business ideas of some distributors are also quietly changing, and they have turned their attention to the new category of fertilizers such as granular water-soluble fertilizer.
Yang Xu, a dealer of agrochemical products in Shenyang, Liaoning Province (the northeast in China) for more than 20 years, introduced that his area is dominated by field crops such as corn and rice. In the past, he mainly sold compound fertilizers, and the annual sales volume was about 700 tons. Meantime, he felt that it was difficult for other fertilizers to enter the market in the field area except for compound fertilizers. The continuous upward trend in compound fertilizer prices this year forced him to change his mind. He said: "The price of a bag of compound
fertilizer has risen by 50 to 70 CNY (8USD-11USD) this year, which means the ordinary people have virtually increased the input cost, while the price of grain has not risen sharply, and the income from farming has been reduced. Thus I used cocoly granular water-soluble fertilizer on corn and rice, the result is incredible! This year, there is a lot of rain, and corn lodging has seriously reduced production. Without increasing the input cost, the corn yield of using cocoly granular water-soluble fertilizer, not only did not the yield decrease, but increased by more than 6600 kilograms per acre. By comparing the effect between granular water-soluble fertilizer and compound fertilizer, it clearly indicates that granular water-soluble fertilizer is more cost-effective and better. My total fertilizer sales this year exceeded 900 tons, and the new category of granular water-soluble fertilizer has entered a new market for me. I plan to gradually guide more corn farmers to increase the use of granular water-soluble fertilizers"
China's agriculture has developed to a new height under the background of vigorously advocating of improving the absorption and utilization of fertilizers. The total sales of traditional products such as compound fertilizers are declining, and new fertilizers with high absorption are filling the gap. Manufacturers and distributors should also follow the trend.
It is reported that as a representative enterprise of granular water-soluble fertilizer, Cocoly has upgraded and repositioned from the competition, seized opportunities, actively sought changes, arranged the layout ahead of schedule, and finally withstood the test of the market. It has made great contributions to both boosting the development of the industry and improving the effect of fertilizers, Mr. Li, a 10-year-old customer of cocoly fertilizer from Guangxi, said: "Taking 15-15-15 compound fertilizer as an example, its absorption and utilization rate is about 30% to 40%. Although the content of N, P, K in cocoly fertilizer is relatively low, the nutrients are
comprehensive and the absorption and utilization rate can reach more than 80%. The difference between cocoly fertilizer and compound fertilizer in absorption and utilization is 40%. Why does Cocoly make water-soluble fertilizer into granules? The first reason is to solve the problem of traditional fertilizers with single nutrients and absorption and utilization rate. The second is to solve the problem of the inconvenient use of traditional chemical fertilizers. From the feedback, I think both of these points have been achieved. Moreover, over the past 10 years, cocoly has always adhered to the focused strategy, concentrating only on the single category of granular water-soluble fertilizer. Not only did it sell well in the domestic market, but also exported to 46 countries and regions such as South Korea, Malaysia, Australia, Mexico and Spain. In the complex and volatile environment of the agricultural market this year, it is also very reliable to follow the development of such a brand. The granular water-soluble fertilizer has withstood the test of the market and time, showing a huge development prospect of granular water-soluble fertilizer. "
