Urea to capacity has become a hot topic, 2014 urea industry nearly suffered a to capacity, namely 2014 during the mid to late April urea prices in the doldrums since 2008, the thought will be less a part of the production capacity, but "lucky" is 1350 yuan / ton of low-end ex factory price while making a part of Shandong, Henan small urea enterprises because of the price significantly below the cost of capital and liquidity problems and discontinued for six months to one year, followed by a large group into the capital comeback, to create a new capacity, lower cost and higher yield. At the end of 2015, Shandong Liang he experienced a 1300 yuan / ton lower a priced, as of mid January 2016 Shandong, two rivers low-end factory only $1220-1230 / ton, so the urea industry in part of the backward production capacity really will soon withdraw from the market? The following China fertilizer car to lead you on the net about the problem.
Urea costs almost since 2008 than any period of time cost are low, even the high cost of enterprises in urea enterprises should not exit the market quickly, to Shandong, the two rivers as an example, according to incomplete statistics, the current local high-end urea manufacturers cost about 1200 yuan / ton left and right, new technology and new production capacity the low cost is only 1100 yuan / ton, taking into account the current low turnover factory price of 1220 yuan / ton, the price of urea or still down space; secondly, the international commodity price weakness, at the beginning of 2016 1 as crude oil prices have been lower than $30, is expected to be the next person will cost $20 so, the coal industry is also difficult to escape the price or continue to fall, so in 2016 the rest of the cost of urea or urea in 2016 again; again, the market extremely sluggish, namely price serious loss , perhaps there will be similar to those of 2014, that part of the enterprise reduce operating rate, to be on the market slightly better to stage a comeback.
Demand or when, during the month of October 2015 -12 in China to remove the two urea procurement bidding in India accounted for the number of urea accounted for about 600 thousand tons and 1 million tons of other crops and income and the price of raw materials in general downturn makes the domestic fertilizer market is poor, little support for the urea industry, while urea prices down also have a small amount of purchase, the dealer, after losing money, the operation is more cautious, as of mid January 2016, 50% of middlemen, and most retailers have a rough estimate of the number of positions of the urea shortage last year, preliminary view of the market in spring should be expected to urea market, as for the excess capacity, if the downstream demand blindly take urea the surplus of 600-1000 million tons, 20 million tons of price even as an excuse, as long as we reduce urea enterprises timely Operating rate, can be appropriate for a stable and raised the price, temporarily through the spring of urea industry difficulties, there may even keep the summer market price of urea, then urea industry to capacity rate will not be so fast!
Must some people may think that the car view is somewhat arbitrary, that is an excellent, indeed, urea industry overcapacity is the problem we have to face, only those high energy consumption, high cost of production capacity of urea fast out of the market, the new, low cost, lost and advantage of new capacity quickly dominate the market, and will be a part of common urea for suitable soil for environmental sulphureous urea, urea and so on, multi range widening urea, sales channels, then, the urea industry in our country to be truly rational health development.