Price Changes of Urea, Ammonium Sulfate, Ammonium Phosphate, Triple Superphosphate, Potash Fertilizers, and Compound Fertilizers from January 12 - January 19.
Urea:
The momentum from last week continues, with urea prices rising in most regions.
Middle East: The FOB price for Saudi Basic Industries Corporation's February urea reached $350 per ton.
Europe: Most importers are still observing, and transactions in Southern Europe are mostly concluded at CFR $380 per ton.
Brazil: The CFR price for granular urea has risen to $350-360 per ton, with trade companies selling 5,000-10,000 tons within this range.
USA: The FOB price for barge urea briefly surged to FOB $330 per ton, higher than the previous week.
Malaysia’s market has improved as Indonesia and China reduce exports, tightening supply in the region east of the Suez Canal. Producers are optimistic about the prospects for urea in February due to increased demand in Australia and Southeast Asia.
Ammonium Sulfate:
Due to the market still being in the off-season, demand in Brazil remains weak. However, in the coming weeks, demand in Europe and other Australian markets may rebound.
Northwest Europe:
Since last week, buyers in Northwest Europe have been very active, concluding many transactions. Market participants are closely monitoring the rise in urea prices and the escalating tension in the Red Sea. The situation in the Panama Canal is also providing some opportunities for European producers and suppliers, but they are currently prioritizing the European market and preparing for the U.S. market.
FOB prices for standard ammonium sulfate are $174-185 per ton, while granular ammonium sulfate FOB prices range from $233 to $310 per ton.
China: FOB prices for standard ammonium sulfate have slightly increased to $133-140 per ton.
Indonesia: Pupuk Indonesia issued a tender to purchase 20,000 tons of bulk caprolactam-grade standard ammonium sulfate, scheduled for shipment to Gresik port at the end of January or early February.
Sri Lanka: A batch of standard caprolactam-grade ammonium sulfate is expected to arrive in March via container, with a CFR price of around $180 per ton.
Brazil: CFR prices for granular ammonium sulfate are $170-180 per ton, and standard ammonium sulfate prices are $140-145 per ton.
USA: Prices in most regions remain unchanged, with FOB Nola rising to $255-270 per ton this week, mainly supplied by domestic producers.
Ammonium Phosphate:
This week, there has been limited trade in ammonium phosphate, and prices have remained stable. However, global demand is on the rise.
India: Buyers continue to defer purchases ahead of subsidy news for 2024-25. The CFR price for diammonium phosphate is around $595 per ton.
Pakistan: A batch of diammonium phosphate from Australia is expected to arrive in February at CFR prices between $625-630 per ton.
China: FOB prices for diammonium phosphate remain stable at $580-592 per ton, and ongoing export restrictions may cause a lack of transactions and quotes until at least the end of February.
Nepal: KSCL received a minimum bid of $729 per ton for the purchase of 25,000 tons of diammonium phosphate in a tender on December 22nd.
Brazil: Trading activity has slowed, with CFR prices for monoammonium phosphate remaining at $560 per ton.
USA: Due to tight domestic supply, prices for Nola diammonium phosphate rose this week to FOB $595-605 per ton.
Morocco:
OCP reported the following sales of diammonium/monoammonium phosphate this week:
1. Exported 26,000 tons of diammonium/monoammonium phosphate to Western Europe, with shipments scheduled for January to February and an FOB price of $590-605 per ton.
2. Exported 110,000 tons of diammonium phosphate to India, with shipments scheduled for January and an FOB price of $550-555 per ton.
3. Exported 15,000 tons of diammonium/monoammonium phosphate to Eastern Europe, with an FOB price of $585-595 per ton and for February shipment.
4. Trading activity in Europe remains slow, with tight supplies in the Benelux region. However, due to very limited purchases, low-end prices have fallen to $635-650 per ton.
Some regions have low inventory, especially in Thailand, certain parts of Europe, and Argentina. Export restrictions on Chinese ammonium phosphate have led to expectations of tight supply from other producers. Additionally, with increasing shipping risks in the Suez Canal, more vessels are opting for the route around the Cape of Good Hope, implying a significant potential increase in CIF prices.
Triple Superphosphate:
Brazil: CFR prices for Triple Superphosphate remain stable at $420-430 per ton.
Morocco: OCP sold less than 5,000 tons of Triple Superphosphate to Western Europe in January at prices of $475-480 per ton FOB, with freight costs of $25-30 per ton.
Tunisia: FOB prices for Triple Superphosphate from GCT remain stable at $395-435 per ton.
Potassium Fertilizer:
Potassium chloride: Insufficient demand before the Lunar New Year makes the Asian market softer. In the West, buyers from Brazil and South Africa are not in a hurry to buy in the current bearish environment.
Potassium sulfate: Most market participants believe that, in a tight supply situation, prices for potassium sulfate may further rise.
It is anticipated that Brazilian buyers may re-enter the market in late February, which could contribute to stabilizing prices.
Compound Fertilizers:
Southeast Asia's import market is relatively calm, with some importers waiting for clarification on China's export policy, and the European spring has not yet started.
Russian fertilizer producer Uralchem signed a preliminary cooperation agreement with a Chinese importer to supply 600,000 tons of MAP and NPK fertilizers by rail from 2024 to 2026.
In 2023, South Korea's compound fertilizer imports increased year-on-year, with NPK exports growing by 5% to 207,000 tons, and NP/NPK exports increasing by 7% to 375,200 tons.
With the recovery in demand, compound fertilizer prices are expected to stabilize.
Attention: The above price information is for commercial reference only due to the diversity of information collected, and Kelewell is not responsible for the authenticity of the data.
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