Overcast and salty prices of raw salt rise

Affected by continuous rainfall since August, the output of sea salt and autumn salt in Shandong, Hebei, and other places drastically decreased, increasing the subject of price speculation. The sea salt market showed an upward trend, and wells and minerals also went up. In Weifang City, Shandong Province, which is known as the nationwide salt price indicator and barometer, the current price of qualified salt is 245 yuan (ton price, the same below), which is about 40 yuan more than that in July, and the market outlook continues to rise. sign.
In August, Shandong Binzhou, Dongying, Weifang and other salt-producing areas continued to reduce heavy rain. From August 1st to August 12th, Kenli County in the original salt production area of ​​Dongying suffered continuous rainfall. The rainfall in the northern salt region reached 330 mm. The damage to the dam of Dongying Jinrun Salt Chemical Co., Ltd. was severe, and 2,500 acres of crystallized pool appeared fresh water inflow. Dissolve 10,000 tons of original salt, dilute 200,000 cubic meters of high-grade brine, and reduce 50,000 tons of original salt in the county. In Weifang, the largest sea salt production base in the country, Qi Limin, secretary general of the Weifang Salt Association, briefed the reporter: In the middle and late August, continuous precipitation in Weifang increased Weifang's precipitation by 14.2 mm year-on-year, and accumulated evaporation amounted to 1156.5 mm, a decrease of 221.9 mm year-on-year, resulting in brine. Severely weakened.
September is the time when salt and salt are sun-dried, but since September 4th, continuous rains and partial rains have started in most parts of Shandong, and there is no way to salt. And if you have passed the frost and solar season and you have frost at night, you can't even salt out. Since it is estimated that there will be only one week or so of sunny weather throughout September, it is estimated that the salt production in autumn will be reduced by about 20%, and the lack of production for the whole year will be a foregone conclusion. The reduction in output will be about 15%. The output of autumn salt accounted for 1/3 of the annual salt output. The sharp drop in production of autumn salt will have a significant impact on the price of raw salt in the market.
Shandong Weifang has an annual salt production capacity of 16 million tons, accounting for 50% of the country's sea salt production, and accounts for 1/4 of the country's total salt production. Qi Limin said that as of the end of July, Weifang City produced a total of 7.6 million tons of raw salt, a year-on-year decrease of 9.3%; sales of raw salt was 8.76 million tons, an increase of 10.9% year-on-year; inventory of raw salt was 5.1 million tons, a year-on-year decrease of 13%. According to the analysis, the increase in sales of crude salt was due to the production of new capacity for “two alkalis” and the demand for raw salt increased. It is reported that this year China will add 5.975 million tons of caustic soda and 2.3 million tons of soda ash. Shandong is a large salt-producing province and is a “two-alkali” producing province. About 70% of the produced salt is used by the province. In the second half of this year, new caustic soda production capacity in Shandong Province is concentrated and the new production capacity is at least 1.2 million tons, and most of these new production capacity are. Concentrated in the Weifang and Dongying areas of the sea salt production area, the demand for raw salt will increase by 2 million tons, which will continue to drive the rise in salt prices.
The impact of rain on the production of crude salt, absolute demand growth, coupled with the increase in the cost of production of salt companies in the past two years, the superposition of multiple factors, pushing up the price of crude salt, inventory significantly reduced. The expectation value of the salt industry for salt companies has increased, resulting in reluctance to sell and wait-and-see psychology, which in turn has promoted salt price speculation and accelerated the rate of salt price increase. The reporter learned from the survey that Shanxi Lishe Chemical Co., Ltd. wanted to buy sea salt in Shandong for a taxable price of 380 yuan, and some salt owners were reluctant to sell it. The person in charge of Shouguang Bohai Development Co., Ltd. told reporters: "In the future, it will be able to rise by tens of dollars again."
Affected by sea salt, wells and minerals in some areas have also been raised. As the price of coal continues to be high, well mineral salt producers have been operating at a loss. Haiyan enterprises are reluctant to sell, and the ex-factory price has risen significantly, driving the market price of wells and mineral salts for individual export markets. The ex-factory price of Jiangxi Jingxing Salt is between 250 and 260 yuan (including tax). Liu Jianguo, sales manager of Jiangxi Jingjing Salt Chemicals Co., Ltd., Jiangxi's largest well mineral salt production company, told the reporter that the production of well mineral salt production enterprises is large. The company’s output is 4,000 tons a day. It is not possible to sell or sell like Haiyan, but it is restricted. In terms of production costs, it cannot be transported over a long distance. Although there is an increase in intentions, the transaction price cannot be increased. Because of this, after the price of sea salt in Hebei rose, the sales volume of salt in Hebei and surrounding wells increased, which restricted the price of sea salt in Hebei Province to continue to rise, and the trend of sea salt market was temporarily consolidating.
Qi Limin reminded salt companies to adhere to rational marketing, from the perspective of long-term interests, to maintain a reasonable and stable salt price, prevent ups and downs, reasonable pricing, and prevent salt prices from increasing too quickly, and the negative effects of excessively high prices. Continuous rainfall caused a reduction in raw salt production, which increased the speculation of salt prices. Under the background of global warming, the severe and extreme weather will increase in the future, which also reminded the “two alkali” companies to build up a solid reserve by increasing raw salt reserves. The supply channel is an effective measure to cope with salt price fluctuations and prevent salt speculation in the future. It is understood that Haihua Soda Ash Factory and Dongying Jinmao Textile Chemical Group have increased their reserves of raw salt.

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