** Price fluctuations have a great impact on phosphate fertilizers

** The price fluctuations have a great impact on phosphate fertilizers. According to IFA statistics, China’s imports in 2009 accounted for 42.9% of the world’s trade volume. Analysis of the import situation of China's imports in the first half of the year, from January to July ** imports of 5.17 million tons, down 25.7% year-on-year. In March this year, **Port stocks were around 2 million tons, and most of them were stockpiles. And this year, domestically produced ** will increase supply of 700,000-800,000 tons, and there are already conditions to reduce imports. Therefore, since the spring, companies have reduced their purchases. By June, the price per tonne fell to 100 dollars, and in July it dropped to 80 dollars. But now prices have risen again, reaching US$170/tonne, and domestic prices have also risen from RMB 700/tonne to RMB 1,300/tonne.

Analyzing the current ** price increase, Ms. Qi Qi, Vice President of China Phosphate Fertilizer Industry Association, believes that the price reduction of ** has caused stock hoarders to enter the market again, and the composition of artificial speculation is very large. Accidents occurred at individual refineries in Taiwan and Iran, affecting production. Canada's Vancouver Port is also being overhauled, which makes the world's prices have risen. However, this round of upswing lacks strong support, because this year's increase in phosphate fertilizer is less than 1 million tons, and other industries have limited growth in demand. By the end of the fourth quarter, the smelter will also increase production, and the international supply will recover.

According to the demand forecast, the total consumption in the country in 2010 is about 12.5 million tons. This year's domestic production of ** is probably above 2.5 million tons. At the end of August, the number of ** stocks in various ports reached 2 million tons. There are still some low-priced ** arrivals in Hong Kong at the end of the month, and these factors determine that the price of ** must fall.