Central Florida: Although prompt railcar sales of Central Florida phosphates were minimal last week, the demand was greater in the Northeast than in past weeks. That region was being served primarily from warehouses, but there were major problems getting trucks to make deliveries due to a lack of backhaul for truckers.
Florida was still suffering from a lack of rain, and that may continue into mid-June, before the seasonal rains begin.
The Central Florida DAP range last week moved to $475-$480/st FOB from the previous week’s $470-$480/st FOB. CF Industries posted its list price at the $480/st FOB mark, and Mosaic was at $480/st FOB. A small amount from traders who held positions obtained earlier could be as low as $475/st FOB, but those tons will be increasingly hard to find.
MAP continued to sell at a $20/st premium to DAP in Central Florida, about the same difference as from traders. PCS Sales, which produces MAP at its White Springs facility in North Florida, was selling at prices comparable to the market.
U.S. Gulf: Most of the southern areas of the Midwest were essentially finished with spring planting, while the effort was continuing in the north up to the Twin Cities, where terminals were seeing more activity than other areas last week.
The export market was having the effect of supporting the NOLA DAP and MAP barge market on the river. Exportable NOLA phosphate barges were commanding a higher price than non-exportable barges. Forward sales were a big part of the market last week and will be for some time, as they fell mainly in the $495-$500/st FOB range – and the later the delivered date, the higher the price.
Exportable barges were coming from Mississippi Phosphate or CF Industries, and could bring a profit even if the price was as high as or more than $500/st FOB, because Brazil was paying in the range of $610/mt DEL for DAP and up to $620/mt DEL for MAP.
Terminal prices were still in the $515-$540/st FOB range for DAP, and MAP was seeing slightly increased activity in some areas. The highest prices were in the most northerly locations, and the spread between DAP and MAP was running $20/st FOB or more in some areas last week.
Corn prices were down last week, wheat was up, and soybeans were mixed. Prices for 2012 corn futures fell from $5.19/bushel the previous week to $5.15/bushel for December. The corn price for December 2013 was $5.235/bushel, decreasing from $5.275/bushel the previous reporting period. For November 2012, soybeans moved down to $12.74/bushel from $12.96/bushel the previous week, but soybeans for November 2013 increased to $11.62/bushel from $11.585/bushel a week earlier. Wheat for July 2012 rose to $6.6425/bushel from $6.2975/bushel the week before, and wheat for July 2013 was listed at $7.27/bushel last week, up from $6.945/bushel the previous week.
The prompt NOLA DAP barge price range for the week was pegged at $480-$495/st FOB based on sales, compared with the previous week’s $485-$495/st FOB range. MAP prices were up in the $515-$530/st FOB range, with the highest price for exportable product. NOLA DAP barge prices for forward sales from June into September were in the $495-$500/st FOB range.
Eastern Cornbelt: DAP remained at $515-$530/st FOB regional warehouses, with the low quoted in Illinois on a spot basis. MAP was $10-$20/st higher than DAP. 10-34-0 remained at $680-$725/st FOB in the Eastern Cornbelt, with the low in Illinois and the upper end quoted in Ohio.
Western Cornbelt: DAP pricing remained in the $520-$525/st range FOB most regional warehouses, with MAP pegged at $520-$545/st FOB in the Western Cornbelt, depending on location. 10-34-0 was a nominal $680-$700/st FOB in the region.
California: DAP and MAP were unchanged at $6