Adds element, costs
BEIJING, June 28 (Reuters) – China’s state planner mentioned on Monday it was launching an investigation into the urea market, after costs of the fertiliser have surged.
The probe is the newest motion taken by the Nationwide Improvement and Reform Fee (NDRC) to chill worth positive factors for main uncooked supplies.
The NDRC just lately despatched a staff to the Zhengzhou Commodity Trade in addition to some urea manufacturing and distribution corporations and retailers to be taught extra in regards to the provide and demand of urea and costs, it mentioned in a press release on its official WeChat account.
The Fee will “strengthen market supervision and resolutely crack down on hoarding, worth hikes and fabricating and disseminating data on worth will increase” to keep up market order and the secure costs of fertilizers and different agricultural supplies, it mentioned.
Urea costs have risen to a report amid decrease output, excessive power prices and surging demand each at dwelling and abroad.
Costs jumped 9% within the first 10 days of June to a report 2,674 yuan ($413.88) per tonne, in keeping with the Nationwide Bureau of Statistics.
Probably the most actively traded urea contract CURcv1 on the Zhengzhou alternate fell 3% on Monday morning to 2,248 yuan.
The NDRC has just lately launched market probes into coal and iron ore, after the nation reported its highest producer inflation in additional than 12 years.
($1 = 6.4608 Chinese language yuan)
(Reporting by Dominique Patton; Modifying by Kim Coghill and Christian Schmollinger)
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