Views: 4 Author: Site Editor Publish Time: 2025-04-24 Origin: Site
Finding direction in the urea market
India's IPL has ended its bidding process and purchased approximately 885000 tons of urea, most of which will be sent to the east coast. After the announcement of the bidding results, the price trend and market sentiment were mixed. It is difficult to find more activities in the market besides Nora's spot barge and Southeast Asian sales bidding.
There are two sales in the Middle East region, one is 30000 tons with next month's shipping price at $395/ton offshore, and the other may be in Australia. The prices in Southeast Asia have risen, with the Indonesian offshore price for trade payments reaching a medium to high range of over $390 per ton. The market is waiting for news of Brunei's Thursday sales tender.
The offshore price of Egyptian urea in Europe is 375-390 US dollars per ton, and with the end of the European season, the spot cargo volume is higher than the cargo volume loaded in May. Most of the trading activities in Europe are concentrated in Italy.
To the west of Suez, for most of this week, the landed price in Brazil was at $370 per ton, with transactions occurring in the mid to high range of $370 per ton landed price. The price of barges in the United States has risen, reaching an offshore price of 398-422 US dollars per ton.
market factors
India ends urea bidding: IPL purchased 681650 tons of urea for the east coast at a landed price of $398.24 per ton and 203000 tons for the west coast at a landed price of $385 per ton in the bidding on April 8th. The importer intends to purchase 800000 tons on the West Coast and 700000 tons on the East Coast.
Meanwhile, as of mid April, India's urea inventory has increased to 7 million tons, up from 8.8 million tons in early April last year.
30-60 day outlook: East of Suez receives support, US stabilizes to firm
Given that the import volume in April was lower than expected, there is still room for growth in the United States in the coming weeks. Before the announcement of the bidding results in India, demand in Southeast Asia and Latin America had basically stagnated and slowed down, but it is expected to reappear in May, giving Russian and Middle Eastern producers more peace of mind. With the end of the European season, North Africa still faces pressure.
