Central Florida: The Central Florida phosphate market continued its recent slow streak, depressed in part by end-users awaiting workable fertilizing conditions before making new purchases. With substantial snowpack still reported on the ground in many regions supplied by Central Florida, relief wasn’t immediately in sight. The planting season in Florida was said to be proceeding on schedule, however.
Limited truckloads of DAP were sold at a reported $460/st FOB, and a small number of railcar sales out the state were quoted at $450/st FOB. Mosaic’s posted price was steady at $450/st FOB, with MAP listed at $20/st FOB more.
Cold weather continued to wreak havoc on shipments into the Northeast and Midwest, with product moved by rail reportedly taking twice as long as normal to reach some destinations.
With heavy snowpack present in many Northeast locales, it remains to be seen what effect the accumulated snow will have on underlying soils still parched from long-term precipitation shortfalls.
Rainfall on the Gulf Coast shrank zones of pre-drought in Alabama and Florida, adding to precipitation totals reportedly at just 73 percent of normal through Mar. 1. Looking ahead, the Drought Monitor forecast five-day rainfall totals of 1 to 3 inches in the Deep South.
The price of DAP sold in Central Florida was unchanged at $450-$460/st FOB, based on actual transactions and Mosaic’s posted price. MAP was offered at a $5-$10/st FOB premium to DAP, though no transactions were found.
U.S. Gulf: The NOLA barge market saw prices continue to drift southward, while end-users pined for more favorable weather.
Early week transactions of $475-$480/st FOB were reported for DAP, while a confirmed sale of $485/st FOB was made late in the week. Rumors of $490/st FOB transactions were floated but went unconfirmed, and a barge offered at $484/st FOB drew no interest on Thursday.
MAP found a foothold for the first time in weeks, drawing renewed interest with transactions of $490/st FOB and $494/st FOB.
Sources attributed the slide in DAP prices largely to the weather, which remained “painfully cold,” as one source said, but few expected the decline to continue indefinitely.
“Prices are still hanging in there,” a source said. “Everyone knows spring is ahead of us, and everyone knows the (phosphate) in transit won’t get here before spring.”
Conditions on the river were difficult, with high water levels on the lower Mississippi River, low levels near St. Louis, and lots of ice. But transit improved somewhat as locks reopened for the spring in Wisconsin, northern Missouri, and southern Illinois. Rock removal at Thebes, Ill., now said to have reached 50 percent completion, was sporadic due to high water. The estimated completion time for repairs to the main chamber of the Melvin Price Lock was extended indefinitely from the previous June timeline.
Transit through Spanish Moss on the lower Mississippi was off limits during daylight hours, and Industrial Lock in the New Orleans area continued to experience delays of 25-30 hours.
The 4 p.m. snapshot of the commodities market on March 6 showed a sharp spike in corn and wheat prices resulting from uncertainty in Ukraine, while soybean futures were up as well.
For May 2014, corn was $4.91/bushel, up from $4.545/bushel in the previous report. The July 2014 price for corn was put at $4.9525/bushel, and trading of December 2014 corn contracts checked in at $4.8925/bushel, down from the previous week’s $4.61/bushel.
The May 2014 soybean price was $14.38/bushel, up from $13.90/bushel a week earlier. July 2014 soybeans were listed at $14.095/bushel. Soybeans for November 2014 were posted at $11.86/bushel, a rise from $11.555/bushel the week before.
Wheat for May 2014