Study On Capital Operation Of Phosphate Compound Fertilizer Industry In China

The process of industry integration and centralization is bound to the result of market economy; the result of market selection led by powerful enterprise .Capital operation is an important way for capital increase of enterprise and efficient allocation of social resources. Starting from 1950s, Chinese phosphatic and compound fertilizer industry has gained great progress after 40 or 50 years of development. However, the industry has also met many problems despite of continuous development. Facing challenges from international enterprises in this industry , domestic enterprises have been enhancing their competitiveness and development. One of important approach in development of current phosphatic and compound fertilizer industry is how to use effective capital operation to integrate the industry.From these years of capital operation on the industry integration, the restructuring of Jinhua Ammophos project fully demonstrates the value maximization of phosphatic and compound fertilizer industry and related factors, and become the typical example of capital operation in the industry.The essay focuses on the main theory and development research of capital operation. Combining the theory,features and methods of capital operation like merger,purchase,restructuring and investment with the practice of Ammophos project applied by Jinchang Chemical Engineering Group,the following article analyzes the process of operation on the whole project ,summarizes the experience of success,further explores the integration road of phosphatic and compound fertilizer industry,discusses about the advantages of every factors in capital operation of the industry and operation model, all which could provide helpful suggestion on capital operation of the industry.