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After the Mid Autumn Festival holiday, local urea prices continued to rise, but the transaction slowed down. However, the market that should have gradually declined was recently boosted by good news. First, the price of coal rose. Second, the bid price for printed bids was considerable, equivalent to more than 4000 yuan (ton price, the same below) for China's factory. However, the total bid volume was up to about 2.26 million tons. Earlier, it was reported that traders purchased more than 100000 tons of Chinese urea for export, It can be seen that the bid printing competition should be fierce and has little to do with the urea market in China, but it is a good news. After returning to the domestic market, the transaction of urea has slowed down. However, the urea factory has received some orders before the festival, and there is still a volume to be shipped, so the short-term urea market should be fair.
The market of monoammonium is not very good compared with urea, but it is fair compared with the market of diammonium. Recently, the weak trend tends to stabilize. For example, the actual factory price of 55% of powdered ammonium mainstream in Hubei is 2750-2800 yuan, but it is heard that the low-end factory price of some small plants is 2700 yuan. Although the low-end price has declined compared with that before the festival, the overall decline space of monoammonium should be small. How to market in the later period still depends on the supply and demand.
Before and after the beginning of September, several compound fertilizer plants in Northeast China had a good expectation of purchasing more than 10000 tons of monoammonium. However, considering that the demand in Northeast China is still early, there will not be a large number of centralized purchases for the time being, and the monoammonium market is not entirely optimistic. The overall operating rate of monoammonium has been at a low level of less than 40% for a long time, but it can not completely relieve the supply pressure of monoammonium. The enterprise has a large inventory pressure, the social inventory is also large, and the demand in autumn is not ideal. Downstream compound fertilizer enterprises and traders have purchased monoammonium at a higher price in the early stage. Even if there are new purchases, the overall volume is not too large. The recent stage is the delivery stage of compound fertilizer in autumn, and the terminal market is gradually starting, It can be seen that the demand for monoammonium in the autumn market has come to an end. There is still some time for the compound fertilizer enterprise to purchase the raw material monoammonium in winter, but the enterprise still has a certain amount of monoammonium in the early stage, and most large plants will purchase it in batches as required. In recent stages, except for the purchase and warehouse building of several large plants in Northeast China, the overall monoammonium purchase action should not be much.
In addition to supply and demand, it is the upstream raw materials. This week, the price of Puguang Sulfur Wanzhou Port and Dazhou Plant decreased by 30 yuan to 1120 yuan and 990 yuan respectively, which is a proper correction. The price of port sulfur has increased significantly in recent days. Holders in the port are reluctant to sell at a high price. It is difficult to find a low price in the market. At present, the price of granular sulfur in the Yangtze River Port has risen to around 1180 yuan. The official price of phosphate rock is temporarily stable. It is reported that the price of port traders is loose, but the industry believes that it is difficult to reduce the price of ore as a resource based raw material, and the price of Yunnan and Guizhou should remain high. The price of liquid ammonia has risen. At present, the factory acceptance price of mainstream liquid ammonia in Hubei is around 3650 yuan. In a word, through rough calculation, the full cost of 55% powdered ammonium high-end in Hubei is 2750-2800 yuan. Without considering the low price raw materials in the early stage, combined with the current sales price of monoammonium, the profit is not high or does not make money, which to some extent proves that the cost support of monoammonium raw materials is acceptable.
To sum up, although monoammonium is difficult to borrow from the east, the supply exceeds the demand, and the social inventory is large, even if it continues to decline, the range is not large, and the raw material cost support is fair, but the demand should be focused on later, and then other factors should be considered.
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