Views: 0 Author: Site Editor Publish Time: 2024-05-08 Origin: Site
Urea prices have remained stable this week, but sales prices in the Middle East in June were $10-15 per ton lower than most regions.
A trading company may buy a batch of June goods at a low price below FOB270 USD/ton, which is lower than the FOB280-295 USD/ton traded for most of this week. Meanwhile, Kaltim may have sold 90000 tons of large granular urea at a price slightly higher than FOB305 USD/ton, loaded in Indonesia in May, and sold 60000 tons last week, of which approximately 90000 tons will be shipped to Australia. The local demand for urea in Southeast Asia has been suppressed due to soaring temperatures.
The Iranian manufacturer has set its quotation at FOB255 USD/ton, consistent with sales later last week. The four manufacturers may have reached the same level of transaction, with a total shipment of over 250000 tons from the end of April to May.
The European market continues to disappoint suppliers, and CFR prices have also been declining. The activity of the Nora barge has basically stopped, and the FOB price has remained stable at $285-316 per ton this week.
market factors
India's inventory is rising: Although domestic production has increased, due to reduced demand for new imports, India's urea inventory may reach 10.5 million tons in early May, an increase of approximately 500000 tons from mid April.
China seems to be returning in June: China's urea exports are expected to begin in June, with little likelihood of the end of this month, and there is currently no official confirmation.
30-60 day outlook: Soft first and then stable
The pressure on suppliers in North Africa was the highest in May, with slightly less pressure on suppliers in the Baltic Sea and Nigeria. Due to the large particle market being sold out in Indonesia in May, supply in the area east of Suez has become more tight. However, goods from China will return in June, and prices will continue to decline, possibly bottoming out in July.
