Market situation of diammonium phosphate
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What is the current situation in the fertilizer market? Especially diammonium phosphate fertilizer. The diammonium phosphate project at my company has been halted, and I would like to know the following details; our company is located in Inner Mongolia.
It is a downturn period for diammonium fertilizers. The main reason is the decrease in export volumes, along with an oversupply in the domestic market. Many manufacturers are now operating at reduced capacity, producing only what can be sold
Although increased exports put pressure on domestic production and sales of diammonium phosphate, an overview of the overall fertilizer market suggests that the situation for diammonium phosphate is still favorable.
At present, there is an oversupply of diammonium phosphate in China, resulting in a sluggish market. For enterprises to survive and thrive, they need to achieve low costs and high quality. The Inner Mongolia region has resource advantages; the cost of producing acid is low, and there is phosphorus ore available. The diammonium phosphate produced there finds a large market in the north. The geographical location of Inner Mongolia offers significant advantages in terms of logistics. Our phosphate fertilizer production bases are located in Yunnan, Guizhou, and Sichuan, and since these bases are far from the north, it becomes necessary to transport fertilizers from the south to the north. I suggest conducting some calculations – it should be possible to compete with the large enterprises in Yunnan, Guizhou, and Sichuan. Moreover, now is the best time for investment in such projects.