U.S. Gulf: While early week business was reported as low as $280/st FOB, most players last week put prompt granular trades in the $284-$290/st FOB range. All and late August were called $277-$280/st FOB.
Mid-to-late August prills were called in the $280s/st FOB, but the last done for July continued to be reported as $310-$315/st FOB.
Eastern Cornbelt: Sources quoted the granular urea market at $380-$390/st FOB in the Eastern Cornbelt for limited prompt tons, down $10-$15/st from last report, with the low confirmed in Cincinnati, Ohio.
Some areas were still trying to complete aerial nitrogen applications on corn to compensate for rain-related nutrient losses, but in most locations the “season is all but closed out,” as one Ohio source said last week.
Western Cornbelt: Granular urea remained in tight supply in the region after steady movement on rice and in aerial applications on corn. The dealer market was quoted at $380-$400/st FOB in the Western Cornbelt last week, with the low reported out of spot river locations.
Southern Plains: The granular urea market in the Southern Plains region was quoted at $360-$370/st FOB, where available. Sources said barge traffic had resumed on the Arkansas River after high-water restrictions severely limited activities throughout much of June, and some facilities were operating again after production hiccups last month.
South Central: Urea movement on rice was starting to wind down in the region, with some locations already finished and others wrapping up the final application. Sources also reported a slim application pace on cotton and pastures at mid-month. “We’re mostly just trying to get empty and then deciding when to recharge our system,” said one contact.
Granular urea pricing had reportedly slipped to $355/st FOB Memphis and $370/st FOB Little Rock, Ark., down some $25-$30/st from early July levels. Out of Convent, La., the urea terminal market was quoted at $335/st FOB last week.
Southeast: The granular urea market was reported at $355-$365/st FOB port terminals in the Southeast, down some $10/st from last report.
Sri Lanka: The big news in the industry for the week was the Sri Lanka Agriculture Ministry tender for 36,000 mt of granular urea and 12,400 mt of either granular or prilled urea.
Usually the Sri Lanka tenders confirm existing market trends. This time, however, the tenders confirmed what traders were thinking and made a mockery of what Chinese producers were saying. With the exception of one offer by ETA, all tonnage offered came from Chinese sources. One offer even came from a Chinese firm.
The netback for the lowest offers put the prilled product in the low $270s/mt FOB. This came as producers were arguing that the going price for prills is at $280/mt FOB.
The Sri Lankan ministry is expected to make awards by early this week. The tally for the two tenders follows.
|
Sri Lanka Agriculture Ministry Tender for |
|||||
|
Supplier |
|||||