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Dual control of energy consumption leaded to panic buying, price signal was distorted

Release time:2021-09-28

    The agrochemical market was detonated by soaring yellow phosphorus, triggering a series of chain reactions. "No quotation, no order" has become the norm in the industry. Local production suspension and restriction led to a shortage of raw materials and intermediates, leading to a wider range of production suspension and restriction. The panic in the industry has risen sharply. The rush buying tide has led to the destruction of the pesticide price system and the distortion of the market price.


    Market prices have increased in varying degrees, with different increases. There are not a few varieties with more than 10%.


    All manufacturers said that they could not evaluate the impact of "dual control of energy consumption" due to the failure to lock the upstream raw materials, so they can only "do not quote or receive orders" at this stage.


    However, the most worrying thing is that it is expected that the market will continue until after the national day. The result of the closing of the market for nearly one month can not be judged by past experience, so we can only wait for the factory to resume production.


    Compared with the final unit price of the manufacturer, the current market price has risen against the normal market, and the panic has played a great role in promoting it.


    At this time, on the one hand, the necessary products shall be purchased and sold, mainly from stock; On the other hand, it may be one of the best strategies to intervene in the market after the agrochemical market is stable.




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