(Free-Press-Release.com) April 13, 2011 --
Guangzhou China April 7, 2011 - Phosphoric acid can be used for rusted iron, steel tools or surfaces and as cleaners by construction trades to remove mineral deposits, cementations smears, and hard water stains. It can also be applied in dentistry and orthodontics as an etching solution, to clean and roughen the surfaces of teeth. The most popular application of phosphoric acid is in food as flavoring agents in some cheeses, jams and jellies, colas and beer.
The first months of 2011 has witnessed a positive market for phosphoric acid as price of phosphoric acid in some areas increased by $14 to USD28/t. It is analyzed that the major driver is the increasing price of its upstream product-yellow phosphorus. China owns the largest capacity and output of yellow phosphorus in the world, but Chinese government restricted the export to guarantee domestic supply since phosphorus resource is irreplaceable and nonrenewable.
What’s more, the skyrocketing demand of phosphate fertilizer in 2010 drove 80% of the global phosphorus ore, which will be used to produce the fertilizer and caused the overcapacity of phosphate fertilizer. In order to control the output and capacity of phosphate fertilizer, the national 12th Five-Year Plan set limits on the expansion of supporting projects of phosphoric acid in the following 3 to 5 years.
CCM has released its new version report on Yellow phosphorus- Global Consumption of Phosphoric acid in 2010 through an in-depth analysis of the global phosphorus market from the content of reserves, exploitation and trade of phosphorus ore, policies, demand and production of phosphoric acid. The report mainly presents the situation of phosphorus consumption in major countries like Morocco and makes a forecast of the production and consumption to the next five years.
According to the report, China’s high-grade phosphorus ores will be exhausted in 2013~ 2014, and the remaining ores with actual economic value can only be exploited for another 40 years with present exploitation speed.
With government’s attention and prevailing awareness of low-carbon, what is the potential changes of the industry? How will the limitation affect the development of the industry? How to avoid the potential risks and what is the commercial opportunities? How will you make strategies as upstream and downstream producers? Please refer to CCM’s report for market intelligence.
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