International phosphate fertilizer market is warming up

Due to the price, the new round of U.S. phosphate export trade from the Gulf of Mexico has not been reached. At present, the international price of diammonium is depressed, and the United States once again lowers the export price of diammonium, which is currently set at the FOB price of 490-500 USD/ton. According to the analysis, there is currently no peak of procurement in Latin America, and large farmers will naturally purchase large quantities in the season of sowing, so the arrival of the peak period is only a matter of time.

The price of diammonium in Brazil is also declining. The current CIF price is US$515-520/ton, which is slightly lower than the CIF price of US$525/ton last week. According to related analysis, the prices of monoammonium phosphate and diammonium phosphate will rebound in October. The FOB price for Saudi Arabia's DAP was US$470-475/tonne, a slight increase from last week. Due to the short transportation distance, the DAP price from Saudi Arabia to India is 495-500 USD/ton. FOB diammonium gulf in the Gulf of Mexico is 490-500 USD/ton, which is lower than the previous 510 USD/ton. Phosphoric acid sent to India was tentatively priced at $765/ton in the third and fourth quarters.

India currently has about 900,000 tons of fertilizer orders coming to Hong Kong. The demand has not stopped in the future. According to sources, India hopes to strengthen trade cooperation with China. Nitrogen fertilizer imported from China accounts for 18% of the total, and this figure is still rising. In addition, China, as a large exporter of chemical fertilizers, has advantages both in distance and price. After improving the quality of chemical fertilizers in China, it can better satisfy India's need for different fertilizer types and efficacy.

In China, the operating rate of the factory is still very high, and orders from India are being shipped one after another. India's demand for diammonium is still strong. Saudi Arabia's quotas for diammonium arrivals in India and Pakistan have been raised to US$500/tonne recently; China's current diammonium CIF price to India is US$480-485/tonne. The price of China's diammonium export is not high, almost equal to the price of domestic shipments, and this price is also acceptable to India. It is reported that Chinese companies are continuously improving the quality of their exports of fertilizers, which in the long run will have room for improvement in export pricing with India.

The palm planting industry in Malaysia is on the rise, so the demand for compound fertilizers and phosphate fertilizers is also increasing. It is expected that there will be room for price increase in the future.