U.S. Gulf:
New NOLA potash trades continued to move up and were reported at $775-$830/st FOB, up from the week-ago $750-$815/st FOB. Initially, sources reported the higher end of the range for exports to Brazil and/or Argentina. However, by the end of the week, the destination, domestic or offshore, did not appear to be an issue.
Eastern Cornbelt:
Potash prices continued to strengthen, with the Eastern Cornbelt market reported at $810-$850/st FOB during the week, depending on location. The upper end of the range was quoted at Ottawa, Ill., with the Cincinnati market covering a wide range at $810-$845/st FOB.
Western Cornbelt:
Potash pricing was quoted at $795-$845/st FOB in the Western Cornbelt, up another $10/st at the high end of the range. Sources pegged both the St. Louis and Catoosa/Inola markets at $810-$845/st FOB during the week.
Northern Plains:
Sources quoted potash offers in a broad range at $810-$845/st FOB St. Paul. The last prices FOB Saskatchewan mines for 2Q tons were reported at $725-$740/st after netbacks, depending on grade and destination.
Southern Plains:
Intrepid announced a $50/st potash increase late in the week. Posted prices FOB Carlsbad, N.M., firmed to $855/st for 60 percent white granular and $875/st FOB for 62 percent white standard, with reference prices at Moab and Wendover, Utah, moving to $850/st for 60 percent white standard and $855/st for 60 percent white granular.
Great Lakes:
The potash market was pegged in a broad range at $833-$885/st FOB in the Great Lakes region, depending on grade and location, with the high confirmed at Toledo and the low FOB Webberville.
Northeast:
Potash pricing jumped to $805/st FOB East Liverpool and as high as $900/st FOB Fairless Hills for new spring offers, up dramatically from the $750-$790/st FOB range reported earlier in the month.
Eastern Canada:
The potash market remained at C$1,040-$1,056/mt FOB in Eastern Canada, unchanged from last report.
India:
National Fertilizers Ltd. (NFL) has extended its Request for Proposals (RFP) to April 11 for entering into a long-term supply agreement/MOU with potash producers for FY2022/23. The RFP, issued on Feb. 17 (GM Feb. 18, p. 15), originally had been due to close on March 21, but NFL extended it to March 31 (GM March 25, p. 15).
NFL last week also included a new clause in the RFP, stating that while the preferred currency of the purchase order (PO) will be U.S. dollars, NFL would also issue the PO in euros, rubles, or Indian rupees if sellers requested. The buyer is looking for firm quantities of 200,000 mt of standard pink/red potash.
An award under RCF’s tender for 105,000 mt of standard white/pink potash remains outstanding. The original tender closed on Jan. 28 (GM March 25, p. 15).
Brazil:
As buyers look to diversify away from Belarus and Russia for MOP, prices have moved up. Sources put the price this week at $1,100-$1,250/mt CFR.
Reportedly, Brazilian buyers have been leaning on Israel to step up its production and send more MOP. Brazil bought 170,000 mt from Israel in the first two month of this year. Another 230,000 mt is expected to arrive in March and April. This compares to total purchases in 2021 of 963,000 mt.
The only drawback to encouraging Israel to send more is that sources report Israeli production is already nearing its capacity, making any large uptick in supplies difficult.
The price in Rondonopolis also moved up. Sources now quote the market at $1,230-$1,325/mt FOB ex-warehouse.