Friday, May 21, 2010

Fertiliser Market Report

Fertiliser Market report - May.
Please use as a guide only.


South Australian Market.

Urea: The world urea market continues to be soft (low) and local Australian pricing appears higher than international pricing. This suggests while prices have eased over the last few weeks this will continue to be the case as current Australian stocks are based on higher import prices of the last few months.

Expect Urea to get cheaper over the coming two months.

Ammonium Phosphate (AP) supply issues in Queensland have eased and allocation has improved into South Australia. Dispatch periods improving into southern areas.

Ammonium Phosphate, Granulock and resultant blend pricing have eased between $12 and $40/t. Muriate of Potash and Sulphate of Potash pricing has also come back about $25/t.

Local supplies (port dependant) of Diammonium Phosphate /GranAm and various blends have been tight and out in a few cases, resupply is expected in the short term on these products.

Urea prices continue to ease as previous reports have suggested, with further recent reductions in the order of $10/t.

World Market.

Urea prices remain soft as supply continues to outweigh demand, there is continued talk of some plant closures as prices near cost of manufacture and to help reduce demand pressure.

Ammonium Phosphate prices remain steady this week with little activity on the spot market. Plenty of discussion in the market report re Indian AP requirements and Chinese supply and port capacity issues.

Sulfur spot prices indicate potential further weakening in sulfur prices. Potassium pricing remains relatively steady at the moment.

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