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In a twinkling of an eye, the Lantern Festival has arrived. At present, the overall fertilizer market bearish market, similar to the previous situation, the speed of promotion is still slightly slow. Although there is a certain demand space for nitrogen, phosphorus, potassium and compound fertilizers, with the decline of some fertilizer prices, the downstream cautious mentality remains, the enthusiasm for returning to the market after the festival has not risen as expected, and the voice of confidence in the future market has also increased.
The "big rise and fall" of fertilizer prices may have a negative impact on the market, especially in the absence of any signs of major changes in the market. Unlike today's traditional fertilizer market, water-soluble fertilizer production and marketing situation has gradually improved in recent years, and its price has also been explored slightly, successfully getting rid of the previous label that winter is the peak season of demand, and has become a widely recognized new fertilizer in most regions in each season.
First, demand continues. Spring tillage is imminent, the downstream demand for various fertilizers is larger, water-soluble fertilizer demand increment is obvious in the usual winter stage, contrary to normal, water-soluble fertilizer demand in other seasons is also considerable, the reason is that traditional fertilizer is not as effective as water-soluble fertilizer, mainly because water-soluble fertilizer can be completely soluble in water, crop absorbability is stronger, coupled with the addition of different trace elements, application. The second reason is that the competition pressure of traditional fertilizer market is great, and the profit is limited. On the premise of maximizing profits, enterprises and distributors have opened up new ways to increase investment and publicity in water-soluble fertilizer. Therefore, both in the near future and in the long-term market, the sales of water-soluble fertilizer are improving.
Secondly, the supply is perfect. At the beginning of this year, the news about the second round of environmental protection supervision and "looking back" has been spread. Fertilizer enterprises are inevitably under pressure again. Although the government strictly prohibits "one size fits all" and other acts, it also affects the normal operation of production links. After several rounds of environmental protection inspection, the production of water-soluble fertilizer enterprises has mostly met the required level, some "persistent" manufacturers have been permanently shut down and eliminated; in addition, after the festival, most enterprises gradually start construction, planned production and already produced enterprises are not a few, in the next market demand release, can completely accumulate part of the inventory, therefore, demand holds. With good supply, water-soluble fertilizers will be available in the future.
Finally, the shipment was restored. Before the Spring Festival holidays, logistics and transportation stagnated, which hindered the delivery of water-soluble fertilizers. Most enterprises had to restrict orders, and the market entered a short period of calm. With the formal start of the post-festival market, transportation in some areas has returned to normal. Enterprises can continue to execute pre-orders, and new orders are still acceptable. It has been heard that the frequent rain and snow weather in some parts of southern China has added resistance to the transportation of goods. However, the weather has improved in some areas and the transportation conditions will be improved immediately. The above two together with the recovery of water-soluble fertilizer product shipment, the whole market system has been improved accordingly, and the heat has increased accordingly.
In summary, the traditional fertilizer market has a bad start. While the collective desire for a turnaround in the market, we may pay more attention to the performance of water-soluble fertilizer. The mutual complementation of demand and supply guarantees the stable development of water-soluble fertilizer market.
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