Yunnan: Strong Rise of Phosphorus Chemical Industry Base

Most chemical enterprises in Yunnan were built in the 1960s and 1970s. After more than 50 years of development, chemical industry has become one of the pillar industries of Yunnan's industrial economy. Basically, an industrial pattern has been formed, with phosphorus chemical industry as its focus, fertilizer production as its feature, coal chemical industry, salt chemical industry and biochemical industry as its development direction. According to the data released by Yunnan Province Industry and Information Technology Department, by the end of 2018, there were 373 chemical industry enterprises of above-scale in Yunnan Province, accounting for 27.4% of the total number of raw materials enterprises; total assets of 157.34 billion yuan, accounting for 25% of the total assets of raw materials enterprises; and main business income of 171.95 billion yuan, an increase of 38.7% on the basis of 2017. 

In the past five years, the whole industry has continuously deepened the implementation of the Implementation Plan of Yunnan Chemical Industry Structural Adjustment, Promoting Transformation and Increasing Benefits. While strictly controlling the "zero growth" of regional overcapacity industries such as coke, yellow phosphorus and fertilizer, it has started the relocation and transformation of hazardous chemical production enterprises in densely populated urban areas to ensure petroleum refining and chemical projects.“ "Safe, stable, long, full and excellent" production will promote the transformation and development of fertilizer and traditional chemical industries such as phosphorus, coal, chlorine and sulfur. According to the data released by the Yunnan Bureau of Industry and Information Technology, in 2018, 10.1 million tons of crude oil were processed, including 3.47 million tons of gasoline, 4.06 million tons of diesel, 960,000 tons of aviation kerosene and 1.31 million tons of other refined products. Driven by the 145.7% year-on-year growth of petroleum, coal and other fuel processing industries, the added value of large-scale chemical industry reached 36.39 billion yuan, an increase of 50.1% year-on-year. At the same time, the level of green development of Yunnan chemical industry has also been significantly improved, and the total energy consumption and the energy consumption per unit added value have both been greatly reduced. Among them, the value-added energy consumption of RMB 100 million dropped from 719,000 tons of standard coal in 2017 to 400,000 tons of standard coal, nearly halving. Two yellow phosphorus enterprises with no torch, dust and steam emission have become the benchmark of the yellow phosphorus industry in China. In the decades before the 13th Five-Year Plan, the chemical industry in Yunnan Province was dominated by phosphorus chemical industry, which experienced a development process from scratch to large scale, and completed a number of large-scale projects such as the national high-concentration phosphorus compound fertilizer base. Together with other provinces'phosphorus chemical industry, Yunnan Province not only basically meets the needs of national economic development in the production of main products of phosphorus chemical industry, but also exports a large number of phosphorus chemical products to the international market. In 2017, the output of phosphate fertilizer, yellow phosphorus and feed-grade calcium hydrogen phosphate in Yunnan Province accounted for 27.37%, 52.63% and 63.30% of the total output of the country, respectively. The phosphorus chemical industry in Yunnan Province mainly undertakes the task of supplying basic raw materials and basic fertilizers. Its main products include phosphate ore, monoammonium phosphate, diammonium phosphate, superphosphate, heavy superphosphate, yellow phosphorus, etc. In recent years, through the efforts of enterprises to change their ways and adjust their structures, the product structure of the whole industry has undergone gratifying changes under the condition of basically unchanged phosphate ore mining and processing. For example, the application of wet-process phosphoric acid purification technology has made high-quality purified phosphoric acid from scratch. The 100,000 tons/year purified phosphoric acid plant of Haikou Phosphate Industry Co., Ltd. of Yunnan Phosphating Group has reached the production standard in 2017, and the feed-grade calcium hydrogen phosphate plant of Yuntianhua Co., Ltd. has been put into operation. After years of development, the production of phosphate compound fertilizer in Yuntianhua Group and Yunnan Xiangfeng Chemical Fertilizer Co., Ltd. Yellow phosphorus production is mainly concentrated in Xuanwei, Jiangchuan, Pingbian, Chengjiang and other places. The production enterprises have been reduced from more than 40 in 2013 to 28. The yellow phosphorus production enterprises still in operation have made great progress in environmental protection, energy saving and overall technical equipment level. The output of feed grade calcium hydrogen phosphate is mainly concentrated in five enterprises, Lufeng Tianbao Phosphate Chemical Co., Ltd., Kunming Chuanjinnuo Chemical Co., Ltd., Zhonghua Yunlong Co., Ltd., Yunnan Shengwei Chemical Co., Ltd. and Yunnan Phosphating Group Co., Ltd. The total output accounts for more than 89.5% of the total output of the province. The above-mentioned enterprises grasp the key links of comprehensive utilization of resources, environmental protection and energy saving, pay attention to the market, strengthen enterprise management, overcome many difficulties, and take the key step of quality upgrading, becoming the backbone of the province's phosphorus chemical industry.