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

Urea

After a period of relative inactivity across global markets, buyers are finally showing signs of interest.

Offers for Egyptian product have moved up and the latest trade concluded $7/t above the previous week, perhaps indicating the end of recent lows.

In the UK, prices remain below where many bought last year and are competitive on a cost per unit basis compared to other sources of nitrogen.

Ammonium nitrate

Ammonium nitrate has remained firm across Europe after recent price rises. The UK has been slow to follow after a drawn-out harvest.

Only 35 to 40% of the UK nitrogen market has been completed, compared to 50% this time last year, increasing pressure to execute a large tonnage in a shrinking window.

Current prices present a good buying opportunity and should be considered ahead of rising UK prices.

NPK

Blenders continue to offer tonnes below cost of production, presenting a good opportunity to buy at extremely competitive levels.