2024.10.121-2024.10.25 Weekly summary of feed grade phosphate products
2024.10.121-2024.10.25 Weekly summary of feed grade phosphate products
Raw materials: The sulfuric acid of Yunnan Tin Industry decreased by CNY30 per ton this week, and they intend to suspend production for maintenance next month. One of main stream sulfuric acid producer Yunnan Chihong Zn & Ge increased their sulfuric acid by CNY23 per ton due to their supply bidding. Yunnan Copper’s new plant had produced the standard sulfuric acid this week, but not with full capacity so their price keeps stable with last week. At present the supply of sulfuric acid in Yunnan area is gradually increasing and there’re some sulfuric acid from Guangxi area sales to Yunnan area, so the tight supply situation is eased. There’s no change for the solid sulfur price this week and expected the price of sulfuric acid in Yunnan area is keep stable next week.
On the demand side: The transaction is cooling down and the procurement decline this week. The customers hold the “wait and see” for the price in later period.
Supply and operating rate:
DCP: The operating rate has been increased much compared to last week, the mainstream large factory in Yunnan who was shut down before resume production this week, but due the current cost their production capacity is not full. The other factories hold the wait and see for the price of sulfuric acid in later time and also maintain reduce production capacity.
MDCP and MCP: One of mainstream producer of MDCP in Yunnan will suspend production for maintenance for 30 days in next month, and one of production line of Guizhou producer is also under maintenance, couple with there’re sufficient pending orders previously for producers, so the market supply would be tight.
Forecast: The price of DCP might remain at current level for the producers, but might decline with a little range for the trading companies. So expected that there will be a state of supply-demand deadlock.
