All posts by mickeybarb@charter.net

Urea

Black Sea, Brazil, China, Eastern Cornbelt, India, Indonesia, Market Watch, Middle East, Pakistan, Poland, South Central, South Korea, Southeast, Southern Plains, U.S. Exports, U.S. Gulf, U.S. Imports, Urea, Western Cornbelt

US Gulf:

NOLA barges were put in the $300-$335/st FOB range, up from the week-ago $290-$315/st FOB.

US Imports:

Urea imports for January softened 23.5% year-over-year, to 321,477 st from 420,468 st. Imports totaled 1.95 million st for July-January, off 38.6% from 3.18 million st in the year-ago period.

July-January imports from Qatar totaled 596,704 st, followed by 325,318 st from Saudi Arabia. Oman sent 284,748, while Russia added 215,211 st.

US Exports:

January urea exports were reported at 151,570 st, a 76.6% increase from the year-ago 85,816 st. Exports firmed to 1.02 million st for July-January, up 326.1% from the year-ago 238,824 st.

Eastern Cornbelt:

Urea was steady at $370-$390/st FOB in the Eastern Cornbelt, with the high inland and the low confirmed at Cincinnati, Ohio, and out of spot Illinois River terminals.

Western Cornbelt:

Urea was quoted at $360-$380/st FOB in the Western Cornbelt, with the low reported at Port Neal, Iowa, and St. Louis, Mo.

Southern Plains:

Urea pricing at Catoosa/Inola, Okla., was quoted in a broad range at $385-$410/st FOB, with the higher numbers reported later in the week. “The hand-to-mouth buying for the past several months has availability on the short side,” said one source. “Many are waiting on barges or limiting sales to stretch inventory.”

Recent urea offers at Houston, Texas, fell in the $365-$385/st FOB range during the week.

South Central:

Urea pricing remained in the $365-$390/st FOB range in the South Central region, unchanged from the prior week, with the low confirmed at Convent, La., and the high in Arkansas. The Memphis, Tenn., market was pegged at $385-$390/st FOB, while Kentucky sources quoted spot Ohio River tons at the $370/st FOB level at midweek.

Southeast:

Urea pricing out of port terminals in the Southeast was quoted at $400-$405/st FOB, with the high confirmed at Wilmington and reflecting a $5/st drop from last report. In the Northeast, urea pricing FOB Fairless Hills, Pa., slipped to $410/st FOB for March and $420/st FOB for April-May, down $5-$10/st from last week.

India:

Letters of intent to buy were sent out to the seven companies who will supply 1.1 million mt in the Indian Potash Ltd. (IPL) tender that closed earlier this month. The Indian buyer closed off the tender without taking the nearly 2 million mt that many in the industry hoped it would purchase.

Sources said that by taking only 1.1 million mt, slightly more than the tonnage it advertised it would buy in the tender documents, IPL has left the urea market with plenty of material in search of a home. One trader noted that even if major buyers such as the US and Brazil step in, there would still be a lot of urea left over to leave prices soft.

Most of the tons IPL will take are expected to come from the Arab Gulf, with supplemental tons coming from China and smaller suppliers such as Egypt and Indonesia. There were also reports that some tonnage may include third-party material re-exported out of China. Earlier in the month there were reports of three vessels laden with Russian product heading for China. At the time, sources expected the product would be turned around and sent to India.

Local media reports said the government has asked the Indian parliament to approve additional funds for the current fiscal-year budget. The call came as fiscal-year 2022 draws to a close at the end of the month.

According to the reports, the government is asking for $1.1 billion to cover subsidy payments for domestically-produced urea. An additional $782 million is being asked to pay for subsidies related to imported urea. This is not the first time the government had to ask for supplemental funds to cover fertilizer costs. The run-up in urea prices from April 2022 until now broke many expectations, leaving government planners to rush to find the necessary funds to ensure ample urea supplies for the country.

The fiscal-year 2023 budget reduces the amount set aside for fertilizer subsidies. Sources previously said that India is anticipating fewer imported tons of urea in the next fiscal year. They noted the government will be offering subsidies in power and inputs to new urea plants in the country to boost domestic production. At the same time, the government is putting a lot of faith in Nano Urea (Liquid) products to reduce the need for farmers to buy traditional urea.

Pakistan:

The government has approved a plan to guarantee natural gas supplies to previously-shuttered urea plants in order to ensure an ample supply of urea in the coming year, local media reported.

According to these reports, the government has estimated that demand will exceed domestic production by 300,000 mt. The panel reviewing the situation reportedly had two options: import the urea, or provide support to domestic plants to produce the shortfall amount. The panel chose the domestic production option.

Plants that were closed in January after limited natural gas supplies were diverted toward consumer use are expected to reopen soon. The guarantee for natural gas will only last through May. Producers told the government that this is how much time they needed to make up the 300,000 mt supply deficit.

Prior to the decision, some international traders had noted that importing urea would be difficult for Pakistan. They said the country’s economic situation – particularly its limited reserves of foreign currency – led trading houses to question the timeliness of payments in previous tenders.

Black Sea:

Sources reported a sale into Turkey at $330-$340/mt CFR. The product was reported as either Russian or Iranian in origin.

Indonesia:

Pupuk Indonesia, the holding company for the urea producers, on March 17 closed a selling tender for 30,000-45,000 mt of granular urea and 6,000-12,000 mt of prilled.

Sources reported the highest bid for the granular product came from Samsung at $331/mt FOB. However, the bid was for only 6,000 mt. Indications are that Pupuk wanted bids for a minimum of 30,000 mt. Aries submitted its bid at $315/mt FOB for 30,000 mt. Other bids reportedly were closer to $310/mt FOB.

The prilled portion saw bids in the $340s/mt FOB. Samsung reportedly bid for the full 12,000 mt of prilled urea at $341/mt FOB. Close behind was Liven at $340.44/mt FOB. Sources said the limited amount of Chinese urea available for export is keeping prills at a premium against granular.

The last Pupuk tender took place in February, when Pupuk sold 45,000 mt of granular urea at $378.88/mt FOB and 12,000 mt of prilled urea at $360/mt FOB. The softer prices in the most recent tender were not a surprise to industry watchers.

The high prices offered for both types of urea make using the tons as to cover an award into India untenable.

Middle East:

With the Indian tender closed, sources were comfortable calling the netback to the Arab Gulf $310-$315/mt FOB. The region’s producers are expected to supply the bulk of the urea in the IPL tender.

Traders called the Egyptian market $375-$380/mt FOB. Sources said producers are even willing to discuss business at these levels, even though the last wave of deals was priced at $403/mt FOB. Despite the softer values, sources believed the prices were still too high for most buyers in the current market.

China:

A number of tons from China are expected to be used to cover awards from the IPL/India urea tender. The netback to China was pegged at $315-$320/mt FOB.

In addition to urea from Chinese plants, sources said that tons – possibly from Russia and Iran – might also be sent to India from Chinese ports. Earlier this month, three cargoes of Russian material were reported headed to China. At the time, sources said the product would most likely be re-exported to India.

South Korea:

Trade Data Monitor reported January-February urea imports at 154,000 mt, down 36% year-over-year from 241,000 mt.

February imports were noted at 52,000 mt, off 40% from 86,000 mt imported in February 2022. Qatar sent 30,000 mt, followed by 22,000 mt from China.

Brazil:

Urea prices remained under pressure due to limited buyer interest. Sources put the landed price at $315-$325/mt CFR, reflecting a slow-but-steady slide in prices into Brazil.

Pricing at Rondonopolis saw some softening, with sources putting the inland market at $485-$500/mt FOB ex-warehouse. The market is looking to the upcoming 2024 corn season to increase sales.

Poland:

Grupa Azoty total urea output fell 45% in February, the group reported, to 70,000 mt from the year-ago 127,000 mt.

Azoty also confirmed it will continue a temporary shutdown of the ammonia and urea plants at the Azoty Zakłady Chemiczne “Police” subsidiary through March 31. The decision reflects “the deteriorating negative supply-demand situation in the market,” Azoty said. Production capacity at the facility totals 450,000 mt/y of urea and 660,000 mt/y of ammonia, according to the Green Markets database.

Azoty’s production of nitrogen fertilizers declined by 34% in February, to 196,000 mt from 297,000 mt in February 2022. Azoty said it adjusts production in response to demand changes in the European market.

OCI Global, Lotte Fine Chemical Sign MOU

Green Ammonia, News, News Briefs, South Korea, Texas, The Netherlands

OCI Global said it has signed a Memorandum of Understanding (MOU) with South Korea’s Lotte Fine Chemical, a leading ammonia distributor in east Asia, for the supply of low-carbon and green ammonia. First shipments will start this year from OCI’s existing ammonia plant in Beaumont, Texas.

Lotte Fine Chemical will introduce OCI’s ISCC Plus bio-ammonia, derived from bio-methanol, for the first time in Korea for supply to its domestic customers. When bio-certified, plastic products made of this material will be eligible for tax benefits when exported to Europe, OCI said.

Future supply is also expected to come from OCI’s new 1.1 million mt/y blue ammonia greenfield project under construction in Beaumont, Texas, which is targeted to be operational in early 2025 (GM Feb. 10, p. 1; Dec. 9, 2022; Sept. 9, 2022).

Future supply is also targeted to come from Fertiglobe’s green ammonia plant in Ain Sokhna, Egypt, which commissioned its first phase last November (GM Nov. 11, 2022).

OCI and Lotte are also looking to cooperate to build a global supply of bunkering for ammonia-powered vessels in Ulsan port, Korea, which are expected to be commercialized from 2025 onwards.

The South Korean company operates ammonia tank facilities in the port, where there are plans to complete the installation of bunkering supply facilities by 2024.

OCI has plans to set up a global supply chain and bunkering network using its ammonia storage infrastructure located in Rotterdam in the Netherlands, and near Suez in Egypt, as well as in the US Gulf.

UAN

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

US Gulf:

Prices were reported softening to $270-$295/st ($8.44-$9.22/unit) FOB, down from the week-ago $280-$295/st ($8.75-$9.22/unit) FOB.

US Imports:

With January cargoes from Russia reported at 269,380 st, UAN imports totaled 386,583 st for the first month of 2023, up 339.2% from the year-ago 88,028 st. July-January volumes were 1.63 million st, rising 25.9% from 1.29 million st in the prior year.

Russia topped the July-January import slate with 1.17 million st, above 258,585 st from Canada and 166,683 st from Trinidad and Tobago.

US Exports:

Exports for January stood at 203,324 st, up 2,124.2% from the year-ago 9,141 st. July-January exports were 1.67 million st, 420.8% above the prior-year 321,236 st.

Eastern Cornbelt:

UAN-28 remained at a low of $265-$270/st ($9.46-$9.64/unit) FOB Cincinnati for prompt tons during the week. UAN-32 prices ranged broadly at $305-$345/st ($9.53-$10.78/unit) FOB in the region, depending on location and time of shipment, with the low confirmed for prompt Cincinnati tons and the high for 2Q offers at Seneca, Ill.

Western Cornbelt:

UAN-32 was pegged at $300-$335/st ($9.38-$10.47/unit) FOB in the Western Cornbelt, with the low for prompt tons and the high confirmed for April offers on a spot basis. The latest prices at St. Louis remained in the $305-$310/st ($9.53-$9.69/unit) FOB range for prompt tons.

Southern Plains:

UAN-32 pricing at regional production points edged up to $290-$305/st ($9.06-$9.53/unit) FOB, with the low in Oklahoma and the high reported for prompt tons at Coffeyville. Some sources speculated that tight supply and allocated product at some locations could push pricing to the $300-$340/st FOB range in the near term.

UAN-32 in Texas was quoted at $320/st ($10.00/unit) FOB Houston, $330/st ($10.31/unit) FOB Corpus Christi, and $340/st ($10.63/unit) FOB Victoria, with rail-DEL offers also pegged at the $340/st ($10.63/unit) level for tons from Oklahoma.

South Central:

Prompt UAN-32 offers firmed to $320-$340/st ($10.00-$10.63/unit) FOB terminals in the South Central region, up from the prior $310-$335/st ($9.69-$10.47/unit) FOB range.

Southeast:

UAN-32 prices continued to fall in the Southeast. The market FOB port terminals were quoted at $350-$365/st ($10.94-$11.41/unit) FOB, down from $370-$400/st ($11.56-$12.50/unit) FOB in late February, with the low confirmed at Wilmington, N.C., and the high at Savannah, Ga.

Spot pricing out of inland terminals in Georgia dropped as well, falling to $380-$400/st ($11.88-$12.50/unit) FOB from the previous $450/st ($14.06/unit) FOB level.

Biostimulants Bill Supported by Industry Groups

News, News Briefs, Specialty, U.S.

The Fertilizer Institute (TFI) on March 16 praised Congress for introducing the Plant Biostimulant Act, legislation that TFI said will support the adoption of biostimulants by farmers and provide clarity to the emerging marketplace.

Introduced by Reps. Jimmy Panetta (D-Calif.) and Jim Baird (R-Ind.) and Sens. Alex Padilla (D-Calif.) and Mike Braun (R-Ind.), the Plant Biostimulant Act would amend the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) to establish a consistent national definition for “plant biostimulant” while specifically excluding such products, which are not pesticides, from FIFRA regulation.

TFI said the bill creates a uniform process for approving commercial plant biostimulant use as an alternative to synthetic pesticides and fertilizers, fosters research on the technology’s benefits for soil health, and implements uniform federal guidance from the US Environmental Protection Agency (EPA) and Department of Agriculture (USDA).

TFI President and CEO Cory Rosenbusch said the lack of a clear and consistent definition for “biostimulant” and the absence of a uniform framework to regulate them as plant nutrition products have been big hurdles for the industry.

“Biostimulants are a relatively new innovation in agriculture. There is great potential in these products, but as with any new technology there are hurdles,” Rosenbusch said. “The lack of a regulatory framework inhibits research and puts the US behind Europe in product development. Other countries are regulating biostimulants through a fertilizer lens and finding success. We are hitting a roadblock right out of the gate and need those guardrails to foster innovation, research, testing, and ultimately a path to market for these products.”

In addition to TFI, the bill is endorsed by the Agriculture Retailers Association (ARA), American Seed Trade Association (ASTA), Biological Products Industry Alliance (BPIA), Biotechnology Innovation Organization (BIO), Council of Producers and Distributors of Agrotechnology (CPDA), CropLife America (CLA), Golf Course Superintendents Association of America (GCSAA), Humic Products Trade Association (HPTA), International Fresh Produce Association (IFPA), National Association of Landscape Professionals (NALP), Responsible Industry for a Sound Environment (RISE), Western Growers, and American Bird Conservancy.

“When we talk nutrient management, we are talking about minimizing losses to the environment, water quality, air quality, soil health, and all the other things important to the conservation and environmental communities,” Rosenbusch said. “Biostimulants support environmental stewardship by improving the efficiencies of fertilizer application and soil health while also increasing crop yields. With a growing population, demand for agricultural production continues to increase. The fertilizer industry is innovating to meet those demands and legislation like the Plant Biostimulant Act will allow that innovation to reach growers.”

Ammonium Nitrate

Ammonium Nitrate, Market Watch, South Central, Southern Plains, U.S. Exports, U.S. Imports, Western Cornbelt

US Imports:

January ammonium nitrate imports were 42,201 st, rising 74.6% from the year-ago 24,174 st. July-January volumes were counted at 183,171 st, however, a 10.9% decrease on the prior 205,585 st.

US Exports:

January ammonium nitrate exports slipped 0.3%, to 33,138 st from 33,249 st in January 2022. July-January exports were up 32.9%, however, to 342,340 st from 257,566 st.

Western Cornbelt:

The latest offers for ammonium nitrate in Missouri were unchanged at $470/st FOB Lamar and $490/st FOB St. Joseph.

Southern Plains:

Ammonium nitrate dropped to $450/st FOB Muskogee, Okla., down $25/st from last report.

South Central:

Ammonium nitrate prices were pegged at $400-$450/st FOB in the South Central region, with the high in Kentucky and the low reported for the last offers at Yazoo City, Miss.

Ammonium Sulfate

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

US Gulf:

The NOLA barge market continued at $300-$310/st FOB. Interoceanic Corp. (IOC) posted NOLA product at $315/st FOB.

US Imports:

January ammonium sulfate imports were noted at 97,018 st, up 54.6% from 62,746 st in January 2022. July-January exports totaled 411,049 st, 9.0% below the year-ago 451,861 st.

Imports from Canada totaled 231,389 st for July-January. Belgium sent 119,993 st, followed by 47,455 st from South Korea.

US Exports:

Amsul exports firmed 36.1% in July-January, to 547,021 st from the year-ago 401,871 st. Shipments totaled 108,284 st for January, a 163.4% increase from 41,116 st in January 2022.

Eastern Cornbelt:

Granular ammonium sulfate pricing slipped to $370-$385/st FOB in the Eastern Cornbelt, down $10-$15/st, depending on location. IOC on March 16 announced new spring pricing for PCI Nitrogen’s premium grade granular ammonium sulfate, with new postings dropping to $370/st FOB Upper Mississippi River and Illinois River terminals, and $375/st FOB Ohio River terminals.

Western Cornbelt:

Granular ammonium sulfate was quoted at $350-$385/st FOB in the Western Cornbelt, with the low confirmed at St. Louis. New spring postings from IOC on March 16 included $365/st FOB St. Louis, $370/st FOB Upper Mississippi River terminals, and $385/st FOB Sioux City, Iowa, Omaha, Neb., and Casselton, N.D. IOC’s spring price for rail-DEL tons in the Northern Plains moved to $385/st.

Southern Plains:

Granular ammonium sulfate pricing at Houston was quoted at $340-$350/st FOB, with Catoosa/Inola offers pegged at the $370/st FOB level. IOC’s March 16 postings for granular ammonium sulfate included $350/st FOB Houston.

South Central:

Ammonium sulfate prices were reported in a broad range at $345-$385/st FOB in the South Central region, with the low confirmed in Mississippi and the high in Arkansas. The Memphis market was generally reported at $370-$375/st FOB for new business during the week, while spring postings from IOC on March 16 included $365/st FOB Mississippi Delta terminals.

Southeast:

Ammonium sulfate pricing FOB Hopewell, Va., remained at $490/st FOB for granular, $450/st FOB for mid-grade, and $430/st FOB for standard. Pricing in the Florida market was steady as well at $395/st FOB/DEL for standard and $505/st FOB/DEL for granular. IOC’s March 16 postings for granular ammonium sulfate included $420/st FOB Tampa.

China:   

Sources said that both lower production output and reduced demand from regional buyers are combining to gently lower prices. For several weeks, the supply and demand changes have kept pace with each other, allowing prices to remain steady.

While no new deals were reported to move the price this week, sources said buyers are finding it more difficult to move its caprolactam-grade amsul, increasing the pressure to lower prices. At the same time, potential buyers are reportedly pushing for lower prices.

For now, the price remained steady in the low-$170s/mt FOB, based on limited discussions and even fewer sales.

South Korea:

January-February ammonium sulfate exports stood at 46,000 mt, according to Trade Data Monitor, a30% decrease from 66,000 mt exported through the first two months of 2022. The main buyers were the US with 27,500 mt, and New Zealand with 12,000 mt.

February exports totaled 28,000 mt. The US took 27,500 mt, down more than 50% from the year-ago 60,000 mt.

Brazil:   

Prices continued to drop as market observers began to think a price floor was in view, if not already achieved. Sources put prices at $205-$215/mt CFR, a slight softening from previous quotes.

The Rondonopolis amsul market tightened to $340-$350/mt FOB ex-warehouse. The move was seen as a general softening of the overall inland nitrogen market.

Sage Potash Lists Shares

News, News Briefs, Potash, Vancouver

Sage Potash Corp., Vancouver, B.C., announced on March 16 that its common shares will commence trading at market open on Monday, March 20, 2023, on the TSX Venture Exchange under the ticker symbol “SAGE.” The listing of shares follows the filing and receipt of its final non-offering prospectus. The prospectus was filed with the securities regulatory authorities in the Provinces of British Columbia and Alberta.

Sage is a Canadian-based exploration and development company. Its flagship project, the Sage Plain Potash Property, is located in the Paradox Basin in southeastern Utah. Sage said it is preparing an engineering plan for initial production of 150,000 mt/y of potash. Concurrently, it said it will continue to expand overall resource estimates that can support the potential of raising production to 2-3 million mt/y.

The company said its local production will save distributors and cooperatives $150-$200 per ton in transportation costs usually incurred from imported potash.

Sage noted that Utah is a mining-friendly jurisdiction with a good supply of talented workers. In addition, it said the project has robust infrastructure that includes roads and electricity access.

CBH Opens Kwinana Fertilizer Facility

Australia, News, News Briefs

The CBH Group, Perth, Australia’s largest cooperative, announced the March 17 opening of its new Kwinana Fertilizer Facility, which it said will deliver significant benefits to Western Australian grain growers. The project marks the start of CBH’s liquid fertilizer business and expands its granular fertilizer capacity by 15,000 mt.

CBH is expected to commence outloading UAN and granular fertilizer to WA growers next month. Construction on the project began early last year (GM Jan. 21, 2022). Located adjacent to CBH’s Kwinana Grain Terminal, the new facility has capacity to store 32,000 mt of UAN and 55,000 mt of bulk granular fertilizer.

CBH Chief Marketing and Trading Officer Jason Craig said the facility enables the growth of the cooperative’s fertilizer business in line with grower demand. “CBH Fertilizer continues to experience year-on-year growth and outturned a record 204,000 mt last year – our best result since entering the market in 2015,” he said. “Increasing the scale of our Fertilizer business, and allowing for further expansion, reflects the ever-increasing demand for CBH fertilizer. It also supports CBH’s Strategy target of holding a 15% market share in Western Australia by 2033.”

DAP/MAP

Brazil, Central Florida, China, DAP/MAP, Eastern Cornbelt, India, Lithuania, Market Watch, South Central, Southeast, Southern Plains, U.S. Exports, U.S. Gulf, U.S. Imports, Western Cornbelt

Central Florida:

Central Florida market players reported DAP truck pricing at $630/st FOB for the week, unmoved from the prior report. MAP trucks were also posted at $630, steady compared to one week earlier.

MAP trucks loading from North Florida were quoted even with Central Florida at $630/st FOB.

US Gulf:

Players reported neutral-to-firm movement on the NOLA barge phosphate market during the week. DAP barges narrowed within their week-ago range, while low-end MAP prices lifted higher.

Trading of domestically-produced DAP barges was quoted at $610/st FOB, off $5/st from the product’s $615/st FOB week-ago high, while imported DAP pricing was referenced at a $600/st FOB floor, above the prior $595/st FOB bottom. Offers for domestic product were quoted at $610/st FOB.

Most of the week’s action was reportedly concentrated at locations north of NOLA. “It has been dead this week on phosphates unless it is upriver,” said one source. Players reported bidding for upriver DAP barges at a $615/st FOB NOLA-equivalent.

DAP paper bidding for April loading was noted at $560/st FOB. May paper offers reported at $570/st FOB were met with $550/st FOB bids, sources said.

Sources called price ideas for domestically-produced MAP unchanged from the recent $575/st FOB high, while trading and offers of imported material tracked above the week-ago $555/st FOB low at $565/st FOB.

DAP barges were noted in a $600-$610/st FOB range for the period, narrowing from $595-$615/st FOB in the prior report. MAP barges firmed from the week-ago $555-$575/st FOB to $565-$575/st FOB, sources said.

US Imports:

July-January DAP imports totaled 370,857 st, off 55.7% from the year-ago 836,549 st. January imports were down 84.9%, to 12,937 st from the prior 85,827 st.

Saudi Arabia imports for July-January totaled 218,741 st. Australia sent 119,060 st, followed by 24,668 st from Russia.

July-January MAP/Other imports rose 4.8% year-over-year, to 604,657 st from 576,780 st. January imports were 145,182 st, up 299.7% from the year-ago 36,320 st.

July-January imports from Russia were counted at 215,644 st, ahead of 149,551 st from Saudi Arabia and 102,962 st from Australia. Mexico added 86,164 st.

US Exports:

DAP exports were up 25.0% in July-January, lifting to 482,260 st from the year-ago 385,805 st. January cargoes were counted at 43,982 st, however, off by 15.4% compared to 52,014 st reported one year earlier.

MAP/Other exports fell 2.2% in July-January, to 1.2 million st from the year-ago 1.23 million st. Shipments totaled 214,491 st for January, down 5.7% from 227,342 st.

Nothing new was reported on the US Gulf phosphate export market, leaving last-done spot levels at $635/mt FOB.

Eastern Cornbelt:

DAP remained at $670-$680/st FOB in the Eastern Cornbelt, with the low confirmed at Cincinnati. The Ottawa, Ill., DAP market was pegged at the $675/st FOB level for the latest offers. MAP was steady at $625-$650/st FOB, with the upper end out of inland warehouses and the low confirmed at both Cincinnati and Ottawa.

Western Cornbelt:

DAP was quoted at $660-$680/st FOB in the Western Cornbelt, with the St. Louis market unchanged at $660-$670/st FOB. MAP slipped to $615-$660/st FOB in the region, with St. Louis pricing pegged in the $615-$625/st FOB range, down $5/st from last week.

Southern Plains:

DAP was quoted at $675-$685/st FOB in the Southern Plains, with the low at Houston and the high at Catoosa/Inola. MAP pricing dropped to $620/st FOB Houston and $635-$645/st FOB Catoosa/Inola.

South Central:

DAP prices dropped slightly to $670-$690/st FOB in the South Central region, down $5-$10/st, with the low in Kentucky and the high in Arkansas. The Memphis DAP market was pegged at $680-$685/st FOB, down $10/st from late February.

Southeast:

MAP pricing from Nutrien was steady at $630/st FOB Aurora, N.C., and White Springs, Fla.

China:   

Sources put the Chinese DAP price at $605-$610/mt FOB, representing a slight dip in pricing for the month, while the price at the factory gates was put at $580-$600/mt ex-plant. The price changes echoed softening seen in other phosphate markets.

India:     

The Rashtriya Chemicals and Fertilizers Ltd. (RCF) DAP tender, calling for 100,000 mt to be evenly divided between an East Coast port and a West Coast port, closed on March 13. Sun International reportedly offered Saudi material at $614/mt CFR, while the Indian buyer countered at $610/mt CFR. No response was reported as Green Markets went to press.

The Sun offer was already below the market’s last-done $625/mt CFR spot deal, and represents where traders have reported the market to be moving for quite some time. The tender will provide a benchmark for both future spot deals and contract negotiations.

Brazil:   

The MAP market tightened to $630-$645/mt CFR. Buyers continue to argue that prices need to fall to a sub-$600/mt CFR level. International traders also expected prices to dip below $600/mt CFR soon.

The Rondonopolis market was pegged at $740-$770/mt FOB ex-warehouse, with the bulk of deals reported at the upper end of the range. Aggressive buyers continued to hold firm at the $740/mt mark, however, slightly softening the market compared to recent weeks.

Lithuania:

Phosphate fertilizer company AB Lifosa has once again stopped production at its Kėdainiai production facilities, according to Lithuanian news portal Rinkos aikŝte, citing Lifosa spokesperson Indré Mažeikiené. Production was halted on Feb. 22 for an indefinite period.

The company was reported having issues settling payments with raw materials suppliers. Payment delays, attributable to lengthy procedures for verifying financial transactions related to sanctions, were cited.

Lifosa produces approximately 1 million mt/y of DAP.

TSP

Eastern Cornbelt, Market Watch, South Central, Triple Superphosphate, U.S. Gulf, Western Cornbelt

US Gulf:

Sources called TSP barges in a $525-$545/st FOB range, below $530-$550/st FOB reported last. Tons from Lebanon were said to account for the bottom of the range.

Eastern Cornbelt:

TSP was pegged at $580-$610/st FOB in the Eastern Cornbelt.

Western Cornbelt:

TSP firmed to $580-$605/st FOB in the Western Cornbelt, depending on location.

South Central:

TSP pricing in the South Central region slipped to $615-$630/st FOB for new business, below the previous $620-$635/st FOB range, with the low reported at Memphis and the high in Arkansas.