Phosphates: Indian DAP stocks mostly steady

Indian DAP stocks were drawn down by the equivalent of one import cargo in January, according to Fertilizer Association of India (FAI) data, keeping stocks steady. But imports were very low, partly reflecting a lack of Chinese exports.

India produced 346,600t of DAP in January, FAI data show, down from 390,600t a year earlier. Imports were just 44,000t — a Saudi vessel — compared with 562,000t in January last year. Sales were down by 16pc to 417,900t from 499,300t a year earlier.

The stockbuild/stockdraw (production plus imports minus sales) was modest at a 27,300t draw. This implies that stocks are still 1.9mn-2mn t, as estimated by the Indian government.

Stocks have fallen continuously from August as sales have outpaced lacklustre imports. Stocks dropped by 2.2mn t in July-October last year.

Argus estimates February-March 2024 imports at nearly 540,000t, coming entirely from Saudi Arabia and Morocco and reflecting the lack of Chinese product owing to customs inspections and the onset of the Chinese domestic season. This compares with just over 700,000t of DAP imports in the same two months of 2023.

Looking at the fertilizer year to date (from April 2023), production is 5pc up at nearly 3.8mn t but imports have fallen by 13pc to nearly 5.1mn t. Sales have risen by 5.3pc to 10.1mn t.

By Mike Nash