22 August 2008 11:21 [Source: ICIS news]
LONDON (ICIS news)--A lack of buying from India and Brazil has prompted Black Sea prilled urea prices to tumble $20-25/tonne (€13-17/tonne) this week, market sources said on Friday.
With no physical business taking place and traders sensing further weakness to come, the key benchmark ?xml:namespace>
Over the last two weeks,
However, the absence of actual urea buying or a tender announcement has contributed to the current bearishness in Yuzhny.
With prices softening, Indian buyers are encouraged to remain absent for the time being, despite requiring substantial tonnage in the short to medium term.
Alongside this, the Brazilian market is extremely quiet, with high inventory levels and low end user demand.
As a result of these two factors, traders are not willing to buy urea at the level producers are offering, as there is no obvious market where this product can be sold into at these prices.
($1 = €0.67)
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