Bearish UAN sentiment continues on oversupply

摘要

Bearish sentiment continues in the UAN market due to oversupply. Market participants are still struggling to identify a price floor between enduser markets and from key suppliers. GrodnoAzot scrapped its May 25 tender for 30,000 mt with bids suggested some $20/mt lower than the current indicative range of $135-140/mt FOB. The producer said it is likely to retender. Egyptian producers and Achema/Acron will reduce production in the summer months via ongoing maintenance and market related cuts in UAN due to low prices. Some sources suggest EuroChem may apply a similar strategy.