10 , especially since late October after a strong rise in urea prices trend, the current offer mostly urea factory 1580 ~ 1,680 yuan (t value, the same below), individual high even have to report the more than 1,700 yuan. In just one month, prices in general rose 60 to 100 yuan, 120 yuan higher than it is following the end of February early March this year after the biggest rate of increase in the period.
Together, although some manufacturers have ex-factory price of urea report a 1,700 yuan or more, but on the whole, 1,700 yuan is the Road, a large barrier, even in the near future before the end of the year to break the national average ex-factory price The price is very difficult. There are three main reasons:
First urea market oversupply situation is more serious the price of urea had a strong resistance to the upside. Although the dealer to goods more active in many places in the call source of supply, demand, but this is only a temporary appearance, not very long duration. 3 to 9 consecutive seven months of the country are breaking five million tons of urea monthly mark, the first three quarters of a total of 47.63 million tons of urea production (physical volume), 8.9% more than last year. China this year is expected to break 60 million tons of urea production will mark a new record high. The demand side, agricultural urea reduction of 200 tons, 4 million tons of industrial urea reduction, reduced exports 3 million tons, total will be reduced by about 9 million tons, oversupply is projected at 1100 million tons, is the contradiction between supply and demand over the years The most prominent of the year. Urea market supply and demand situation and severe Recently the market place will not be a degree of improvement and a major change. More than 60% in the pre-urea manufacturers are at a loss, the urea production are still so high, if the ex-factory price of urea rose to 1,700 yuan, while most of the urea manufacturers would be profitable, that production will be higher, supply and demand contradiction will be more prominent. Second is that if the ex-factory price of urea
more than 1,700 yuan, dealers of light savings mentality changed greatly. Overall, the current distributor of the fairly short storage more positive attitude, but if the ex-factory price after more than 1700 yuan, many distributors believe that the attitude of the larger changes will occur, from the current relatively positive into more cautious. Because of the short storage time may not be high income, while the risk is greater. Comprehensive analysis of various factors, if the market environment is not particularly large changes occurring, such as the obvious inflation, triggered international urea prices rose the sharp rise in such exports, ex-factory price of urea during the next spring there may be a high point of 1,800 yuan , while the short interest rate plus storage charges and other storage costs about 100 yuan per ton generally, ex-factory price over 1700 yuan so much storage is no longer meaningful.
Third is the price of urea has reached a stage of high points, there have been signs of increased fatigue. The most obvious point is that market prices can not keep up the wholesale prices rise, indicating the limited capacity of the downstream carry. Present in most areas, the wholesale market only higher than ex-factory price of 20 to 30 yuan, 50 yuan, but also high, while the normal high of 80 ~ 100 should be at least high 50. This shows that the downstream customers are still waiting to see, pick-up initiative is not high, heat is the manufacturer and a distributor, but this situation can not long sustain. We are high quality suppliers, our products such as Wafer Type Butterfly Valve Manufacturer , Pneumatic Butterfly Valve Manufacturer for oversee buyer. To know more, please visits Wafer Butterfly Valve.
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