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Urea recent market rally, such as rainbow. Reflection of the terrible year of urea reversed much associated with Indian urea tender. I often refer to a recent article in India, it was considered a treat major exporter of Chinese urea or one of the most important client, the author unfriendly attitude; India to China also took the opportunity to express dissatisfaction with the practice of price increases, and regard it as orchestrated behavior. However, these are misconceptions. Urea India relations, I believe that neither the enemy nor a friend, but the game of relationships.
April Chinese urea export volume reached 850,000 tons, but the amount of exports to India is zero; historical data analysis, the amount of Chinese urea exports to India accounted for only one-third of China's total export volume, that is, India urea market is very important for China, but by no means all. The author's interest in India is because the cows to pull the bid, as the world's first importer of urea per their tender prices and quantities directly affect the global urea price movements, not India's bid on April 10, will not be able to Global preliminary $ 240 / ton lower prices falsification.
2012 and 2013 are not quantitative bidding strategy adopted by India, a direct result of the domestic urea prices plummeted, killing Chinese urea, many export enterprises suffered heavy losses. 2014 and 2015. India has directly contributed to the Chinese bid price rebound, just turned upside down it, to this day, be tied. Accused of moral meaningless, plainly, who do not owe.
In the case of the domestic media trumpeted Chinese urea and auto overcapacity, does not export nothing to survive, and push down domestic prices with international prices, the Indian tender April 10, although in recent years a rare move out of low-cost, but they no large purchases, the intention behind it is that the Chinese zero bid, will inevitably result in urea prices fell sharply China, India, expectations may be no minimum, only lower. Unfortunately, they miscalculated the situation in China urea, urea prices in China, supported by domestic demand, not fall up, India ultimately weighed on the market for over-paid the price. Intense game is evident!
I judge this year's domestic supply and demand reversal has occurred, so after India April 30 announced the tender, published "India's bid to activate the urea market," the article. Very pleased to see the recent domestic price of urea in the domestic demand-driven rally, once again proved that China can throw the short term export judge this cane, to protect domestic manufacturers and distributors supply current is a shared responsibility.
India recently or will be bidding again, a lot of people are concerned about the market will have any effect, the author's point of view of a consistent: no matter what India bidding strategy, will push up global urea prices. I want to stay more urea in the country, rather than exports.
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