Calum Findlay, Gleadell’s fertiliser manager, comments on the markets

Global urea prices have firmed further as supply cuts and trade short covering continues. This trend was reflected in the recent Indian tender, which saw offers top the previous month by $14-15/t.

In the UK, some importers have started to raise prices to reflect replacement costs but, with on-farm demand low, most have opted to hold.

Ammonium nitrate values remain unchanged this week, with imported product and UK AN trading at parity.

Liquid markets remain relatively quiet, with manufacturers unwilling to reduce offers. US buyers are holding out, expecting the start up of new production facilities later this year. Many observers doubt these will come online until 2017 and suggest UAN prices may follow US urea barge prices higher.

Whilst the UK harvest continues, demand for nitrogen remains steady. PKs and NPKs are attracting the most attention as growers start to consider autumn applications.