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Urea price trends across China on November 8 Author/Source: Yuege Agri Supplies Network Date: 2019-11-08 Clicks: 193 Prices in China’s urea market remain generally stable. Recently, as some companies reduced their prices, there was an increase in new orders, which helped to support prices at lower levels. However, overall demand in China remains weak, with downstream buyers showing little enthusiasm and a tendency to wait and see. On the supply side, recent plant maintenance and a decline in operating rates have led to a slight reduction in overall supply. On November 6, the Indian RCF issued a tender for urea imports; the bidding deadline was November 14, with the submission of proposals ending on November 21. The shipping date is December 30. It is expected that the domestic urea market will remain cautious until clear information on Indian export quotas becomes available. The current reference price from Zhongying in Anyang, Henan is 1,700 yuan per ton; the final price will be determined upon negotiation. The ex-factory price for small and medium-sized particles of Shandong Hualu Hengsheng is 1,650 yuan per ton, while the ex-factory price for large particles is around 1,730 yuan per ton. Supply is primarily directed to prior orders, and trading activity is relatively low. In Shandong, the ex-factory price for small and medium-sized particles is 1,650–1,760 yuan per ton; the typical transaction price ranges from 1,640–1,676 yuan per ton. In Linyi, the transaction price is around 1,690–1,700 yuan per ton, while in Heze it remains stable at around 1,660 yuan per ton. In Hebei, the ex-factory price for small particles is 1,660–1,700 yuan per ton, with the typical transaction price also around 1,650 yuan per ton, remaining stable. In Henan, the ex-factory price for small particles is 1,640–1,700 yuan per ton, with no changes observed. In Anhui, the typical ex-factory price for small particles is 1,700–1,750 yuan per ton, remaining stable. In Jiangsu, the typical price for small and medium-sized particles is 1,690–1,730 yuan per ton, with the actual transaction price ranging from 1,660–1,730 yuan per ton, also stable. In Shanxi, the transportation cost for small and medium-sized particles is around 1,520–1,560 yuan per ton, while that for larger particles is around 1,580 yuan per ton, with no changes observed. In Inner Mongolia, the typical transaction price for small and medium-sized particles is around 1,440–1,510 yuan per ton, remaining stable. In Hubei, the typical price for small particles is 1,700–1,750 yuan per ton, stable. In Shaanxi, the local sales price for small and medium-sized particles is 1,650 yuan per ton, while the price for shipments to other areas is 1,540 yuan per ton, both stable. In Guangxi, the typical wholesale price for small and medium-sized particles is around 1,770–1,800 yuan per ton, stable. In Sichuan, the ex-factory price for small and medium-sized particles is 1,670–1,800 yuan per ton, stable. In Guangdong, the typical wholesale price for small particles is 1,810–1,830 yuan per ton, stable. In Xinjiang, the transaction price is around 1,380–1,450 yuan per ton, stable. In Jilin, the price for small urea particles is around 1,790–1,820 yuan per ton, stable. In Heilongjiang, the transaction price for small urea particles produced by local manufacturers is 1,720 yuan per ton, stable. In Liaoning, the transportation cost for small urea particles is 1,650–1,750 yuan per ton, with prices negotiable, still stable. In Shandong, sales have declined due to environmental regulations restricting production, while the situation in North China remains generally stable. India has issued a new round of tender notices, with an expected large volume of purchases; the market believes that domestic suppliers will continue to be actively involved, which can help alleviate some of the pressure. The shutdown period for upstream gas header manufacturers has not yet been determined, and production rates are expected to be higher than those in the same period last year. In the short term, the market is likely to remain range-bound, awaiting the confirmation of the listed prices and observing the response from downstream demand.