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2024 Global Biostimulant Supply Chain Challenges

May 22, 2024 Leave a message

Affected by events such as the Russia-Ukraine war and the conflict between Israel and Iran, the stability of the global biostimulant supply chain is facing major challenges. Since 2024, the main biostimulant products exported from China, including amino acids, seaweed extracts and humic acid (fulvic acid), need to undergo commodity inspection and wait for one month due to unclear classification with fertilizers, which has led to delivery delays. term extensions and price fluctuations.

 

This policy change had the following impacts:
 

 

Untimely handover of raw materials: Sudden changes in policy resulted in an extension of the delivery time of the previous batch of products, disrupting the original production plan of the demand side and delaying the launch of the product.

 

Price Fluctuation: Due to slow shipments, the price of related biostimulants also fluctuates.

 

Reallocation of global supply sources: Faced with this situation, countries that have not implemented restrictive policies on such products may join the biostimulant industry and realize the reallocation of global resources.

 

The coping strategies are as follows:
 

 

For buyers, if you want to maintain the stability of product quality, you can consider arranging purchases in advance. For example, the commodity inspection of seaweed fertilizer usually takes 1-2 months before shipment can be arranged. Therefore, purchases can be made in advance according to the production plan for the next quarter to ensure seamless connection of the production plan.

 

Choose alternatives: With the uncertainty of war and industry uncertainty, consider looking for some products that can temporarily replace biostimulants. While this may increase the carbon footprint, it is beneficial to growers and the development of global agriculture. Here are some solutions:

 

2.1 Complex amino acids: Complex amino acid powder is usually used to help plants better absorb and utilize nutrients, resist stress, and benefit the soil's micro-ecological environment. When compound amino acid powder is limited, you can try to use monomeric amino acids. Different monomeric amino acids have different functions on crops. For example, proline can adjust the osmotic pressure balance of crops and help crops resist cold and salt; glutamic acid can regulate photosynthesis and enhance the supply of water and nutrients; tryptophan It is the precursor of IAA synthesis, etc.

 

2.2 Seaweed fertilizer: Seaweed fertilizer is mainly used to enhance the drought and cold resistance of plants and improve fruit quality. In the event of extended lead times, the following alternatives may be considered:

 

2.2.1 Dora KelpReal: This is a 100% seaweed-derived product, available in powder and liquid versions, both OMRI certified organic. Its performance in resisting adversity has been well received in feedback and trials at home and abroad. In China's export policy, there is no need to wait for one month after commodity inspection, and reasonable arrangements can be made according to the procurement plan.

 

2.2.2 Glycine betaine: Glycine betaine can effectively help crops resist extreme external environments such as salinization and drought, and is closely related to its ability to regulate plant osmotic pressure balance.

 

2.2.3 S-ABA: In addition to improving fruit color, abscisic acid also has the ability to improve crop stress resistance. Research shows that abscisic acid can promote flower bud differentiation, enhance plant drought resistance, and reasonably regulate the balance of plant vegetative growth and reproductive growth.

 

2.2.4 Brassinolide: A very small amount of brassinolide can significantly improve the stress resistance level of plants, and its wide applicability is well known.

 

Prospective to the future:
 

 

In addition to economy and interests, the world should also be full of peace and hope. For all industries around the world, peace is the cornerstone of all development. Dora Agritech cannot evaluate or predict the international situation, but we are a firm supporter of peace and sustainable development. The biostimulant industry still faces many challenges, and these issues are worth pondering:

 

1. In China, will the regulatory policy on biostimulants be relaxed?

 

2. The oligopoly effect in the complex amino acid industry is beginning to emerge. Do small companies still have room to survive?

 

3. What kind of biostimulants are needed for sustainable development of agriculture?

 

4. In the face of fierce competition, do various industries around the world need such fierce competition?

 

5. Is vicious competition really part of human nature?

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