The Domestic Phosphate Rock Market Continues to Rise

Data monitoring shows that as of June 8, the average reference price of 30% grade phosphate rock in mainstream areas in my country is around 976 CNY/ton. Compared with June 1 (the reference price of phosphate rock is 910 CNY/ton), the price has increased. 76 CNY/ton, an increase of 7.33%.

It can be seen from the data monitoring chart that in June, after the Dragon Boat Festival, the domestic market for medium and high-end phosphate rock continued to surge upward. The spot supply of phosphate rock in the field was tight, and shortages were common. Large mining companies were reluctant to sell. Most of them are mainly for self-use, and there is almost no source of supply to the outside world. my country's domestic phosphate rock resources are non-renewable resources. Although the domestic phosphate rock reserves are huge, the proportion of medium and high-end grades is relatively small. Mining, medium and high-end phosphate ore raw ore is decreasing year by year. In recent years, under the environmental protection policy, the requirements for mining enterprises to start construction have also been continuously improved.

Therefore, in the short term, it will take time for the supply tension in the market to ease. At present, most of the mining companies that can supply to the outside world are mainly taking orders in advance, and the orders are mostly placed until the middle and late next month. As of June 8, the domestic market price of 30% grade phosphate rock in Guizhou is around 950-1030 CNY/ton, the market price of 28% grade phosphate rock is around 900-930 CNY/ton, and the market price of 23% grade phosphate rock is around 900-930 CNY/ton. The price reference is around 670 CNY/ton.

In terms of downstream yellow phosphorus, entering June, the domestic yellow phosphorus market is running down slightly as a whole. At present, most yellow phosphorus companies execute pre-orders. According to data monitoring, on June 8, the reference price of yellow phosphorus was 38,666.67 CNY/ton, compared with June 1 (39,166.67 CNY/ton), a decrease of 1.28%.

market outlook

At present, the overall supply of the domestic phosphate rock market continues to be tight, the overall downstream demand is stable and good, and the mentality of the industry continues to improve. The market is mostly high and strong, and it is necessary to pay more attention to the news changes on the supply and demand side.