Country Overview

Fertilizer Market

Fertilizer Prices

Market Comments

MAY 2019

Market Comments
Farmers are harvesting their crops, 80% of farmers have harvested their crops. Tobacco is one of the main cash crop in Malawi and farmers are selling at Auction Floors where tobacco is sold, but farmers are complaining that customers are buying at a very low price. Maize is being sold but also at a lower price.
Fertilizer sales volume and prices are decreasing, but NPK is selling more than Urea and CAN, as farmers have started cultivating irrigated crops which they mainly use NPK. This usually affects fertilizer sales in dry season.
1. In the Northern region of Malawi, fertilizer sales are very low compared to Central and Southern regions because it is lowly populated compared to the two. This region is also mountainous and land for cultivation is small.
2. In Central Region, NPK sales is high compared to Urea and CAN. Few farmers are cultivating irrigated crop especially in districts like Dedza where Irish potato is grown on large scale.
3. In Southern region, NPK sales is high. Farmers have started growing irrigated crops.



APRIL 2019

Market Comments
Crops have matured awaiting harvesting in many parts of the country especially maize and tobacco. There is high decrease in fertilizer sales in the market and prices have remained constant. A bumper yield is expected this year compared to last year despite the effects of Cyclone Idai which swept crops and even displaced people in Chikwawa, Nsanje, some parts of Phalombe and other districts. In all the three affected districts, most farmers grow irrigated crop on small scale.
Most smallholder farmers in the country do not use farm machinery which translates to low usage of fertilizer. Fertilizer prices are determined by the forces of demand and supply.
1. In the northern region, the sales volume has decreased and NPK is now on high demand as farmers are now preparing for irrigation farming. The region uses small volume of fertilizer as it is lowly populated, and it is mountainous.
2. In central region, farmers are busy preparing their lands and NPK is on high demand compared to Urea and CAN as farmers are buying NPK for irrigation farming.
3. In southern region, NPK sales volume is higher compared to CAN and Urea. Farmers are busy preparing their lands for cultivation. In this region many smallholder farmers grow crops twice a year compared to the other regions. In many parts in the region fertilizer prices remain constant.



MARCH 2019

Market Comments
In most parts of the country, maize crop has matured and drying up especially in the Southern region. There are low sales for fertilizers, as Farmers have started preparing for dry season farming. Tobacco is also being harvested. Some part of the country are experiencing heavy rains leading to destruction of crops.
1. In the Northern region, fertilizer sales are decreasing because many crops have matured, and the rains just ended. There is no significant change in fertilizer prices. As for NPK, there is increased demand and sale as the dry season is approaching where NPK is mainly used for irrigated crops.
2. In Central region of Malawi, the rains were heavy but not as destructive as in the Southern region. The demand and the sales volume of NPK is high leading to increased prices as farmers prepare for the dry season.
3. The Southern region was mainly affected by flash floods and there was destruction of crops. The demand and sale of NPK is high as farmers are preparing for the dry season where they mainly use NPK for irrigation crops.
The death toll inflicted by floods in Malawi has risen sharply to 56 following search-and-rescue missions in the most remote affected areas. Powerful tropical storm Idai is poised to bring more rain and flooding to the country, which is already reeling from recent weather. Four days of non-stop rainfall swelled the Phalombe River in Southern region of Malawi until it burst through a long dike built last year for protection. The water spread across a large area to surrounding villages. Apart from destroying lives, crops and property, the floods affected electricity generation, causing blackouts in the commercial city of Blantyre. Some roads and bridges were also washed away, cutting off road access to some areas.



FEBRUARY 2019

Market Comments
In general, there is a slight increase in fertilizer prices. There is good rainfall which has led to increased demand and sale of fertilizers. Last month Urea was fast selling but right now CAN is on high demand countrywide.
In the Northern region of Malawi, characterized by low population and mountains, there is no significant change in prices except for CAN which is on high demand now. The sales volume of Urea and CAN is high and low for NPK. The sale of NPK still on decrease and increased for UREA and CAN.
The Central Region, characterized by high population and flat lands, the sales volume of fertilizer is quite high. CAN is fast-selling with an anticipated shortage. In Dwangwa region, sales volume of NPK is very high leading to increased prices.
In the Southern region, Urea and CAN are still sold on high demand. The sales volume of CAN is very high because it mainly used for top dressing maize which has started producing cobs.



JANUARY 2019

Market Comments
The prices of fertilizer are almost the same in all three regions. The two fertilizers, Urea needed for healthy growth and CAN for increased yields, are the fast selling fertilizers in the market. NPK volume of sales has remained low. Fertilizers is being applied mainly on maize which is one of main crops grown in almost every region. In some other areas they use fertilizer for tobacco and rice farming. Rains usually begins in Southern region then to central and finally to Northern.
In the Northern region, Urea and CAN are on high demand resulting in increased sales volume in market while volume of sales for NPK has highly decreased. Apart from maize, farmers in Northern region also grow tobacco in large scale.
In Central Region, the volume of sales for Urea and CAN is very high. This is attributed to the large population of farmers in the region compared to Northern and Southern regions. This explains why the country rely on Central region for food security. NPK volume of sales is also high in some few areas in the region. The high demand of fertilizers in this region is also as a result of smallholder farmers and estates that grow tobacco which use high volumes of fertilizers. The prices are quite stable in some parts of the region.
In Southern region, the volume of sales for Urea and CAN is quite high compared to NPK because most famers in this region mainly grow maize.



DECEMBER 2018

Market Comments
The demand of fertilizers is high because farmers are currently planting. This has led to increased prices of fertilizers.
The government suspended fertilizer coupons few weeks ago because some beneficiary names were missing in the list but now it has resumed, and people are buying FISP fertilizer as usual.

 

 

 

 

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Sep-18 Oct -18 Nov-18 Sep-18 Oct -18 Nov-18
Biantyre com
Dwangwa com 21500 21500 20750 20500 20500 20000
Lilongwe com 22167 22167 22333 20233 20333 21667
Lizulu com 21000 21000 21500 19500 19500 20000
Mchinji com 22750 23000 23250 20350 20750 21250
Mponela com 19800 19800 22500 17800 17800 21000
Mzimba com 27500 25000 25000
Ntcheu com 20300 20300 20300 19800 19800 19800

NOVEMBER 2018

Market Comments
The FISP programme has started distributing fertilizer coupons for 2018/2019 planting season. As a result, there is increased demand of fertilizers by farmers which has led to increased fertilizer prices. Main reason for increased prices being that there are no controls of fertilizer prices in the country and
in the past, few coupons released that do not meet demand gives the agro-dealers a chance to hike prices. Fertilizer coupon cost MK15,000 for a 50kg bag and the farmer tops the remaining amount. The rainy season has started in some parts of the country and farmers are being encouraged to buy fertilizers in bulk. This is because 90-95% of farmers in Malawi grow rain-fed crops. Only a small number of farmers buy fertilizers during the dry season for their irrigated crops.

 

 

 

 

 

 

 

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Sep-18 Oct -18 Nov-18 Sep-18 Oct -18 Nov-18
Biantyre com
Dwangwa com 21500 21500 20750 20500 20500 20000
Lilongwe com 22167 22167 22333 20233 20333 21667
Lizulu com 21000 21000 21500 19500 19500 20000
Mchinji com 22750 23000 23250 20350 20750 21250
Mponela com 19800 19800 22500 17800 17800 21000
Mzimba com 27500 25000 25000
Ntcheu com 20300 20300 20300 19800 19800 19800

OCTOBER 2018

Market Comments
As the rainy season is approaching, one million 2018/2019 FISP coupons have arrived in the country ready for distribution. This year the government did not assign agrodealers to sale sell FISP fertilizer. The consignment will be given to suppliers. Still more fertilizer sales are on decrease since farmers have not yet started preparing for the rainy season activities. Prices remain constant and even decreasing in some shops to clear old stock.

 

 

 

 

 

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Aug -18 Sep-18 Oct -18 Aug -18 Sep -18 Oct -18
Biantyre com
Dwangwa com 21500 21500 21500 20500 20500 20500
Lilongwe com 22167 22167 22167 19400 20233 20333
Lizulu com 21000 21000 21000 19500 19500 19500
Mchinji com 22750 22750 23000 20750 20350 20750
Mponela com 19800 19800 19800 17800 17800 17800
Mzimba com 27500 27500 25000
Ntcheu com 20300 20300 20300 19800 19800 19800

SEPTEMBER 2018

Market Comments
There is more fertilizer in the market, but the demand is very low. NPK fertilizer is the one which is selling most but CAN and Urea. In the coming months it is expected that fertilizer demand will be very high because farmers will be preparing for rainy season. The farmers buy fertilizers early enough because there is anticipated increase in prices once the rains fall.


Sales trend (comparisons from June to July)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

Urea

Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Jul -18 Aug -18 Sep -18 Jul -18 Aug -18 Sep -18
Biantyre com
Dwangwa com 21500 21500 21500 19500 20500 20500
Lilongwe com 22167 22167 22167 19400 19400 20233
Lizulu com 20800 21000 21000 19500 19500 19500
Mchinji com 23250 22750 22750 19000 20750 20350
Mponela com 19700 19800 19800 17800 17800 17800
Mzimba com 27500 27500 27500
Ntcheu com 20300 20300 20300 19800 19800 19800

AUGUST 2018

Market Comments
Overall, fertilizer prices have been stable over this period with slight reduction in prices due to low demand in fertilizers with an exception of NPK which is mostly used by farmers on irrigated crops. This is mainly because during this season, farmers cultivated maize and vegetables on small scale.


Sales trend (comparisons from June to July)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

Urea

Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Jun -18 Jul -18 Aug-18 Jun -18 Jul -18 Aug-18
Biantyre com
Dwangwa com 21500 21500 21500 19500 19500 20500
Lilongwe com 22167 22167 22167 21067 19400 19400
Lizulu com 20800 20800 21000 19500 19500 19500
Mchinji com 23250 23250 22750 19000 19000 20750
Mponela com 19700 19700 19800 17800 17800 17800
Mzimba com 27500 27500 27500
Ntcheu com 21000 20300 20300 21500 19800 19800

JULY 2018

Market Comments
Malawi Kwacha and US dollar exchange rate is still stable that makes fertilizer prices also to be stable. The government oversees fertilizer purchase as most agro dealers have less capital


Sales trend (comparisons from June to July)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

Urea

Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type May -18 Jun -18 Jul -18 May -18 Jun -18 Jul -18
Biantyre com
Dwangwa com 21500 21500 21500 20500 19500 19500
Lilongwe com 21567 22167 22167 21067 21067 19400
Lizulu com 20800 20800 20800 19500 19500 19500
Mchinji com 23250 23250 23250 19500 19000 19000
Mponela com 19700 19700 19700 19500 17800 17800
Mzimba com 24000 27500 27500 27500
Ntcheu com 21000 21000 20300 21500 21500 19800

JUNE 2018

Market Comments 
Fertilizer prices are stable and even reduced because suppliers have more stock and agro dealers have no difficulties when buying fertilizers from suppliers since there is no congestion.
In some areas, farmers are buying fertilizer in bulk because the prices are fair. NPK is selling faster since it’s good for irrigation farming.


Sales trend (comparisons from May to June)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

Urea

 Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Apr -18 May -18 Jun -18 Apr -18 May -18 Jun -18
Biantyre com 20000
Dwangwa com 21500 21500 21500 20500 20500 19500
Lilongwe com 20633 21567 22167 19233 21067 21067
Lizulu com 21500 20800 20800 19500 19500
Mchinji com 22500 23250 23250 18100 19500 19000
Mponela com 19500 19700 19700 19500 19500 17800
Mzimba com 23500 24000 27500 27500
Ntcheu com 21000 21000 21000 20500 21500 21500

MAY 2018

Market Comments 

Farmers have started buying fertilizer for the dry season (irrigated crops) and in this season most farmers use NPK 23:21:0 + 4S. Some agro dealers have reduced their prices slightly to clear old stock while other prices are constant depending on the suppliers.


Sales trend (comparisons from April to May)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

Urea

 Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Mar -18 Apr -18 May -18 Mar -18 Apr -18 May -18
Biantyre com 20000 20000
Dwangwa com 21500 21500 21500 20500 20500 20500
Lilongwe com 19267 20633 21567 19500 19233 21067
Lizulu com 21500 21500 20800 19500
Mchinji com 22500 22500 23250 18100 18100 19500
Mponela com 20500 19500 19700 19500 19500 19500
Mzimba com 20500 23500 24000 27500
Ntcheu com 21500 21000 21000 21000 20500 21500

APRIL 2018

Market Comments 

Fertilizer prices remained constant due to decrease in sales and farmers have started harvesting. Later on the farmers will start preparing for irrigation. Fertilizer sales will increase when farmers start cultivating irrigated crops and the main crops cultivated in the dry season are maize and vegetables.


Sales trend (comparisons from March to April)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Urea

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Feb -18 Mar -18 Apr -18 Feb -18 Mar -18 Apr -18
Biantyre com 20000 20000 20000
Dwangwa com 21500 21500 21500 20500 20500 20500
Lilongwe com 19267 19267 20633 19500 19500 19233
Lizulu com 21500 21500 21500
Mchinji com 22500 22500 22500 18100 18100 18100
Mponela com 20500 20500 19500 19500 19500 19500
Mzimba com 20500 20500 23500
Ntcheu com 21500 21500 21000 21000 21000 20500

MARCH 2018

Market Comments 

There has been a decrease in fertilizer demand as the rainy season is expected to end in April. The demand is expected to increase in May as farmers begin the irrigation period.
Fertilizer Subsidy Programme has now been closed, a total of 12 companies were participated in the 2017/2018 FISP. 50% of the companies in the FISP are expected to make K46 million from recycled coupons. Some of the coupons were back on the market after they were submitted to the Logistics Unit, an entity sponsored by development partners to give checks and balances for the implementation of FISP.


Sales trend (comparisons from February to March)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Jan -18 Feb -18 Mar -18 Jan -18 Feb -18 Mar -18
Biantyre com 20000 20000 20000
Dwangwa com 21500 21500 21500 20500 20500 20500
Lilongwe com 19267 19267 19267 19500 19500 19500
Lizulu com 21500 21500 21500
Mchinji com 22500 22500 22500 19000 18100 18100
Mponela com 20500 20500 20500 19500 19500 19500
Mzimba com 20500 20500 20500
Ntcheu com 21500 21500 21500 21000 21000 21000

FEBRUARY 2018

Market Comments 

Fertilizer demand has decreased because many farmers have finished applying fertilizers. 2017/18 growing season experienced low sales on fertilizers because the economy is affected and many farmers don’t have enough money to buy fertilizer.
This year, Malawi experience low rainfall compared to the previous years and in many places crops have dried up. New government policies in fertilizer industry have really affected agrodealers as no agrodealer is allowed to sell fertilizer subsidy but only suppliers.


Sales trend (comparisons from January to February)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Dec -17 Jan -18 Feb -18 Dec -17 Jan -18 Feb -18
Biantyre com 19000 20000 20000
Dwangwa com 21500 21500 21500 20500 20500 20500
Lilongwe com 19783 19267 19267 19333 19500 19500
Lizulu com 21500 21500 21500
Mchinji com 22500 22500 22500 19000 19000 18100
Mponela com 20500 20500 20500 19500 19500 19500
Mzimba com 20500 20500 20500
Ntcheu com 21500 21500 21500 21000 21000 21000

JANUARY 2018

Market Comments 

Fertilizer sales were high and it was readily available in the market. There is more FISP fertilizer and the farmers who had opportunity to get coupons easily accessed fertilizer. In some depots, FISP fertilizers have been withdrawn because fertilizer coupons were finished.
The majority of the farmer’s did not receive fertilizer coupons since the government couldn’t afford to meet the demand.


Sales trend (comparisons from December to January)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Nov -17 Dec -17 Jan -18 Nov -17 Dec -17 Jan -18
Biantyre com 19000 19000 20000
Dwangwa com 21000 21500 21500 19500 20500 20500
Lilongwe com 19780 19783 19267 19833 19333 19500
Lizulu com 21500 21500 21500
Mchinji com 22750 22500 22500 19000 19000 19000
Mponela com 19500 20500 20500 20500 19500 19500
Mzimba com 20100 20500 20500
Ntcheu com 21500 21500 21500 21000 21000 21000

DECEMBER 2017

Market Comments 

Some suppliers continued to raise their wholesale prices since demand has been very high. Some agro-dealers also raised their prices. The rain has started and every farmer has been busy in the field. Fertilzer is being bought in bulk.

The volume of fertilizer for the whole FISP program is 90,000mt targeting 900,000 farmers and each farmer gets 2 coupons for two 50kgs bags of fertilizer. The volume of fertilizer to be supplied by private sector is 50,000mt and the Public sector is 40,000mt. The public sector comprises of ADMARC supplying 20,000mt and SFFRM also supplying 20,000mt. Maize is the only targeted crop for FISP program.


Sales trend (comparisons from November to December)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Oct -17 Nov -17 Dec -17 Oct -17 Nov -17 Dec -17
Biantyre com 19000 19000 19000
Dwangwa com 20000 21000 21500 19500 20000 20500
Lilongwe com 19450 19780 19783 18833 19833 19333
Lizulu com 21500 21500 21500
Mchinji com 22750 22750 22500 19000 19000 19000
Mponela com 19500 19500 20500 20500 19500
Mzimba com 25000 20100 20500
Ntcheu com 21400 21500 21500 20000 21000 21000

NOVEMBER 2017

Market Comments 

The rains have started in some areas. Fertilizer demand was high since farmers wanted to buy fertilizers before suppliers raise fertilizer prices.

Agro dealers have not been given a chance to sell subsidy fertilizers, but it will be sold by suppliers only.


Sales trend (comparisons from October to November)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 3 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Sep -17 Oct -17 Nov -17 Sep -17 Oct -17 Nov -17
Biantyre com 19000 19000 19000
Dwangwa com 20000 20000 21000 19500 19500 20000
Lilongwe com 19450 19450 19783 18833 18833 19333
Lizulu com 21500 21500 21500
Mchinji com 22250 22750 22750 19500 19000 19000
Mponela com 19500 19500 19500 20500
Mzimba com 25000 25000 20100
Ntcheu com 21400 21400 21500 20000 20000 21000

OCTOBER 2017

Market Comments 

There has been a slight reduction in fertilizer prices because of increase in fertilizer supply in the market as the rainy season is expected to start from late November to early December.

Fertilizer coupons for subsidy program for 8 districts are currently available for distribution. The coupon value for subsidized fertilizer this growing season will be 15,000 Malawi Kwacha.


Sales trend (Comparisons from September to October)

Towns

Fertilizer (commerciel)

Sales trend

Price trend

Ntcheu NP 23 21 0 + 4S

Urea

 Lilongwe NP 23 21 0 + 4S

Urea

Mponela NP 23 21 0 + 4S

 Dwangwa NP 23 21 0 + 4S

Mchinji NP 23 21 0 + 4S

Urea

 

Price trends over the past 2 months

NP 23 21 0 + 4S Urea 46%
MWK/ 50 kg bag Type Sep -17 Oct -17 Sep -17 Oct -17
Biantyre com 19000 19000
Dwangwa com 20000 20000 19500 19500
Lilongwe com 19450 19450  18833 18833
Lizulu com 21500 21500
Mchinji com 22250 22750 19500 19000
Mponela com 19500 19500
Mzimba com 25000 25000
Ntcheu com 21400 21400 20000 20000
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