Views:24 Author:Site Editor Publish Time: 2018-08-14 Origin:Site
The demand for ammonium sulphate in parts of Northwest Europe has started to raise up this week, especially in Germany and the UK. The bullish urea price, the strong nitrate price, and the ammonium sulfate market are starting to be tight, and demand is increasing.
European buyers who have been paying attention to the delivery from September to November are trying to target in tonnage. The price shows approximately 115 Euro/ton fob ($133/ton fob) northwest European standard rating. Compound fertilizer producers are expected to re-enter the ammonium sulfate market in September.
With China's tight raw materials supply and large demand in Brazil in the fourth quarter, European producers expect to have great purchases for the rest of the year. According to Brazil's cfr level, the net price of European pellets is $165-172/ton.
China's ammonium sulfate offshore price has remained stable at $116-119/ton. Supply is tight due to market upturns and environmental concerns. With device reboots and supply mitigation, the situation may change in the coming weeks.
China's capacity utilization rate has increased by about 8-10 percentage points in the past month, mainly because the equipment is currently resumed. As environmental issues have reduced the supply of steel grades on the market, Chinese extruded pellet manufacturers have been forced to switch to caprolactam grades. This week, the FOB price of granular ammonium sulfate is stable at 155-160 US dollars / ton.
Although Turkey is currently in the off-season, Turkish buyers will soon re-enter the ammonium sulphate market and need to import it before the spring of October-December.
The supply of the Black Sea and the Baltic Sea remains very tight as suppliers continue to supply local markets. Most of the manufacturers' goods were sold out in August, and the goods in September have not yet started to sell. The FOB price of the Amounium sulphate in Baltic Sea is expected to be higher than 120-128 US dollars / ton.
Sellers predict the demand in Brazil will be strong as buyers want to meet demand from October to December. Sold out in August, European sellers are working hard to achieve a price of $200/ton cfr for granular ammonium sulphate in the next sale. Antwerp's freight is about $24/ton, which will bring the net price back to $170/tonne European FOB before other costs.
Buyers and importers are still looking for cfr European pellets at $190-195/ton. The higher quality Chinese extruded granules are sold to importers at a cfr price of $190-195 per ton.
The European standard grade ammonium sulfate price is stable at $150-155 / ton cfr. This week’s caprolactam grade in China is $148-150 / ton cfr. Although the Chinese installation is improving, the supply is still relatively tight.
The 40,000 tons of ammonium sulphate in the Trammo freight market was shipped to Paranagua from Tianjin on August 15th-20th. US producer Advansix shipped 2.5 million tons of ammonium sulfate to Paraguay from Hopewell and Norfolk on August 20th-30th.
Keytrade shipped 34,400 tons of ammonium sulfate to Paranagua from Tianjin on August 15th-20th.
Sentana, Indonesia, sold 25,000 tons of caprolactam-grade ammonium sulphate. According to reports, the target price at 130 US dollars / ton CFR, and the seller's expected price is above 135 US dollars / ton CFR.
This week, a survey of the freight of 25,000 tons of bulk ammonium sulphate shipped to Beula Bay in Tianjin, China is underway.
Incofe in Central America has purchased a combination of several fertilizers, which will be shipped to Barranquilla in Colombia, Limon in Nicaragua, Pto Cortes in Honduras and St. Thomas in Guatemala in August, including 5,100 tons of standard grade ammonium sulphate. The price is $150/ton cfr, and the 10,870 tons of granular ammonium sulfate price is $180/ton cfr. Freight charge is $40/ton.