# Will high-cost animal feed phosphate producers survive th... - CRU Group

> CRU reports that years of stagnant demand and aggressive low-cost exports have consolidated the inorganic feed phosphate market. China's African swine fever epidemic has led to culls of an estimated 30-55% of its swine herd, cutting dicalcium phosphate demand and pushing Chinese product into export markets.

- Date: 2019-10-23 · published 2019-10-23T12:00:00.000Z
- Category: disease · region China · magnitude medium
- Page: https://feedsoft.ai/events/56880-will-high-cost-animal-feed-phosphate-producers-survive-th-cru-group
- Commodities: [Phosphate Rock](https://feedsoft.ai/c/PHOSROCK.md), [DAP](https://feedsoft.ai/c/DAP.md), [Meat & Bone Meal](https://feedsoft.ai/c/MBM.md)

## Why it matters

Reduced Chinese DCP demand and extra Chinese exports into Asia weigh on feed phosphate prices and force high-cost producers to close capacity. Recovery in livestock output could eventually restore demand.

## Read by commodity

- DAP: bearish ▼
- MBM: neutral

## Sources

- crugroup.com: https://www.crugroup.com/en/communities/thought-leadership/2019/will-high-cost-animal-feed-phosphate-producers-survive-the-cull/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.