Due to the Delay of Sighing Big Potash Contracts, Potash Prices Possibly Would Go Up

By CnAgri2018-07-25 13:51:50 Print Big potash contracts in previous years were signed before middle July, but potash contracts in 2018 haven’t reached final conclusions, so what influence will the delay of signing potash contracts on potash market?  
(1) The time of replenishing imported potash is delayed. The suppliers who signed contracts last year have currently completed contracts. The contracts have not been signed, and the goods arrival at the ports would reduce greatly in the near future. Along with the delaying of replenishment at the ports, downstream NPK companies would adjust their purchase.
 
(2) It possibly can lead to an increase in domestic potash prices. If big contracts are not signed smoothly, the supply of imported potash in the domestic would be influenced and domestic potash prices possibly would increase greatly, which is not good for the stabilization of domestic potash market. 
 
(3) The expectations on an increase in big contract prices are enhanced. First, along with a tight supply on the international market, some international suppliers have confirmed the orders until October, and main international suppliers won’t have selling pressure in the second half of 2018; second, potash prices in Southeast Asia almost stabilized, but the overall prices on international market ascended, increasing difficulty in negotiating big contracts.