What A Difference A Year Makes
4 March 2008 At this time last year, I was planning my first trip to Shanghai to attend the CAC Conference. Today I am doing the same thing, but under much different circumstances.
Last year, I knew the show would be big, but had no idea how big. At this time last year, we were also just beginning to sniff out the changes that would be coursing through the Chinese ag-chem industry. The country’s government had just started making moves to improve China’s environmental profile, and many companies were trying to figure exactly what form these changes would take and how they would be effected by them. It was not entirely clear how the new rules would be applied, or in what sort of timeframe.
Flash forward to 2008. Not only has China’s environmental policy changed, but also its tax structure. Costs soared for manufacturers, and while the international demand for ag-chems is strong, the ability of many manufacturers to continue to make products profitably has suffered. Traders have also been dealt a blow, as their sources have either disappeared or have failed to keep up with the surging demand.
It will be interesting to see how this year’s CAC compares to last year’s. There are still many strong companies in China, and plenty of interest in their products. But as I prepare to depart for Shanghai on Friday, I am curious to feel the mood of the Chinese industry in 2008.
For readers attending CAC this year, be sure to stop by. FCI again has a booth in the exhibition, and I will be at the seminar sessions, as we are cooperating with CCPIT on this year’s event. Make sure to say hello (or, Ni hao) — we will be looking for you.
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