New Year cheer for ammonia buyers as prices fall on abundant supply and softer natgas prices

The international ammonia market has begun 2023 in an overwhelmingly bearish mood given the amount of material available and significant slump in European natgas costs. Participants have suggested European import prices could slide sharply in the coming weeks, as major producers reduce their reliance on imports and focus on ramping up output. The bearish tone…

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Achema Lithuania to temporarily halt ammonia production from 19 December

Having restarted production at one ammonia line in early November, Achema will temporarily stop ammonia production on 19 December owing to rising gas prices. The producer will continue to produce ammonium nitrate and resin on both lines from stocks of ammonia. However, it is unclear how long this will continue. The 600,000t/year ammonia line had…

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PWNI falls further as India heavily influences most fob values

The conclusion of India’s recent purchasing inquiry resulted in 1.47m. tonnes of urea being booked for shipment by 22 December. The volume was higher than most expected to be booked prior to the tender. The greater volumes were likely triggered by the competitive price. Indeed, the tender solicited the second lowest offer levels since July…

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Chinese urea exports pick up during Q3: Competitive offers into India still shaping international urea values

The latest customs data from China has revealed that urea shipments are now starting to grow. Although the export controls that were introduced by the government in mid-October 2021 had previously reduced export business to negligible levels, the data has shown that urea exports during the third quarter are now at the highest levels seen…

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Global ammonia prices under downward pressure as surplus spot cargoes dent producers’ price targets

The international ammonia market is far longer than in previous weeks as overcapacity in the Americas, Middle East and Southeast Asia emerges fast and generates negative price pressure in key import regions. Many participants remain reluctant to divulge prices or price targets, but bearish sentiment is clearly the dominant position given the amount of spot…

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IPL India set to book 1.5m. tonnes following latest urea purchasing inquiry

India’s IPL has booked significant urea volumes following the conclusion of this week’s tender. The state agency has now started issuing LOIs for around 1.5m. tonnes of urea for shipment to 5 December, removing considerable availability from the market. Notably, the volume secured is higher than the total volumes booked during the previous two tenders…

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