Urea International: sharp rise
Source: Zhongyu information time: March 6, 2020
Zhongyu information report:
The market price of urea rose further
The US urea price rose sharply this week because of the continuous shortage of supply in the southern plain and the limited supply of barges in the short term. The FOB price of Nola shipped from March to the first half of April was active in the range of US $249-270 / St. But the market is backward, and sufficient supply is expected from April to May.
Manufacturers sold more granular urea at higher prices in March and April. Several batches of goods were ordered in the Middle East, mainly to meet the needs of Australia, and the price is in the range of USD 250-258 / T FOB. In recent sales, the FOB price of Egypt and Algeria rose to US $255-260 / ton and US $255-263 / ton respectively, while the FOB price of Baltic urea granular goods in Canada was about US $240 / ton.
The supply of large particle and small particle urea from manufacturers is tight, and the price is expected to remain stable in the coming month, as traders intend to push up the price before selling long positions.
The pace of imports will slow down in April because of the increased risk of sending more urea to the United States
Urea sales remained strong in February and inventories in India were low. It is expected that the bidding in March will purchase about 1 million tons of iron ore from April to early May, which should support the international market price
Due to the high rate of return, the focus of the market is still on domestic sales, and the export is expected to be limited from April to March
Outlook: fixed prices are expected next month.