India’s Urea consumption has strongly moved the global market in the final quarter with shipments up by approximately 50 percent from April through July 2020. Analysts believe that favorable demand and desirable weather conditions have given a strong push to its Urea consumption in the final quarter.
India state procurement agencies have reported that India has bought about 2.8 million tonnes of Urea via five tenders since April from a leading North American fertilizer manufacturer. The sixth one is expected to close on 10 August. India’s Rashtriya Chemicals & Fertilizers is expected to close a several thousand tonnes import tender also on 10 August for shipment by mid-September. RCF was looking forward to purchase about 1 million tonnes, but there is still a doubt whether the whole quantity can be shipped amid the global supply tightness.
Looking at stronger than usual Indian demand and limited stock availability, it is being anticipated that the global Urea market will continue to move upwards in the coming months. Urea prices were also seen jumping almost by USD 20 per tonne within this quarter tracing the global trends.
Source : ChemAnalyst