What affects the price of chemical fertilizers to affect chemical value value -added tax on compound fertilizer prices

What affects the price of chemical Fertilizers to affect chemical value value -added tax on Compound fertilizer prices

With the approval of the State Council, the Ministry of Finance, the General Administration of Customs, and the State Administration of Taxation issued the "Notice on the Recovery of the Following VAT" (Cai Tax [2015] No. 90), which stipulates that from September 1, 2015, the taxpayer is required to the taxpayerThe sales and imported chemical Fertilizers are uniformly levied VAT at the 13%tax rate.The calm Fertilizer market is no longer calm. This heavy news has become the most concerned topic in the Fertilizer industry.After the recovery of the value -added tax of chemical Fertilizers, what will change the price and market of compound Fertilizers?

Effect on Compound fertilizer prices

Effect on the price of Compound fertilizer raw materials

Taking the Shandong and its surrounding areas as an example, the complete cost of the traditional tobacco -free coal process is about 1,600 yuan (ton price, the same below).There is no "value -added" problem here.However, the complete cost of the aerospace powder gas gas -chemical technology Urea is around 1350 yuan. According to the above assumptions, the value -added tax is about 10 yuan. If it is passed on to the downstream, the price increase is limited.It is understood that more value -added taxes that can be credited by Urea manufacturers, so the recovery of value -added taxes should have a small impact on the current Urea market.

Taking the Hubei region as an example, 55%powder -shaped one ammonium general export price is 2100 yuan, and the full cost is about 1950 yuan. It is necessary to pay a value -added tax of about 20 yuan.Yuan, received a value -added tax of about 26 yuan.According to some dizen ammonium companies, if the profit remains unchanged, it is expected that the price of ammonium phosphate should rise by 50-100 yuan, and the increase will be about three %.Therefore, the recovery of VAT's recovery has little effect on the price of ammonium phosphate.

The most increased cost of Potassium fertilizer and the most impact is Potassium fertilizer. Due to the lack of input deductions, the value -added tax will increase its cost significantly, which will cause the sales price of potassium Fertilizers to increase significantly.The cost per ton of potassium chloride is at least 150-180 yuan/ton.

Impact on the cost of Compound fertilizer:

Recently, raw materials Urea and ammonium phosphate are temporarily in a state of weak operation, and even the price is still falling. Even if Compound fertilizer value -added tax is recovered, the two shall have a large impact on their costs.It is concluded that if the cost of Potassium fertilizer increased by 258 yuan/ton or even more due to the reasons for the recovery of VAT in the later period, the cost of 45%chlorolyl and sulfur -based Compound fertilizer was increased by at least about 64 yuan/ton per ton.Therefore, after September 1st, the quotes of Compound fertilizer may increase, but according to the different situations of each enterprise, the price increase should be different., Large profit, more value -added taxes, and relatively high cost of small enterprise raw materials, small profits, and relatively small value -added tax, but the difference should not be too large.There are also factors that some companies are not optimistic about the market, or limited downstream acceptance, etc., and expressed their concerns that they would increase their own digestion.Therefore, the increase in the quotation of Compound fertilizer after September 1 may determine the price trend of potassium Fertilizers mainly. At the same time, it is necessary to pay close attention to whether the state -deductible policy and the value -added tax in import and export are new.

After the first round of the autumn fat in early August, it can be seen that the enthusiasm of the downstream dealers' payment and picking up the goods is not good, and this year's crops are low, farmers have poor enthusiasm for planting Wheat, and the mood of watching is strong. Before September 1st, September 1stThere are still a lot of market demand space.Once the news of the value -added tax news on August 10 is implemented, all aspects of the Fertilizer industry will be affected. If the price of raw materials is raised, the production cost of Compound fertilizer manufacturers will increase.Once the news is released, this will undoubtedly make the current weakness of the fat market in autumn improve, and the psychological psychology of downstream buying up and not buying and falling will reappear again. At the same time, in mid -to -late August, the demand for Fertilizer preparation in the second round of autumn is released again.The "good market" will come in advance, and in order to avoid the increase in the later period of tax costs, some manufacturers will inevitably introduce some offers such as picking up subsidies to stimulate downstream active pick -ups and strive to minimize corporate Compound fertilizer products and raw materials.Inventory, so before September 1, the peak of Wheat Fertilizer sales will come early.However, before September 1st, the demand for Fertilizer preparation of the downstream Wheat market will basically be met. After September, the market demand has only a small amount of replenishment space.It is very large. It may have a certain degree of impact on the overall price of Compound fertilizer when the fed Fertilizer demand is launched on the occasion of the tail sweeping of the tail cleaning in autumn. At that time, the overall price consolidation will become the main theme of each enterprise.In the long run, it is inevitable that the return of the Fertilizer industry to the market is inevitable. The resumption of value -added tax on the recovery of value -added tax indicates the determination of the government's simplified administration and decentralization of power and regulating the development of the industry with the market.The problem is controlled, and the backward production capacity of small business scale and poor performance will face the elimination situation. The industry leaders with standardized operation and good performance will be favorable in terms of market and resources.Although there are more profits in the short term, in the long run, while the reform brings challenges, opportunities must be with them. Grasping opportunities and innovation optimization in reforms are the foundation of development.