Since 2012, the nitrogen fertilizer market experienced a brief boom, gradually become dull. Especially since the second half of the year, the market situation is more complex, excess capacity, product homogeneity, such as excessive market competition increasingly prominent structural contradictions in the development of the industry is facing severe challenges. Response to the current adverse situation, the analysis of nitrogen fertilizer market trend of late, China Nitrogen Fertilizer Industry Association held in Jiuzhaigou, Sichuan, on 20 September 2012 nitrogen fertilizer industry marketing efforts. 

The meeting was organized by the China Nitrogen Fertilizer Industry Association, Shanxi Jincheng Anthracite Mining Group Company Limited, the Chinese agricultural media, China Chemical Industry News as media support. WU Jun Yang, Director of the Trade Division of the National Development and Reform Commission, Ministry of Agriculture, the Secretary for farming farmland fertilizer at Huang Hui, deputy Director attended the meeting on behalf of the relevant state ministries and fertilizer import and export policies, short storage and enterprises to participate in soil testing and fertilizer related policies interpretation. 

The participants believe that, in the international environment, the global economy continues to weaken, the nitrogen fertilizer business are bound to walk by the number of quality alternative transition period. This shift is the need of the development of modern agriculture in China, but also the need for healthy development of the nitrogen fertilizer industry. By changing the pattern of development, break through the dilemma of excess capacity, increase the intensity of the scientific and technological innovation, strengthen research and development and production of new type of fertilizer, to make efforts to improve fertilizer utilization, innovative sales model of agricultural service system are changes in nitrogen fertilizer industry continue to improve the mode of development of important initiatives. 

Conference nitrogen fertilizer production and the market for the first few months of this year, the inventory, to predict the next market trend, and to discuss the measures and methods of response. The meeting agreed that the nitrogen fertilizer in the first half of this year, similar to last year, Spring centralized season with a fertilizer, nitrogen fertilizer presents a tight balance trend, urea prices to gradually rise in the cost of rigid supporting role, the ex-factory price of 2450 yuan / ton in the end of April, the price gradually come down, the current ex-factory price of 2000 yuan / ton shock. The 7 months urea average ex-factory price of 2197 yuan / ton, compared with the downward trend of other chemical industry, a certain contrast. 

The meeting analyzed that the reason why the first half of this year, nitrogen fertilizer market is relatively stable, the following main reasons: First, thanks to the country three agricultural policy, the rapid development of agriculture provides strong support for the production of fertilizers; followed by nitrogen fertilizer industrial restructuring role began appeared nitrogen fertilizer into the capacity alternative stage, capacity growth has slowed down significantly; final market-oriented role to promote awareness enterprise rational production. The meeting held that the first few months of this year, in the context of chemical overall weak nitrogen fertilizer industry is relatively stable, and indeed reassuring, but the overall look at the whole industry is not satisfactory. 

The meeting proposed that the industry has entered a stage of capacity alternative capacity increase has slowed down significantly, but still no change in the situation of overcapacity. January to June this year, the nitrogen fertilizer industry-wide product sales margin of only 5.3%. January to June this year, 117 loss-making enterprises, the loss of up to 31.5%. The participating experts hope that an objective evaluation of the development of the enterprise business leaders recognize the situation, change the development concept, to adjust the direction of development, and lead the business really took to the road of sustainable development. 

Meeting at the same time a few months after nitrogen fertilizer market trends in the discussion, the meeting held that China's entry into the the urea export off-season window period, the international price of urea dropped significantly, urea export volume is expected this year with last year, and maintained at 350 million tons, exports The situation below expectations affect market confidence. Participants about the market outlook, price, coal prices this year, although down, but the the anthracite reduction in nitrogen fertilizer use is limited, plus the tariff increase, largely offset by a decline in the price of coal, urea prices continue to decline in high-cost support space not large. Meanwhile, with the domestic autumn planting began, the favorable factors supporting agricultural demand, prices will rebound. 

The meeting was also held over the same period two forums for new product development forum and urea market forum. Nitrogen fertilizer product satisfaction measurement activities also officially launched this meeting. In addition, the fertilizer value-added industrial technology innovation alliance established a preparatory meeting held in the same period.