Central Florida:
DAP trucks loading from Central Florida continued to be posted at $840/st FOB, steady from the prior report. Sources quoted truck-loaded MAP at $850/st FOB, also flat compared to one week earlier.
MAP trucks were posted at $890/st FOB in the North Florida market, unchanged from week-ago levels.
U.S. Gulf:
Despite hints of softening sentiment voiced by some market players, minimal trades reported for the week left NOLA phosphate barge pricing unmoved from prior levels.
Recent DAP barge import offers continued to be heard in a wide $780-$795/st FOB range, although some speculated that prices would need to soften to $760-$780/st FOB to get volumes moving. Domestically produced tons continued to be indicated at $810/st FOB, unchanged from the prior report.
Domestically produced MAP barge offers continued at $850/st FOB. Some predicted tons slated for upriver distribution would fail to find interest until values dropped to $800-$810/st FOB from the last reported $825/st FOB. Barges trading at $840/st FOB or above were likely targeted for international export, sources said.
With limited trading confirmed for the week, the nearby NOLA barge DAP range rolled over to $780-$810/st FOB, unmoved from the prior report. NOLA MAP pricing remained at the week-ago $825-$850/st FOB level.
U.S. Exports:
The Gulf spot export remained quiet for the week. Players reported current indications in the $980-$1,000/mt FOB range based on available netbacks into the Latin American markets, unmoved from the prior report
Eastern Cornbelt:
DAP was quoted at $820-$840/st FOB in the Eastern Cornbelt, with the Cincinnati market pegged at the $830/st FOB level. MAP pricing ranged from $870-$890/st FOB in the region, with the Cincinnati price quoted at $875/st FOB.
Western Cornbelt:
The DAP market remained at $805-$850/st FOB in the Western Cornbelt, with the St. Louis market pegged at $805-$815/st FOB. The regional MAP market was reported at $840-$880/st FOB, with St. Louis pricing quoted at $840-$860/st FOB in early July.
California:
MAP was quoted at $900/st FOB or DEL in California, up $30/st from the fill prices offered in mid-June.
Pacific Northwest:
MAP pricing was quoted at $890/st FOB or DEL in the Pacific Northwest, up $30/st from the mid-June fill programs offered in the region.
Western Canada:
MAP fill offers were still on the table at C$1,245-$1,250/mt FOB or DEL in Western Canada for July-August tons.
Saudi Arabia:
Sources quoted the recent Saudi Arabia phosphate export market in the $840-$950/mt FOB range.
China:
Sources said the limited tonnage that is allowed to exit China is now pegged at $930-$950/mt FOB. The softer price reflects not only lower domestic prices, but also what appears to be a softer global market.
Reportedly, the Chinese government is ready to approach phosphate producers to ask them to limit or stop all exports for the next month or two. The request would be similar to that made to the urea producers.
So far during the restrictions on DAP and MAP exports, the government has allowed producers to fulfill older existing contracts while also allowing some limited material to be exported under new deals. Product to satisfy the Bangladesh tender, for example, will most likely be cleared without any major complications.
India:
A DAP tender by NFL closed on June 27. Only two offers were submitted for the two cargoes of 50,000 mt each to be shipped by the end of July.Sources reported prices ranging from the $990s/mt CFR up to $1,030/mt CFR. The tender called for delivery of one cargo each to an East Coast port and a West Coast port. So far, no awards have been made.
Kribhco reportedly closed a deal with Ma’aden for 30,000 mt of DAP at $920/mt CFR. Additional deals with Russian suppliers have been reported at $900/mt CFR. Sources said the lower price for the Russian product was expected as an incentive for the Indians to ignore the U.S. and E.U. sanctions against Russia.
Brazil:
MAP prices softened slightly to $1,000-$1,030/mt CFR. Sources said the lower price came as sellers were looking to push more product out of the warehouses.
Even as prices softened, sources said OCP is rumored to be cutting back on MAP production in an effort to prevent a fall in prices. Sources said the move is also an effort by OCP to stretch out its ammonia reserves. Production of MAP uses less ammonia than DAP. Likewise, OCP is also stepping up TSP production, which does not require ammonia.
Imports of MAP for the first half of the year were reported at 2.16 million mt by Trade Data Monitor. This is up marginally from the 2 million mt imported during the first semester of 2021. Russia was the main supplier so far in 2022 with 1 million mt, followed by Morocco with 583,000 mt.
Second-quarter 2022 imports were reported at 1.6 million mt, a 50% jump from the 1.06 million mt imported during the same period in 2021.
June 2022 imports were reported at 579,000 mt, up from the 557,000 mt imported in June 2021. Russia accounted for 46% of the imports in June with 267,000 mt. Morocco came in second, supplying 38% at 219,000 mt.