Chinese pesticide company declares bankruptcy
The intermediate people’s court of Leshan city has declared the bankruptcy of Sichuan-based Chinese agrochemical company, Leshan Huachi Chemical. The company was established in 2000, with a registered capital of Yuan 5 million ($700,000 at the current rate), and was Leshan’s first privately-owned agrochemical producer. Leshan Huachi was forced to declare bankruptcy after failing to repay bank debts. Analysts at internet newswire Sichuan Online point to a lack of funds needed to modernise outdated pesticide manufacturing equipment as a reason for Leshan Huachi’s failure. The company, including all factories, outbuildings, agrochemical manufacturing facilities, and the Huachi Chemical “Minjiang” pesticide brand, was due to be auctioned on December 23rd, at an indicated price of Yuan 8.2 million ($1.2 million). The auction was cancelled due to lack of interest.