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Urea is rising, but the gas head enterprises will "make a comeback"
Time:2020-01-10   Read:1022second  

It's just before the Spring Festival of the year of the rat, when the market of nitrogen fertilizer and urea of "rat" is still good, the domestic urea market is warming up, and the local price continues to rebound slightly. Although the terminal market is not warm and the agricultural market hasn't started yet, fortunately, the industry is still supported, and all enterprises are also working hard to advance orders for the Spring Festival and after it. The price of urea in some markets is rising intensely, but the price of gas urea enterprises is accurate It seems that the news of ready to resume production has brought a certain impact to the market. It has been learned that the gas urea enterprises in Southwest China are preparing to resume production. Of course, some gas urea enterprises in Inner Mongolia are also negotiating the price of natural gas. If these gas urea enterprises really "make a comeback", the urea market may encounter "Waterloo" again.

 The wholesale price of local urea in Jiangsu is about 1750-1760 yuan / ton, and the mainstream wholesale price of urea in Gansu is about 1600 yuan / ton. The detailed price of other regions is welcome to join the member zone of China fertilizer network. At the moment when the price of urea is rising vigorously, apart from the influence of gas companies, what are the most important factors to watch out for.

First, the operating rate of urea enterprises is increasing. According to the statistics of China fertilizer network, up to now, the overall industry operation rate of urea enterprises is about 42.77%, and the daily output is about 120000 tons. The gas head urea enterprises in Southwest China say that they will resume production one after another from October 10 of this month. It is understood that the daily output of urea enterprises in Southwest China is 24300 tons, and the actual daily output is only 635000 tons. The daily output of gas head urea enterprises in Inner Mongolia is 372800 tons The actual daily production is only 16700 tons, so the increase of urea in the later period can be imagined. In addition, the closely related liquid ammonia also controls the output regulation of urea to a certain extent. At present, the market of liquid ammonia in various regions is weak and the market continues to be weak. Due to the impact of early snowfall in Shanxi, Shaanxi and other places, the expansion of liquid ammonia storage occurs due to the poor delivery of liquid ammonia. In East China and North China, there is also the problem of environmental protection warning. The delivery of liquid ammonia is also under pressure. Some enterprises have shifted their production focus to urea to alleviate the problem The pressure of delivery is undoubtedly "salt spreading" on the start-up of urea.

Thirdly, the demand before the Spring Festival will remain in the state of use and purchase. After the Spring Festival, the agricultural demand will be slow in winter, and the large agricultural material merchants will take less in order to avoid the risk depending on the price for many times. The terminal grass-roots level will mainly wait and see the market, and then make reserves after the Spring Festival. The industrial demand is fair, and the raw material fertilizer preparation of the compound fertilizer enterprises and traders is in progress, so the volume of urea enterprises increased, supporting the price increase. However, during the Spring Festival, the Ministry Small and medium-sized compound fertilizer enterprises are likely to stop production and limit production, so the purchase volume is limited, and the purchase progress may be stopped at any time; the same is true for plywood factories, under the influence of environmental protection and other factors, the purchase of urea "stops at the point"; in addition, considering the problems that can be encountered in the later transportation, the inventory of enterprises may increase.

Finally, the supply of small nitrogen fertilizer ammonium chloride is sufficient. At present, the domestic ammonium chloride market is mainly in stable operation, but the price is relatively low. For some compound fertilizer enterprises, it can also be selected preferentially, which can replace part of urea consumption.
Suck, from the perspective of demand, the demand for two aspects of industry and agriculture is not strong enough, and there is no long-term good support. From the supply side, only the first production of urea enterprises will be enough to increase the pressure of the factories. However, the recent urgent collection of urea enterprises is favorable for their market, but the price is strong, but the scope is limited, and it should be a phased market.

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