Phosphate Fertilizer Weekly Review: Weak Market Demand, Uncertain Factory Quotations

Phosphate Fertilizer Market Analysis:

Monoammonium Phosphate (MAP) Price Analysis:

According to Feidoodoo data: This week, the 55% powdered MAP price index averaged 3282.25, down 64.16 from last week, a 1.92% decrease. The 55% granular index averaged 3400.00, unchanged from last week. The 58% powdered index averaged 3573.33, down 60.00, a 1.65% decrease.

This week, MAP market prices continued a mostly stable yet slight decline, with no clear quotations in the market, and prices mostly holding steady. Factory-wise, many focused on pending orders, without clear quotations, leading to disordered prices and some traders and small factories offering lower-end prices. Transactions were primarily based on negotiation. The market saw limited new order transaction volumes and insufficient trading, with the focus still on decline and overall maintaining a weak operation. Low-priced sources still existed in the market. Supply-wise, enterprise production and daily output slightly increased from last week, but overall, they continued to operate at low levels. Demand-wise, performance remained poor, with downstream compound fertilizer enterprises holding certain inventory levels, leading to slow market sales, low demand, and weak purchasing enthusiasm.

Diammonium Phosphate (DAP) Price Analysis:

According to Feidoodoo data: This week, the 64% granular DAP price index averaged 3862.67, down 6.50 from last week, a 0.17% decrease. The 60% brown index averaged 3458.00, down 2.00, a 0.06% decrease. The 57% content DAP index averaged 3546.50, down 6.00, a 0.17% decrease.

This week, DAP market prices continued a mostly stable yet slight decline, with pending orders supporting enterprises, maintaining a firm mindset. Factories continued to dispatch winter storage pre-orders, with sufficient pending orders and stable factory quotations. Upstream traders' quotations were relatively disordered, with actual transactions mainly negotiated flexibly. The market saw no improvement in DAP terminal demand, with a tepid purchasing atmosphere and poor market sales. Supply-wise, the DAP industry's operating rate increased, although some units temporarily halted production due to raw material shortages, while others resumed operations. Demand-wise, winter storage terminal purchases continued to be postponed, with a slow market progression and weak demand performance. Downstream compound fertilizer factories showed weak purchasing intentions, maintaining a wait-and-see attitude.

Domestic Phosphate Fertilizer Industry Operating Conditions:

Domestic MAP Industry Operating Rate:

According to Feidoodoo data: This week, the domestic MAP industry's operating rate was about 52.43%, up 0.36% from last week, but down 2.71% year-on-year. The MAP industry's operating rate increased this week but remained lower than the same period last year.

Domestic DAP Industry Operating Rate:

According to Feidoodoo data: This week, the domestic DAP industry's operating rate was about 55.19%, up 5.63% from last week, and up 9.13% year-on-year. The DAP industry's operating rate increased this week and was higher than the same period last year.

Domestic Phosphate Fertilizer Weekly Production Trends:

Domestic MAP Weekly Production Trends:

According to Feidoodoo data: This week, domestic MAP production was approximately 0.2048 million tons, up 0.69% from last week, but down 4.39% year-on-year. The weekly

MAP production increased this week but remained lower than the same period last year.

Domestic DAP Weekly Production Trends:

According to Feidoodoo data: This week, domestic DAP production was approximately 0.2657 million tons, up 6.71% from last week, and up 15.87% year-on-year. The weekly DAP production increased this week and was higher than the same period last year.

Domestic Phosphate Fertilizer Port Inventory Trends:

Domestic MAP Port Inventory Trends:

According to Feidoodoo data: This week, the domestic MAP market's main port inventory was about 0.0320 million tons, unchanged from last week, but down 77.90% year-on-year.

Domestic DAP Port Inventory Trends:

According to Feidoodoo data: This week, the domestic DAP market's main port inventory was about 0.1532 million tons, unchanged from last week, but down 5.84% year-on-year.

Phosphate Fertilizer Market Outlook:

MAP:
Overall, with MAP factories executing pending orders and uncertain quotations, the market trading atmosphere is poor, with limited transactions. Weak downstream demand continues, and it is expected that next week, MAP market prices will continue to remain mostly stable with minor decreases.

DAP:
Overall, with DAP factory quotations appearing disordered and continuing to execute pending orders, despite low inventory levels, the market demand remains weak and insufficient. Actual transaction prices continue to be negotiated, and it is expected that next week, DAP market prices will continue to be mostly stable with adjustments.