August 27 Phosphate Fertilizer Daily Review: Continuing Sulfur Price Declines Keep Phosphate Fertilizers in Weak Consolidation

 

According to Feidoodoo data, on August 27, the domestic 55% powder MAP price index was 4,371.25, down 0.06% from the previous working day; the 55% granular MAP price index was 4,450.00, unchanged from the previous working day; and the 58% powder MAP price index was 4,693.33, unchanged from the previous working day.

 

 

The domestic MAP market continued to operate weakly today. On the producer side, most plants are still fulfilling earlier orders. Market prices edged lower, trader quotations varied, and firm transactions remain subject to negotiation. On the market side, the wait-and-see atmosphere has not improved materially. On the demand side, some downstream compound fertilizer producers are mainly using raw materials stocked earlier and are maintaining only limited rigid-demand procurement. New-order transactions are limited, market sentiment remains cautious and deadlocked, and demand continues to be weak. On the raw material side, domestic sulfur prices continued to decline sharply today; port sulfur inventories remained relatively low overall; sulfuric acid prices remained weak; and the phosphate rock market remained under pressure. However, phosphate rock prices are still trading within a relatively high historical range. Continued declines in cost-side prices are affecting market sentiment, but cost support remains substantial. Overall, the MAP market is expected to maintain weak consolidation in the short term. Attention should focus on raw material price trends, the pace of autumn fertilizer procurement by downstream compound fertilizer producers, and the pass-through impact of geopolitical developments on costs.

 

 

According to Feidoodoo data, on August 27, the domestic mainstream 64% granular DAP price index was 4,571.67, unchanged from the previous working day; the 60% brown DAP price index was 4,700.00, unchanged from the previous working day; and the 57% DAP price index was 4,410.00, unchanged from the previous working day.

 

 

The domestic DAP market continued to consolidate in a wait-and-see pattern today. On the producer side, some producers are mainly shipping earlier contracted orders awaiting delivery. Their willingness to support prices remains strong, and firm transactions are subject to negotiation. On the market side, trading activity remains low, while the market atmosphere is deadlocked and subdued. On the demand side, there has been no material recovery and market deliveries remain slow overall. Although the autumn fertilizer procurement window is gradually approaching and transactions have improved slightly from earlier levels, actual downstream follow-up remains limited and large-scale procurement has not yet begun. On the raw material side, domestic sulfur prices continued to decline sharply today; port sulfur inventories remained relatively low overall; sulfuric acid prices remained weak; and the phosphate rock market remained under pressure. Continued declines in cost-side raw material prices are further affecting market sentiment, although costs continue to provide strong support. Overall, the DAP market is expected to maintain a consolidation pattern in the short term. Attention should focus on changes in raw material prices, downstream demand follow-up, and subsequent export policy adjustments.

 

 

According to Feidoodoo data, on August 27, granular sulfur at Zhenjiang Port was priced at 7,500 yuan/tonne, down 300 yuan/tonne from the previous working day; granular sulfur at Dafeng Port was priced at 7,450 yuan/tonne, down 300 yuan/tonne; powdered and lump sulfur at Zhenjiang Port was priced at 7,480 yuan/tonne, down 300 yuan/tonne; powdered and lump sulfur at Dafeng Port was priced at 7,430 yuan/tonne, down 300 yuan/tonne; solid sulfur in East China was priced at 8,700 yuan/tonne, unchanged; and liquid sulfur in East China was priced at 7,775 yuan/tonne, down 725 yuan/tonne.

 

 

The domestic sulfur spot market continued to move lower overall today. Both port and domestic sulfur markets faced downward pressure, while overall market sentiment remained cautious. On the port side, mainstream granular sulfur reference prices at Zhenjiang Port in the Yangtze River region continued to fall. Although the market has circulated rumors about the resumption of routine export declaration for phosphate fertilizers, buyers remained cautious due to the “buying on rises, not on declines” mentality. Sellers had to adjust quotations further to secure transactions.

 

The market atmosphere at Dafeng Port did not improve. End users maintained a calm wait-and-see attitude, port trading was scarce, and prices followed neighboring markets lower. Overall, port spot trading remained weak. Cargo holders continued to reduce quotations to stimulate sales, and prices may decline further in the short term.

 

Domestic sulfur prices also moved lower weakly. Major refineries in Shandong, North China, Northeast China and Northwest China continued to withhold quotations, while local refineries mostly lowered offers. The Shandong liquid sulfur market continued to decline, independent refinery auction prices fell further, and many auction lots failed to clear. Market sentiment remained weak, and downstream purchasing interest was average, with buyers mainly taking small volumes to meet rigid demand.

 

However, the market is not entirely without support. Sulfur port inventories are at low levels compared with recent years, and limited inventory buffers cannot effectively absorb fluctuations in arrivals. From a price-position perspective, current prices are in the middle range of the 60-day and three-month cycles, leaving relatively balanced room for short-term rises and declines. Overall, the market is balancing low-inventory support against continued pressure from weak demand. Without a clear bullish driver, prices are expected to maintain a weak and volatile pattern in the short term. Attention should focus on port arrival schedules, changes in operating rates in downstream phosphate fertilizer and sulfuric acid industries, and the effect of export policy developments on market sentiment.

 

 

August 27: In Anhui, 55% powder MAP delivered prices were quoted at around 4,380-4,420 yuan/tonne, lower.

 

August 27: In Northeast China, 55% powder MAP delivered prices were quoted at around 4,350-4,400 yuan/tonne, unchanged.

 

August 27: In Henan, 55% powder MAP delivered prices were quoted at around 4,350-4,420 yuan/tonne, unchanged.

 

August 27: In Hubei, mainstream ex-factory prices for 55% powder MAP were quoted at around 4,300-4,350 yuan/tonne, unchanged.

 

August 27: In Jiangsu, 55% powder MAP delivered prices were quoted at around 4,380-4,450 yuan/tonne, unchanged.

 

August 27: In Shandong, 55% powder MAP delivered prices were quoted at around 4,350-4,450 yuan/tonne, unchanged.

 

August 27: In Sichuan, 55% powder MAP delivered prices were quoted at around 4,300-4,350 yuan/tonne, unchanged.

 

August 27: In Yunnan, 55% powder MAP ex-factory prices were quoted at around 4,250-4,300 yuan/tonne, unchanged.

 

August 27: In Shaanxi, 60% DAP self-pickup ex-factory prices were quoted at 4,700-4,750 yuan/tonne, unchanged.

 

August 27: In Northeast China, 64% DAP self-pickup ex-factory prices were quoted at 4,550-4,600 yuan/tonne, unchanged.

 

August 27: In Hebei, 57% DAP self-pickup prices were quoted at 4,380-4,450 yuan/tonne, unchanged.

 

August 27: In Hubei, 64% DAP self-pickup ex-factory prices were quoted at 4,800-4,850 yuan/tonne, unchanged.

 

August 27: In Shandong, 64% DAP self-pickup warehouse prices were quoted at 4,900-5,000 yuan/tonne, unchanged; 57% DAP self-pickup terminal prices were quoted at 4,400-4,450 yuan/tonne, unchanged.