Central Florida:
Central Florida DAP trucks were posted at $840/st FOB, unmoved from the prior report. Truck-loaded MAP postings were steady from the week-ago $850/st FOB. MAP trucks loading from North Florida continued at $890/mt FOB, sources confirmed.
U.S. Gulf:
NOLA DAP barge pricing edged lower for the week, sources said.
DAP barge trades were seen topping out at $800/st FOB, below the week-ago $810/st FOB. Players typically called the market low around the $780/st FOB mark, unchanged from one week earlier, while the bulk of the week’s traded tons was reportedly intended for export.
Offers for domestically produced DAP were noted flat at $810/st FOB, while demand for upriver tons was expected to track closer to the $760-$780/st FOB range.
MAP barge values were noted bending toward the export market as well, with most describing trades up to $845/st FOB, shy of the week-ago $850/st FOB top. Sources cited $840/st FOB as the week’s low, also for exported tons.
Indications for barges heading upriver were expected closer to $810/st FOB, some argued, although no tons were reported changing hands at that level. Domestically produced tons continued to be offered at $850/st FOB, sources said.
Players reiterated that the bulk of the week’s DAP and MAP demand was geared toward the export market. “There is nothing going on in the U.S.,” said one source. “Thank God for export. The rest of the world is way better priced than what we can achieve domestically.”
The NOLA DAP barge market was pegged in the $780-$800/st FOB range for the week, tightening from $780-$810/st FOB in the prior report. Sources called MAP barges in a narrower $840-$845/st FOB range for the period, a shift from $825-$850/st FOB reported previously.
U.S. Imports:
May DAP imports firmed 47.6%, to 28,735 st from 19,470 st in the prior year. Imports shifted 18.5% lower for July-May, however, to 987,608 st from the year-ago 1.21 million st.
Saudi Arabia topped the July-May import list with 377,721 st, followed by Australia’s 251,973 st and Egypt’s 121,293 st. No Australian or Egyptian cargoes were recorded arriving in the U.S. for May.
MAP/Other imports were off 21.2% for the July-May period, moving to 771,868 st from the last year’s 979,197 st. Imports slipped 83.6% in May, to 10,968 st compared to the year-ago 66,758 st. Imports from Saudi Arabia stood pat at 239,937 st in July-May. Russia sent 117,709 st., while Jordan added 94,461 st during the period.
U.S. Exports:
DAP exports were up 101.0% in May, to 62,385 st from the prior-year 31,032 st. July-May exports fell 7.4%, however, to 648,646 st from last year’s 700,625 st.
MAP/Other exports moved 2.8% lower in July-May, to 2.15 million st from the year-ago 2.21 million st. Shipments totaled 181,424 st for May, a 29.5% decrease from 257,500 st recorded in May 2021.
Sources reported a 40,000 mt DAP cargo selling into India during the week. Priced at $960/mt CFR, the tons were destined for India’s West Coast, with loading expected in second-half August. Freight costs were quoted at $50/mt from the Gulf, netting back around $910/mt FOB to the seller.
Sellers also noted a 7,000 mt DAP cargo selling to a single buyer in northern Latin America. The load was priced at $925/mt FOB, with shipping slated for July.
Based on reported trades, the Gulf phosphate export markets softened to $910-$925/mt FOB for the week, falling from $980-$1,000/mt FOB reported previously.
Eastern Cornbelt:
DAP was unchanged at $820-$840/st FOB in the Eastern Cornbelt, with the Cincinnati market reported at the $830/st FOB level. MAP pricing fell in the $870-$890/st FOB range in the region, with the Cincinnati price quoted at $875/st FOB.
Western Cornbelt:
The DAP market was steady 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 unchanged at $840-$880/st FOB, with the upper end confirmed in Iowa. The St. Louis MAP market remained at $840-$860/st FOB at mid-month.
Northern Plains:
DAP pricing was reported at $825-$850/st FOB St. Paul, with MAP quoted at the $870-$900/st FOB level at that location. Delivered green MAP in western North Dakota remained at the $920/st level for recent fill offers.
Northeast:
The phosphate market FOB East Liverpool reportedly slipped to $845/st for DAP and $895/st for MAP, down $15-$25/st from levels reported in late June. In the Southeast, reference prices remained at $840/st FOB Aurora, N.C., for DAP, with MAP posted at $890/st FOB Aurora and White Springs, Fla.
Eastern Canada:
MAP pricing in Eastern Canada narrowed to C$1,325-$1,335/mt FOB, down a full C$140/mt at the high end of the range. The DAP market at Montreal was down C$45/mt from last report, falling to C$1,340/mt FOB in mid-July.
Saudi Arabia:
A 50,000 mt DAP cargo was reported selling into the West Coast of India during the week. Described as loading from Ras Al Khair, the cargo was priced at $960/mt CFR. With freight reported at $17/mt, the tons netted back approximately $943/mt FOB to the seller. The Saudi market was previously reported in the $840-$950/mt FOB range.
China:
Sources reported a large DAP sale from YUC and one other producer of 70,000 mt to India, with an estimated netback of $915-$920/mt FOB.
The large vessel allowed for cheaper freight and set a price range for India. Smaller Chinese producers looking to sell were told by the Indian buyers that they had to match the YUC price. Because of the smaller vessels used by these producers, the freight rate would be higher. They had hoped to keep the netback the same and increase the landed price in India. Reportedly, talks are still taking place.
The YUC deal, along with the subsequent talks between Indian buyers and other Chinese producers, seemed to some traders as an indication that Beijing is willing to ease off on the export restrictions of DAP and MAP.
India:
The purchase of 70,000 mt of DAP engineered by YUC was reported at $950-$955/mt CFR. Offers from other Chinese producers at $960/mt CFR were rebuffed, with Indian buyers claiming they would not pay more than what was done with YUC for Chinese product.
Paying $960/mt CFR for Arab product, however, does seem acceptable. Sources reported that two deals of 40,000 mt and 50,000 mt were done as the week closed at $960/mt CFR.
Brazil:
The price for MAP dropped to $950-$1,000/mt CFR. Sources said even though deals were being closed at sub-$1,000/mt CFR levels, all future talks seem to be focusing on $1,000-$1,030/mt CFR. Reportedly, some suppliers are withholding making offers to avoid adding downward pressure on prices.
Warehouses in Rondonópolis are looking to move out product to make way for replacement tons in the near future. This effort has lowered prices to $1,100-$1,135/mt FOB ex-warehouse.