Currently, domestic fertiliser producers, particularly Urea and DAP (diammonium phosphate) fertiliser producers, are taking advantage of optimistic signs in the fertiliser market.
This is confirmed by the Ministry of Industry and Trade at the press conference in August and in the first 8 months of 2015, held recently in Hanoi.
The report shows that in August 2015, the volume of Urea is estimated of 1,503,000 tonnes, down 20.4 percent from the same period in 2014 and the volume of NPK fertiliser is estimated at approximately 2,083,000 tonnes, up 6.9 percent from the same period in 2014; In particular, the urea volume of Vietnam Chemical Group is estimated at 417,000 tonnes, increasing 4.8 percent over the same period and the NPK volume of the group is estimated at 1,413,000 tonnes, down 6.7 percent compared the same period of 2014.
In the first 8 months of 2015, the estimated volume of urea reached 14,313,000 tonnes, up 0.7 percent from the same period in 2014; NPK about 16,754,000 tonnes, up 2.9 percent from the same period in 2014; in which Vietnam Chemical Group Urea output was estimated in the 8 months, 3,753,000 tonnes, up 9.1 percent from the same period of 2014, output of NPK estimated 11,853,000 tonnes, down 0.3 percent from the same period in 2014.
Imports of fertiliser in the first 8 months of 2015 increased by 15.7 percent in quantity and 14.2 percent in value over the same period of 2014.
In January, the urea fertiliser factories at Ca Mau and Ninh Binh temporarily inactivated their operations for routine maintenance. However, due to active production and storage, domestic fertiliser enterprises face no shortages; the decreasing fertiliser consumption is caused mainly by non-seasonal factors so the market buying power is weak, leading to a falling price of the fertiliser.
According to the Ministry of Industry and Trade, responding to the adjusted Chinese yuan to boost export competitiveness on world markets, the State Bank of Vietnam has relaxed exchange rate band to +/- 3 percent and increased the rate by 1 percent, equivalent to an increase in the maximum price by 5 percent, which is a difficult challenge for importers in general and fertiliser importers in particular.
With the current fertiliser market, the the Ministry of Industry and Trade stated that the domestic fertiliser producers, particularly the Urea and DAP fertiliser factories, are taking advantages. It is forecast that the fertiliser market in the future will set a new price with favourable trends for domestic fertiliser producers.
L.C
Vietnamese
