Central Florida:
Truck-loaded DAP postings moved up to $580/st FOB at Central Florida, sources said, increasing from the week-ago $570/st FOB. MAP maintained a $25/st premium at $605/st FOB, lifting from $595/st FOB last week.
U.S. Gulf:
NOLA barge values continued to move higher for the week, supported by ongoing supply tightness and persistent strength in the corn market.
DAP barges were reported trading at a $570/st FOB low for tons loading in the May-September window. Concluded pricing was seen moving up to $575/st FOB on May 11-13, with prompt-loading barges heard changing hands up to $580/st FOB.
NOLA MAP barges pressed higher as well, with May-September offers and trades quoted at $600/st FOB at midweek. Barges departing promptly were reportedly trading up to $610/st FOB.
Supply fears, stemming both from a reduction in Moroccan and Russian phosphates imported to the U.S. and early-summer curtailments at Mosaic’s Faustina production facility, were a primary driver of the higher pricing. Sharply higher corn values buttressed acceptance of the higher prices by end-users, sources said, allowing demand to remain steady from year-ago levels, if not higher.
Nearby DAP loadings were pegged in the $570-$580/st FOB range, rising from $555-$565/st FOB in the prior report. Players noted MAP barges at $600-$610/st FOB, up from $580-$590/st FOB at last report.
U.S. Imports:
DAP imports firmed 89.3 percent in March, to 266,407 st from the year-ago 140,766 st. Imports were up 26.6 percent for July-March, to 1.02 million st from 806,156 st.
With just 24,251 st of Moroccan DAP received through the fertilizer year-to-date, Saudi Arabia maintained the top import spot with 419,475 st, rising 656.3 percent from the year-ago 55,466 st. Jordan moved into second place with 272,990 st after sending zero DAP tons to the U.S. in the year-ago period. Material loading from Australia totaled 181,817 st, compared with zero imports through the same point in 2020.
Russia, also a target of the DOC’s countervailing duties investigation, imported 36,280 st to the U.S. for the period, down 79.5 percent from the year-ago 176,556 st.
MAP/Other imports were up 15.5 percent for March, to 238,179 st from the year-ago 206,233 st. July-March imports softened 42.7 percent, however, to 804,449 st from the prior-year 1.40 million st.
Mexico led the fertilizer-year imports with 277,772 st, up 304.8 percent from 68,613 st in the prior year. Saudi Arabia’s 161,345 st was 64.7 percent above the year-ago 97,940 st, followed by 83,738 st from Russia, a 63.1 percent decline from the prior-year 227,114.
With tons from Morocco down 95.9 percent from the year-ago 759,231 st, buyers continued to seek alternative sources of imported MAP, pulling in cargoes from Australia (79,263 st), Lithuania (78,574 st), Jordan (40,691 st), and Bulgaria (36,376 st) in July-March.
U.S. Exports:
March DAP exports were down 53.3 percent, to 37,795 st from the year-ago 81,003 st. July-March export volumes dropped 32.1 percent, to 584,221 st from 860,379 st in the prior year.
MAP/Other exports for March stood at 207,213 st, off 40.4 percent from the year-ago 347,799 st. July-March exports fell 23.1 percent, to 1.69 million st from 2.20 million st reported one year earlier.
Sources reported a MAP cargo selling into a single destination in Latin America. Priced at $583/mt FOB, the 6,000-7,000 mt cargo was tabbed for May loading. An additional small-lot DAP cargo slated for loading in June was reported selling at $595/mt FOB during the week. Due to the sale’s small volume, the transaction was not included in the week’s price range.
Based on reported sales of sufficient size, the Gulf phosphate export markets were seen firming to $583/mt FOB, up from $580/mt FOB in the prior report.
Eastern Cornbelt:
Sources reported stronger pricing for phosphates in the Eastern Cornbelt, driven by tight supply and steady demand. DAP was pegged at $620-$630/st FOB in the region, up another $15/st from last report, with the lower end of the range confirmed at Cincinnati and Ottawa, Ill.
MAP was quoted at $640-$660/st FOB, up $10-$15/st, with the low again confirmed at Cincinnati and the high out of spot Illinois shipping points.
Western Cornbelt:
DAP was quoted at $605-$620/st FOB in the Western Cornbelt, up $10-$15/st from last report, with the low reported at St. Louis. The Caruthersville market was pegged at a firm $615/st FOB at midweek. Several sources reported being sold out at mid-month.
MAP was quoted at $625-$645/st FOB in the region, up another $10/st, with the low at St. Louis and the high reported in Iowa on a spot basis.
Southern Plains:
The low end of the regional DAP market was quoted at $615/st FOB Houston, up $5/st from last report. Price increases at Catoosa/Inola were significantly higher amid reports of tight supply, however, with sources quoting new DAP offers at $625-$645/st FOB the port, up a full $35-$45/st from the previous week.
MAP was pegged at $620/st FOB Houston and a firm $650/st FOB Catoosa/Inola.
South Central:
Warehouse DAP prices soared to $600-$615/st FOB terminals in the South Central region, up another $10-$15/st from last report, with the lower end of the range reported at Memphis and the high at Shreveport. The market FOB Little Rock, Ark., was pegged firmly at the $615/st FOB level during the week.
Southeast:
Nutrien confirmed that DAP and MAP prices at Aurora, N.C., and White Springs, Fla., moved up to $605/st FOB on May 12 for new orders, up another $10/st from the previous week’s list price.
Saudi Arabia:
Phosphates exported from Saudi Arabia were seen lifting to the $545-$565/mt FOB range, up from $545-$560/mt FOB in the previous report.
China:
Producers are looking to hold the line on DAP and even push the price up, while buyers push harder for lower prices. Sources said the target for buyers is a netback in the $520s/mt FOB, while the producers argue for the low-$540s/mt FOB.
A reported sale of two 50,000 mt cargoes into India showed a netback in the upper-$530s/mt FOB. Traders are calling prices in southern China in the mid-$530s/mt FOB. Others added that some producers have been willing to begin talks in the upper-$520s/mt FOB.
India:
A major buyer reportedly settled a deal to buy two 50,000 mt cargoes of DAP in the low-$560s/mt CFR. The purchase represents a slight movement up in DAP prices paid by Indian buyers.
Local media reports said Indian DAP purchases in March topped 100,000 mt, mostly from Morocco and Saudi Arabia. The amount is not surprising as India approached its seasonal purchases. The most recent import numbers available from Trade Data Monitor showed DAP imports of 82,000 mt in January 2021, against January 2020 imports of 387,000 mt.
Pakistan:
Sources said buyers have been indicating a readiness to buy more tons. While Pakistan is rarely a market price setter, its deals help nail down a range for transactions with India and Bangladesh.A tender for Bangladesh’s 2021 DAP and TSP needs will close on May 27.
Nepal:
Krishi Samagri Company Ltd. issued a tender for 25,000 mt of DAP to close on May 18. The material is to be delivered to the KSCL warehouses in bags.
Brazil:
MAP prices moved up sharply to $610-$630/mt CFR at Paranagua. Sources said the move is a combination of some increased inland demand and sellers moving the price to match netbacks from the U.S.
Rondonopolis came in at $700-$725/mt FOB ex-warehouse. Sources said this more realistic range is a result of farmers hearing of higher prices and seeing fewer tons, but still not sure which way to go for their top-off tons.
Major international firms are pushing higher prices to their regional distribution centers within the country, raising concern by farmers of higher prices across the board.The confusion of where to go is also seen at Sorriso, where the price is reported at $730/mt FOB ex-warehouse, about $10/mt down from the previous week.
The barter rate at Rondonopolis for 1 mt of MAP remained at 37 bags of corn. In Southern Goias, the rate has changed to 33.1 bags of soy or 66.5 bags of corn.