US Gulf:
The NOLA ammonium sulfate barge market firmed to $220/st FOB for confirmed new business, up from last week’s $200-$220/st range, with new offers reported at $230-$240/st FOB as the week progressed. The increase followed a July 24 Midwest reset from AdvanSix after earlier fill program offers were pulled.
Eastern Cornbelt:
Granular ammonium sulfate moved up to $290-$310/st FOB in the Eastern Cornbelt following a price increase from AdvanSix on July 24, with the low confirmed at river terminals and the high inland. IOC’s latest postings included $290/st FOB Illinois and Ohio River terminals.
Western Cornbelt:
The granular ammonium sulfate market was pegged at $285-$300/st FOB in the Western Cornbelt, with the low reflecting updated pricing from IOC FOB St. Louis.
IOC’s other postings included $285/st FOB Houston, Texas, $290/st FOB Upper Mississippi River terminals, and $300/st FOB Omaha, Neb., Sioux City, Iowa, Casselton, N.D., and on a rail-DEL basis in the Northern Plains.
California:
The ammonium sulfate market was unchanged at $430-$465/st FOB in California, depending on grade, with rail-DEL offers in Northern California reported at $410-$420/st on a spot basis. A downward adjustment is expected in the near term for a new round of summer postings.
Pacific Northwest:
The ammonium sulfate market was pegged at $260-$300/st FOB or DEL in the Pacific Northwest, with the low confirmed for standard and the high for premium or granular tons. Earlier granular fill offers at the $280/st DEL level are now reportedly off the table.
Western Canada:
Ammonium sulfate prices slipped to a broad C$355-$430/mt DEL in Western Canada for July-August tons, with the low for standard and the high for granular, down from the prior C$450-$460/mt DELrange for granular product.
China:
The price for caprolactam-grade amsul moved up to $130-$135/mt FOB. Producers are now calling the market $160/mt FOB, while one supplier in northern China was noted offering granular amsul at $200/mt FOB, a dramatic break from the usual $20/mt spread between caprolactam-grade and granular ammonium sulfate.
Sources attributed the firming price – and the subsequent call for further increases – to unanticipated August demand from Chinese buyers. The stepped-up demand allowed producers to look to the domestic market instead of working with international traders to line up enough tons for a large vessel.
Even at $160/mt FOB, amsul is a bargain for nitrogen buyers versus the market for urea, sources said. Based on the nitrogen content from $400/mt FOB urea, traders calculated the price of amsul around $182/mt FOB.
Ammonium sulfate exports firmed significantly in the first half of the year, Trade Data Monitor reported, totaling 5.8 million mt, up 22% from the 4.8 million mt shipped in January-June 2022. The top two buyers were Brazil at 1.2 million mt, and Myanmar with 839,000 mt.
June exports firmed 38%, to 1.1 million mt from 824,000 mt in June 2022. Second-quarter exports were pegged at 3 million mt, up 24% from last year’s 2.4 million mt.
Brazil:
Ammonium sulfate prices in Brazil increased to $200-$220/mt CFR from the week-ago $190-$195/mt CFR, a roughly 9% increase. Sources expect the market to firm to $235-$245/mt CFR in the next round of business, which would reflect current FOB levels at China.
In Rondonopolis, ammonium sulfate followed the urea market higher, jumping to $340-$350/mt FOB ex-warehouse.