Sinofert profits drop 35.3 percent

Hong Kong — Sinofert Holdings Ltd. reported a 35.53 percent drop in first-half profits attributable to shareholders, to RMB352 million on revenues of RMB20.58 billion, compared to the year-ago RMB545.7 million and RMB22.5 billion, respectively. However, total sales volumes were up 1.06 percent, to 9.14 million mt. Sinofert said in the first half the growth rate for fertilizer demand was slowing down while fertilizer production capacity was rapidly increasing, which made it worse for the existing oversupplied fertilizer industry. It said as the largest fertilizer producer and consumer in the world, China suffered from the continuous oversupply of fertilizers, except potash. For the second half, Sinofert said the world economy is faced with large uncertainties, the oversupply situation will intensify, and major changes are brewing for the fertilizer industry. It said China’s economy will experience a relatively tough period.