India and Pakistan's urea bidding slows down trade
Publish Time: 2022-10-19 Origin: Site
After India announced another procurement bidding, the liquidity of several major markets slowed down, and the urea price was uncertain this week.
The activities are mainly concentrated in Southeast Asia, where the FOB price of several batches of granular urea is about 630 US dollars/ton. However, as buyers were waiting for the bidding results of India and Pakistan on Monday, liquidity in Europe, Brazil and the Middle East almost disappeared,
After producers resumed production in some regions, nitric acid and ammonium nitrate urea in Northern and Western Europe declined significantly - although prices remained high compared to all other markets.
In general, the transaction speed is still low, and participants are waiting to see how much urea length will be withheld in the fourth quarter of the bidding next week.
market factors
Natural gas prices in Europe fell
With the recovery of production economy in some EU countries, some factories are starting production again, while others are slightly increasing their output.
Bidding in India
Many buyers were on the spot to look forward and wait for the price level of the printed bid to be clear this week. It is widely expected that the price level will be lower than the last bidding.
Outlook for 30-60 days
The slowing demand in main regions may further depress the price in the short term, but Europe needs a large amount of urea imports before spring. As the demand in other regions increases seasonally in the fourth quarter, the competition between buyers should exceed the supply.