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Urea price trends across China on August 14 Author/Source: Yuege Agri-Materials Network Date: 2020-08-14 Clicks: 5 Prices increased by 10–30 yuan/ton in some areas of Shandong, by 20 yuan/ton in certain regions of Henan, by 20–50 yuan/ton in some parts of Hebei, by 30 yuan/ton in Heilongjiang, and by 20 yuan/ton in Guangdong. At present, there is insufficient demand in the domestic market; there are delays in shipments from ports, and overall new order volumes in the market are low. In some inland regions, sales have seen a slight improvement. However, once the pricing for printed orders is announced, it tends to be in line with domestic prices. Additionally, some companies have orders from ports, and certain provinces near ports are inclined to raise prices cautiously. It is expected that for now, a wait-and-see attitude will prevail, with only slight fluctuations in some areas. The domestic urea market continued to show a trend of stability with slight increases. The results of the RCF tender in India were announced; 9 companies participated in this tender, with a total bidding volume of 1.285 million tons. The lowest price on the East Coast was 290.5 CFR, which is 31 dollars higher than the price from the previous tender. The export prices were higher than what was expected domestically, providing confidence for manufacturers. Currently, the trading atmosphere in the domestic market is moderate; demand from essential customers is steady. High prices for industrial sheets and compound fertilizers are generally acceptable, and suppliers adjust their actions according to demand. Driven by the need for labeling, some companies are gradually bringing their goods to the ports, resulting in a relatively ample supply of orders from manufacturers. There is no sales pressure in the short term. At the same time, some production facilities have entered maintenance periods, leading to a reduction in the supply of spot goods. It is expected that the domestic urea market will maintain a stable trend with slight increases in some areas in the near future. The ex-factory price for small and medium-sized particles in Shandong is 1,770–1,820 yuan per ton, while the typical transaction price ranges from 1,730–1,780 yuan per ton. In Linyi, the market price for such particles is 1,750–1,760 yuan per ton, and in Heze it is around 1,730–1,740 yuan per ton. Some companies have increased their prices by 10–20 yuan per ton. Shandong Ruixing Chemical Co., Ltd. has an annual urea production capacity of 1.6 million tons, with a current daily production of around 5,000 tons. The spot price for small-particle urea is 1,750 yuan per ton; the quote remains stable for now, with the actual transaction price determined through negotiation. Shandong Ruixing Chemical Co., Ltd. has an annual urea production capacity of 1.6 million tons, and at present its daily production is around 5,000 tons. The spot price for small-particle urea is 1,750 yuan per ton; the quote remains stable for now, with the actual transaction price determined through negotiation. The urea production equipment at Yangmei Pingyuan Chemical Co., Ltd. is operating normally. Small-particle urea costs 1,820 yuan per ton; the quoted price remains stable, with the actual transaction price determined through negotiation. In Hebei region, the ex-factory price of small particles is around 1820–1850 yuan per ton; the prevailing transaction price is around 1780–1800 yuan per ton. Some companies have raised their prices by 20 yuan per ton. In Henan region, the ex-factory price of medium and small particles is around 1730–1750 yuan per ton, with prices remaining stable for now. In Anhui region, the ex-factory price of small particles is around 1760–1800 yuan per ton, also remaining stable. In Jiangsu region, the prevailing price for medium and small particles is around 1710–1810 yuan per ton, with prices stable as well. In Shanxi region, the export price of small particles is around 1630–1670 yuan per ton, while that of large particles is around 1680–1700 yuan per ton, with prices stable. In Inner Mongolia region, the ex-factory price of medium and small particles is around 1620–1650 yuan per ton; some companies have raised their prices by 20 yuan per ton. In Hubei region, the ex-factory price of small particles is around 1750 yuan per ton, with prices stable. In Shaanxi region, the local sales price of medium and small particles is around 1670–1700 yuan per ton, remaining stable. In Guangxi region, the prevailing wholesale price for medium and small particles is around 1850–1860 yuan per ton, with prices stable. In Sichuan region, the ex-factory price of medium and small particles is around 1640–1690 yuan per ton, with prices stable. In Guangdong region, the prevailing wholesale price of small particles is around 1950–1970 yuan per ton, with prices rising. In Xinjiang region, the ex-factory transaction price is around 1250–1370 yuan per ton, with prices stable. In Jilin region, the transaction price of small particle urea is around 1550 yuan per ton, remaining stable. In Heilongjiang region, the transaction price of small particle urea is around 1620 yuan per ton, with a rise of 30 yuan per ton. In Liaoning region, the transportation cost of small particle urea by road is around 1610–1670 yuan per ton; the actual transaction price can be negotiated, with prices remaining stable. The results of the RCF bidding in India have been announced: the winning bid price on the east coast is 290.5 US dollars per ton CFR, which is in line with market expectations. Converting this to the price at domestic factories, it remains roughly the same as current prices. However, due to limitations in port handling capacity, the industry is not very optimistic about the availability of supply domestically for this product. Today, the domestic market remains stuck in a stalemate; there is still a significant disparity between export prices and domestic prices. Domestic demand has been somewhat suppressed, with end-users proceeding slowly with their purchases. At present, exporters and factories that have the potential to export are making every effort to find ways to ship goods to multiple ports. Prices are expected to remain stagnant in the short term. (Yuege Agricultural Supplies Network