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Urea and ammonium are not hopeless either.
Time:2019-03-31   Read:698second  

Recently, urea has risen slightly sharply. This week, urea ex-factory quotations in Shandong and Lianghe areas have risen to more than 2000 yuan (ton price, the same below). Today, the urea import price of Linyi compound fertilizer enterprises in Shandong has risen to 2,120 yuan. The overall market demand is still in existence, there are more industrial inquiries, enterprises are waiting to issue more, and there is no pressure on sales. In addition, the recent invitation to tender in India, the quotation is expected to go a step further. Upstream. Urea in Feicheng City is outstanding and far ahead, but the market of Monoammonium is still unsatisfactory, but in recent days it is not hopeless.

Let's start with the price of ammonium. At present, the actual acceptance of 55% powder ammonium plants in Hubei is around 2050 yuan, and the low-end acceptance of small plants is 1950 yuan, but there are still lower prices; the actual low-end acceptance of 55% powder ammonium plants in Sichuan is about 1900 yuan, and that of 55% powder ammonium plants in Yunnan is about 1850 yuan; 55% powder ammonium plants in Liaoning are about 2180-2200 yuan/ton; 55% powder ammonium plants in Shandong are about 2100-2150 yuan, and the high-end price of large plants is about 2150 yuan. The number of transactions is temporarily low.

_From the current price of ammonium, we can see that the market of ammonium is not very ideal, and ammonium in Feicheng City is at the bottom. However, it is reported that ammonium has slightly improved in recent days. It has been heard that transport vehicles in Hubei are relatively tight in the near future. Some insiders believe that ammonium price has been close to the cost line, and has the memory of stabilization. Some factories also want to raise prices. So what is the reason for bringing the price of ammonium back to life?

Firstly, the inventory pressure of compound fertilizer products has been alleviated to some extent. In recent years, the compound fertilizer enterprises have improved their purchases. On the one hand, they are instigated by hard demand. On the other hand, they are promoting the downstream delivery by reducing prices and increasing concessions. It is reported that Hubei Compound Mast Factory implemented a preferential policy of about 100 yuan in March compared with February, which gradually reduced the stock of compound fertilizer. Goods are good, pressure is low, so the productivity of enterprises has increased, the speed of consuming their own raw materials inventory has also accelerated, and the recent urea price increase has made the industry more confident in compound fertilizer, compound fertilizer enterprises more motivated to purchase raw materials. According to ammonium enterprises and other insiders, in recent days, ammonium has improved slightly. Sichuan large factories claim that Shandong has recently taken 35,000 tons of goods. Henan large factories have signed thousands of tons of procurement contracts. Some small factories in Shaanxi, Shanxi, Gansu and other places also have plans to purchase ammonium.

Secondly, the price of raw materials tends to be rational and the cost is expected to rise. Recently, there are rumors in the industry that Hubei phosphate ore will be reduced by 50 yuan or more. It is reported that the ore will be confirmed to be reduced by 30 yuan. It is normal for the high price rationality in the earlier period. The industry said that the cost and price of ammonium will be slightly flat after the price reduction, and the price of Monoammonium is expected to remain stable. The price of sulphur has been rationally reduced to less than 1000 yuan. Recently, the transportation and production of sulphuric acid in some parts of China have been hindered due to safety and environmental protection, and the price has risen. Recently, liquid ammonia in all parts of the country has been continuously rising. At present, the ex-factory price of liquid ammonia in Hubei has risen from the previous low level of 2400 yuan to about 3000 yuan, which makes the cost of Monoammonium more than 50 yuan higher than that in the previous period. Cost has risen from decline, so the price of ammonium is expected to stop falling or even stabilize.

Finally, the overall start-up of Monoammonium is low for a long time. Recently, we learned that the start-up rate of large factories in Hubei has decreased, and some enterprises in Henan will even stop production for two months. The low start-up level has eased the inventory pressure of ammonium enterprises and gradually depleted their inventory.

In summary, the slight easing of demand for monoammonium proves that monoammonium has the hope of "rebirth", and with the support of raw materials and supply, it is expected that monoammonium may stop falling and stabilize.

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