Views:8 Author:Site Editor Publish Time: 2020-07-27 Origin:Site
MMTC highlighted India’s concerns about the supply of urea, confirmed the tender in a tender and awarded another tender on the same day. Traders’ meaningless aggressive offers meant that MMTC received only 120,000 tons in the July 17 tender, which allowed it to bid again on July 30 to try to buy the 1.5-2 million tons shipped in August.
Delhi’s unusually rapid action has increased the price of urea. Chinese producers withdrew their prices and rejected the $237/t fob offer. 24 hours ago, Abuqier sold 40,000 tons of granular urea at a price of $250/tFOB, which was $15/t higher than the indicated price. In Brazil, buyers paid close to $260/tCFR, and some suppliers withdrew their offers, unsure of their urea price level.
Due to the huge demand in India, sales in July are expected to reach 4.2 million tons, while production is about 2 million tons, so the urea market is expected to remain stable in August and September shipments.
Main market performance
India: It takes about 2 million tons of imports per month to meet the demand in July and August. Sales from April to July increased by nearly 40%.
China: Manufacturers have successfully resisted attempts to short the market and maintained prices above $230/FOB.
Brazil: The demand peak is approaching, and Brazil faces supply competition from India in August.