The "Two Alkali" Market Still Consolidates the Smooth Operation of Industrial Salt Price

July 02, 2018

Although the current production and sales of “two alkalis” are still sluggish, enterprises are limited to cut production and the demand for Industrial Salt is decreasing. However, the reporter learned from the 2010 “Two-alkali” salt orders held in Shandong Province that the current industrial salt production has increased and the price has increased. Smooth operation, showing new features of different quality and two-day market.
Shandong Haiyan has been leading the national industrial salt market prices and changes. According to Jiang Liansheng, manager of Shandong Salt Industry Co., Ltd., this year, it is estimated that the annual salt production will reach 24 million to 25 million tons, and the increase rate will be about 15%. The reason why the increase in production in the case of a decrease in Yantian is the first investment and reform. The newly-established Yantian gradually matured. The basic conditions for production of most salt companies were further improved, the level of halogen-enriched brines was raised, production capacity was fully utilized, and the ability to resist disasters was strengthened. The second is that God has done a good job. Since the beginning of this year, the natural climate is more favorable to the production of crude salt. Although the temperature is low and the evaporation is low during the winter and this spring, the amount of precipitation is small, which creates the conditions for pre-production of brine. The main producing areas during the original salt crystals were not affected by severe weather; in the fall, there was no rain and precipitation in the past two months. Compared with the same period of last year, the amount of high temperature and large evaporation has played a crucial role in increasing production.
According to reports, although the current “two alkalis” limit energy production, the demand for industrial salt has decreased significantly, but the original salt prices have remained relatively stable, there has been no previous years of competition and low-cost competition. According to analysis by industry insiders, although the price of industrial salt is still low and consolidation, but the price is stable, it is not easy to maintain such a price level and remain relatively stable under the circumstances of increasing output and reducing sales. If such a severe situation is placed in front of any For a period of time, salt prices will fall badly.
There are no major fluctuations in the raw salt market. First, after several ups and downs in prices, the marketing practices and market concepts of salt companies have become increasingly rational. This has, to a certain degree, reflected the gradual maturity of the industrial salt market. Second, China’s industrial salt The trading market storage adjustment mechanism began to be established and played a role in supporting the salt price to a certain extent. Third, the salt industry expects a better outlook for the market, and the “two alkalis” have begun to recover. Once fully recovered, the industrial salt demand situation It is full of hope. As the “two alkali” production province in Shandong, there are 43 chlor-alkali enterprises with a capacity of 5.63 million tons. There are 22 projects under construction. After completion, the capacity will increase by 3.47 million tons, a total of 9.1 million tons, soda ash production capacity. 4.9 million tons, for a total of 14 million tons, the "two alkalis" total demand for salt will reach more than 21 million tons; Fourth, the original salt market is better in the first two years, salt companies earn money, and production funds are plentiful, unlike In previous years, eager to return loans at low prices.
Different quality and two-day market are the salient features of the current industrial salt market. At present, the operating rate of ion-exchange membrane caustic soda is much higher than that of membrane alkali. It is suitable for the production of ion-exchange membrane caustic soda with an applicable tax price of 170-180 yuan (t price, the same below), and it is in short supply; it does not meet the standard salt production price of 135 salt. At ~145 yuan, there is a certain degree of downturn in market demand, and the price gap between the standard salt and non-compliance salt is at least 30 yuan, and there is a trend of further increase. In the first half of last year, the demand for crude salt in the original salt market was high, and some salt companies “rapidly washed the radish,” ignoring the quality and relaxing management, resulting in a decline in the quality of the original salt. Although market demand is sluggish today, the negative impact has not been completely eliminated. At the same time, the decrease in the degree of halogenation and the imperfect operating procedures for salt production have led to a decrease in the production of standard salt and an increase in the non-compliance of salt production. According to industry analysts, although the quality of industrial salt has improved, the standard salt only accounts for 40% to 50% of the total amount. There is still more than half of the salt is not up to standard, and it is not suitable for ion-exchange membrane caustic soda. This part of the salt is in the ion membrane. Can not find users in caustic soda business.
It is understood that there are certain scale enterprises that have differences in software and hardware facilities, fine management, and on-site management. With the increase in the demand for standard salt in the market, Weifang and other places will also issue relevant regulations for the operation of crude salt production technology to increase the production of salt standards.

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