U.S. Gulf: New spot prompt granular business last week was called in the $433-$450/st FOB range, with the higher end for barges that were ready to move.
There was a lot of talk of prices in the $410-$425/st FOB range, but most said those were for late July into September. Sources said a fair amount of urea imports are expected during that period.
Prill supplies continue to be tight. Sources confirm that less is available as PCS readies for a 52-day turnaround to occur at its Augusta plant in September. Reports were that barges are now being quoted as high as $525/st FOB.
Eastern Cornbelt: The granular urea market in the Eastern Cornbelt was quoted at $495-$515/st FOB regional terminals, depending on location and time of delivery. The low was quoted in the Ohio market on a spot basis last week.
Western Cornbelt: Most were out of urea in the region in late June. Where there were spot tons for sale, sources pegged the dealer market in the $525-$530/st FOB range in the Western Cornbelt. “It is difficult to get a good read on the terminal market,” said one source. “Most of us are empty. Some have bought, some have not, and no one wants to be the first one to come out with a price till they get a good read on the market.”
Southern Plains: Granular urea pricing in the Tulsa, Okla., market had slipped to the $500/st FOB mark for prompt pull, but sources reported little business to test the market. Lock maintenance on the Arkansas River limited the movement of tons, but many dealers were out of product and not in the mood to buy in late June. “There is no reason to buy, and as it gets dryer the farmer is more and more reluctant to purchase,” said one contact.
South Central: Sources said urea movement on rice was virtually over in the South Central region, and volumes were down from expectations. “We fell short. I’m not sure it even got close to where it needed to be” based on earlier projections, said one contact at midweek.
Sources quoted the granular urea market at $510-$540/st FOB regional terminals, with the upper end of the range reported in Arkansas. With rice growers wrapping up the second application on rice, there was little in the way of demand and inventory.
Southeast: List prices for granular urea were pegged at $570/st FOB Brunswick, Ga., $575/st FOB Norfolk, Va., and $590/st FOB Wilmington, N.C.
Torrential rains from Tropical Storm Debby left parts of Florida and southern Georgia saturated last week, while heat and humidity blanketed much of the rest of the region.
More than 26 inches of rain fell in Florida’s Wakulla County, while a section of Interstate 10 between Jacksonville and Tallahassee in northern Florida was closed early in the week due to flooding. Florida Gov. Rick Scott declared a statewide emergency on June 25 as the storm dumped as much as five inches of rain per hour in some areas of the state, leaving many residents without power.
Flash flood warnings were in effect for southern Georgia as the storm slowly moved up the coast, with up to 15 inches of rain expected for some areas of the state from July 26-28. Local reports said Debby also spawned as many as 20 twisters in Florida and Georgia.
Pakistan: TCP closed its tender for 200,000 mt June 25 and awarded 100,000 mt to Transammonia for $411.77/mt CFR. The government buying house issued another tender to close July 26. The final price is about $100/mt lower than what TCP paid just a month ago.
Transammonia had its optional 100,000 mt rejected by TCP. Sources say the buyer probably looked at the softening urea market and decided it could do better in 30 days.
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