Fertilizer Price Trend in Jan.20-26 2014

By CnAgri2014-01-26 09:47:05 Print Urea: with Spring Festival coming, urea market kept stable with slack sales. In Shandong, mainstream factory quotation remained stable and most dealers were waiting and seeing; in Hebei, the delivery went well since downstream dealers had desire of stocking; in Henan, fertilizer purchase went slack in the province and delivery to other provinces also went weak with unsmooth transportation; in Guangdong and Guangxi, wholesale price remained stable with slight decline due to weak demand from downstream. Domestic urea market is predicted to run flat and price to remain stable. (Figure 1)

ABC: ABC market remained stable with basically unchanged retail price. (Figure 2)

DAP: DAP quotation rose this week influenced by raw materials prices increase and high international price. But it has limited influences on the market since new orders are limited. Dealers are positive in purchasing. Most DAP supply was in the hands of large dealers, it has little possibility for basic dealers to purchase. Operating rate was over 70% generally. International DAP price soared, which drove domestic price to increase. Plus with supports of sulfur price increase, DAP price is predicted to go up in later period. (Figure 3)

NPK: in general, NPK price went steady this week and some enterprises raised quotation by about RMB50/MT.  Manufacturers were busy with previous orders and most dealers were waiting and seeing. According to some manufacturers, market inventory was lower than the same period last year, suggesting strong demand. With Spring Festival coming, some small NPK manufacturers planed to stop production for the holiday. So the operating rate declined gradually. NPK market is predicted to go steady before Spring Festival. (Figure 4) 

MOP: MOP market remained consolidation this week and the price saw no great fluctuation. Busy railway transportation was the key factor influencing MOP market currently. Large MOP factories in Qinghai all stopped production and the delivery was from inventories. With production resume of downstream NPK manufacturers, industrial demand will increase gradually. But current market is dominated by straddling atmosphere, so the favorable factor is less helpful to the market.  (Figure 5) 

SOP: the tight supply saw no improvement this week. Mainstream manufacturers sustained normal production and operating rate was high. Besides, MOP price saw turnaround as well. If it can really stop declining and even rebound, SOP market will eliminate all blocking factors for its price increase. Therefore, SOP market is predicted to continue with good trend.  (Figure 6) 




From “China Fertilizer Market Weekly Report”