Pakistan Plans to Import 200,000 Tons of Urea; European Imports of Russian Fertilizers Surge; The global ammonium nitrate market presents different dynamics; BHP Abandons Anglo American Takeover bid.
Pakistan plans to import 200,000 tons of urea fertilizer.
Rana Tanveer Hussain, Minister of Industries and National Food Security, stated that the government will import 200,000 tons of urea fertilizer to ensure uninterrupted supply to farmers. The minister emphasized that the government is committed to stopping fertilizer smuggling and ensuring equal distribution of urea at affordable prices. He stressed that protecting farmers' interests is the government's top priority, and all fertilizer companies and distributors will be required to supply urea at the same price.
European countries are importing significantly more Russian fertilizers.
According to the German newspaper "Die Welt," since the Russia-Ukraine conflict, fertilizer imports to Germany and other EU countries have increased substantially. According to data from the EU statistics agency, during the fertilization period of 2022-2023, fertilizer exports from Russia to Germany increased by 920% compared to before the conflict. The data shows that German importers purchased €237 million worth of Russian fertilizers in 2023, four times that of 2021. However, imports to other countries have also increased. "Die Welt" reports that during the same period, fertilizer imports from the Netherlands to Germany increased by 85%, from Poland by 84%, and from Belgium by 662%.
The global ammonium nitrate market presents different dynamics.
Ammonium nitrate prices are stable in the Asian market, but demand has slightly weakened.
The impact of synthetic ammonia costs on ammonium nitrate prices has eased due to widespread cost pressures. It is worth noting that due to China's suspension of exports before the 2024 planting season, there is a lack of new orders or tenders in both domestic and international markets. Although nitrogen-phosphorus-potassium producers are expected to maintain purchases of high-nitrogen fertilizers for corn applications in the summer, demand is lower than expected, putting downward pressure on ammonium nitrate demand.
German ammonium nitrate prices have fallen.
Fluctuations in synthetic ammonia prices have led to a significant decrease in production costs, putting downward pressure on market prices. The overall price decline is also influenced by a decrease in demand from important downstream fertilizer markets and reduced planting activities.
There is an oversupply of ammonium nitrate in the European market, with a significant decrease in new orders highlighting the price decline. Despite continued uncertainty in global trade dynamics, import activities have remained largely unaffected.
BHP has abandoned its takeover bid for Anglo American.
BHP and Anglo American have ended several weeks of tense negotiations, with BHP withdrawing from the takeover deal following the rejection of three takeover proposals. Anglo American refused to extend the deadline for BHP's revised fourth proposal, leaving BHP with no choice but to withdraw and refrain from making any offers for at least six months. Some of the takeover conditions proposed by BHP include Anglo American's need to divest its operations in South Africa, such as Anglo-American Platinum and Kumba Iron Ore. These demands have been strongly opposed by the South African government, which holds a significant stake in Anglo American, as well as the company itself.
Attention: The above 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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