The global Urea market experienced significant developments during the third week of November, with fluctuations in pricing, regional demand shifts, and supply chain adjustments. This article highlights the latest trends and emerging opportunities, offering a comprehensive view of the market.
India: The Anchor of Global Urea Demand
India continues to dominate the global urea market, with its tenders acting as a stabilizing force for prices. Key insights include:
- CFR prices have held steady at $362/t, supported by robust government procurement strategies.
- Domestic sales slowed in November, with estimated sales at 3–3.1 million tons, slightly below last year’s levels.
- Over 340,000 tons were nominated for recent tenders, ensuring continued supply.
- India’s sustained demand highlights its critical role in balancing global trade.
Brazil: Oversupply Drives Prices Lower
The Brazilian market faced downward pressure due to oversupply after record monthly imports of 1.2 million tons in October.
CFR prices fell to $330-350/t, reflecting cautious purchasing activity and abundant stock levels.
Buyers are focused on managing existing inventories, leading to slower market movements despite available supplies.
Middle East Producers: Resilience Amid Softening Prices
In the Middle East, granular Urea FOB prices softened slightly to $340-350/t, yet producers remain hesitant to engage at lower levels.
Steady demand from India and existing commitments have helped stabilize prices.
The Middle East remains a key supplier, showcasing resilience amid fluctuating global demand.
Iranian Urea Prices
Iranian pricing remains competitive, with variations based on product form and packaging:
- Granular/Prilled, Bulk, FOB: $330/mt
- Granular/Prilled, 1-ton Jumbo Bags, FOB: $345/mt
- Granular/Prilled, 50 kg Bags, FOB: $365/mt
These prices position Iran as a significant player in the urea market, offering flexibility for diverse buyer requirements.
Global Outlook: What Lies Ahead?
The urea market is expected to soften further until mid-December, with recovery anticipated in Q1 2025. Key drivers include:
Upcoming Indian tenders and Southeast Asian demand, are projected to consolidate global demand.
Seasonal agricultural activity ramping up in major markets, further supporting price stability.
While regional oversupply and muted demand continue to create short-term pressure, the long-term outlook remains positive.
EGT Fertilizer: Your Reliable Partner in Urea Supply
At EGT Fertilizer, we take pride in offering high-quality urea solutions tailored to your needs. Whether you require bulk shipments, jumbo bags, or small packaging, our reliable supply chains ensure seamless delivery. Our portfolio includes:
- Granular and Prilled Urea
- Customized packaging options for diverse requirements
We’re here to help you navigate the dynamic urea market with confidence.
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