China’s domestic phosphorus ore market continued to operate weakly and stably in January

1、 Price trend

According to the data monitoring of the business association, on January 9, the domestic phosphorus ore market was weak and stable. Based on several sample areas, the average ex factory price of 30% grade phosphorus ore was around 403 yuan / ton, which was basically the same as that at the end of 2019.

2、 Market analysis

Products: since winter, the domestic phosphorus ore market has been in a weak and stable operation state. During this period, some mining enterprises slightly reduced their prices or limited production to meet the market demand in the off-season. According to the data of the National Bureau of statistics, the total phosphorus ore production from January to November 2019 amounted to 84.66 million tons, a year-on-year decline of 3.0% (after correction). Moreover, with the approaching of the Spring Festival, mines around the country gradually stopped mining, Hubei, April Some enterprises in Sichuan are now in the phase of shutdown. Some enterprises in Guizhou also have maintenance plans before and after the Spring Festival. At present, the price of 28% ammonium phosphate ore in Yunnan is 275 yuan / ton; the price of 29% grade phosphate ore in Yunnan is 320 yuan / ton; the price of 30% ammonium phosphate ore in Guizhou is 340-360 yuan / ton; the price of 30% grade phosphate ore in Guizhou is 360 yuan / ton; the price of 30% Liushugou in Hubei in Central China The quotation of grade phosphorus ore is about 440 yuan / ton; the quotation of 26% grade high magnesium phosphorus ore in Mabian area of Sichuan Province is about 250 yuan / ton.

Industry chain: up to the 8th, the overall trend of domestic yellow phosphorus market is general, and the market trading atmosphere is light. In Guizhou yellow phosphorus market, the current mainstream transaction price is about 17000 yuan / ton; in Yunnan, the mainstream price is about 16400 yuan / ton; in Sichuan, the mainstream price is about 17000 yuan / ton. Downstream procurement enthusiasm is not high, wait-and-see mood is obvious. In the case of low start-up rate, yellow phosphorus spot is tight, near the end of yellow phosphorus adjustment space is still limited, it is expected that the future market will be stable.

3、 Future forecast

According to the analysis of the data division of the business association, the close of the year, the production suspension and production restriction of the mining enterprises, the limited order delivery and the weak downstream demand are expected. It is expected that the phosphorus ore market will be in weak and stable operation before and after the Spring Festival.