Compound fertilizer: depressed demand has pushed down prices

Prices in some regions have fallen this week due to the cold weather in parts of Europe and the buyer's expecting for falling market prices.

 

Cold weather in Romania, Greece and Lithuania continues to delay fertilizer demand for fertilizer. But there are signs that the Czech Republic and Germany are increasing interest.

 

Although some suppliers are trying to promote NPK 16-16-16, demand in Ukraine is still weak.

 

This week's Asian trading activities are mainly concentrated in India. The NFL has completed two bids this week, which are 60,000 tons of NPK 12-32-16 and 30,000 tons of NPK 20-20-0+13. The company also seeks 30,000 tons of NPK10-26-26 to be delivered before April 15. Petrokimia Gresik of Indonesia concluded a sales tender on February 20th, providing 25,000 tons of NPK 20-20-0+13S compound fertilizer, which will be shipped in March.

 

Low raw material prices and weak demand are affecting West Africa. In West Africa DCP offers 2,5000-30,000 tons of NPK 15-15-15 to Togo at a price of $290/ton CFR. However, the bid price is close to $280/ton.

 

Market driver

 

Spring demand will eventually appear

 

Although spring demand seems to have been delayed in some countries this year, no matter how late, there may still be purchases. Some needs have begun to emerge.

 

Weak prospects for raw materials

 

Although the prices of urea and diammonium have declined in some regions this week, the late trend of these products is still weak.

 

30-60 days expected

 

As the raw material market continues to weaken, suppliers may be forced to cut prices or remain unchanged in the coming weeks. But some people still hope that the coming of spring demand will provide support for prices.