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Urea price trends across China on March 3 / Author/Source: Business Society / Date: 2020-03-03 / Clicks: 49. The domestic urea market continues to show a steady upward trend; market activity is satisfactory, with manufacturers continuously receiving new orders. At present, most companies have orders covering a period of 2–3 weeks, and logistics operations are smooth, so manufacturers face no inventory pressure and thus continue to maintain high prices. On the supply side, as logistics improve and urea prices rise steadily, the operating capacity of urea production facilities in various regions has increased; currently, the overall operating rate of urea manufacturers is around 69%. On the demand side, downstream demand remains strong. Current agricultural demand is satisfactory, the operating rate of compound fertilizers in downstream industries continues to rise, and rubber sheet factories are also starting up one after another, leading to increased purchases of raw materials by these industries. It is expected that the domestic urea market will continue to see upward price adjustments in the short term. The domestic urea market remains cautious; prices for small-grained urea are seeing slight upward fluctuations in certain areas, while prices for large-grained urea continue to rise. In the Northeast, prices rose by 40–80 yuan per ton; in some areas of Inner Mongolia, prices increased by 50 yuan per ton. In certain regions of Xinjiang, prices rose by 80 yuan per ton. In North China, Central China, and East China, prices for small particles fluctuated by 10–20 yuan per ton, while in some areas of Southwest China, prices dropped by 30–80 yuan per ton. At present, the preparation of agricultural fertilizers has begun in the Northeast market. Enterprises involved in the production of compound fertilizers and sheet metal products across the country have resumed operations on a large scale, leading to an increase in industrial demand. Market demand also remains strong. However, actual agricultural demand has not yet increased significantly. Coupled with the continuous rise in urea prices earlier on, higher prices have led to more hesitation among buyers, resulting in significantly fewer new orders being placed in the market compared to before. It is expected that the domestic urea market will remain in a state of caution in the near future, with only occasional upward fluctuations. To understand the specific market trends, it is necessary to pay attention to the resumption of operations in downstream industries as well as the progress of fertilizer preparation for agricultural use. Hualu Hengsheng: medium-sized particles at 1750 (stable), large-sized particles at 1970 (an increase of 50); Hebei Dongguang: small-sized particles at 1750 (stable), large-sized particles at 1990 (an increase of 70); Henan Xinlianxin: 1740 (stable); Shanxi Fengxi: 1700 (stable); Jiangsu Linggu: 1820 (stable); Anhui Haoyuan: 1800 (an increase of 30); Inner Mongolia Yiding: 1640 (stable); Shaanxi Shanhua: 1780 for local sales, 1720 for external sales (stable); Xinjiang Yankuang: 1410 (stable). In the Shandong region, the ex-factory price for small and medium-sized particles is 1,760–1,790 yuan per ton, while the typical transaction price is around 1,730–1,740 yuan per ton. In the Linyi area, the market price for such particles is 1,780–1,790 yuan per ton, whereas in the Heze area it is around 1,770–1,780 yuan per ton. Since the weekend, some companies have raised their prices by 10 yuan per ton. In the Hebei region, the ex-factory price for small particles is around 1,750–1,760 yuan per ton, with the typical transaction price at around 1,730–1,740 yuan per ton. The ex-factory price for large particles is around 1,990 yuan per ton. The price of urea in the form of small and medium-sized particles remains stable; however, some companies have increased the price of large-grained urea by 20 yuan per ton. In the Henan region, the typical ex-factory price for small and medium-sized particles is 1,740–1,760 yuan per ton, with the price of urea in this form remaining stable. In the Anhui region, the typical ex-factory price for small particles is around 1,780–1,810 yuan per ton; since the weekend, some companies have raised their prices by 20–40 yuan per ton. In the Jiangsu region, the typical price for small and medium-sized particles is around 1,790–1,810 yuan per ton, with some companies raising their prices by 10 yuan per ton. In the Shanxi region, the price for small particles for external delivery is around 1,700–1,720 yuan per ton, with prices remaining stable. In the Inner Mongolia region, the typical price for small and medium-sized particles for external delivery is around 1,610–1,640 yuan per ton, though some companies have raised their prices by 10 yuan per ton. In the Shaanxi region, the typical local sales price for small and medium-sized particles is 1,770 yuan per ton, with prices remaining stable. In the Guangxi region, the typical wholesale price for small and medium-sized particles is around 1,930–1,950 yuan per ton, with a price increase of 20 yuan per ton. In the Sichuan region, the ex-factory price for small and medium-sized particles is around 1,880–1,940 yuan per ton, with prices remaining stable. In the Guangdong region, the typical wholesale price for small particles is around 1,930–1,950 yuan per ton, with prices remaining stable. In the Xinjiang region, the typical transaction price is around 1,350–1,410 yuan per ton, with prices remaining stable. In the Jilin region, the price of urea in the form of small particles is around 1,980 yuan per ton. Prices remain stable for now. The transaction price of small-grained urea in Heilongjiang is around 1,930–1,970 yuan per ton; some companies have raised their prices by 80 yuan per ton. In Liaoning, the freight-cost adjusted price of small-grained urea is 1,780–1,850 yuan per ton, with the actual transaction price subject to negotiation. Since the weekend, some companies have increased their prices by 60 yuan per ton. Driven by the resumption of operations of BB fertilizer factories in the Northeast and northern regions, the price of large-grained urea continues to rise sharply, and the price difference between it and small-grained urea now stands at 120–150 yuan per ton. The price of small-particle urea remains stable; factories still have large quantities in stock and are keen to maintain high prices. Plastic sheet factories in North China have plans to resume production in the near future and have begun to inquire about prices. Due to the rapid increase in the prices of both nitrogen and phosphorus, demand from compound fertilizer factories has been somewhat suppressed, and agricultural demand is gradually declining and entering a final stage. Fertilizer preparation in the Northeast market has started actively, while the volume of shipments to the Guangdong and Guangxi regions was high in the early stage, resulting in a slower pace of price adjustments. The price of short-term small particles will remain stable and range-bound; if industrial demand increases rapidly, it is not ruled out that market prices could rise again. (Yuege Agricultural Inputs Website