July 5, 2024 | 15:47 GMT +7
July 5, 2024 | 15:47 GMT +7
Hotline: 0913.378.918
A worker wearing a face mask transports fertilisers for export at a port in Nantong, Jiangsu province, China January 31, 2020. Photo: China Daily via REUTERS
China is the world's biggest exporter of phosphate and a major supplier of urea, but since 2021 it has imposed measures including export quotas and lengthy inspection requirements on the fertiliser ingredients to cool domestic prices.
Urea exports plunged 24% to 2.8 million metric tons in 2022 from the year before and though higher this year, remain below the previous years' average level.
Phosphate exports were brisk earlier in the year but have also been throttled back in recent months, leading to a squeeze in global supply that has pushed up prices.
The Chinese government's growing intervention in the exports means the country will be an even less reliable supplier in 2024, said Josh Linville, director of fertiliser at brokerage StoneX Group Inc.
"Normally, market factors call the shots on what happens. Now, we have to try and figure out what the central government is thinking and its reaction can swing heavily from side to side. Buyers will have to diversify," he said.
U.S prices for di-ammonium phosphate (DAP), a global benchmark for the industry, have risen 26% since mid-July to $617.30 per ton, according to LSEG data.
"The limitations imposed by China are pushing up urea and di-ammonium phosphate prices, but we don't anticipate significant increases," said a senior official with a New Delhi-based fertiliser company.
(Reuters)
(VAN) McDonald’s in Australia has had to adjust its breakfast service hours due to an outbreak of bird flu that has forced the culling of about 1.5 million chickens.
(VAN) Most agricultural analysts will admit that when it comes to row crops, US farmers have an affinity for planting corn.
(VAN) The long arm of a new EU law on deforestation has met with resistance from the US but is poised to reduce agricultural emissions and biodiversity loss.
(VAN) Export prohibition on non-basmati white rice and broken rice and a 20% tariff on the parboiled variety are reasons behind dip
(VAN) Significant regional shifts are projected in the coming decade
(VAN) In less than a decade, Africa has become the source of about 40% of global greenhouse gas (GHG) emissions from agricultural development activities.
(VAN) Two cicada broods, Brood X and Brood XIX, have emerged and molted after years underground, showcasing some of the strangest life cycles on earth.