Phosphate Fertilizer Daily Review: Market Stalemate and Watchful, Slight Price Reduction Expected

According to Feidoodoo data, on November 23, the domestic monoammonium phosphate (MAP) 55% powder index was stable at 3500.00; the 55% granule index was stable at 3400.00; and the 58% powder index was stable at 3683.33.

MAP Market Analysis and Forecast:

• Today, the domestic MAP market prices continue to be high but stable. On the factory side, factories are mainly fulfilling previous orders with deliveries extending to mid-to-late December. There is no immediate expectation of a price reduction, and current prices remain firm. In terms of supply, daily production continues at a low level, maintaining a tight supply situation and market shortage. On the demand side, the overall market trading atmosphere is tepid, with regional purchasing demands. The Northeast market shows slowed enthusiasm for downstream raw material procurement, while businesses in North and East China adopt a watchful attitude. Industrial demand, especially from downstream compound fertilizer factories, is slowing, and the purchasing mindset continues to be cautious, leading to an average market trading atmosphere. Regarding raw materials, prices for sulfur and synthetic ammonia have slightly decreased, while phosphate rock prices remain stable. In summary, the MAP market supply-demand relationship remains tight, but under the influence of market sentiment, the market is in a stalemate, and there's a possibility of a minor price reduction in the short term.

Diammonium Phosphate (DAP) Price Index:

• According to Fertipedia data, on November 23, the domestic mainstream DAP 64% granule index was stable at 3880.00; the 60% brown index at 3670.00; and the 57% content index at 3610.00.

DAP Market Analysis and Forecast:

• Today, the domestic DAP market prices remain high but stable. On the enterprise side, companies continue to fulfill pre-received orders, with internal sales mostly halting payments, and pending deliveries continue to offer support. In terms of supply, the industry's operating rate continues at a low level, and the mainstream market's winter storage supply remains tight, continuing the tense supply situation. Influenced by limited market supplies, enterprise factory prices remain firm. On the demand side, although the winter storage market has a large essential demand, the enthusiasm for following up downstream has weakened due to high prices, leading to a watchful mindset. Regarding raw materials, prices for sulfur and synthetic ammonia have slightly decreased, while phosphate rock prices remain stable, reducing raw material price support. In summary, the current DAP market, influenced by market sentiment and the reduced enthusiasm for downstream purchasing, along with a slight decrease in raw material prices, is expected to undergo a minor price adjustment in the short term.