Chinese exporters seemed to face weak demand despite additional DAP and MAP availability last week. However this week situation changes a bit as Bangladesh and Ethiopia stepped in again. Three Chinese DAP cargoes were awarded in Bangladesh’s recent private-sector tender, while buyers in Pakistan, southeast Asia and Latin America show little appetite. Producers are reluctant to issue firm offers as they await more Bangladesh’s tender results and potential opportunities from elsewhere. The meeting between Narendra Modi and Xi Jinping may prove decisive for Chinese phosphate flows into India.

Meanwhile, major MAP producers secured about 100,000t for September-October export quota, but limited interest from southeast Asia, Australia and South America has stalled granular MAP offers.Without stronger Indian demand for DAP or Australian demand for MAP, Chinese exporters may struggle to find outlets unless they accept deeper price cuts. However, demand from India, Bangladesh and Ethiopia may provide another chance for these supply.