Two reasons: the international competition really will become high

China fertilizer exports both FOB and CIF belong to domestic low levels, such as tariffs canceled, it is only to deepen the international fertilizer prices low, the actual significance is not too high; in addition, with the development of the international fertilizer market, a major importer of self-sufficiency rate is gradually increased, such as the India native diammonium, domestic production over the same period last year there has been a significant increase, and Chinese potash self-sufficiency rate from 30% the previous year rose to 50%, from the trend, the international fertilizer market actual demand is gradually reduced, which is the elimination of tariffs, domestic production capacity release rate and can not achieve the desired state.

Three reasons: such as tariffs canceled, the old enterprises with high energy consumption can be a stirring among the dry bones. Even if it were to achieve the desired before two, but because of tying and untying export policy, some of the high consumption and low energy enterprises will once again put into production, which launched the “zero increase the amount of fertilizer in 2020 against the” plan for the domestic capacity to complete the earlier period, the time will be delayed again.

Cancel the export tariff for the current stage of the enterprise, is indeed a good, but the most prominent domestic fertilizer market is still the homogenization of products and product overcapacity, weak competition, such problems can not be solved, the cancellation of tariff is only an ineffectual remedy.