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

Granular urea

All ammonia/urea plants in Egypt are still down due to a lack of gas. The government is promising some supply soon, but this can never be guaranteed.

Prices in all producing areas have remained unchanged this week and there is limited interest in all the main consuming regions.

Trade figures suggest there is no world shortage of urea and with production capacity forecast to increase, we may enter a period of surplus in Q4.

Weak agricultural commodity prices suggest that until we see any surge in demand, not likely until November, prices will continue to trade sideways at best.  

Ammonium nitrate

GrowHow prices have remained at July levels.  There is no demand currently for AN and a similar picture to autumn 2014 is developing.

Imports have been delayed. July and August vessels have been rolled into September so prices will remain flat.

Demand in Europe is also quiet and stocks are building. Manufacturers are starting to ask what will generate some interest.

P&K

Global phosphate markets remain firm. Importers and blenders have increased prices in the UK this week by £10/t to reflect the cost of replacement.

Grain yields are above average in many areas so an upturn in demand is forecast as land will be in need of both P and K applications this autumn.