All posts by mickeybarb@charter.net

Kalium Expects to be Australia’s First SOP Producer

Australia, News, News Briefs, Specialty, Sulfate of Potash

Junior sulfate of potash producer (SOP) Kalium Lakes Ltd., Balcatta, Western Australia, said on Sept. 16 it expects to be Australia’s first producer of SOP, with production ramp-up on track for October 2021.

“The project is coming together as planned, with the excitement growing as we sequentially work through the commissioning process,” said Kalium CEO Rudolph van Niekerk. “Excluding the compaction plant, which is not required for first production of standard grade SOP, the project is now 98 percent complete and ready for imminent start up. Construction activities are beginning to wind down, making way for the commissioning and operations teams to complete the final steps before Kalium Lakes can seize the opportunity to become Australia’s first SOP producer!”

Kalium said the construction of the standard grade SOP plant at the Beyondie SOP Project is substantially complete other than punch list items that are not critical to progressing commissioning. Water commissioning is near completion. The product storage shed and product materials handling infrastructure are near completion.

The company said the construction activities and commissioning activities remain within the capital expenditure budget.

Kalium has a binding 10-year offtake agreement for Beyondie with Germany’s K+S Group for the purchase of up to 90,000 mt/y of SOP.

Giant Norwegian Blue Ammonia Project Selects Honeywell Technology

Ammonia, News, News Briefs, Scandinavia

Honeywell, Atlanta, announced on Sept. 8 that Horisont Energi, Sandes, Norway, has signed a license agreement for Honeywell’s UniSim® Design process modelling software to verify and optimize the design of its carbon-free ammonia plants. Honeywell will work with OLI Systems to integrate its electrolyte simulation technology into industrial applications.

“We are pleased to have selected Honeywell’s and OLI Systems’ software to aid our development of the world’s first large-scale production facility for clean ammonia, one of the world’s most important industrial gases,” said Bjørgulf Haukelidsæter Eidesen, Horisont CEO. “Our clean energy solutions, supported by the UniSim Design process simulation technology from Honeywell and OLI’s electrolyte modeling package, will help decarbonize a number of industrial processes in line with emerging regulations.”

Horisont’s Barents Blue 3,000 mt/d blue ammonia project will be located in Finnmark in northern Norway and will use natural gas from the Barents Sea. Carbon will be captured and transported by ship to the Polaris reservoir for storage, with an estimated capacity in excess of 100 million mt below the seabed offshore Finnmark. The company said the amount is twice Norway’s annual greenhouse gas emissions. The carbon capture rate is expected to exceed 99 percent.

Both the Barents Blue and Polaris projects are currently in the concept phase, with investment decisions expected toward the end of 2022. Construction is expected to take place between 2022-2025, with the plant to be in operation in 2025. Other partners in the project include Norwegian companies Equinor and Var Energi.

Bayer Co-Leads Andes Investment to Advance Nitrogen Fixation, Carbon Capture

Germany, News, News Briefs, Specialty

Leaps by Bayer, the investment arm of Bayer AG, Leverkusen, Germany, on Sept. 14, announced that it has co-led a US$15 million Series A investment round in agriculture and biotechnology company Andes, Emeryville, Calif., with Cavallo Ventures. Other new investors Builders VC, Germin8, Accelr8, and Wilson Sonsini participated, alongside existing investors KdT Ventures and Endurance.

“We invest in paradigm-shifting advances that can radically reduce the environmental impact of agriculture,” said Dr. Jürgen Eckhardt, Head of Leaps by Bayer. “Andes is an exceptional example of that: using novel seed technology to reduce the use of synthetic fertilizers, and developing the next generation of agricultural carbon capture solutions. It’s exciting that our funding will help the Andes team scale its current offering and explore the possibilities of truly world-changing technologies like carbon capture.”

Andes said using its first generation Microprime seed treatment technology, treated corn seeds provide the equivalent of 30-50 lbs/acre of nitrogen through biological nitrogen fixation. The company is creating second generation microbes that target doubling the amount of nitrogen provided by the Microprime seeds. Andes is also developing microbial strains for nature-based permanent carbon capture into the soil. Initially, this will be focused on microbial-powered corn crops.

Andes will use part of the funds to scale its self-sustaining, nitrogen-fixing seeds across the U.S. market and expand into South America. The balance of funding will be invested to advance further research and development into Andes’ complementary nature-based permanent carbon capture technology.

Last month, Leaps by Bayer announced a $45 million investment in Sound Agriculture, Emeryville, Calif., which has two technology platforms, one of which allows crops to access more nutrients from the existing microbiome and reduces synthetic nitrogen use, and another that accelerates plant trait development (GM Aug. 20, p. 1).

Bayer is also involved as a joint venture partner with Ginkgo Bioworks, Boston, in another microbial developer and researcher, Joyn Bio, Boston.

Maduro’s Move on Monomeros Led to Colombian Intervention

News, News Briefs, South America, Venezuela

Venezuela President Nicolas Maduro’s request to resume control of fertilizer company Monomeros Colombo Venezolanos, Barranquilla, Colombia, an affiliate of Venezuela’s PDVSA, prompted Colombian regulator Superintendencia de Sociedades to recently seize control of the company, Reuters reports, citing unit’s former Chair Carmen Elisa Hernandez. She said Monomeros suppliers of raw materials stopped selling on generous credit terms after Maduro’s request, and that the company was already having difficulty accessing credit from Colombian banks.

Hernandez, who resigned after the seizure, said on Twitter the action was “the only mechanism to protect Monomeros,” and allow it to overcome problems related to “administrative decisions.” She resigned because she disagreed with the Monomeros Board of Directors, which rejected the Colombian action.

The Board had been appointed by Venezuela opposition leader and President of the National Assembly Juan Guaido in 2019, when Colombia, the U.S., and other nations recognized him as Venezuela’s rightful leader and imposed sanctions against Venezuela. The U.S. lifted sanctions on Monomeros in 2019 (GM June 14, 2019.)

Maduro had been using recent negotiations in Mexico City to try to regain control of the assets. Maduro’s government has now vowed to take legal action to regain control. U.S. refiner Citgo Petroleum Corp. is also under Guaido control.

Guaido has called Maduro’s demand for control “propaganda,” and said the Monomeros Board should be restructured, with both Venezuelan ownership and administration. A replacement for Hernandez has not been named.

March NH3 Leak Draws $155K in Penalties, January’s $1 Million

Ammonia, News, News Briefs

The U.S. Department of Labor Occupational Safety and Health Administration (OSHA) on Sept. 14 said it has assessed poultry processor Foundation Food Group Inc., Gainesville, Ga., with a $154,675 penalty for an ammonia leak at its plant in March 2021, in which some 23 safety and health violations were identified.

The March release came just 42 days after a Jan. 28, 2021, ammonia release at the plant killed six employees and hospitalized a dozen (GM Jan. 29, p. 29). In July, OSHA assessed nearly $1 million in penalties due to that incident.

OSHA found that Foundation Food and Messer LLC of Bridgewater, N.J., failed to implement any of the safety procedures necessary to prevent the nitrogen leak, or to equip workers responding to it with the knowledge and equipment that could have saved their lives. OSHA cited Foundation Food, Messer, Packers Sanitation Services Inc. Ltd., Kieler, Wisc., and FS Group Inc., Albertville, Ala., responsible for operations at the Gainesville facility, for a total of 59 violations, and proposed $998,637 in penalties.

For the January incident, Foundation Food penalties were $595,474. Messer, which delivered the industrial gas, was assessed $74,118. Packers Sanitation, which provided cleaning and sanitation services, came in at $286,720. FS Group, which manufactures equipment and provides mechanical servicing, was penalized $42,325.

Ammonia

Ammonia, Black Sea, Eastern Cornbelt, Market Watch, Northwestern Europe, South Central, Southern Plains, Tampa, U.S. Gulf, Western Cornbelt

U.S. Gulf/Tampa:

The Tampa market continued at $615/mt CFR for September. Prospects that October prices might move up took a turn on Sept. 15 when CF Industries announced it would be idling nitrogen plants in the U.K. due to high natural gas prices. It heightened further when Yara announced on Sept. 17 that it was also cutting production in Europe (see related front page story). The move prompted questions about whether other European plants would also go down.

In the meantime, Incitec Pivot Ltd. confirmed on Sept. 13 that its Waggaman, La., ammonia plant will be down for four weeks from its idling on Aug. 28 before Hurricane Ida. As previously reported, CF on Sept 9 said its giant Donaldsonville, La., complex was on its way back up.

Nutrien reported on Sept. 15 that its Geismar, La., ammonia plant was in the process of restarting and it hoped to re-establish production over the next several days. Some of the NOLA area outages may be offset by The Mosaic Co.’s expectation that it will lose 300,000 mt of phosphate production in the near term due to Ida and a phosphoric acid tank problem at New Wales.

Eastern Cornbelt:

Ammonia prices were pegged at $670-$680/st FOB in the Eastern Cornbelt, up another $5-$10/st from last report, depending on location.

Western Cornbelt:

The ammonia market firmed to $675-$695/st FOB in the Western Cornbelt, up $20-$30/st, with the low reported at Garner, Iowa, and Palmyra, Mo., and the upper end at Marshalltown, Iowa. The market FOB Nebraska terminals fell in the $675-$685/st FOB range during the week, depending on location.

Southern Plains:

Ammonia prices moved up significantly in the Southern Plains. Sources quoted new offers at $665-$675/st FOB regional production points, up from $625-$635/st FOB at last report, with the upper end confirmed at Enid, Okla., and Dodge City, Kan.

South Central:

The ammonia market in the South Central region reportedly strengthened to $620/st FOB Gulf Coast terminals for any new truck offers in mid-September, up $50/st from last report. Sources continued to report no current offers on the table from El Dorado, Ark., Cherokee, Ala., or Midway, Tenn.

Northwest Europe:

The cost of ammonia is expected to be affected by the rising prices of natural gas and the subsequent closings of ammonia production. Already the market is reverberating from the closures of the CF Industries plants in the U.K. The two plants, Ince and Billingham, have a combined annual rated output of 875,000 mt of ammonia.

The company closed the plants with no re-opening dates announced after natural gas costs jumped more than 6 percent in mid-September. Until that point, CF was raising the price of its various nitrogen products in line with more modest input price increases. In the end, however, the cost to produce the various products, including ammonia, proved too expensive to continue.

Within 48 hours of the CF announcement, Yara followed suit, announcing it was not only closing down unnamed ammonia plants in Europe, but was also curtailing projects that would have helped increase output. The company said by next week it will have shut down about 40 percent of its European ammonia production capacity.

Yara said it will continue to monitor the situation to determine when it would restart its facilities.

Other possible closures now include OCI’s Geleen plant and the Fertiberia Palos plant.

The moves by the European companies almost ensure that more ammonia will have to be brought in from the Americas, with the exception of Fertiberia, which would most likely import from Algeria. Even before the shutdowns, cargoes from the U.S. Gulf and Trinidad have been coming into Europe in reaction to higher prices. Sources said the potential additional movement could provide a basis for a higher ammonia price in Tampa. One trader said the European demand could more than counter the argument for lower prices based on the Mosaic plant shutdown.

Black Sea:

Ukraine producers are said to be ready to sell off the product they have already produced and then shut down. The high price of natural gas has pushed the production cost past what the ammonia producers can charge for their product.

With winter around the corner, sources said there will be no relief for the producers. Sources estimated the plants should be fully shuttered by the end of October.

Russian exports of ammonia for January through July were up 2.4 percent, according to Trade Data Monitor, to 2.62 million mt from the 2.56 million mt exported during the same period in 2020.July exports were pegged at 387,000 mt, up 33 percent from July 2020 exports of 290,000 mt. The main buyers were Turkey at 85,000 mt and Estonia at 76,000 mt.

Urea

Black Sea, Brazil, China, Eastern Cornbelt, India, Market Watch, Middle East, North Africa, South Central, South Korea, Southeast, Southern Plains, U.S. Gulf, Urea, Western Cornbelt

U.S. Gulf:

Market participants said they were seeing a market correction earlier in the week, with NOLA trading early in the week at $482/st FOB for first-half October. Full October prices were said to be falling into the $470s and November in the $460s/st FOB.

The news on Sept. 15 that CF Industries was idling its U.K. nitrogen plants due to soaring natural gas prices once again lit a fire under the NOLA market, however. Loaded September barges were reported to have traded at $515-$538/st FOB, higher than early-week sentiment for forward cargoes, but still below the week-ago $518-$552/st FOB.

Eastern Cornbelt:

Urea prices continued to climb in the Eastern Cornbelt, fueled by the previous two weeks of rapidly strengthening NOLA values after Hurricane Ida.

Urea prices were quoted at $525-$545/st FOB Cincinnati, Ohio, and most Illinois River terminals, up from the prior week’s low of $490-$505/st FOB. The upper end of the regional range was pegged at the $550-$570/st FOB level on a spot basis, with the high confirmed out of some Ohio River locations as the week advanced.

Western Cornbelt:

The urea market was quoted at $550-$570/st FOB in the Western Cornbelt at mid-month, with the low confirmed at St. Louis and Caruthersville, Mo., and the high in Iowa.

Southern Plains:

The Catoosa/Inola, Okla., urea market reportedly started the week at $550-$555/st FOB before climbing to $570-$575/st FOB for new offers on Sept. 16. Sources pegged the Enid urea market at $560-$565/st FOB late in the week, with the Houston, Texas, market quoted at a solid $575/st FOB.

South Central:

Sources pegged the urea market at $530-$570/st FOB terminals in the South Central region, up another $10-$20/st from the previous week and a full $55-$85/st from late August, with the low reported at Convent, La., and the high at Owensboro, Ky. Other spot prices at midweek included $550/st FOB Little Rock, Ark., $560/st FOB Shreveport, La., and $550-$570/st FOB Memphis, Tenn.

Southeast:

Urea was pegged at a firm $515-$535/st FOB port terminals in the Southeast, up another $5-$15/st from the previous week, with the upper end reported at Wilmington, N.C., and reflecting a $55/st increase since late August.

India:

The fertilizer world is waiting for India to call its urea tender. Sources said Department of Fertilizers (DoF) and RCF representatives met this week to figure out financing for the tender.

Sources said RCF experienced some troubles issuing letters of credit for some of the awards issued in the last tender. Traders reported that the delay in calling the next tender is tied to making sure the credit lines for RCF are clear and large enough to cover the anticipated quantities. Reportedly, RCF asked the DoF for an advance of 40-50 percent before it called the tender. Sources said the government officials rejected that idea.

There are no doubts that India needs the urea, with media reports of localized shortages throughout the country. The shortages are occurring even as the country reports current supplies from ports to local distributors of 4 million mt.

Sources said RCF will need to buy at least another 1.2 million mt just to keep up with demand. However, reports out of China indicate that if Beijing allows exports, the tonnage might top off at 450,000 mt. At the same time, Arab Gulf supplies remain limited and support from the Black Sea is not expected because of the rising cost of natural gas in Ukraine, causing urea and ammonia plants to close down.

Even if the tender is called on Sept. 17, sources said the first cargoes from China will not begin to be shipped until October. At that point, Indian demand will be competing with the Chinese domestic market. If Beijing sees prices rising too much or if it appears that too many tons are being offered for export, the central government could impose restrictions or tack on a special duty on the exports.

Depending on how many tons RCF is able to secure in this tender, sources said it is likely the company will keep coming in with tenders for the rest of the year. Depending on how each tender goes, said one source, the line-up of tenders could extend all the way through March, the end of the Indian fiscal year.

China:

Sources said there may soon be further cutbacks in production. Traders noted that the issue of having enough energy to power the plants remains a continuing problem. Sources said getting the urea to the ports and then onto vessels is also a growing concern.

Environmental inspections and penalties have also stepped up. Reports are circulating that more environmental inspectors are spreading out among the industrial sector issuing citations for violations of emissions standards. In some cases, the citations include shutdown orders.

Sources said the central government is leaning on local energy producers to ensure enough electricity and heat for residential customers as the winter season approaches. Similar actions to protect the power grid during heatwaves in the summer caused a dip in urea output.

Restrictions on how many foreign-flag vessels may enter a Chinese port at one time and how long those vessels must remain in quarantine for COVID continue to create issues for exports. Reportedly, some vessel owners are hesitant to allow their ships to be held up by Chinese quarantine rules and then face similar delays on the Indian side of the trip.

While this concern was raised in the last tender, sources said the owners just increased their prices to accommodate any time at anchorage. Now, however, the owners seem to be pushing back harder against having their vessels tied up waiting to enter a port.

Sources said the government is also keeping the threat of either export quotas or an export duty hanging over the heads of the urea industry. The government has made it clear to the urea producers that their first responsibility is to ensure a plentiful supply of low-cost urea to farmers beginning Oct. 1. The looming threat of some action to limit exports has led some suppliers to withdraw their offers to traders for offshore sales. This move could add to a reduction of available urea for the upcoming Indian tender.

The price for prilled urea remains in the $420/mt FOB following some deals concluded in late August and early September. Sources said some top-off purchases of granular urea were concluded in the $430s/mt FOB. At the same time, sources talked of reports of a granular sale to Australia with a netback in the low-$430s/mt FOB.

Industry sources were not able to name any specific buyers or traders who handled any of these reported granular sales, however. The one exception is a report that a sale to the West Coast of Mexico was done in September with a netback of $425-$430/mt FOB. Sources said they could not find out any other details of the deal.

September production of urea is reportedly down from August. Government figures showed that the daily production rate has dropped 10,000 mt since last month, to 135,000 mt.

Middle East:

Sources said price discussions in early September at $440/mt FOB are now being replaced with higher price expectations. Sources reported that Sohar sold a November cargo in the mid-$470s/mt FOB. The price fits with what industry watchers were saying was happening in the market. The moves come as Egypt is showing prices not seen since 2013, and as CIS urea availability is being reduced due to higher production costs.

High natural gas costs in Europe are causing more companies to think importing urea is cheaper than producing it. As a result, inquiries are coming to every producer in the region.So far, sources said Arab Gulf producers are focusing on their contracts. At this point, that leaves little product for spot deals or even for new contracts for prompt shipment.

Egyptian producers MOPCO and AlexFert watched their prices go up dramatically all week. Last week closed with September and October shipments at $475/mt FOB. This week opened at $480/mt FOB and closed at $495/mt FOB. The price rise continued to $520/mt FOB for November sales.

Shortly after inking the deal for $520/mt FOB, MOPCO announced it would not make any further November sales until it has had a chance to evaluate the market situation.

The rapid increase in the Egyptian price was attributed to European buyers looking for material as high natural gas prices lead to possible closures of European urea producers.The actual price for Egyptian urea has already surpassed the paper market of $470/mt FOB for September and $480/mt FOB for October.

North Africa:

Algeria’s AOA has kept a close eye on the Egyptian deals and has altered their prices accordingly. A November cargo was reportedly sold at $480/mt FOB, with producers now looking at $500/mt FOB.

The current price was backed up by reports that a sale to the U.S. for delivery to NOLA was pegged at $535-$541/mt CFR, for a netback to Algeria of $485/mt FOB.

Black Sea:

Rising natural gas prices are forcing urea plants to shut down. Sources said the shutdowns would eliminate a few cargoes of urea that would normally be a part of any Indian urea tender, putting more pressure on the Arab Gulf and China to supply the product.

One industry observer noted that at the current cost of natural gas to the Ukrainian producers, urea would have to be sold at $500/mt FOB from Yuzhnyy just to break even. Even in a tight market, sources said that level is not easily attained.

Russian urea exports for January through July were down 5.7 percent, according to Trade Data Monitor, to 3.9 million mt from 4.1 million mt during the same period in 2020. Brazil took 726,000 mt, followed by Finland at 505,000 mt. However, the Brazilian government reported imports from Russia at 995,000 mt. Sources said about half of the tons sent to Finland were then sent on to Brazil and some other Latin American buyers.

A similar discrepancy showed up in the Russian numbers related to exports to Switzerland. According to data released this week, Russia sent 358,000 mt to Switzerland. However, the Swiss numbers for the same period showed Russian imports of only 53,000 mt. The difference had some international sources scratching their heads trying to figure out what Switzerland would do with so many tons of urea.

American purchases from Russia were up 52 percent in the January-July period, to 237,000 mt from 156,000 mt during the same period in 2020. July exports for 2021 were reported at 499,000 mt, down 21.8 percent from 637,000 mt last year.

Brazil:

Uncertainties related to when RCF will call its tender has the Brazilian market moving up. As the week ended, deals at $540/mt CFR were closed in Paranagua for an October cargo. Throughout the week, deals had been bouncing around $505-$510/mt CFR and then suddenly jumped at the end.

The higher prices were attributed to the loss of U.S. urea production related to Hurricane Ida and rising prices out of North Africa, especially Algeria – a regular Brazilian supplier – and Egypt. The expected loss of European production due to higher natural gas costs, and a lack of clarity on how many tons China will make available to the global market, were additional factors.

The range in Rondonopolis widened to $605-$695/mt FOB ex-warehouse. The demand for product stiffened as buyers looked for top-off tons before further possible increases after the Indian tender.The barter rate in Sorriso is 87 bags of corn for 1 mt urea. Last week the rate was 80 bags of corn.

The PAU plant in Bolivia is expected to start sending tonnage to Brazil via truck this month. Sources said the total tonnage expected to come to Brazil is about 200,000 mt. Reportedly, Swiss Singapore is handling the details for the sales and transportation.The most likely destination for the urea will be the state of Mato Grosso.

South Korea:

Urea imports for January through August were reported at 619,000 mt, down less than 1 percent from 624,000 mt during the same period last year, according to Trade Data Monitor. The main supplier was China at 506,000 mt.

August imports were up 34 percent, to 43,000 mt from 32,000 mt in August 2020. China supplied the full amount this year.

UAN

Eastern Cornbelt, Market Watch, South Central, Southeast, Southern Plains, U.S. Gulf, UAN, Western Cornbelt

U.S. Gulf:

NOLA price ideas for barges continued to move up, with players now calling the market $325-$340/st ($10.16-$10.63/unit) FOB, up from the week-ago $325/st ($10.16/unit) FOB.

Eastern Cornbelt:

Sources reported no UAN-32 offers on the table in the Eastern Cornbelt in mid-September, with the last spot business falling in the $355-$375/st ($11.09-$11.72/unit) FOB range, depending on location. “All UAN quotes have been pulled since Ida,” commented one source.

Western Cornbelt:

No current UAN-32 prices were confirmed in the region at mid-month. The last range for very limited offers was reported in the $375-$395/st ($11.72-$12.34/unit) FOB range in the Western Cornbelt.

Southern Plains:

Sources reported the last UAN-32 offers at $360-$375/st ($11.25-$11.72/unit) FOB in the Southern Plains, with the low out of Gulf Coast terminals and the high at regional production points. Most prices were pulled in the wake of Hurricane Ida, however, with sources reporting few, if any, offers on the table at mid-month.

South Central:

Most UAN-32 offers out of South Central terminals were pulled after Ida, with the only current prompt price in the region reported at $340-$345/st ($10.63-$10.78/unit) FOB Memphis.

Southeast:

The UAN-32 market was quoted at $350/st ($10.94/unit) FOB port terminals in the Southeast, provided any tons could be sourced at mid-month. The market out of inland terminals in Georgia was pegged at $330-$340/st ($10.31-$10.63/unit) FOB, up $10/st from last report.

In the Northeast, new UAN-32 offers FOB Fairless Hills, Pa., were reported at the $360/st ($11.25/unit) level for September-October.

Ammonium Nitrate

Ammonium Nitrate, France, Market Watch, South Central, Southeast, Southern Plains, Western Cornbelt

Western Cornbelt:

The last confirmed pricing for ammonium nitrate was $390-$400/st FOB in Missouri for fill, but sources said they expect higher numbers when new offers are announced.

Southern Plains:

Ammonium nitrate prices were steady at $400/st FOB Catoosa/Inola and Muskogee, Okla.

South Central:

The ammonium nitrate market in the South Central region was up some $45-$55/st, to $400/st FOB Yazoo City, Miss., and $410/st FOB Shreveport.

Southeast:

The Tampa ammonium nitrate market had reportedly firmed to $400/st FOB, with sources saying they expect higher prices going forward given the current global nitrogen market.

France:

Yara on Sept. 13 raised its list price for October deliveries of ammonium nitrate 33.5 percent (YaraBelaExtran33.5) in France, setting the new level at €410/mt bulk CPT, with immediate effect. The increase is a €13/mt hike on its previous October delivery price of €397/mt, announced on Sept. 1 (GM Sept. 3, p. 7).

Ammonium Sulfate

Ammonium Sulfate, Brazil, China, Eastern Cornbelt, Market Watch, South Central, South Korea, Southeast, Southern Plains, U.S. Gulf, Western Cornbelt

U.S. Gulf:

The last done NOLA ammonium sulfate barge business continued to be reported in the $330-$340/st FOB range. Finding empty barges to load remained a problem.

Eastern Cornbelt:

The ammonium sulfate market was quoted at a solid $355-$375/st FOB in the region, with the low reported at Cincinnati and the upper end at Ottawa, Ill.

Western Cornbelt:

The ammonium sulfate market edged up to $350-$370/st FOB St. Louis, with the Caruthersville market pegged at the $365/st FOB level at midweek.

Southern Plains:

Ammonium sulfate prices at Houston and Freeport, Texas, remained in the $320-$325/st FOB range, with the Catoosa/Inola market pegged at the $365/st FOB level in mid-September.

South Central:

Ammonium sulfate prices ranged from $340-$370/st FOB in the South Central region, with the low confirmed at Memphis and the high in Arkansas. The market FOB Shreveport was quoted at the $365/st level at midweek.

Southeast:

Granular ammonium sulfate prices FOB Hopewell, Va., remained at $315/st for granular, $295/st for mid-grade, and $275/st for standard. Pricing in Florida was pegged at $305/st FOB or DEL for standard and $355/st FOB or DEL for granular, depending on supplier.

China:

The price for caprolactam grade amsul softened a bit as demand in Southeast Asia eased. Sources now put the market at $195-$205/mt FOB.

Traders said the shift in price is due to the usual ebb and flow of prices and not to any downward trend. One trader noted that Brazil continues to demand more amsul, keeping the price for all grades of the product from falling too much if regional demands are not sufficient to maintain current levels.

Brazil:

The price range at Paranagua tightened to $320-$340/mt CFR for granular amsul on reduced demand. Compacted amsul was also reported steady at $330/mt CFR at the port.The price in Rondonopolis remained flat at $400-$455/mt FOB ex-warehouse. The barter rate in Sorriso for 1 mt of ammonium sulfate remained at 60 bags of corn.

South Korea:

Trade Data Monitor reported January-August ammonium sulfate exports at 382,000 mt, up from 280,000 shipped out during the same period in 2020. The main buyers this year were Mexico at 107,000 mt and the U.S. at 79,000 mt.

August 2021 exports were down 7 percent, to 31,500 mt from 34,000 mt in August 2020. The main buyers this year were New Zealand at 15,000 mt and Mozambique at 10,000 mt.