Demand of DAP gone down due to the price increase and some other factors. It shows a depressing low phase of the DAP industry.
Recently Zuari Agro Chemicals Limited had shut down its Di-Ammonium phosphate (DAP) plants at Zuari in Goa. Similarly Tata Chemicals too had closed down its two units of Di-ammonium Phosphate (DAP) at Haldia plant in West Bengal. Though its reason of shutting is disruption in supply of phosphoric acid. These producers of DAP have a keen eye on market situation and as soon as it improves they will start production.
Global prices of DAP has started comong down. The government too has reduced its subsidy by about Rs 2,000 per tonne. On this scenario Fertilizer major IFFCO slashed-down the prices of Di-Ammonium Phosphate (DAP) by Rs 75 per bag (of 50 kg). After this, the rates will come down to Rs 1,125 per bag from Rs 1,200 per bag. Hopefully the other producers of DAP will also take the similar steps to make the market of DAP back on wheel.
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