Phosphate Fertilizer Daily Review: Average Market Transactions, Downstream Just-in-Time Purchases

Monoammonium Phosphate (MAP) Price Index:

According to Feidoodoo data calculations: On January 23, the domestic MAP 55% powder index was 3137.50, declining; 55% granule index was 3250.00, stable; 58% powder index was 3383.33, stable.

MAP Market Analysis and Forecast:

Today, the domestic MAP market prices showed a slight downward adjustment. On the enterprise side, new orders remained limited, with many having no clear pricing, and actual transactions continued to be negotiable. In the market, operations were lackluster, with a still weak trend and bearish sentiment among traders. On the demand side, downstream demand was sluggish, with slow sales of finished compound fertilizers, increasing inventory pressure, and low enthusiasm for raw material procurement, continuing to maintain just-in-time purchases, with overall low volumes. On the raw material side, sulfur and synthetic ammonia prices fluctuated, while phosphate rock supply remained tight, leading to weak raw material price support. Overall, the current MAP market transactions remain average, with bearish trader sentiment and stagnant market transactions. The MAP market prices are expected to continue their weak trend in the short term.

Diammonium Phosphate (DAP) Price Index:

According to Feidoodoo data calculations: On January 23, the domestic DAP mainstream 64% granule index was 3860.00, stable; 60% brown index was 3450.00, stable; 57% content index was 3522.50, stable.

DAP Market Analysis and Forecast:

Today, the domestic DAP market prices continue to remain stable. On the enterprise side, most businesses had sufficient pending orders, mainly executing pre-received orders, with no fluctuations in factory prices and actual transactions continuing on a case-by-case basis. In the market, the atmosphere for sales remained poor, with the situation continuing to be sluggish and the market operating steadily but weakly. On the demand side, downstream demand was poor, with a strong bearish sentiment among traders, low corn prices in agriculture, and a lack of enthusiasm among farmers for purchasing fertilizers; industrial downstream compound fertilizer enterprises operated cautiously, with a strong wait-and-see attitude, limited just-in-time follow-up, and an average transaction atmosphere. On the raw material side, sulfur prices continued to decline, synthetic ammonia prices rose slightly, and phosphate rock remained in tight supply with rising prices, leading to weak cost support. Overall, the current DAP market sales are poor, cost support is weakening, and the market is facing difficulties in operations. DAP market prices are expected to continue their weak trend in the short term.