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The 2021 Nitrogen Fertilizer Industry Marketing Conference was held Author/Source: Sinochem New Network Date: 2021-11-01 Clicks: 24 Six requirements were put forward for ensuring the supply of nitrogen fertilizers in the next phase. On October 27, the 2021 Nitrogen Fertilizer Industry Marketing Conference, organized by the China Nitrogen Fertilizer Industry Association, was held in Chengdu, Sichuan. The meeting analyzed the production and sales situation of the nitrogen fertilizer industry in the first three quarters of this year, as well as the main factors affecting nitrogen fertilizer production and the market, and put forward 6 requirements for ensuring an adequate supply of nitrogen fertilizers in the upcoming period. Gu Zongqin, president of the Nitrogen Fertilizer Association, said in his speech that in the first three quarters of 2021, production in the nitrogen fertilizer industry remained roughly on par with the previous year, while apparent consumption saw a slight decline. Affected by factors such as rising international commodity prices and increased costs, international supply has decreased, leading to a significant increase in domestic nitrogen fertilizer exports; exports of nitrogen fertilizers and urea increased by 29.7% and 37.3% respectively on a year-on-year basis. However, the sharp rise in domestic raw material prices has driven up the cost of nitrogen fertilizers; recently, costs have far exceeded selling prices, posing challenges to ensuring an adequate supply of these fertilizers. Regarding the main factors affecting nitrogen fertilizer production and the market, Gu Zongqin believes that firstly, rising global energy prices and the onset of a world \"energy crisis\" are driving up the costs of nitrogen fertilizers. Meanwhile, rising international grain prices and increased support for agriculture and fertilizers in various regions following the COVID-19 pandemic have contributed to an increase in demand for fertilizers. Secondly, coal consumption in our country has increased beyond expectations, leading to a tight supply and demand for coal and rapid price rises that have reached historical highs. Natural gas and electricity prices have also increased, resulting in losses for most nitrogen fertilizer manufacturers. Thirdly, the dual controls on energy consumption, production restrictions during autumn and winter, and the Winter Olympics all affect the full utilization of existing production capacity. Fourth, the demand for nitrogen fertilizers in the domestic market is favorable; the autumn sowing period has been postponed in China, resulting in a slight increase in agricultural demand ； Industrial demand is also set to increase, free from factors such as power cuts. “Overall, provided external conditions such as raw materials and electricity are secured, the supply of nitrogen fertilizers this winter and next spring is expected to meet domestic demand. We must, in accordance with the guidelines set forth in the notice issued by 13 ministries and commissions including the National Development and Reform Commission, earnestly ensure the supply of nitrogen fertilizers and stabilize their prices. ”Gu Zongqin emphasized. Gu Zongqin also put forward 6 requirements for the nitrogen fertilizer supply guarantee work in the next phase: actively seek support from ** and local authorities ； Increase the capacity utilization rate of nitrogen fertilizer production facilities, and strive to boost nitrogen fertilizer output ； Arrange exports reasonably, and prioritize supplying goods to the domestic market during the peak season for fertilizer use ； Increase efforts to promote efficient and new types of fertilizers; step up the development of a traceability system for chemical fertilizers and anti-counterfeiting measures ； Use the futures market for hedging. The meeting also saw extensive exchanges on topics such as policies related to the nitrogen fertilizer industry, upstream and downstream markets, and futures. More than 180 representatives from nitrogen fertilizer production, trading, and distribution entities such as Sichuan Lutianhua Co., Ltd., Zhengzhou Commodity Exchange, and Chengtu Yuntu Holding Co., Ltd. attended the meeting.