At this time of the year, the northeastern market's chemical fertilizer winter storage has usually begun, and most of the brand manufacturers also have their targeted market. However this year, due to the rising cost of raw materials since the beginning of the autumn and factors such as the decline in production capacity caused by environmental protection, the winter storage market is extremely unstable and unclear, especially the confusing export situation before and after the National Day.
Some small and medium-sized agricultural resource dealers in the three northeastern provinces and northwest and north China are still watching the market in general. They will be more cautious when dealing with winter storage fertilizers this year. The current market price of urea and phosphorus and potassium fertilizers is different from previous years and the cost is rising, making downstream dealers even more sensitive. What's more, large dealers have not yet fully started, which has become a reason for small and medium-sized dealers to wait and see.
Given the current situation, China's fertilizer manufacturers are also facing problems. At present, many manufacturers are analyzing the winter storage plan. They are more serious about analyzing the market and more cautious about prices than last year. Many manufacturers have started to limit production, so as to avoid business risks. The winter reserve is not very active. It is expected that when spring farming in 2019 starts, farmers will purchase large quantities of spring-fertilized fertilizers, and China's fertilizer market will face severe challenges.
Source: Business community