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According to Sinochem News, recently, PetroChina Northwest Chemical Sales Company and Sichuan Agricultural Inputs and Fertilizers Co., Ltd. completed a trade transaction involving 10,000 tons of urea, combining futures and spot markets. This is the first time that Northwest Chemical Sales Company has engaged in urea trade that combines futures and spot markets. Since the beginning of this year, the domestic urea market has undergone significant adjustments, with prices falling continuously; the traditional sales approach based on market conditions alone is no longer suitable for dealing with such a complex market environment. Northwest Chemical Sales Company has strengthened its market analysis by forming a specialized team that, by taking into account macro-policy trends and the patterns in futures market spreads, is able to accurately predict that there is still room for a decline in the prices of physical goods in the short term, while futures prices tend to be more resistant to drops. On this basis, the company adopted a model of \"pre-selling physical goods, purchasing spot goods immediately, and at the same time buying futures to hedge risks,\" in order to increase sales of 10,000 tons of urea, thus creating a trading model that combines spot and futures markets. Yao Wei, manager of the Ningxia Fertilizer Division at the Northwest Chemical Sales Company, said, “At present, every action we take is based on thorough market analysis. By utilizing physical goods and futures contracts to lock in price differences, we can facilitate pre-sales and help sustain a steady increase in trade volume. Meanwhile, by using futures contracts to hedge against price fluctuations, we can offer our customers more sales options, thereby achieving both high-quality growth in sales and risk control.” ”