The price of ammonium bicarbonate is greatly affected by the price of urea. In the past, it was generally the same as the price of urea, but recently there has been a different trend. Since February, the ammonium bicarbonate market has been in good shape and prices have been steadily rising; while urea prices have mostly fallen. Currently, the mainstream price of ammonium bicarbonate is 650-720 yuan (ton price, the same below), and the high price is 750 yuan; the wholesale price is 700-780 yuan, and the retail price is 720-800 yuan. The urea factory prices in Shandong and other places are mostly in the 1920 to 1950 yuan, the actual ex-factory price has been low to 1910 yuan, down from the previous high of 50 to 80 yuan, more than 100 yuan.
The recent market trend of ammonium bicarbonate is stronger than urea. There are three main reasons:
The first is that the supply and demand balance of the ammonium bicarbonate market is better than that of urea. After the Spring Festival, the original urea manufacturers that had been waiting for the original car to stop gas production have to drive production, coal urea companies also maintained a higher operating rate, urea market supply increased; combined with the urea prices before the holiday season has been at a high level, the actual demand after the holiday is not as expected The price was forced to go down. The market demand for ammonium bicarbonate has shrunk, and a large number of companies have gone bankrupt or closed down. The companies that continue to produce are basically selling and producing, and the production capacity has been declining. The market has always been in a state of basic balance between supply and demand, and it supports prices. The second is the control of the ammonium bicarbonate market stronger than the urea market. Due to the low unit value and uneconomical long-distance transportation, ammonium bicarbonate is a typical real estate sales product. Manufacturers and distributors have strong control over the local market, so that the price of ammonium bicarbonate can be maintained at a relatively high level. Third, the output of ammonium bicarbonate enterprises is small and inventory pressure is small. In recent years, China's urea companies have generally grown to large-scale development. If companies do not sell well or if transportation is hindered, there will be a lot of inventory within a short period of time, and prices will have to be reduced. The ammonium bicarbonate enterprises are generally small-scaled, and their daily output exceeds 500 tons. Even if sales are not good in ten days and a half months, the company's inventory will not reach 10,000 tons, and it is not necessary to rush to cut prices.
With spring plowing imminent and high raw material prices, it is expected that the price of ammonium bicarbonate will remain high, but the price of urea will fall, and the prices of the two products cannot be separated from each other too far. Therefore, the price increase of ammonium bicarbonate will be hindered. On the whole, there is a high possibility that the ammonium bicarbonate market will post high consolidation.
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