Fertilizer prices rise due to external effects

The wholesale price of urea fertilizer produced at the Phu My factory was VND8,800 per kilo, an increase of VND2,200 over earlier this month.

Urea fertilizer imported from China, Indonesia also increased in price and is selling at VND8,500.

The main reason for the price hike of fertilizer is the high export taxes imposed by China to ensure it has enough fertilizer for its own new crop. This leads to a decrease in global supply and forces the price of fertilizer in the region to go up.

To stabilize prices for the winter-spring crop, fertilizer manufactures should have a detailed production plan to reduce imports while still ensuring the domestic demand, said Nguyen Hac Thuy, vice chairman of the Fertilizer Association of Vietnam. – VOV

Tags: Vietnam fertilizer prices

Posted by VBN on Nov 29 2010. Filed under Fertiliser. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry