Central Florida:
Central Florida DAP trucks softened to a flat $570/st FOB, down from $570-$580/st at last report, while truck-loaded MAP prices were steady at $620/st FOB. North Florida MAP postings continued at $650/st FOB.
US Gulf:
NOLA DAP barges were reported at $540-$555/st FOB, rising from $540-$550/st FOB at last report. Sources noted MAP barges in the $635-$640/st FOB range, stretching from $635/st FOB one week earlier. Lower early-week pricing for both products gave way to firmer values as the week progressed, players said.
US Exports:
The last US Gulf spot exports continued to be noted at $550/mt FOB for DAP and $570/mt FOB for MAP.
Eastern Cornbelt:
The DAP market was reported at $595-$610/st FOB in the Eastern Cornbelt, with the low confirmed at Cincinnati. MAP remained at $690-$700/st FOB in the region. Delivered MAP offers in central Michigan were pegged at the $735/st level during the week.
Western Cornbelt:
DAP was steady at $585-$610/st FOB in the Western Cornbelt, with the St. Louis market quoted in the $585-$595/st FOB range. MAP remained at $680-$700/st FOB, with the low again confirmed at St. Louis.
Northern Plains:
DAP pricing was unchanged at $595-$600/st FOB St. Paul, with MAP reported at $695-$700/st FOB St. Paul.
Northeast:
DAP was unchanged at $610/st FOB East Liverpool, Ohio, with MAP reported at the $700/st FOB level at that location. No current MAP prices were reported at Fairless Hills in mid-August.
Benelux:
DAP business in Benelux was described as minimal, resulting in an unchanged price assessment of $672-$678/mt FCA.
Baltic:
DAP prices in the Baltic moved $20/mt higher on the low end, reflecting netbacks from recent sales of around 10,000 mt into Latin America. The high end continued to reflect netbacks from business into Western Europe, leaving the weekly range at $520-$615/mt FOB.
Despite improved liquidity in Brazil with at least 15,000 mt sold by a Russian producer, MAP prices in the Baltic were stable at $585-$595/mt FOB.
Morocco:
Moroccan DAP prices moved up to $535-$625/mt FOB reflecting netbacks from India, where the last confirmed business jumped $30/mt, to $620/mt CFR.
OCP has also reportedly reached an agreement for the supply of 500,000 mt of DAP to India at an undisclosed price. Previously, the producer was targeting close to $580/mt FOB.
China:
The Chinese government may not impose a total ban on phosphate exports, sources are now reporting. The government will reportedly allow some exports, though not in large quantities. Sources said the move came after a number of export permits were requested for large amounts of DAP for shipment to India. The Chinese government now seems to be ready to block those requests.
Sources described China’s mini-application season in September and October as the justification for pulling back on exports, as demand for phosphates and NPKs will reportedly spike in the next two months. The extra seasonal demand came as India began aggressively moving to secure more DAP supplies.
China exported 2 million mt of DAP in January-July, Trade Data Monitor reported, a 31% decline from the year-ago 2.9 million mt. India topped the buyer list with 460,000 mt, down about three-quarters compared to 1.9 million mt in the same period of 2023. Vietnam took 326,000 mt, followed by Thailand with 278,000 mt, while the remaining exports went to 44 other countries. July DAP imports were 512,000 mt, up slightly from the 510,000 mt shipped in July 2023.
MAP exports totaled 1.2 million mt in January-July 2024, above the 1.1 million mt shipped through the first seven months of 2023. Brazil took 527,000 mt and Argentina received 134,000 mt. July exports were noted at 253,000 mt, up 27% from the 200,000 mt reported in July 2023.
India:
Source reported the final take in the phosphate deal between India and Morocco’s OCP as totaling 510,000 mt of DAP at $620/mt CFR and 220,000 mt of TSP at $445/mt CFR.
Indian negotiators had been pushing against including TSP in the deal, and attempted to push DAP prices into the $580s/mt CFR. However, the rising price of DAP in the global market, even with some Chinese product available for export, left the buyers in a difficult position.
Even with the extra subsidy payments approved by the government earlier this month, the most farmers will pay for DAP is around $545/mt. This leaves a large gap between the domestic price and the landed price. This spread is why only state-owned entities are currently able to engage in DAP importation, sources said. The losses incurred by the companies can be made up in other state-sponsored supports, a luxury that private-sector importers would not enjoy.
The Russian government and Russian phosphate producers will reportedly continue leaning on the Indian government to repeal – or at least temporarily suspend – the country’s 5% import duty on DAP. The Russians are reportedly willing to offer lower prices to India than were achieved in the OCP deal. However, freight costs from Baltic ports to India, in combination with a selling price that is favorable to India, results in a netback that Russian producers are unwilling to accept.
Sources reported a large DAP cargo sent to India from Australia earlier this month. The import duty does not apply to Australian product. The initial report indicated a landed price of $636/mt CFR. Once the duty was removed, however, sources put the price closer to $604/mt CFR.
Brazil:
Landed MAP prices held steady at $635/mt CFR, unchanged from last week. Both limited availability and affordability concerns continue to weigh on late-season demand, constraining the market.
The Rondonópolis market softened $10/mt at the low side, slipping to $765-$785/mt FOB. Imported product was noted at the upper end of the range while domestically produced MAP set the price floor. Purchasing activity was sporadic, players noted, influenced by limited availability in certain regions and a higher barter ratio.