Spring Festival Is Coming, Order Fertilizer As Soon As Possible

- Dec 12, 2019-

Entering the last month of 2019, the domestic compound fertilizer market has completely entered the peak trading season. After the phosphate compound fertilizer meeting, from the end of last month to the beginning of this month, major companies have successively introduced winter storage policies. The policy is still focused on creating low-price explosive products, mainly based on payment and interest calculation. Feidong storage policy is better, and to a certain extent raised the interest of dealers to pick up goods. At this stage, the mainstream manufacturers' quotations from the factory: 45% chlorine-based compound fertilizers are at 1800-2000 yuan / ton, and 45% sulfur-based compound fertilizers are at 2,000-2200 yuan / ton. The price is significantly lower than the same period last year.


At present, the compound fertilizer market in China has changed from the previous stable trend, and advance orders for winter have been advanced in an orderly manner, and dealers have added new orders.


Entering the end of November, the price of urea finally warmed up, rising by as much as 100 yuan / ton in only half a month, and the price increase momentum in some regions still maintained a rapid momentum. Coupled with the poor air quality in many places in recent days, the operating rate of upstream plants has declined slightly. It is expected that the domestic urea market will mainly operate stably in the short term, and there is still room for a slight increase in some areas.


On the other hand, there is not much good news about phosphate fertilizer and potassium fertilizer. The market for phosphate fertilizer raw materials is sluggish, and the negative impact is large. The price remains low. The buyers and sellers in the market continue to wait and see, and it is difficult to change the current state in the short term. For potassium fertilizer, the market demand has not been opened. , Prices continue to be in a downward trend. In general, the raw material market still lacks support for the price of compound fertilizers. Compound fertilizer companies want to use the urea price increase opportunity to rebound, the chance is small.


"At this stage, the distributors are mainly stock-based, mainly storing wheat back to green fertilizer and fertilization in the coming year. The price of urea was low some time ago, so this year's winter storage policy for compound fertilizers is good. Compound fertilizer manufacturers have already pushed down prices very low. This year's winter storage policy is about 100-200 yuan per ton cheaper than last year. "Sun Zhenxing, manager of Dunbin Agricultural Supply Store in Fengxian County, Xuzhou City, Jiangsu Province, told reporters that even so, the terminal demand of the market is slowly released and farmers' enthusiasm for purchasing fertilizer is not good. The profit of compound fertilizers is still too low, and most dealers have shifted their sales focus to special fertilizers and even fungicides.


For compound fertilizers with unstable prices and lower and lower profits, most dealers are not very confident about the price of next spring. In order to avoid future market risks, they have adopted a follow-on-sales model and are unwilling to press Too much stock. The circle of friends can be seen everywhere, and the dealers have also reported the sales price at the time of receiving the goods. Farmers are welcome to actively purchase.


The Spring Festival this year is earlier than in previous years, and the logistics outage is relatively early. Considering that there is a certain shortage risk in the later stage, the wait-and-see mood of dealers should not last too long. At present, some domestic companies have started to issue notices of order cessation or announced that they will not accept expedited orders due to transportation and the Spring Festival holiday.