Phosphate Fertilizer Daily Review: Limited Downstream Demand Follow-Up, Market Transactions Narrowly Decline

Monoammonium Phosphate (MAP) Price Index:

According to Feidoodoo data, as of March 28, the domestic 55% powdered MAP index was at 3055.00, showing a decline; the 55% granular index remained stable at 3150.00; the 58% powder index was steady at 3433.33.

MAP Market Analysis and Forecast:

Today, domestic MAP market prices slightly decreased while remaining stable overall. From the corporate perspective, new order follow-ups were weak, with sales under pressure and quotations continuously adjusted downwards, marking a significant price reduction, while actual transactions continued to be negotiated on a case-by-case basis. Market-wise, the trend continued to be weakly downward, with transactions being rigid and minimal, indicating a weak market consolidation and a downward shift in the transaction focal point. In terms of demand, downstream demand was sluggish, with compound fertilizer factories showing little enthusiasm for purchasing, mostly buying only as much as needed, and adopting a wait-and-see approach. On the raw material front, prices for sulfur and phosphate rock were stable with slight adjustments, while the price of synthetic ammonia continued to rise, providing strong support from the raw materials side. Overall, given the current low market demand and ample supply, buyers are mostly observing, expecting the MAP market prices to continue their weakly stable trend in the short term.

Diammonium Phosphate (DAP) Price Index:

According to Feidoodoo data, as of March 28, the domestic mainstream 64% granular DAP index was stable at 3846.67; the 60% brown index remained steady at 3460.00; the 57% content index decreased to 3507.50.

DAP Market Analysis and Forecast:

Today, domestic DAP market prices experienced a slight decrease while remaining generally stable. From the corporate side, companies continued to prioritize pending shipments, with many pausing receivables, facing pressure on shipments, and seeing increased negotiation room for transaction prices, with actual transactions still primarily based on negotiations. Market-wise, the domestic market continued its weak consolidation, with a subdued transaction atmosphere, a pessimistic sentiment among traders, flexible price adjustments, and predominantly low-end sales, including the collection of export goods at ports. Demand-wise, market follow-up was general, with no clear signs of improvement in terminal demand, poor performance on the demand side, and mainly minor follow-up. Regarding raw materials, prices for sulfur and phosphate rock were stable with slight adjustments, while synthetic ammonia prices continued to rise, leading to a narrow increase in raw material prices. Overall, given the current soft domestic demand for DAP and the pressure on companies to ship goods, the market is undergoing weak consolidation, expecting DAP market prices to continue their stable, narrow decline in the short term.