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For some time, the prices of domestic oil, electricity, coal, transportation and gas, which are closely related to fertilizer production, have continued to rise. Chen Xiwen pointed out that chemical fertilizers are direct conversion products for energy sources such as oil, electricity, coal, and gas, and their costs are most directly affected by the tight energy supply.
In 2007, the resources of fertilizers in the international market were strained and prices continued to operate at a high level. China’s urea export reached 4 million tons, a record high. This year, the state introduced a policy to increase the export tax rates for urea, diammonium hydrogen phosphate, ammonium dihydrogen phosphate, and sulfuric acid. The purpose is to limit high-energy-consumption, resource-based fertilizer products to low-cost inflows into the international market, and to ensure domestic agricultural fertilizer production.
For the National Development and Reform Commission to warn chemical fertilizer production enterprises to seriously implement the national fertilizer price policy, to maintain stable prices in the fertilizer market, to bear the issue of maintaining social stability in maintaining price stability and maintaining stable agricultural production, Chen Xiwen said that the state requires fertilizer manufacturers to strictly implement the fertilizer price policy. It does not mean that prices cannot be increased. The price increase must be approved by the competent authorities of the state. Hearings and research must be conducted. The time and rate of price increase should all be monitored and regulated by the government. The state strictly prohibits random price increases, excessive price increases, and arbitrary price increases.
It is understood that this year's Central No. 1 document proposes to effectively increase investment in agriculture, rural areas and farmers; adheres to and implements the policy of industrial nurturing agriculture; consolidates, improves, and strengthens the policy of strengthening agriculture and benefiting agriculture; "Into the village" demonstration project to strengthen the quality and safety of agricultural products; speed up the implementation of fertile soil projects, expand the scope of soil testing and formula fertilization; support farmers return straw, planting green manure, increase organic fertilizer and so on. Chen Xiwen said that the central government and local governments have increased investment in agriculture, rural areas and farmers for several consecutive years. This year, the increase in investment in agriculture, rural areas and farmers is expected to exceed 100 billion yuan last year. Increasing investment from another aspect means increasing farmers’ ability to absorb rising prices of production materials such as fertilizers, pesticides, agricultural film, and agricultural machinery.
Stabilize chemical fertilizer supply and lay a solid foundation for agriculture
On January 31, at the press conference held by the Information Office of the State Council, Chen Xiwen, deputy director of the Office of the Central Leading Group of Finance and Economics and director of the Central Rural Work Leading Group Office, announced on the 30th that the Central Committee of the Communist Party of China and the State Council have further promoted agriculture by strengthening the agricultural infrastructure. Several opinions on the development of farmers' income increase, that is, the Central No. 1 document was read in 2008. In answering this reporter’s question, Chen Xiwen said that chemical fertilizer companies should correctly handle the country's export tariff adjustments on fertilizers and the domestic market price limit policies to provide stable supply for agricultural development.