Latest FOB International Fertilizer Prices – updated at September 2018

Fertilizer Price Trends

INTERNATIONAL MONTHLY AVERAGE PRICES FOR SELECTED FERTILIZERS

 

NUTRIENT FERTILIZER SEP-17 OCT-17 NOV-17 DEC-17 JAN-18 FEB-18 MAR-18 APR-18 MAY-18 JUN-18 JUL-18 AUG-18 1 MONTH 1 YEAR
N Urea (granular, Middle East) 237 256 239 231 243 260 246 231 220 238 258 278

8%

17%

N Urea (granular Indonesia/Malaysia) 249 282 274 246 259 273 268 261 248 261 281 287

2%

16%

N Ammonium Sulphate (China) 108 112 116 113 115 117 117 112 113 115 117 118

1%

10%

N Ammonia (Yuzhny) 202 243 296 322 330 290 264 226 226 243 261 297

14%

47%

P DAP (Russia Baltic/Black Sea) 328 338 357 363 374 388 395 394 396 409 415 426

3%

30%

P MAP (Morocco) 342 356 373 383 386 411 418 418 410 413 439 436

-1%

27%

P TSP (Tunisia) 301 283 293 295 295 295 295 298 314 325 335 346

3%

15%

K MOP (Israel) 251 251 252 253 260 262 270 273 268 275 279 276

-1%

10%

K SOP (in € North-West Europe) 434 428 420 420 420 420 420 424 425 425 435 435

0%

0%

NPK NPK 15-15-15 (Baltic/Black Sea) 236 239 249 254 250 246 250 249 252 260 263 265

1%

12%



10 YEARS – 3 FERTILIZERS UREA/DAP/MOP

For more detailed information and data, visit www.argusmedia.com

Argus Media Ltd is the source of the data, on which IFDC bases the above calculations

Fertilizer Market Comments

FERTILIZER PRICE COMMENTS FOR AUGUST 2018


NITROGEN

Middle East urea moved above $300/t fob in late August for the first time since July 2015, demonstrating the fundamental strength of the market. Prices were not jumping, but there are several more months of firming to come. Producers in all regions registered gains in fob prices with each sale, despite relatively slow demand in Brazil and, especially, Turkey. Tight supply for September pushed Baltic prilled urea to $280/t fob. Traders bought Algerian urea at $310/t fob for October and Saudi product at $302/t fob. Attention was turning to Chinese export availability ahead of tenders for 450,000t of urea in Bangladesh, which were already pushing up prices; Chinese granular urea sold at $294-296/t fob for September Traders have started to buy for October shipment, paying higher prices than for September. High demand from Bangladesh was likely to push up prices in Asia. Ethiopian demand would add support.

 
 
Algeria
AOA was reported to have sold 40,000t of granular urea at $310/t fob for October shipment, plus a further 40,000t to be priced under a formula. Sorfert loaded about 71,500t of urea for export in August. It has sold 5,000t of granular urea at $310/t fob for September shipment and claims to be almost 80pc sold for the month. It also targeted $315/t fob for remaining September tonnage. Koch fixed a vessel to load 50,000t of granular urea in Arzew 8-10 September for Vitoria and Rio Grande at just under $20/t..

Burkina Faso
Sofitex was to hold a tender on 4 September for 21,250t of urea, plus NPKs and MOP to cover its requirements for the 2018-19 crop year.

East Africa
Keytrade sold 30,000t of Middle East granular urea early august to Meridian for September shipment.

Egypt
Abu Qir held tenders on 28 August to sell 25,000t each of prilled and granular urea for second half September shipment. It sold 25,000t of granular urea at $305/t fob and 25,000t of prilled urea at $286/t fob. Other producers were moving to sell their remaining September tonnage and aimed for a minimum of $305/t fob for granular urea. Alexfert had about 15,000t to sell and Helwan 25-30,000t. Traders begun to inquire for granular urea for October shipment from Egypt, but producers were reluctant to sell so far forward. Mopco however was offering October shipment at $310/t fob.

Ethiopia
EABC announced that its annual tender for urea and NP fertilizers for the 2019 cropping season will close on 19 September. Tender documents have still to be issued, but the requirement will be 500,000t of granular urea and 625,000tof NPS fertilizers. Shipment dates were specified as October2018-January 2019. Limited finance meant that Ethiopia scrapped the initial tender or 550,000t of urea it held in September 2017, eventually buying 150,000t in December and 400,000t in March-April this year, for prompt shipment.

Tanzania
Indorama’s next spot availability is for second half October loading. A trader will load 40,000t in first half October, bought two weeks ago above $305/t fob, and another buyer will load a formula-based cargo in October.

Nigeria
A requirement for 30-40,000t of prilled urea existed for Ivory Coast, Ghana and other markets, but went unfulfilled because importers were unwilling to pay $260/t fob or higher for prilled urea from the Baltic.

 


PHOSPHATE

The phosphate market remained a tale of two hemispheres. In the east, the market plateaued, with an ever-depreciating Indian rupee pegging back Chinese attempts to maintain DAP fob levels close to $420/t fob. Whilst in the west, Brazil breached the $460/t cfr level for MAP. The US still looked short. In India, every distributor responded to the rupee crisis by raising the MRP yet again, this time to Rs26,800/t, which meant imports at $428-429/t cfr break even with the rupee at around Rs70.80 to the US dollar. But the continued slide in the rupee late August raised the prospect of more MRP hikes, destroying more demand in the process in a vicious circle.
Chinese producers were not worried yet. Much of their September output was committed or with traders at $415-417/t fob. With Bangladesh and the domestic season mopping up phosphates, next month looks stable for export prices. A firm raw material market and the appreciation of the Chinese yuan are two more reasons for Chinese producers to hold firm. But there are several traders who were long on Chinese DAP. The outlook was firm west and flat east. The lack of Saudi MAP headed to Brazil and the window closed for Chinese MAP suggests limited buying options for Brazil in September.

 
 

Ethiopia
Ethiopia has announced that its annual tender for NP fertilizers will close on 19 September.
Tender documents have still to be issued, but the fertilizers required were said to be as follows:
• 450,000t 19-38-0+7S+0.1B
• 100,000t NPS 19-38-0+7S
• 75,000t 18-36-0+8S+2.2ZN+0.1B
Shipment dates were specified as October 2018-January 2019.

Morocco
OCP was understood to have one of its phosphoric acid lines down – the impact on granulation had yet to be established. But the outage means an excess of 250,000t of sulphuric acid which means the producer is covered for its acid requirement to year end.

Senegal
Indorama was to carry out 20 days’ maintenance at its DAP/NPK plant beginning in September.
The 250,000 t/yr DAP/NPK fertilizer plant is in Mbao, near Dakar. Most product is delivered to West African markets. The producer has a raw material phosphoric acid complex at Darou, around 150km east of Dakar. This has a capacity of 600,000 t/yr and will continue to run normally. Most acid is shipped to India under contract.

Tunisia
GCT targeted 40,000-45,000t of DAP sales into Europe (mainly Italy, southern France and Mediterranean Spain) in the mid-$450s/t fob for September loading. Some DAP quantities were being delivered to Libya under formula pricing and to the domestic market.

 

POTASH

Granular MOP prices were up in all the key buying regions. Brazil prices rose for the fourth consecutive week, as demand was strong and supply still relatively tight. Europe was still quiet in terms of demand, but suppliers were unwilling to drop offer levels there, knowing that netbacks were stronger elsewhere, and some buyers were securing tonnages early. Granular MOP prices in Vietnam also rose in late August, in line with the rest of the world.
BPC and IPL agreed the first major contract for 2018. BPC will supply IPL with around 700,000t of standard MOP at
$290/t cfr with 180 days of credit. India’s MRP was likely to rise to around Rs19,000/t, leading to a modest erosion of demand for MOP

Egypt
Evergrow is fully booked on its standard SOP until the end of September, and until the end of October for granular MOP. The SOP producer previously said it was fully booked until the end of August on all but its water-soluble SOP, but continues to experience high demand.

Eritrea
The Eritrean government’s environment department has confirmed its acceptance of the finalized social and environmental management plans for the Colluli SOP project, Australia’s Danakali said this week. Danakali said the acceptance represents a “strong milestone” for the project, which is a 50:50 joint venture between the Australian firm and the Eritrean National Mining Corporation. Danakali expects SOP production to begin by the first half of 2021. But it also has said that the forecast is “conservative” and that production could start before the end of 2020. The company is targeting output of 472,000 t/yr of SOP in the project’s first phase, doubling to 944,000 t/yr in the second.

 
 

 


Notes

Copyright Notice

All intellectual property rights in the data and other information published on this page are the exclusive property of Argus, and/or its licensors, and/or IFDC (where applicable) and may only be used under licence. Without limiting the foregoing, by reading this page you agree that you will not copy, reproduce any part of its contents in any form or for any purpose whatsoever without the prior written consent of Argus. All rights reserved.

Trademark Notice

ARGUS, ARGUS MEDIA, the ARGUS LOGO, ARGUS Publication titles and ARGUS index names are trademarks of Argus Media Ltd. Visit www.argusmedia.com/trademarks for more information.

Disclaimer

IFDC obtains data from Argus Media under licence, from which data IFDC conducts and publishes its own calculations set out in the tables and graphs on this website. Argus makes no warranties, express or implied, as to the accuracy, adequacy, timeliness, or completeness of its data or IFDC’s calculations, or fitness for any particular purpose. Argus shall not be liable for any loss or damage arising from any party’s reliance on Argus’ data or IFDC’s calculations, whether published on this page or otherwise, and disclaims any and all liability related to or arising out of use of the data and/or calculations to the full extent permissible by law.