Phosphate Fertilizer Daily Review: Observant Business Sentiment, Firm Phosphate Fertilizer Prices

Monoammonium Phosphate (MAP) Price Index:

According to Feidoodoo data calculation: On December 6th, the domestic 55% powder MAP index stood at 3455.00, stable; the 55% granular index was at 3400.00, stable; the 58% powder index at 3683.33, stable.

MAP Market Analysis and Forecast:

Today, the domestic MAP market prices remained stable overall. Regarding factories, most have existing orders supporting them, primarily executing previously received orders, with currently no new quotes being offered. In terms of the market, the trend is sluggish, with new orders struggling to close, and actual transactions remaining negotiable. On the supply side, the utilization rate of MAP industry capacity remains high, with relatively abundant market supply. Regarding demand, the atmosphere is weak, with businesses slowing their purchasing pace. The market's primary need is in the Northeast region, with purchases made as needed and a watchful mindset. On the raw material front, the price of synthetic ammonia has recently risen slightly, while the tight supply of raw phosphate ore continues, and sulfur prices have marginally decreased, leading to narrow adjustments in raw material prices. In summary, MAP market raw material prices are relatively stable, market demand is slowing, and there is a watchful attitude. It is expected that the MAP market prices will remain stable in the short term.

Diammonium Phosphate (DAP) Price Index:

According to Feidoodoo data calculation: On December 6th, the domestic mainstream 64% granular DAP index was at 3880.00, stable; the 60% brown index at 3670.00, stable; and the 57% content index at 3610.00, stable.

DAP Market Analysis and Forecast:

Today, domestic DAP market prices continued to operate at high levels. From the enterprise perspective, companies are continuing to ship previously received orders, with a limited amount entering the market in batches. However, with winter storage social inventories still low, physical stocks support higher prices, and companies are firm on their pricing. On the market side, DAP arrivals remain slow, with a weak sentiment, and stockists are firm in their pricing. Supply-wise, mainstream market social inventories are low, and the market supply is tight, leading to higher DAP prices. In terms of demand, winter storage is progressing slowly, with an overall cautious and observant downstream mindset, leading to a weak trading atmosphere. Regarding raw materials, the prices of raw phosphate ore and synthetic ammonia are stable with slight increases, causing fluctuations in DAP cost prices. Overall, the current DAP market operating rate is low, and the market supply is tight. It is expected that DAP market prices will maintain high levels in the short term.