Yancheng Lvye Chemical: Green Agrochemicals     

Yancheng Lvye Chemical Co., Ltd. was established in 1997 and is located in Longgang Chemical Park of Yancheng, Jiangsu province, the northeast of Yangtze Delta. It is engaged in the production and sales of fine chemicals, commodity chemicals and agricultural chemicals. Its products mainly include climbazole, propyzamide and thiazole, which are in great demand in Europe and the Southeast Asia.


"Lvye" is the Chinese Pinyin of "green leaves", reflecting the concept of corporate strategy. Yancheng Lvye Chemical has been conducting environmentally friendly approaches and technologies in its production process since its foundation.

Lvye Chemical launched the commercial production of climbazole project in 1999, and after years of technical innovation, the company's production process of climbazole has become mature and was evaluated by authorities to be the top advanced process compared with that in other climbazole manufacturers in China.

Yancheng Lvye Chemical aims to be a public company in the future. "This is not easy," Mr. Zhou, the board chairman of the company said, "We would not be a well-respected public company if we just enlarge production scale and extend international trade and commerce. Lvye believes it can find more opportunities in polynary approaches and multisectoral operation." In 2005, Yancheng Lvye Chemical invested RMB150 million and launched Jiangsu Luye Agrochemicals Co., Ltd. in Funing Chemical Industrial Park. It also established Jiangsu Lvxin Precision Strip Co., Ltd. in Longgang Chemical Park and thus realized product diversification.

In 2004, Yancheng Lvye Chemical successfully bought up Jiangsu Shenghua Biochemistry Co., Ltd. and regrouped it into Jiangsu Lufeng Biology Medicine Industry Co., Ltd. that is the largest production base of blasticidin in China at present according to the company. In October 2005, it purchased another firm Jiangsu Shida Chemical Co., Ltd. Construction on the 300 t/a chloropinacoline and 300 t/a tebuconazole projects by Luye Agrochemicals was completed in 2007. These two projects, with a total investment of RMB60 million, got the governmental approval in December 2005 and May 2007 respectively.

Lufeng Biology Medicine is said to be one of top four validamycin manufacturers in China, with a capacity of 15 000 t/a validamycin, 40 t/a gibberellin and 3 000 t/a blended pesticide. As reported, the company produced totally 19 430 tons of pesticides in 2006.

In September 2009, Yancheng Lvye Chemical laid a foundation for the construction on a new branch of Jiangsu Lufeng Biology Medicine Industry Co., Ltd. in Funing Aoyang Industrial Park, Yancheng of Jiangsu province. The new branch has an initial investment of RMB400 million will include three production lines and be implemented in three phases. The first phase with an investment of RMB220 million will conduct a debottlenecking project based on the updating of its old production line, and will adopt a set of servomechanism for biofermentation. It is designed to produce 30 000 tons of validamycin (5%) every year. The second phase will launch a 10 000 t/a blasticidin production line. Yancheng Lvye Chemical said this production line is the first blasticidin line that the Chinese company owns its proprietary intellectual property rights, and the technology is prior in the world. The third production line will annually manufacture 20 000 tons of insecticide - spinosad. Spinosad is a new type of environmentally friendly broad spectrum pesticide, and there are still no large-scale manufacturer for this product in China. Yancheng Lvye Chemical attaches great importance to these three production lines and estimates that they will bring the company annual sales revenue of RMB760 million when full operational.

In the next three years, Yancheng Lvye Chemical will focus on the development of agrochemicals, household chemicals, intermediate chemicals and food additives. The company expected to earn sales revenue of RMB700 million in 2010.