The Outlook Urea Prices, markets & analysis
Our insights into regional The Outlook Urea markets are provided by our network of reporters based locally in those markets.
This enables us to provide in-depth price assessments and market coverage that are reliable and up-to-date on the very latest developments.
Use ICIS information to:
- See what’s driving prices
- Understand fluctuations
- Feed into your own analytical models
- Confidently negotiate deals
- Underpin settlements and contracts
The Outlook Urea news and market information products from ICIS
We offer the following regional The Outlook Urea coverage to keep you informed of factors and developments affecting prices in the Global The Outlook Urea marketplace.
Price Reporting – More information about the price reports we publish on The Outlook Urea
Independent price assessments and market coverage
Price History – More information about the historical price data we publish on Gas
Track historical price data
News & analysis
News & Analysis - News & market analysis specifically relating to The Outlook Urea
Breaking news of latest developments affecting the markets.
Insight and analysis of factors driving prices.
Domestic urea prices continued to fall in early April, on the back of the lower-than-expected award of India’s purchase tender. The overall operating rates in the domestic market remained high. Distributors and downstream industrial producers purchased cautiously, resulting in limited deals. Producers faced growing inventory pressure as a result.
The China urea market remained bearish in May. Urea prices in the northern parts of China generally fell to below yuan (CNY) 1,400/tonne EXW in the first week. Domestic prices remained on a downtrend on the back of urplus supply from high operating rates at domestic urea plants, a wait-and-see attitude among downstream distributors as well as limited export trade.
However, China’s urea prices rose significantly in early June. The largest increase was in Jiangsu, Shandong and Anhui, at about CNY100/tonne. Agricultural demand picked up in the northern parts of China. Downstream compound fertilizer producers were eager to purchase feedstock because of the production peak season. Market inventories were also low. In addition, market player were more active due to the talk of a new purchasing tender from India in mid-June. This led to a price increase in a number of regions.
Prices begin to decline slowly at the end of June, as the Indian tender was closed a lower price. In addition, agricultural demand was overall weak, operating rates were stable at domestic plants.
Updated to Q2 2014
Yuzhny urea prices were relatively steady during the second quarter of 2014, fluctuating in the range of $285-310/tonne FOB (free on board). While sales on an FOB basis were generally heard at the high end of the range, netbacks from CFR sales to Turkey and Latin America were at the lower end.
Yuzhny prices were at $290-300/tonne FOB at the start of April, and at $305-310/tonne FOB at the end of June.
Prices have been kept relatively firm by reduced production and export availability. Ukraine’s OPZ has only been operating one of its two urea lines since the start of April, meanwhile production at Ostchem’s Gorlovka and Severodonetsk facilities was halted in early May due to ongoing security risks in Ukraine.
Yuzhny availability could be further impacted moving into the third quarter. Russia’s Gazprom cut natural gas supplies to Ukraine on 16 June over the non-payment of debts. No impact has been seen on nitrogen production thus far, with Ukraine understood to have stocks accumulated. But there are expectations that production could be impacted moving forwards if no agreement is reached.
Updated to Q2 2014
US urea benefitted over the quarter from a very strong planting season where farmers had high levels of inputs for their crops, notable within corn and wheat applications in the Midwest and Southern Plains region.
Although urea was hampered by some of the logistical issues that impact movements of all fertilizer products due to winter conditions lingering, urea volumes were not seen as under pressure as deliveries stayed steady and left volumes readily available as agricultural producers’ demand increased over the first part of the season.
There was some thought during the quarter that urea usage might be boosted as farmers switched away from other nutrients, like ammonia, to urea in response to such factors as wet field conditions, but this never materialised as was once anticipated.
Pricing has shown signs of becoming firmer over the quarter in part to the increased levels of demand present early on but now are being fuelled by tightness in available supplies, especially volumes for necessary for refill.
The supply situation is not anticipated to improve until later in the summer when imported cargos start arriving. The market is relatively inactive heading into next month but as of now pricing levels have not shown further indications of any immediate decline.
Updated to Q2 2014
ICIS provides pricing information, news and analysis for all major petrochemical and chemical markets, including The Outlook Urea.
We offer unbiased and independent price reporting, with our price assessments being widely quoted as benchmarks in contracts.
Our information is collected from market participants by our global network of reporters, delivering unrivalled coverage of established and emerging markets, including China and Asia.
ICIS price assessments are based on information gathered from a wide cross section of the market, comprising consumers, producers, traders and distributors. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments, giving you a robust reference for your negotiations.
ICIS collects pricing data on a wide range of chemical, energy and fertilizer products, including The Outlook Urea. Our extensive experience in price reporting means we can offer you access to historical data dating back more than 20 years for certain commodities.
Our time series of pricing data enables you to build and model trends, to get a view of where markets might be heading. The data service includes charting functionality, allowing you to chart and download multiple data series for manipulation in your own internal models. You can also export data to Excel via the ICIS dashboard service.
ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
Our in-depth market knowledge drives our specialist focus, as we recognise the importance of individual market dynamics and not a one-size-fits-all approach.
Over 25 years of reporting on key chemicals markets, including Ammonia, has brought global recognition of our methodology as being unbiased, authoritative and rigorous in preserving our editorial integrity. Our global network of reporters in Houston, London, Singapore, Shanghai, Guangzhou, Mumbai, Perth and Moscow ensures unrivalled coverage of established and emerging markets.