Phosphate Fertilizer Daily Review: Weak Market Operations, Poor Downstream Demand Follow-Up

Monoammonium Phosphate (MAP) Price Index:

According to Feidoodoo data calculations: On January 22, the domestic MAP 55% powder index was 3168.75, stable; 55% granule index was 3250.00, stable; 58% powder index was 3383.33, stable.

MAP Market Analysis and Forecast:

Today, domestic MAP market prices continue to operate steadily. On the enterprise side, most businesses faced difficulties in pricing, with actual transactions remaining negotiable. Currently, lower-end market prices are emerging frequently, leading to price chaos. In the market, new order transactions were limited, continuing weak operations with most transactions being negotiable. On the demand side, downstream compound fertilizer sales were slow, showing tepid interest in raw material procurement. The operating rate continued to decline, with a weakened intention to procure goods, maintaining only minimal necessary purchases. On the raw material side, the price of sulfur, a raw material, continued to fall, while the price of synthetic ammonia rose, and the price of phosphate rock remained stable, leading to a continued decline in raw material prices. Overall, the current MAP market shows low enthusiasm for restocking, with downstream purchasing slowing down. The market situation remains unchanged, and it is expected that the MAP market prices will continue to slide weakly in the short term.

Diammonium Phosphate (DAP) Price Index:

According to Feidoodoo data calculations: On January 22, 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, domestic DAP market prices remain stable. On the enterprise side, factory prices were stable, with a batch release and order-receiving model currently in place, and pending shipments were satisfactory. Traders lacked confidence, with flexible price adjustments in some regions, and actual transactions remained on a case-by-case basis. In the market, the situation was steady, with slow sales and a quiet transaction atmosphere. On the demand side, due to low grain prices, terminal purchasing intentions were weak, progress was slow, and grassroots demand follow-up was limited. Downstream demand was soft, with traders showing general enthusiasm for restocking, leading to a lack of confidence among traders and a strong wait-and-see sentiment. On the raw material side, sulfur prices were adjusting downwards, synthetic ammonia prices rose slightly, and phosphate rock remained in tight supply and high demand, weakening cost support. Overall, the current DAP market atmosphere has seen little change, continuing weak operations, and it is expected that DAP market prices will continue to be largely stable with minor declines in the short term.