China strikes back; oCP comfortable to year end; DaP/maP market lopsided

摘要

Chinese DAP producers are riding the crest of a wave of a surge in prompt demand in Pakistan, high urea prices, and reduced DAP availability due to production cuts, all of which has seen fob asking prices frm to $315-320/t fob. Netbacks from the larger deals in India and Pakistan still net $300-305/t fob but prices look likely to edge higher short-term as availability is very tight. At least two shipments to the US domestic market have further tightened availability. This rise in Chinese prices has also undoubtedly helped Saudi producers push prices higher in Pakistan and east Africa.