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    Home > Agriculture News > Fertilizer News > Spring plowing pushes up the demand for fertilizer in many places, the price of urea rises

    Spring plowing pushes up the demand for fertilizer in many places, the price of urea rises

    • Last Update: 2022-03-25
    • Source: Internet
    • Author: User
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    Affected by spring ploughing demand, the ex-factory price of urea in Shandong and Hebei generally rose from 30 to 60 yuan per ton last week, with the highest increase of nearly 5%.
    Relevant companies said that the launch of the domestic agricultural demand market and the rebound in international market prices are expected to continue to rise before the end of February.
    In addition, my country’s urea exports reached 1,374 last year.
    80,000 tons, accounting for nearly 20% of the total domestic production capacity, will play a supporting role in improving the industry's supply and demand pattern.
    The latest developments show that the season for agricultural fertilizers is coming, and the price of urea in Shandong continues to increase.
    The ex-factory quotations are 1280 yuan to 1360 yuan/ton for small particles and 1320 yuan/ton for large particles.
    Agricultural products are normal, and industrial goods are purchased on demand.
    , A small amount of export is being shipped.
    The urea market in Jiangsu is fair.
    The mainstream ex-factory price is 1340 yuan to 1410 yuan/ton.
    The transaction is negotiable, and the demand in northern Jiangsu is improving.
    The urea market in East China is steadily improving.
    Boosted by spring farming and fertilizer, the post-holiday urea market has a positive attitude and prices have risen slightly.
    The manufacturer's shipment is acceptable, and most companies have no obvious inventory.
    With the advent of the spring fertilizer period, rigid demand has become the key to supporting the stabilization of urea prices.
    It is understood that due to the continuous decline in the price of urea during the winter storage period last year, dealers have a strong wait and see mood, resulting in insufficient market inventory.
    Although the market is relatively stagnant, due to the upcoming spring plowing and fertilizer use period, many distributors have begun to stock up gradually, and market confidence has recovered.
    In addition, due to the low price of urea this year, the amount of urea in the terminal agricultural market may increase slightly, providing support for the rise of urea prices.
    In the international market, urea prices also rebounded.
    Among them, the U.
    S.
    market is more active.
    This year, the growth of winter wheat in the U.
    S.
    has been abnormally advanced, which has accelerated the demand for urea from end users and promoted the rapid consumption of inventory.
    In addition, according to the latest South Korean small particle urea procurement tender, if the source of the trader comes from my country, then the FOB price of about US$215 in my country indicates that my country’s small particle urea FOB price still has room to rebound.
    At present, the FOB price of urea in my country is basically stable at US$197 to US$202, and the price of large urea is US$200 to US$210.
    At present, the total production capacity of urea in the country is between 70 million to 80 million tons, and the demand is about 60 million tons.
    Under the condition of full load, the surplus degree is nearly 20%.
    This year's supply-side reform is the focus of the central economic work, and high-energy, high-cost urea production capacity will gradually withdraw from the market, especially for enterprises with an annual production capacity of less than 300,000 tons.
    With the stabilization of export volume and the resolution of domestic excess capacity, the profitability of the urea market is also expected to increase to a certain extent.
    As for the company, Hualu Heng has become the leading domestic coal-based urea with an annual production capacity of nearly 1.
    8 million tons.
    Due to the self-provided power plant, the product cost advantage is obvious.
    In addition, the major shareholder of the company is Shandong Hualu Holding Group, and the organization expects that the company will benefit from the reform of Shandong state-owned assets.
    At the same time, the first phase of the company's 600,000-ton nitric acid project has been successfully commissioned recently.
    The actual controller of Luxi Chemical is the State-owned Assets Supervision and Administration Commission of Liaocheng City, Shandong Province, which has a production capacity of 1.
    85 million tons of urea.
    The ex-factory price was raised by RMB 20 per ton last weekend.
    The company is actively deploying e-commerce business, and its subsidiary Luxi Mall is expanding smoothly.
    In addition, the 65,000-ton polycarbonate project is in the stage of optimization and elimination, and new profit growth points are expected to be formed after the project reaches production capacity.
    At present, my country's polycarbonate mainly relies on imports, and its downstream applications are in the fields of electronics, automobiles and medical treatment, and the demand is growing rapidly.
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