Central Florida:
The Central Florida DAP truck market was noted firming to $540/st FOB from $530/st FOB in the prior report, with sources describing thin availability for March and April. MAP lifted to $555-$570/st FOB, up from $545-$560/st FOB one week earlier.
U.S. Gulf:
Sources reported solid price firming on the NOLA barge phosphate markets amid a slow week of trading. Nearby DAP barges were pegged at a $530/st FOB low, up from $518/st FOB noted previously, while players put the top of the nearby range at $535-$538/st FOB on March 10.
The March 11 ITC ruling affirming countervailing duties on tons from Morocco and Russia offered additional fuel to the market, sources said, with paper trading up to $542/st FOB. Bidding for physical barges was reported up to $540/st FOB on March 11. Offers for domestic tons were quoted at $535/st FOB for loading in April or May, rising $10/st from week-ago levels.
MAP barges also moved higher for the week. Sources generally quoted nearby physical sales and offers at a $575/st FOB floor, with firm bidding interest reported moving to at least $590/st FOB on March 11. Mirroring the DAP market, domestic MAP offers firmed $10/st FOB, to $565/st FOB for April and May loading. Prompt trading rumored up to $595/st FOB went unconfirmed on March 11.
Nearby physical DAP barges were quoted at $530-$540/st FOB for the week, up from $518-$530/st FOB in the prior report. MAP barges were generally called $575-$590/st FOB, higher than $572.50-$585/st FOB at last check.
U.S. Imports:
DAP imports lifted 5.8 percent higher for the July-January period, totaling 649,048 st compared with the year-ago 613,234 st. January imports firmed 80.3 percent, to 186,117 st from 103,229 st.
Saudi Arabia topped the list at 227,059 st in the July-January period, rising 649.7 percent from the year-ago 30,287 st. Vessels from Australia totaled 152,099 st, compared with zero imports in the year-ago period, while Jordan jumped into third-place with 146,942 st, up from zero tons imported for the prior year.
Russian imports sank 63.3 percent year-over-year, to 35,737 st from 97,330 st, while tons from Moroccan were off 94.5 percent for July-January, to 24,251 st compared with 440,948 in the previous year.
MAP/Other imports continued to drag in January, with volumes reported at 58,457 st, a 69.1 percent year-over-year decline from 189,105 st. Imports were also lower in the July-January fertilizer year-to-date, falling 56.9 percent to 495,836 st from the year-ago 1.15 million st.
Mexico led the July-January import period with 149,186 st, up 129.1 percent from 65,113 st in the previous year. Saudi Arabia’s 115,292 st was up 107.0 percent from the previous year’s 55,698 st, followed by 73,564 st from Russia, a 52.9 percent decline from the prior year’s 156,119 st total. Lithuania added 54,521 st, a sharp increase from the year-ago 452 st, while Australia’s 59,482 st total was up from zero tons in the previous July-January period.
U.S. Exports:
January DAP exports were noted at 43,650 st, falling 19.1 percent from the year-ago 53,974 st. July-January volumes dropped 30.0 percent, to 467,091 st from 667,309 st in the prior year.
MAP/Other exports for January were logged at 218,988 st, a 27.3 percent increase from the year-ago 171,960 st. July-January offshore tons fell 15.7 percent, however, to 1.29 million st from 1.54 million st reported one year earlier.
No new spot business was reported on the week’s Gulf phosphate export market. Recent transactions included a 7,000 mt DAP cargo priced at $580/mt CFR and scheduled to load in late March. With no new dealings reported, the market continued to be called $580/mt FOB for both DAP and MAP.
Eastern Cornbelt:
DAP remained at $560-$580/st FOB in the Eastern Cornbelt, with the low reported out of spot Illinois terminals. MAP was steady at $610-$635/st FOB in the region, with spot levels reported at $610/st FOB Cincinnati and $620/st or higher FOB Ottawa, Ill.
Western Cornbelt:
DAP pricing edged up to $560-$580/st FOB in the Western Cornbelt, up $10/st from last report, with the low reported at St. Louis and Camanche, Iowa, and the upper end at Dubuque, Iowa. The Caruthersville DAP market was pegged at the $575/st FOB level at midweek. MAP remained at $615-$650/st FOB in the region, with the low again confirmed at St. Louis.
Southern Plains:
DAP pricing was quoted at $565-$585/st FOB in the Southern Plains, with the low confirmed at Houston and the higher numbers at Catoosa/Inola from some suppliers. The MAP market was pegged at $610/st FOB Houston and $625-$640/st FOB Catoosa/Inola.
South Central:
Warehouse DAP prices were reported at $570-$585/st FOB terminals in the South Central region, virtually unchanged from last report, with the low reported at Memphis and the high at Shreveport. Most Arkansas River terminals were pegged at the $575/st FOB level at mid-month.
Southeast:
Nutrien’s reference pricing for DAP and MAP at Aurora, N.C., moved up $10/st during the week, to $560/st FOB for both products.
Saudi Arabia:
Recent sales out of Saudi Arabia were heard firming to $450-$530/mt FOB, with more gains predicted in the next round of business.
China:
Prices for DAP moved firmly into the $570s/mt FOB in China, with traders calling the market $570-$575/mt FOB with more upward pressure coming.
Sources said part of the push for higher DAP prices is coming from phosphate producers looking to other products such as MAP or to NPK production. While there are still reports of some possible material available in the $560s/mt FOB, most traders argue that the product being offered is closer to DAP lite rather than the full 18-46-0 DAP.
Sources said the increased focus on products other than DAP means fewer tons are available for export, leaving international traders and a growing number of buyers scrambling to find product.
India:
The limited quantity of DAP on the global market is making it difficult for buyers, and sources said the shortage is hitting the full phosphate line of products.
An RCF tender for DAP lite and GMAP closed on March 9 with no offers. The quick tender was needed to make up for a trader unable to fulfill an award previously issued. The trader declared a force majeure when he could not find available product at any price.
Brazil:
Demand for MAP continues in Brazil. The price at Paranagua is now $615-$640/mt CFR, with sellers pushing for $670/mt CFR.
Portside dealers are not the only ones facing pricing pressure. Rondonopolis now reports a spread of $700-$800/mt FOB ex-warehouse. The rise at the upper end of the range represents an almost $60/mt price increase in just one week.
Farmers are still getting good returns on their crops, according to sources. As a result, the barter ratios for 1 mt of MAP remains at 75 bags of corn or 31 bags of soybeans.