Domestic urea prices fell again

During the weekend, the domestic urea market showed another declining trend. The mainstream price in Shandong was adjusted to 1,600-16,300 yuan/ton. It is reported that the low-end transaction price has fallen below the low-end price. The last round of price increase was mostly caused by export volume and partial reduction in domestic demand. It is reported that most of the export orders signed in the early stages will be completed at the beginning of September, and the next round of India’s purchase may also be postponed to October. The comprehensive price cut in the international market has brought a visual and psychological impact and pressure on the domestic market. It is also the trigger for the decline of the market again. The underlying reason is still the existence of excess supply and demand. At present, only a few small factories have lost money and parking. The operating rate is still above 70%, and the end of power cuts will further increase the operating rate. Therefore, even before the lower prices and fall demand, the dealers' purchases are also cautious and cautious, avoiding risks as much as possible. Some analysts expect that the domestic urea market may continue to decline in the near future. The temporary stoppage will hopefully improve domestic demand.