Views: 19 Author: Site Editor Publish Time: 2023-03-29 Origin: Site
Urea prices have declined this week generally, but the range is not significant, which is reflecting a temporary equilibrium in the short-term market.
According to the sales bidding in Indonesia, the price of several batches of small and large granular urea delivered in April was FOB342 US dollars per ton,which is higher than most people’s expected, reflecting the tight local spot supply, especially in prilled urea.
The price of urea in the United States fluctuates significantly. Nora's trading price fluctuated significantly, but the closing price was flat this week, while the price of prilled urea in Brazil fell by $5/ton to $CFR315/ton, and Mexico's offer rose by about $10/ton.
The ammonium sulfate market experienced a significant decline this week, especially in the European and Brazilian markets, where immediate and forward delivery prices fell by more than $20 per ton due to pressure on sellers to lower urea prices.
The market factors
Lower raw material costs: The sharp decline in the prices of natural gas, liquefied natural gas, and ammonia continues to lower the top of the urea and nitrate production cost curve,which make oversupply market prices even weaker.
Freight increase: Some routes, especially Russian goods shipped from the Baltic Sea, have increased by 5-10 US dollars per ton this week, leading to an increase in the price quoted in the spot inquiry, and an index driven decline in net profit in the market.
