Central Florida: Freezing weather in the Southeast reportedly put a chill on Central Florida demand, causing truck prices to roll off to $445/st FOB from the week-ago highs of $450/st FOB. Prices for rail-loaded DAP held steady around $440/st FOB, though loading for prompt orders would not be available until mid-March.
MAP’s long-running $20/st premium to DAP in Central Florida fell to $15/st last week. The drop reflected MAP’s lack of strength at NOLA, where values have shrunk precipitously relative to DAP in recent weeks.
Sources quoted Central Florida DAP in a range of $440-$445/st FOB, down from the previous week’s range of $440-$450/st FOB. MAP softened to $455-$460/st FOB Central Florida.
U.S. Gulf: Bitter cold and snowy weather in the Midwest, Northeast, and Southeast shut down field application in most of the country for the second straight week, sources said. The lack of end-user demand trickled down to the NOLA market, causing DAP levels to fall off accordingly.
Perceptions were divided on the strength of the market. Some saw DAP holding firm in the mid-$440s/st FOB, while others confirmed transactions in a range of $435-$437/st FOB for the week, the first time the barge market has dipped below $440/st FOB since the first week of January. Trades were reported up to $444/st FOB on the high side, and producers relayed March sales of $450/st FOB.
MAP was equally contentious, with early week trades quoted around $442-$445/st FOB, followed by sales of $438/st FOB reported later in the week.
While the weather was universally tabbed as a major factor in the market’s contraction, others cited a pair of Moroccan vessels rumored to be en route.
The first vessel, said to contain around 80,000 mt of phosphates, was expected to arrive at NOLA on March 13-14, putting the cargo’s discharge too close for comfort to the projected start of the spring season. Sources said a sudden supply spike occurring just before spring demand ramps up could cause prices to backslide.
If weather conditions haven’t improved by the time of the vessel’s discharge, however, some were optimistic that the market would be minimally affected. “By then we’ll see some buying even if the weather continues to be cold,” one trader said, “just because we’ll be getting so close (to spring).”
A second Moroccan vessel, rumored to contain an additional 80,000 mt of product, was reportedly less of a concern because it has not yet begun loading, according to one market source. Were it to begin loading immediately, he said the vessel would arrive no sooner than the end of March.
NOLA DAP barges were quoted in a range of $435-$444/st FOB for the week, down from $443-$449/st FOB the week before. MAP was called $438-$445/st FOB, a decrease from $445-$448/st FOB at last report.
Eastern Cornbelt: DAP was quoted at $480-$490/st FOB regional warehouses in the Eastern Cornbelt, with MAP $5-$15/st higher, depending on location.
10-34-0 was quoted at $550-$560/st FOB for very limited tons in the region.
Agrium’s phos acid postings were scheduled to firm dramatically on March 1, to $1,150/ton of P2O5 for rail-DEL SPA and MGA in Wisconsin and $1,185/ton of P2O5 for rail-DEL tons in Michigan. Those level were up $75/ton of P2O5 from Agrium’s February postings in those states.
Western Cornbelt: DAP remained at $475-$480/st FOB in the Western Cornbelt, with MAP quoted in the $490-$495/st FOB range.
10-34-0 pricing had reportedly firmed to $545-$560/st FOB for the last tons sold in the region, but availability was a major concern in late February. “Inventories are out,” said one Iowa source.
Agrium’s phos acid pos