Central Florida:
With no new price postings released for the week, the Central Florida DAP truck market remained at the last-reported $620/st FOB. MAP postings were also unchanged from their prior $655/st FOB level. North Florida MAP trucks were noted at $655/st FOB, also steady from the prior report.
U.S. Gulf:
Rising prices were reported in the NOLA barge phosphate market, reflecting a growing awareness of the market’s evolving supply expectations for September and October.
With Mosaic’s Uncle Sam and Faustina plants damaged for an estimated 8-9 weeks by Hurricane Ida, sources described tightening availability for DAP and MAP. Combined output from the two facilities, along with a production hiccup at the company’s plant in New Wales, Fla., was expected to fall by roughly 300,000 mt from historical third-quarter levels.
The effect was an immediate jump in DAP barge pricing, with trading quoted at a $640/st FOB low for the period, up $25/st from the week-ago $615/st FOB bottom. Players noted prices firming to a $652/st FOB on Sept. 9, up from the previous week’s high of $625/st FOB.
MAP was also higher. Sources called MAP bids up to $685/st FOB, lifting from the prior week’s $668/st FOB ceiling, while players pointed to a Sept. 3 trade at $670/mt FOB as setting the trading week’s floor.
DAP barges were quoted in the $640-$652/st FOB range for the period, up from $615-$625/st FOB at last report. MAP pricing was noted in the $670-$685/st FOB range, up from $660-$668/st FOB last week.
U.S. Imports:
July DAP imports were up 594.4 percent, to 191,402 st from the prior year’s 27,564 st. Saudi Arabia topped the DAP import slate for July at 60,625 st, followed by Australia at 49,280, Turkey at 49,038 st, and Russia at 24,997 st.
July MAP/Other imports totaled 144,223 st, up 294.7 percent from the year-ago 36,543 st. Loadings from Tunisia totaled 80,999 st in July, followed by Russia at 24,725 st, Jordan at 19,842 st, and Saudi Arabia at 11,743 st.
U.S. Exports:
DAP exports were off 58.2 percent in July, to 37,385 st from 89,530 st in July 2020. July exports of MAP/Other phosphates softened 1.7 percent, to 234,666 st from the year-ago 238,675 st.
With primary Gulf phosphate production facilities projected to remain at reduced capacity for September and October, no new export trades or offers were reported for the week. Last-done continued to be heard at $660/mt FOB for DAP and $685/mt FOB for MAP.
Eastern Cornbelt:
Phosphate prices were firming in the Eastern Cornbelt as the week progressed. The Cincinnati market was quoted at $655-$670/st FOB for DAP at midweek, up from a recent low of $645-$650/st FOB, while MAP reportedly jumped to $700-$720/st FOB, up from $680-$695/st FOB.
By Sept. 7, however, some sources were claiming an additional $10/st increase at some locations, pushing the upper end of the regional market to $680/st FOB for DAP and $730/st FOB for MAP.
Western Cornbelt:
DAP pricing was up $20-$30/st, to $665-$685/st FOB in the Western Cornbelt, with the MAP market pegged at $705-$725/st FOB. The lower end of both ranges was reported in St. Louis at midweek.
Northern Plains:
Phosphate prices were up considerably in the Northern Plains, fueled by supply uncertainties in the wake of Ida. Sources pegged the DAP market at $670-$685/st FOB St. Paul, up $25-$30/st from the prior week, with MAP quoted at $715-$735/st FOB St. Paul and $755/st DEL in the North Dakota market.
Great Lakes:
MAP prices had reportedly firmed to $715-$735/st FOB terminals in the Great Lakes region, up $20/st from last report, with reports of few tons being offered in the wake of Ida. The DAP market was pegged at $675-$690/st FOB, depending on location and availability.
Northeast:
The phosphate market FOB East Liverpool had reportedly firmed to $690/st for DAP and $735/st for MAP, up $25-$30/st from late August levels. The last MAP offers out of Fairless Hills were pegged at the $715/st FOB level.
Saudi Arabia:
The Saudi Arabian phosphate market was heard firming $5/mt, to the $625-$645/mt FOB range.
China:
Threats of government interference with exports continue to make DAP offshore sales problematic, but deals are being discussed.
Sources said a producer sold 20,000 mt to an Indian buyer in the low-$650s/mt CFR. The netback would be $610-$620/mt FOB. Some traders said that deal was a bit old, however, and has been overtaken by later sales that moved the price back closer to $630/mt FOB.
India:
Reports of a recent DAP deal in the $560s/mt FOB appear to be based on old data. Confirmed sales this week from OCP to Indian buyers were in the mid-$660s/mt CFR.
Additional earlier purchases in the upper-$650s/mt CFR indicated that Indian buyers appear willing to buy DAP to satisfy the growing demand for tons from inland distributors. Sources said the purchases also show how desperate Indian farmers are for DAP, because the government has yet to lift the maximum retail price of $570/mt.
Brazil:
The price for MAP shifted downward to $690-$720/mt CFR, despite reports that sources are finding it difficult to secure the tons they want. Reportedly, some of the vessels waiting at anchorage have the MAP that buyers desire.
Once the product gets to the ports, however, sources said there will be difficulties getting the product to the local distributors and blenders. The ongoing shortage of trucks to move the product inland got worse this week when some truckers called a strike.
Supplies at Rondonopolis remain an issue, with sources reporting that the price has tightened to $832-$850/mt FOB ex-warehouse.The barter rate for 1 mt of MAP at Sorriso is pegged at 42 bags of soy or 100 bags of corn.
Imports of MAP for January-August totaled 3 million mt, compared with 2.9 million mt during the same period last year, according to Trade Data Monitor. The main suppliers were Morocco at 1.2 million mt and Russia at 1 million mt. Both countries showed an increase in sales compared to the first eight months of 2020.
August MAP imports were reported at 541,000 mt, against August 2020 imports of 362,000 mt. The top two suppliers in August were Morocco at 304,000 mt and Russia at 102,000 mt.