Exports of ammonium nitrate at UZEX reach about 8,000 tonnes

The main producers of this market segment in Uzbekistan are Maxam-Chirchiq OJSC (Tashkent region) and Navoiyazot OJSC (Navoi city). These enterprises exported 5,900 tonnes of ammonium nitrate. From 2011, Fargonaazot OJSC (Ferghana city) started to participate in export trades, which did not export the product earlier.

The prices also decreased this year. During the first sessions, the average price for ammonium nitrate was at US$255 per tonne. In the end of July 2011, it fell to US$237. In the beginning of November 2011, the average price of one tonne of ammonium nitrate was US$236.6 (products of Maxam-Chirchiq). Supply term is FCA Boz-Su station. According to UZEX experts, the decreasing of prices shows that there is enough volume of supply in the market.

Uzkimyosanoat press service said that the projects on production of ammonium phosphate nitrate at Navoiyazot OJSC and Fargonaazot OJSC with total capacity of 180,000 tonnes. Investments to these projects made up US$2.4 million. The enterprises directed their own resources to the projects.

Last year, the enterprises of chemical industry produced about 600,000 tonnes of ammonium nitrate. The export of chemical product made up 144% to forecast. According to Kazakh-Zerno agency, Kazakhstan purchased 150,000 tonnes of ammonium nitrate in the past period of 2011 to meet demands of mining industry’s enterprises. About 90% of products were imported from Uzbekistan.

Kazakh agency said that the measures directed at supporting producers, reflected as low gas price and grants to producers, allow to cut prime cost of the Uzbek ammonium nitrate by 40-50%. Annually Kazakhstan produces 200,000-230,000 tonnes of ammonium nitrate, of which 60,000 tonnes used to agriculture sector, 40,000 tonnes to uranium production enterprises and other part is exported.