Market review of prime phosphate chemicals in Sept. 2012

Keyword: phosphorus ore, transportation, phosphate fertilizer, feedstock
Publish time: 9th November, 2012      Source: CCM
Information collection and data processing:  CCM     For more information, please contact us

  Phosphorus ore

  

  In the aspect of production, the exploitation of phosphorus ore in each production province continued to remain stable in Sept. However, the transportation in some regions of Sichuan Province was very inconvenient because of road repair, which led to the delay in shipment of phosphorus ore. As for demand, the depressed downstream phosphate fertilizer market curtailed the demand of phosphorus ore in domestic market to some degree.

   

  Overall, very little pressure was exerted on domestic phosphorus ore enterprises to do the sales of phosphorus ore owing to high and stable operating rate of DAP.

   

  Yellow phosphorus & some phosphate chemicals

  

  In Sept., the operating rate of yellow phosphorus varied in regions. In Guizhou Province, the operating rate of yellow phosphorus rose to 37.53% at the end of Sept., approaching the high record of April and May. While for Sichuan Province, the operating rate began to drop this Sept. because the transportation problem delayed the timely supply of feedstock. Overall, the operating rate of China's yellow phosphorus still grew at a good pace in Sept. compared to that of last month, remaining around 54.93% to 56.03%.

   

  According to STPP producers, the sales of food-grade STPP in Sept. were better than those of last month. In the meantime, the supply tended to be tight because of the suspension among several producers.

   

  Phosphate fertilizers

  

  With the advent of high tariff levied on phosphate fertilizers in Oct., phosphate fertilizer enterprises would shift their focus from export to domestic market.

   

  According to DAP producers, they were able to handle sales pressure in the short term thanks to a certain amount of pending orders that were received from overseas market. However, these phosphate fertilizer enterprises were worried about the future sales as there will be less orders from the main phosphate consumption area — North China.

   

  As for MAP, a heavy load of negative news generally spread throughout China's whole MAP market, such as sluggish sales of compound fertilizers (MAP used in the production of compound fertilizers) and cautious attitudes that phosphate fertilizer distributors take.

   

  In general, most phosphate fertilizer producers said that the mismatch would continue to rise between supply and demand if the central government continued to remain the current high export tariff in peak season (Jan.- May & Oct. - Dec.).

   

  CCM has excellent research in terms of phosphorus, the following products:

  Market data: Producer of Calcium hydrogen phosphate;

  Market data: Export of Calcium hydrogen phosphate;

  Market data: Price of Calcium hydrogen phosphate;

  Search on the website to get more product information: http://www.cnchemicals.com

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