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Fertilizer: last year Rainbow Night
Source:China fertilizer network   Time:2016-08-18   Read:504second  

   Compound fertilizer market trend dull, companies go goods is not ideal, although the market has gradually started in the fall, but the lower reaches of the few, the company is rare, the operating rate of less than 60%. Last year at this time is the most popular market, everywhere is to cry of one's ware enterprise at full capacity, it is difficult to meet the demand. Why this year the fertilizer market last year and Rainbow Night?

  According to the analysis, there are three main reasons:

  1 raw materials prices are different

  In August last year, the export volume of phosphate fertilizer, the price strong at high; the first half of last year, the price of urea is relatively high, the overall price is much higher than this year; the price of potash is relatively stable. This year the price of nitrogen, phosphorus and potassium fell across and the decline greatly, urea prices less than 1200 yuan (ton price, the same below), diammonium prices only 2100 yuan, market pessimism spread, the dealer has been reluctant to prepare manure, fear prices continue to fall and save fertilizer deficit.

  2 agricultural price impact

  In September last year, the prices of agricultural products fell sharply in August, dealers were not affected by fertilizer, are actively preparing fertilizer. But this year the prices of agricultural products has been running low, corn, wheat, watermelon, apples are sold not starting, farmers enthusiasm decreased, abandoning the phenomenon of increased, the amount of fertilizer reduced. This year, dealers have to change mode of operation, not ahead of the inventory, the farmer needs to getting goods manufacturers, cash cash, reduce risk.

  3 last year, the value-added tax incentives

  Beginning in September 1st last year, the recovery of the fertilizer value-added tax, the news confirmed in August. Value added tax will increase the cost of fertilizer, dealers fear after September 1 price, have advance to take goods, compound fertilizer procurement orders like snowflakes fly to manufacturers, August compound fertilizer enterprises are tight delivery, even individual enterprises appear rob goods phenomenon. This year there is no policy stimulus, the market is like a pool of stagnant water.

  Considering the cost factor, the price of compound fertilizer is still down space, and the dealers are still waiting for the price. Market is expected to start at the end of August, farmers use fertilizer to enter the peak period, dealers will have to purchase.

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