BAIINFO Phosphate Fertilizer Weekly
BAIINFO Phosphate Fertilizer Weekly
CONTENTS
CHINA’S PHOSPHATE MARKET ..................................................................................................... 1
There are two main reasons. The first reason is that international demand for DAP decreased. Statistics showed that
the total output of DAP was 3,988,000 tonnes in the whole year. There were 2,413,000 tonnes delivered to India
which accounted for 60.1% of the total export volume. But the inventory of DAP and binary compound fertilizer were
high. The average import volume was 6,000,000 tonnes in India. It is estimated that DAP export volume would
dropped by 40% this year.
The second one is tariff restriction. Now the price of new orders kept at CFR$550/ MT in India but in off-season the
export tariff is 7% on DAP. The DAP price kept at USD574.72/ MT which amounted to RMB 3,638/ MT. It converted
into RMB3,150/MT, EXW. Now the mainstream EXW price kept at RMB 3,200-3,300/ MT with margin profit in export.
Market Analysis by Regions: In Yunnan DAP market turned gloomy. DAP suppliers in the northeast finished
previous orders basically, while producers in the northwest delivered few cargoes. Part of plants stopped or planned
to stop production. Overall, there were three main reasons: firstly, the local consumption for MAP and DAP went to
the end. The second one is that the supply of phosphate ore kept tight. The last one is that manufacturers couldn’t
receive quite low international prices. The price for 64% DAP was at RMB 3,400-3,450/MT delivered to mills, in the
northeast and RMB 3400-3500/t in the northwest. In Guizhou DAP market was steady.
Now, in the northeast showed as buyers had small replenishment, the mainstream price of 64% DAP was RMB
3400-3500/t in the northeast and RMB 3350-3450/t in North China. It is said that local enterprises kept balance
between supply and sales. As previous orders were finished, domestic market had few new orders and export
orders were still in negotiation.
In Shandong DAP producers stopped for equipment maintenance successively with low inventory in early April. Now
domestic market was dull, and no export orders without certain restarting date. It is said that fertilizer sales in spring
ploughing period and sales volume decreased in Inner Mongolia, Northeast and Northwest form a year ago.
In the northwest DAP market had stable prices. DAP output of Ningxia Luxi Chemical was 20,000 tonnes, and run
fully. Payment return in small amount existed in the northwest, while that of other regions decreased sharply. But
DAP price kept stable. The price for 62% DAP was at RMB 3,084/MT, EXW within local province and the price was
lower by RMB 20-30/ MT, by railway outside the province. It is said that The price for 64% DAP in Gansu Wongfu
was at RMB 3,350/ MT,EXW within local province, RMB 3,300/ MT outside the province and The station price3
was RMB 3430/ MT in Xinjiang.
The northwest DAP consumption drew to a close, as DAP sales in Liaoning and Jilin had finished basically with
small replenishment in some areas. Now, mainstream wholesale price for 64% DAP kept at RMB 3,450-3,550/MT. it
is above RMB 3,600/MT for quality brands. According to the distributors, DAP inventory was sufficient as the market
was delayed, and competition among various brands was strong.
In the future, it is estimated that DAP price in off-season would came down slightly. The price of 64% DAP kept
stable, while DAP of low content would dropped slightly.
MAP Summary and Forecast: This week domestic Map market kept gloomy with trading price decreasing
slightly. Now the mainstream EXW price of 55% MAP powder and 55% MAP granular was RMB 2,650-2700/MT,
RMB 2,600-2,620/MT by cash, and RMB 2,650-2,680/MT by acceptance.
It is said that the EXW price in individual enterprises of Sichuan kept at RMB 2,560-2,580/t by cash, RMB
2,800-2,850/t for 57% and 58% MAP powder, RMB 2950-3000/t for 60% MAP. The downstream demand was
lackluster and international market kept gloomy, too. Overall, without bullish factors, most enterprises sustained
delivering cargoes in small orders. MAP trading price decreased actually. With shipment pressure, individual
enterprises continued the maintenance or planned to make the maintenance. Supported by cost, MAP price
wouldn’t decrease sharply but lacked of rising momentum.
MAP Market by Regions: In Sichuan MAP market was weak. Most enterprises stopped production for
overhaul. People kept wait-and-see attitude toward market. Mainstream quotation for 55% MAP was reduced, and
the ex-work price was at RMB 2,650-2,750/MT with trading price at RMB 2,650-2,680/ MT. Under cost pressure,
parts of enterprises had different prices for different contracts.
In Hubei MAP market was lackluster with high stockpiles. Previous orders ware finished basically. Downstream
compound fertilizer focused on high-nitrogen fertilizer. MAP demand kept flat. The price kept at RMB 2,700/t with
trading price at 2,620-2,650/t for 55% MAP.
In Yunnan, enterprises had insufficient confidence toward the market in the future, and parts of them planned to
export, so they didn’t signed orders due to low international price. Now, mainstream trading price of 55% MAP
powder kept its quotation at RMB 2,600-2,650/MT and 58% MAP powder kept at RMB 2799/MT.
In Guizhou, the mainstream EXW price for 55% powder was RMB 2,650-2,700/t, RMB 2,950-3,000/t for 60% MAP
powder with low trading. It is said that producers had different prices for different contracts and supplied for orders of
long-term customers。
In the future, domestic MAP market kept gloomy with lackluster demand. Part of plants stopped production or planed
to stop production with decreasing price. The export tendency wasn't optimistic. But producers had send cargoes to
ports and the price was still in negotiation. Overall, MAP price will dropped slightly. But supported by cost pressure, it
had limited space to drop continually.
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Stop production,
Inner Mongolia Shuangying Chemical produce 58% powder,
- - 0
Co.,Ltd(55% powder) Delivered to factory:
RMB 3,050/MT
Inner Mongolia Shuangying Chemical
- - 0 Stop production
Co.,Ltd(55% granular)
Guangxi Luzhai Fertilizer Co.,Ltd(55%
- - 0 Own Use
powder)
Guangxi Luzhai Fertilizer Co.,Ltd(58%
- - 0 Own Use
powder)
Shanxi Huashang Chemical Group(55%
- - 0 Stop production
powder)
Hanzhong Yuandong Fertilizer Co.,Ltd
2,700 2,700 0 Trading price
(55% granular)
Hanzhong Yuandong Fertilizer Co.,Ltd
- - 0 No quotation
(57% powder)
Hanzhong Yuandong Fertilizer Co.,Ltd
2,750 2,750 0 55% granular, EXW
(57% granular)
Delivered to factory,
Sanhuan Zhonghua Jiaji Fertilizer
3,400 3,400 0 advance payment
CO.,LTD(64% brown)
maintenance
Sanhuan Three Circles-Sinochem
- - 0 No quotation
Fertilizers CO.,LTD(57% brown)
Station price in the
Sanhuan Three Circles-Sinchem
3,450 3,450 0 northeast: RMB
Fertilizers CO.,LTD(64% brown)
3400-3450/MT
Station price in the
Yunnan Furui Co.,Ltd(64% brown) 3,450 3,450 0 northeast: RMB
3400-3450/MT
Station price in the
Jiangchuang Tianhu Chemical CO.,LTD
3,450 3,450 0 northeast: RMB
(64% brown)
3400-3450/MT
Station price in the
Yunnan Honglin Chemical CO.,LTD
3,450 3,450 0 northeast: RMB
(64%Honglin)
3400-3450/MT
Yunnan Honglin Chemical CO.,LTD
- - 0 No quotation
(potassium diammonium)
Station price in the
YunnanYunfeng Chemical Industrial
3,450 3,450 0 northeast: RMB
CO.,LTD(64% yellow)
3400-3450/MT
Station price in the
Yunnan Yunfeng Chemical Industrial
3,450 3,450 0 northeast: RMB
CO.,LTD(64% brown)
3400-3450/MT
SUBSCRIPTION FORM
Product Report/Membership 1-Year 2-Year 3-Year
Bank Details
Bank Name: China Merchants Bank, Beijing Branch
Swift Code: CMBC CNBS 201
Beneficiary: BAI INFOCOLTD (北京百讯汇川科技有限公司)
Account No.: 86 6880 3119 10001
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