See in mid May, domestic urea prices has continued three weeks or so weak, prices low consolidation and still from time to time markdowns. At present, although there are summer fertilizer, but the market has delayed and slow turnover characteristics. This rhythm of fertilizer of urea market at this stage is very unfavorable, resulting in lack the confidence of dealers, such as no effective way of promotion, whether it is late to with the mining with pin or more helpless the Fed's mode of operation, the reproduction of the spring during factory lucrative and dealer profit situation. Unless you purchase downstream hunters to seize the initiative, will it be possible to get the initiative after the market. At present, the main areas of agricultural market manufacturers to bring more pressure on the stock, manufacturers to enter a new stage of the game. The price of urea to bring to market is not only more slow-moving, will lead us to think about the market outlook.
Market or explosive start. Experienced several cycles shorter rise situation, urea round vulnerable period are elongated, lasted three weeks the price to the urea production area factory valence band to 100 yuan / ton decline at the same time, also temporarily broke the ups and downs of rapidly alternating rhythm. After all, the summer fertilizer market is worth a fight, whether it is the factory or the dealer has a heart to properly operate, the Company re game between the urea price. Just urea market had a short fall over 20% of the "mass base", simply to say that it is often due to the manufacturers to induce centralized procurement of speculation, the rapid rebound in urea fell after the rapid rebound. Compared with previous years, the situation is not difficult to see urea fertilizer bearish factors, this year the situation is still optimistic. Urea factory price is low, the risk is expected to reduce; downstream industrial purchasing volume increased significantly compared to previous years, reducing the pressure of supply and demand; India first round of bidding, leaving the new bargaining power of domestic manufacturers. So, the current urea market is no lack of speculation, buy a point". In urea unsalable the most direct reason is that the terminal market, channels of efficient and fast logistics to redefine the short storage period at the same time, and indeed to urea short storage increased more operational thinking. But ultimately reflected in urea prices left the game to keep the prices down, the collective bargain hunting, again making flash in the pan like rallies.
Positive support can still be expected. As far as the urea market is concerned, the favorable factors can still be considered from the point of view of supply and demand as well as export. I before Kan market has been repeatedly mentioned 3 ~ 4 month domestic urea enterprises arrangement of equipment maintenance, part of the enterprise is due to cost or temporary adjustment of product line production common urea. During this period, the industry is missing some of the excess supply and demand, more and more to the sound of the factory delivery. Although a lot of peers still in weekly statistical opened higher rate to overcapacity in the interpretation of gratitude, but usually serve as downstream manufacturers price game but disagree, in a step by step operation, season supply tightening expectations is evident. Thus, manufacturers between the temporary price game, although some enterprises compromise price, but the overall volume is limited, social inventory failed to get added, more very price self storage manufacturers, to a certain extent, it will intensified contradiction between supply and demand in the latter part of the agricultural market to start, provide more power for a rebound in the price of urea. Exports, India in April of tender eventually sold 62 million tons, China 's supply is only 18 million tons, set in Hong Kong goods difficult integration of cheap, only as a bargaining chip in the Indian tender. According to foreign media sources said, India reserves in the first half of the amount of urea compared with the same period slightly less. With the fertilizer is approaching, the new urea tender has been expected, and is expected to moderate price increases to weigh the export volume of Chinese manufacturers.
To sum up, domestic agricultural summer preparing fertilizer cycle for urea market downturn is further compressed and urea enterprises try to use maintenance, production of product lines to be quite price. Two more weeks of unsalable although some manufacturers make compromise price, but the downstream market inventory is still low. Once the market started, dealers concentrated hunters, urea rebound momentum regain.