After the Spring Festival, the overall chemical fertilizer market has not changed much, and the compound fertilizer purchase and sales are still tepid after the restart. At present, the quotations of most enterprises are temporarily stable. Although some adjustments have been made, they have not yet been officially implemented. As of the end of this week, the quotations of 45% sulfur-based universal compound fertilizer plants in Hefei have been concentrated at about 3250-3330 yuan/ton, which is basically the same as before the festival. The market was stable, but the demand did not improve. Most dealers said that the initial sales were mainly based on the existing inventory, and there was no plan to replenish a large amount of goods, mainly because they could not see the future market of compound fertilizer.
Nowadays, the compound fertilizer market is in a passive situation. The reason why the mainstream quotation is generally stable after the holiday is that whether it rises or falls, it seems "reasonable". Enterprises are in a dilemma. If the price level in the early stage is continued, it is difficult to mobilize the enthusiasm of the downstream replenishment. Therefore, some enterprises have planned to make adjustments in early February, so whether the new price of compound fertilizer rises or falls?
"Reason" for price increase:

After the festival, the market of raw materials is different from the expectation, and some prices have not fallen, but have risen. Recently, the domestic urea price has been slightly firmer, the market of monoammonium and potassium chloride has been generally stable, and the cost of compound fertilizer raw materials has risen slightly, especially the market of high nitrogen fertilizer has been supported. The price of nitrogen and potassium topdressing in the season has indeed increased, and even the price of corn base fertilizer in summer also wants to take advantage of it. In spring, the market demand is large, and after the purchase and sale of large areas in the end market begins, the dealer's early inventory consumption will gradually accelerate, and the downstream replenishment demand will also be further released, which is bound to bring benefits to the compound fertilizer market. As a substitute for compound fertilizer, the price of diammonium chloride this spring is relatively high, and the acceptance of grass-roots units is limited, or compound fertilizer with higher cost performance will be selected. Therefore, the consumption of compound fertilizer in some areas may be increased appropriately.
The "helplessness" of price reduction:

The trading and investment atmosphere in the compound fertilizer market has been relatively stale. In view of the fact that the market of raw materials is not weak, it is impossible for the compound fertilizer enterprises to reduce the current price. However, in order to boost the downstream stock mood, some enterprises have plans to introduce corresponding preferential policies, such as freight, storage subsidies, etc., which will drop steadily. The price of compound fertilizer is always upside down, and the terminal circulation price is even lower than the arrival or ex-factory quotation. It is difficult for dealers to make up their positions at a high price before the low price supply in the early stage is fully digested, and the future market is not clear. The winter storage market has continued to this day, and the downstream stock level varies from place to place, many of which may reach 60-70% or more. This is mainly due to the low price of compound fertilizer at the beginning of the winter storage, and the dealers' enthusiasm for payment is still good. Even if there is no replenishment in the second half of the period, the existing inventory can still meet the initial sales. If the grass-roots market still does not recover after the Lantern Festival, the compound fertilizer market is likely to be forced to bear pressure.

To sum up, the Lunar New Year is earlier this year, leaving more time for the operation of the fertilizer market in spring than in previous years. The overall cautious mood is also strong, and it is expected that the replenishment demand will emerge steadily. As for the summer fertilizer market in Central China, there are still many questions. The first reason is that the raw material market is unstable, especially urea, which has a great impact on the trend of high nitrogen fertilizer market; The second reason is that it is about three months away from the market peak season, during which there are many variables. Therefore, fluctuations may not be so important for the current compound fertilizer market.