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Urea price trends across China on November 15 Author/Source: Yuege Agri-Materials Website Date: 2019-11-15 Clicks: 9 There were no significant changes in the domestic urea market; the trading atmosphere improved slightly, but this had little impact on the overall price trend. The overall demand in China remained weak, and intermediaries were not very enthusiastic about stocking up supplies. Only some entered the market to inquire about prices, while a few acted in response to their actual needs. Currently, there are no significant positive factors supporting the domestic market; downstream buyers are purchasing in moderate quantities while awaiting further developments, with a strong atmosphere of caution. On the equipment side, some urea production plants have started to shut down gradually, but this isn’t happening all at once; therefore, the reduction in supply is not yet significant. Expectations regarding tenders in India are low, so the domestic urea market is likely to remain stable in the short term. Hualu Hengsheng’s medium-sized particles are priced at 1650 (stable), while large-sized particles cost 1750 (stable). Hebei Dongguang’s small-sized particles are priced at 1640 (stable); Henan Zhongying’s products are priced at 1680 (up 10%). Shanxi Fengxi’s products are priced at 1560 (stable), Jiangsu Hengsheng’s products at 1710 (stable), Anhui Haoyuan’s products at 1700–1720 (stable). Inner Mongolia Boda’s products are priced at 1440 (stable), Shaanxi Shanhua’s products at 1540–1600 (stable), and Xinjiang Yankuang’s products at 1350 (stable). In Shandong province, the ex-factory price for small and medium-sized particles is 1,650–1,750 yuan per ton; the typical transaction price ranges from 1,630–1,660 yuan per ton. In Linyi market, the transaction price is around 1,690 yuan per ton, while in Heze market it is around 1,670–1,680 yuan per ton. Prices remain stable for now. In Hebei province, the ex-factory price for small particles is 1,660–1,700 yuan per ton, with the typical transaction price around 1,630–1,640 yuan per ton; prices remain stable as well. In Henan province, the typical ex-factory price for small particles is 1,650–1,700 yuan per ton, though some companies have raised their prices by 10 yuan per ton. In Anhui province, the typical ex-factory price for small particles is around 1,700–1,750 yuan per ton; prices remain stable. In Jiangsu province, the typical price for small and medium-sized particles is around 1,710–1,750 yuan per ton, while the actual transaction price ranges from 1,660–1,730 yuan per ton; prices remain stable. In Shanxi province, the transportation cost for small and medium-sized particles is around 1,540–1,570 yuan per ton, while for larger particles it is 1,580 yuan per ton. Prices remain stable. In Inner Mongolia, the typical transaction price for small and medium-sized particles is around 1,440–1,500 yuan per ton; prices remain stable. In Hubei province, the typical price for small particles is 1,680–1,700 yuan per ton; prices remain stable. In Shaanxi province, the local sales price for small and medium-sized particles is around 1,600 yuan per ton, while the price for shipments to other areas is around 1,540 yuan per ton. Prices remain stable. In Guangxi province, the typical wholesale price for small and medium-sized particles is around 1,790–1,800 yuan per ton; prices remain stable. In Sichuan province, the ex-factory price for small and medium-sized particles is around 1,600–1,780 yuan per ton; prices remain stable. In Guangdong province, the typical wholesale price for small particles is 1,820–1,830 yuan per ton; prices remain stable. In Xinjiang province, the transaction price at the factory level is around 1,380–1,450 yuan per ton; prices remain stable. In Jilin province, the price for small urea particles produced there is around 1,790–1,820 yuan per ton; prices remain stable. In Heilongjiang province, the transaction price for small urea particles produced locally is around 1,720 yuan per ton; prices remain stable. In Liaoning province, the transportation cost for small urea particles is 1,650–1,750 yuan per ton, with the actual transaction price subject to negotiation; prices remain stable. In the areas surrounding Beijing, demand has increased somewhat as environmental protection restrictions have been lifted. Demand in the southern region remains stable, with average sales performance; due to the large volume of goods that arrived earlier, the area is currently in a phase of clearing inventory. In the futures market, the main contract for urea futures hit another low today, reaching 1,630 yuan per ton. It dropped by 71 yuan per ton from its peak of 1,706 yuan per ton after the official announcement of the pricing, to a closing price of 1,635 yuan per ton today – a drop equivalent to around 10 dollars. Therefore, the expectation of a 10 USD/ton reduction in printing costs was accepted by the market. Tonight, the bidding details for Indian and Pakistani markets will be released, and their prices will play a key role in determining market trends in the coming period, so close attention is needed.