US Gulf/Tampa:
Tampa ammonia for October continues to stand at $1,175/mt CFR, up $25/mt from September’s $1,150/mt CFR. With lower natural gas prices in Europe and more ammonia plants coming back up, Tampa prices could be under more pressure for November.
Eastern Cornbelt:
Fall ammonia application was underway in Illinois, although activity was spotty. The Eastern Cornbelt market remained at $1,300- $1,400/st FOB for available offers, with the low confirmed at Lima, Ohio, and the high at East Dubuque, Ill.
Although many locations were not quoting prices at mid-month, sources said $1,350/st FOB deals could likely be had at Huntington and Mount Vernon, Ind.
Western Cornbelt:
The ammonia market in the Western Cornbelt was reported in the $1,250-$1,300/st FOB range, with the low in Nebraska and the high in Missouri. Pricing in the Southern Plains remained at $1,100/st FOB Woodward, Okla., $1,150/st FOB Verdigris, Okla., and $1,175/st FOB Coffeyville, Kan.
California:
Anhydrous ammonia pricing in California was steady at $1,250/st DEL. The aqua ammonia remained at $271-$336/st FOB, with the low reported for the last offers at Stockton and the high at Sycamore.
Pacific Northwest:
Ammonia pricing in the Pacific Northwest was pegged at $1,325/st FOB and $1,350/st DEL at mid-month. The aqua ammonia market remained at $345/st FOB in the region.
Western Canada:
The last prices for ammonia remained at C$1,600-$1,800/mt DEL for fall tons in the region, but most offers were pulled by mid-October.
India:
Sources said demand for ammonia should be picking up along with an expected increase in domestic DAP production. For now, ammonia prices remain stable at $850-$900/mt CFR.
The latest numbers released by the Indian government show January-August 2022 imports at 1.4 million mt, according to Trade Data Monitor, down roughly 12% from the 1.6 million mt imported during the same period in 2021.
The main suppliers to India for the first eight months of the year were Saudi Arabi with 621,000 mt, Qatar with 257,000 mt, Bahrain with 159,000 mt, and Indonesia with 129,000 mt.
August 2022 imports were reported at 226,000 mt, up 10% from the 205,000 mt imported during August 2021. Saudi Arabia accounted for 47% of the total imports in August 2022 with 105,000 mt. Bahrain took 18% of the market with 42,000 mt, and Indonesia another 12% with 28,000 mt.
Middle East:
Arab Gulf producers are mostly satisfied with their contract orders. Spot buyers are being hit with prices at $1,100/mt FOB and up. Sources said this level is too high to match the landed prices around the world. Traders said the real spot price – if one existed – should be no higher than $1,050/mt FOB.
Contracts sales are reportedly being shipped out at $1,000/mt FOB. Sources said this level matches up with the Northwest Europe price, but is still too high for Indian and Southeast Asian buyers.
Iranian ammonia exports for January-September 2022 were reported at 361,000 mt by Trade Data Monitor, down 20% from the 449,000 mt exported during the same period in 2021. India dominated the Iranian order books with 302,000 mt.Third-quarter exports were reported at 119,000 mt, down from 132,000 mt last year.
September 2022 exports were pegged at 25,000 mt, down from 35,000 mt in September 2021. India took 53% of the Septembers orders with 18,500 mt, and Oman purchased 14,000 mt for 39% of the export market from Iran. Sources said some of the material shipped to Oman was “nationalized” before being shipped onward to other buyers.
Northwest Europe:
Ammonia prices have settled at $1,250/mt CFR. Material is available at workable prices from Trinidad to Indonesia. Buyers are rejecting offers of $1,100/mt FOB from the Arab Gulf, as well as the tonnage produced in Europe, which is beyond market levels because of the high price of natural gas.
Southeast Asia:
Ammonia demand in the region remains soft as buyers continue to look for ways to limit their contractual requirements. The main suppliers in the area – Indonesia and Malaysia – continue to sell more of their product to buyers in Europe and India. Even more Chinese ammonia is finding its way West.
South Korean ammonia imports for January-September 2022 were reported at 1 million mt by Trade Data Monitor, down about 8% from the 1.1 million mt imported during the same period in 2021. The main suppliers so far have been Indonesia with 473,000 mt, and Saudi Arabia with 427,000 mt.
Third-quarter imports into South Korea were reported at 328,000 mt, down from the 384,000 mt imported during the same quarter in 2021.
September 2022 imports were reported at 78,000 mt, down about a third from the 116,000 mt imported during September 2021. Suppliers were Saudi Arabia with 40,000 mt for 52% of the import market, followed by Indonesia with 23,000 mt for 29% of the imports. Bahrain also added 10,000 mt for 12% of the market.