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Urea price trends across China Author/Source: China Fertilizer Network Date: 2016-10-27 Clicks: 7 The production cost of urea remains high, and the operating rates remain low. Some manufacturers have a good backlog of orders, and recently there has been a shortage of transportation capacity for urea in many regions, resulting in lower volumes of urea being shipped to the market. As a result, manufacturers are not under much sales pressure at present. Some urea producers in Shandong, Hebei, Jiangsu, Fujian and other areas have raised their prices again. Some manufacturers in the Shandong region are still processing previous orders; the standard factory prices have increased by 20 yuan per ton, reaching around 1280 yuan. The price at delivery in Linyi is... (Certain details can be found in the member area; same applies here) ； The order volumes at the two major factories in Hebei province are good. The standard export prices have risen by another 10-20 yuan, reaching 1280-1300 yuan. Due to shortages in rail transport, coal delivered by some manufacturers has arrived late, forcing those factories to suspend production for maintenance; they plan to resume operations in a week ； The mainstream ex-factory prices in Henan region have risen to around 1,300 yuan. Most manufacturers are seeing good orders at the moment, and some local manufacturers have raised their prices by about 40 yuan; the actual ex-factory price range is typically 1,240–1,250 yuan ； Driven by rising quotes in neighboring provinces, the mainstream ex-factory prices in Jiangsu region have increased by 20 yuan at the lower end, reaching 1340–1360 yuan ； The operating rate of urea production in Fujian region... Manufacturers that have stopped production still have no plans to resume operations, and the main market prices have risen by 20 yuan to around 1,410 yuan. Regarding large particles, orders from manufacturers in some areas are performing well, which has led to an increase in the standard ex-factory prices. In Shandong, the standard ex-factory price rose by 10 yuan to around 1330 yuan, while in Inner Mongolia the lower end of the standard ex-factory prices increased by 50 yuan to around 1200 yuan. On the export side, …… Overall, there is significant pressure on urea costs; the overall production rate remains low. Additionally, there is a shortage of transportation capacity for urea at present, making it difficult to ship goods at low prices, which results in a limited supply of urea available on the market. It is expected that urea prices will continue to rise in some areas. Meanwhile, demand from domestic industries and agriculture remains weak, and downstream distributors are less inclined to stock up. As a result, fewer areas are likely to see price increases going forward. Urea prices should remain stable. In the medium to long term, if transportation conditions improve slightly, supplies of urea at low prices could impact the market, leading to a moderate decline in prices. It will be necessary to continue monitoring developments in transportation and export orders. Regional market prices: Unit: yuan/ton (bolded in the table refers to large-grain urea)