Prices of the herbicide glufosinate-ammonium have climbed sharply in China this month while glyphosate has barely moved, a split that Chinese financial media link to a regulatory shake-out pushing smaller and non-compliant producers out of the market.

Mainstream glufosinate-ammonium technical reached 55,000 yuan a tonne as of 17 September, up 12.24 per cent from August, according to pricing data published on 22 September; some factories quoted 60,000 yuan, and the higher-purity L-glufosinate-ammonium was offered at up to 70,000 yuan. Glyphosate 95 per cent technical traded around 28,500 yuan a tonne on sluggish demand. The Lixia raw-material price index for pesticide inputs stood at 73.40 points on 20 September, up only 2.55 per cent since 23 August, suggesting the glufosinate move is specific to its supply.

Three factors are cited: factory inventories that have fallen steadily since April 2025 to a historic low of 1,130 tonnes on 18 September; the removal of value-added tax export rebates on certain pesticides from April 2026; and a bottleneck in diethyl methylphosphonite, a key intermediate in glufosinate synthesis.

A "one license, one product" rule in force since the start of 2026, which ties each registered pesticide to a single verified manufacturing licence and quality standard, has made it harder for smaller toll manufacturers and unlicensed blenders to undercut branded suppliers, concentrating share among established producers such as Shandong Xianda Agricultural Chemistry. Glyphosate's larger, more consolidated producer base has left it less exposed.

China supplies most of the world's technical-grade glufosinate and glyphosate, and glufosinate has become an important rotation partner for managing glyphosate-resistant weeds. A sustained rise of more than 12 per cent is likely to reach import costs for formulators and distributors in North America, Latin America and Southeast Asia within one or two quarters, the report says, though Chinese price benchmarks vary by grade, region and method and buyers are advised to confirm quotes directly.

Photo: Pl77 / Wikimedia Commons (CC BY-SA 3.0)

Source: Global Agriculture