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The big contract has not been confirmed yet, and currently the price of potassium fertilizer remains firm.
In terms of price: potash fertilizer prices rose by 50-100 yuan/ton last week compared with the previous week. The current price of ports of 62% white powder potash is 2500-2600 yuan/ton, and the supply of white powder is relatively tight; the focus is on domestic production, the new price of 60% potash in June rose to 2450 yuan/ton at the station, and the market circulation price has risen to about 2480 yuan/ton in advance; border trade is still out of stock for the time being; potassium sulfate is in short supply and the price continues to rise, and a few manufacturers are reluctant to sell or stop selling. At present, the mainstream range of Mannheim 52% powder ex-factory price is about 3400-3500 yuan/ton.
On the supply side: the operation of large factories in Qinghai is general, and the supply of small factories is limited; there is no news on large contracts, and the port inventory continues to decline. If the bonded quantity is not calculated, the current port inventory has fallen to about 2.5 million tons, which is no longer considered a high port inventory; the arrival volume of land transportation has decreased, and there is still no news on the signing of border trade import orders in June; the operating rate of processed potassium sulfate is high and stable, but the operating rate of resource-based potassium sulfate has dropped significantly.
Demand: Downstream demand is not strong, and purchases are mainly on demand. Compound fertilizer companies are currently mainly producing high-nitrogen fertilizers, and as the market enters the end of this season, the operating rate has dropped slightly.
Market forecast: Demand is weakening, and supply is not strong at the same time. The expected big contract has not yet appeared, and it is unknown whether there will be any changes. In summary, it is expected that potash fertilizer prices will not fall sharply, but should at least remain firm. Whether it will rise depends on changes in import volume and international prices.