Fertilizer market prices in Fujian have steadily declined

The reporter learned from the relevant departments in Fujian Province that last year's fertilizer market in Fujian Province was affected by many factors and there was a double drop in sales and prices. Experts analyzed that the chemical fertilizer market in the province will continue to trend in the second half of last year, and the fertilizer market price will steadily decline.
In the first half of 2005, as the price of coal continued to rise, domestic phosphate rock products also increased in price, and the price of international fertilizer market remained high. The price of fertilizer market in Fujian Province continued its upward trend in 2004 and continued to operate at a high level. The total price level has reached since 1997. The highest position. After the second half of the year, there was no effective increase in fertilizer market demand, continuous growth in fertilizer production nationwide, decline in coal prices, easement of transport tensions, national control of urea exports, appreciation of the renminbi, and the fall in international fertiliser prices and shipping prices. The prices of various fertilizers gradually fell back from high levels. On the other hand, affected by the catastrophic climate, the farmer's cultivated area has decreased, and the total demand in the agricultural resources market has decreased from the previous year. Due to the high price of chemical fertilizers, farmers tend to buy fertilizers at lower prices and smaller fertilizers, and high-priced high-quality fertilizers have become slow-moving, further leading to fertilizer demand. decline.
Industry analysts pointed out that after the second half of 2005, fertilizer prices have entered a downward avenue. It is expected that the prices of chemical fertilizers in Fujian Province will continue to decline steadily in 2006. The main reason is that first, policy factors, the country continues to implement the policy of controlling the export of urea and other resource products. From January 1 to September 30, 2006, the urea export was levied with a 30% export tariff, and from October to December, it was reduced to 15%. Effectively curb domestic urea exports and increase domestic market supply. At present, the urea price in the international market (Baltic Sea) has dropped to 193-200 US dollars / ton level, the domestic urea exports basically stagnant. Second, the production of chemical fertilizers has increased significantly. In recent years, the investment in the fertilizer industry has surged, and the production capacity of urea and compound fertilizers has increased significantly. Third, the supply of raw materials such as coal for chemical fertilizer production tends to be in balance, and the tension in logistics transportation is eased.

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