U.S. Gulf/Tampa: The Tampa and NOLA markets remained quiet again last week.
U.S. anhydrous ammonia imports in May were down 21 percent, according to the U.S. Department of Commerce, dropping to 488,113 st from the year-ago 618,804 st. July-May imports were off 22 percent, at 5.18 million st from the year-ago 6.64 million st.
August NYMEX continued to fall last week, closing July 10 at $4.120/mmBtu, compared to July 2’s close of $4.357/mmBtu.
Eastern Cornbelt: At least three tornados were confirmed in northeastern Ohio on July 8 as strong thunderstorms moved across the state. The storms did some structural and crop damage, but no injuries were reported.
Crop conditions remained favorable in the Eastern Cornbelt in early July, thanks to plentiful rains that left all three states in drought-free status last week. USDA placed 75-80 percent of the regional corn crop in the good or excellent categories last week, along with 70-75 percent of the soybeans.
Sources reported minimal changes to the fertilizer markets last week.
The anhydrous ammonia market remained at $580-$650/st FOB in the region, depending on location and time of delivery.
Western Cornbelt: Anhydrous ammonia was steady at $570-$615/st FOB in the Western Cornbelt, with delivered tons from southern production points quoted in the low $600s/st in Missouri.
At least 11 tornadoes were reported in Iowa on July 6, with confirmed sightings across a range of locations in northern and central areas of the state. The storms also brought heavy rainfall to some areas, followed by hot, muggy weather for much of the rest of the week.
USDA assigned good or excellent ratings to fully 76-81 percent of Missouri’s corn and soybeans last week, compared with 73-76 percent in Iowa and 72-73 percent in Nebraska. Missouri’s rice crop was 65 percent good or excellent with 5 percent of the crop headed by July 5, while cotton acres in the state were reported at 58 percent good or excellent.
The U.S. Drought Monitor continued to show rapidly diminishing drought conditions in the region last week, with only abnormally dry to moderate drought conditions reported across central Nebraska and western Missouri. Iowa was essentially drought-free in early July.
California: Effective July 1, Calamco’s ammonia postings in California fell to $655/st DEL for anhydrous and $179/st FOB for aqua, down from the company’s previous list prices of $720/st DEL and $195/st FOB, respectively.
California posted its third driest water year on record on June 30, with measuring stations across the state reporting just 38-53 percent of normal precipitation since July 1, 2013, depending on location. This follows the state’s 17th driest water year for the 2012/13 season, and the 19th driest for the 2011/12 season.
As a result, the U.S. Drought Monitor continued to show extreme to exceptional drought conditions present across roughly 75 percent of the state, with only a portion of southern California falling in the lesser “severe” drought category last week. The drought has also contributed to an active and early wildfire season in the state.
Gov. Jerry Brown issued an emergency drought proclamation in January, and followed that with an executive order in April to establish voluntary water restrictions in the state to cut usage by 20 percent. The State Water Resources Control Board, however, will consider draft emergency regulations in mid-July requiring urban water agencies to implement mandatory restrictions on outdoor water use.
The restrictions would not impact agriculture or indoor water use, but the board said it will consider additional steps as the drought continues. The board has already adopted a different se